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Zhejiang Rongtai Electric Material Co (603119) Fair Value & Analysis

Technology · CN · Market cap 34.4B CNY

ZR Zhejiang Rongtai Electric Material Co 603119 · SHG
Price¥54.49
Fair Value¥14.44
Upside-73.5%
Quality51/100
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Expensive Growth
Solidly profitable · 19.6% net margin
Low debt · generates free cash flow
0.31% dividend yield
Mixed vs. peers (6/14)
Wide moat 66/100
Evidence: Medium Range ¥7.86 – ¥18.08 Share as image

Fair value as of: Jul 11, 2026

From 26 valuation models · updated 30 days ago

Fair value updated Jul 11, 2026, revised from ¥16.15 to ¥14.44 (−10.6%) since Jun 24, 2026. Share price −9.7% over the past month.

A solid business, but screening 74% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥18.08). The favourable scenario is already priced in.
  • Solid but not exceptional quality (51/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (¥7.86 to ¥18.08) leaves room in how you read the outcome.
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Price vs Fair Value (3 years)

¥93.53 ¥9.82 Fair Value ¥14.44 Aug 2023 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 11, 2026.

How to read this chart

36‑month range ¥9.82 – ¥93.53 · fair‑value band ¥7.86 – ¥18.08 · the ¥54.49 price screens above the ¥14.44 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 11, 2026.

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Analysis

Zhejiang Rongtai Electric Material Co (603119) currently trades at ¥54.49, while our model-based Fair Value estimate is ¥14.44, implying the stock looks roughly 73.5% overvalued today. The Quality Score stands at 51/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Zhejiang Rongtai Electric Material Co generated revenue of 1.5B CNY at a net margin of 19.6%. Revenue grew 41.3% year over year. It earns a return on equity of 14.5%. Net debt stands at 60.4M CNY. Fundamentals as of Jul 11, 2026

Our scenario range runs from ¥7.86 (bear case) to ¥18.08 (bull case); at ¥54.49, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 43% below its 52-week high and 87% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -73% fair-value upside, at -74%, 603119 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF ¥2.33 ¥3.52 ¥5.91 80
Residual Income ¥4.16 ¥5.28 ¥13.46 76
Rev-Margin DCF ¥6.39 ¥13.02 ¥25.56 74
All 26 models by family
DCF Models
FCF DCF ¥2.42 ¥3.26 ¥5.94 38
Owner Earnings ¥4.35 ¥8.69 ¥17.79 31
5Y Revenue Exit ¥6.35 ¥11.52 ¥22.46 39
5Y EBITDA Exit ¥9.60 ¥18.11 ¥34.86 41
5Y P/E Exit ¥10.69 ¥25.49 ¥46.15 38
10Y Revenue Exit ¥5.03 ¥12.77 ¥18.58 36
10Y EBITDA Exit ¥7.69 ¥19.78 ¥42.08 37
10Y P/E Exit ¥8.48 ¥22.12 ¥45.64 35
Earnings-Based
Graham-Dodd ¥4.00 ¥27.92 ¥39.18 54
Lynch FV ¥10.52 ¥15.03 ¥19.54 50
PEG = 1.0 ¥10.52 ¥15.03 ¥19.54 46
EPV ¥6.05 ¥6.90 ¥7.65 59
Dividend Discount
Gordon GGM ¥1.49 ¥3.09 ¥4.90 70
DDM Multi-Stage ¥1.49 ¥2.60 ¥3.24 61
Multiples
P/E Multiple ¥12.36 ¥16.48 ¥20.61 63
P/S Multiple ¥7.51 ¥10.01 ¥12.51 58
P/B Multiple ¥7.51 ¥10.01 ¥12.51 55
EV/EBIT ¥13.16 ¥17.23 ¥21.30 53
EV/EBITDA ¥11.87 ¥15.52 ¥19.16 54
EV/Revenue ¥7.12 ¥9.77 ¥12.41 43
Asset-Based
NCAV (Graham) ¥2.15 ¥2.89 ¥4.31 50
Growth DCF
Growth DCF ¥2.33 ¥3.52 ¥5.91 80
Rev-Margin DCF ¥6.39 ¥13.02 ¥25.56 74
Economic Profit
Residual Income ¥4.16 ¥5.28 ¥13.46 76
ROIC Compounder ¥7.52 ¥10.73 ¥13.00 72
Growth Earnings
Growth-Adj P/E ¥15.18 ¥21.68 ¥28.19 68

Widest divergence: Growth Earnings (¥21.68) versus Dividend Discount (¥2.60). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 1.5B CNY
Revenue growth (YoY) +41.3%
Net margin 19.6%
Return on equity 14.5%
Free cash flow 41.2M CNY FY2025
P/E ratio 117.4
More key figures
Operating margin 24.2%
EPS (TTM) ¥0.6200
Dividend yield 0.3%
EPS growth (YoY) +25.0%
Net debt 60.4M CNY FY2025

Figures from reported company fundamentals · as of Jul 11, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 51/100

Of which business quality 52 · Market factors (momentum, volatility) 49

Profitability 49
Margins and returns on capital today
Quality Growth 44
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 86
Balance sheet, leverage, solvency risk
Investment 5
Disciplined investing over empire-building
Low Volatility 36
Calm price path (market factor)
Momentum 46
Price trend over the last 3–12 months (market factor)
52W Momentum 69
Distance to the 52-week high (market factor)
Net Issuance 78
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Zhejiang Rongtai Electric Material Co.,Ltd., together with its subsidiaries, engages in the research, development, production, and sale of composite materials made of high temperature resistant insulating mica in China and internationally.

Full company description

Zhejiang Rongtai Electric Material Co.,Ltd., together with its subsidiaries, engages in the research, development, production, and sale of composite materials made of high temperature resistant insulating mica in China and internationally. The company offers mica tapes, plates, tubes, heating elements, laminates and washers, insulators, rolls, and papers, as well as epoxy glass laminates and mica for thermal-protection products; one-stop system solutions for electrical and thermal insulation; and after-sales support services. Its products are used in new energy vehicles, rail transportation, aerospace and military ships, special wires and cables, intelligent household appliances, and other related industrial fields. The company also engages in scientific research and technical services activities. It exports its products. Zhejiang Rongtai Electric Material Co.,Ltd. was founded in 1998 and is based in Jiaxing, China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2025 · reported fiscal years

Zhejiang Rongtai Electric Material Co reported revenue of ¥1.4B in FY2025 versus ¥667M in FY2022, a compound +27.3%/yr. Reported net income was ¥278M in FY2025, compounding +27.7%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
1.4B CNY
Latest YoY
+21.2%
Avg. growth/yr (3Y)
+27.3%
Revenue +27.3%/yr
FY22 ¥667M
FY23 ¥800M
FY24 ¥1.1B
FY25 ¥1.4B
Net income +27.7%/yr
FY22 ¥134M
FY23 ¥172M
FY24 ¥230M
FY25 ¥278M

603119 screens 74% overvalued. Compare with Delta Electronics, Inc →

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Cite: Fair Value Calculator (2026). "Zhejiang Rongtai Electric Material Co Fair Value". https://www.fairvalue-calculator.com/stock/603119

Peer Group

Electronic Components · 626 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 51 · Below median
Fair Value upside −74% · Bottom 25%
Return on equity (TTM) 14% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 20% · Top 25%
Operating margin (TTM) 24% · Top 25%
Revenue growth 41% · Top 25%
Dividend yield (TTM) 0.3% · Bottom 25%
Debt / equity 0.01× · Lower than median

Valuation Multiples vs Electronic Components median · lower = cheaper

P/E (TTM) 117.4× · Pricier than 75% of peers
P/B 16.91× · Pricier than 75% of peers
P/S (TTM) 23.18× · Pricier than 75% of peers
P/FCF 124.0× · Pricier than 75% of peers
EV/EBITDA 92.9× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 100 · sector 32
PAST 58 · sector 24
HEALTH 99 · sector 95
DIVIDEND 6 · sector 25

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Electronic Components stocks, each showing price versus our Fair Value estimate (as of Jul 11, 2026).

Stock Price Fair Value vs Fair Value
Delta Electronics, Inc 2308 1,880 TWD 515.23 TWD -73%
Hon Hai Precision Industry Co 2317 242.50 TWD 270.47 TWD +12%
Luxshare Precision Industry Co 002475 ¥62.14 ¥38.44 -38%
Samsung Electro-Mechanics Co 009150 1,260,000 KRW 166,421 KRW -87%
Elite Material Co 2383 4,990 TWD 714.36 TWD -86%
Yageo Corporation 2327 699.00 TWD 216.55 TWD -69%
Shengyi Technology Co 600183 ¥132.29 ¥27.45 -79%
Shennan Circuits Co 002916 ¥364.00 ¥93.50 -74%
Victory Giant Technology (HuiZhou) Co 2476 HK$297.00 HK$103.98 -65%
Wus Printed Circuit (Kunshan) Co 002463 ¥127.80 ¥31.95 -75%

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Frequently asked questions

Is Zhejiang Rongtai Electric Material Co (603119) overvalued or undervalued?
As of Jul 11, 2026, our model estimates a fair value of ¥14.44 versus a price of ¥54.49, about −74% (overvalued).
What is the fair value of 603119?
Our model-based fair value for Zhejiang Rongtai Electric Material Co is ¥14.44 (as of Jul 11, 2026), built from audited fundamentals. The current price is ¥54.49.
What is the quality score of 603119?
Zhejiang Rongtai Electric Material Co has a Quality Score of 51/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Zhejiang Rongtai Electric Material Co (603119)?
Zhejiang Rongtai Electric Material Co reported trailing-twelve-month revenue of about 1.5B CNY (latest available figure, as of Jul 11, 2026).
What is the net profit margin of 603119?
The net profit margin of Zhejiang Rongtai Electric Material Co is about 19.6%, meaning it keeps roughly 19.6% of revenue as net income. Based on the latest reported figures.
Does Zhejiang Rongtai Electric Material Co pay a dividend?
Zhejiang Rongtai Electric Material Co currently shows a dividend yield of about 0.31% relative to its recent price (as of Jul 11, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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