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IReader Technology Co (603533) Fair Value & Analysis

Technology · CN · Market cap 10.2B CNY

IT IReader Technology Co 603533 · SHG
Price¥22.82
Fair Value¥11.80
Upside-48.3%
Quality62/100
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Expensive Growth
Loss-making · -4.0% net margin
negative free cash flow
Mixed vs. peers (4/9)
Narrow moat 16/100
Evidence: Low Range ¥5.94 – ¥17.88 Share as image

Fair value as of: Aug 11, 2026

From 3 valuation models · updated today

Fair value updated Aug 11, 2026, revised from ¥1.82 to ¥11.80 (+548.4%) since Jul 11, 2026. Share price +18.1% over the past month.

A solid business, but screening 48% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥17.88). The favourable scenario is already priced in.
  • The model range is unusually wide (¥5.94 to ¥17.88). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

¥37.93 ¥12.73 Fair Value ¥11.80 Mar 2021 Aug 2026

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

How to read this chart

60‑month range ¥12.73 – ¥37.93 · fair‑value band ¥5.94 – ¥17.88 · the ¥22.82 price screens above the ¥11.80 fair value. Dashed = 300-day average. As of Aug 11, 2026.

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Analysis

IReader Technology Co (603533) currently trades at ¥22.82, while our model-based Fair Value estimate is ¥11.80, implying the stock looks roughly 48.3% overvalued today. The Quality Score stands at 62/100 (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: low).

Over the trailing twelve months, IReader Technology Co generated revenue of 3.4B CNY at a net margin of -4.0%. Revenue grew 23.5% year over year. It earns a return on equity of -5.5%. The balance sheet holds a net cash position of 2.0B CNY. Fundamentals as of Aug 11, 2026

Our scenario range runs from ¥5.94 (bear case) to ¥17.88 (bull case); at ¥22.82, 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 39% below its 52-week high and 26% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -27% fair-value upside, at -48%, 603533 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 Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Gordon GGM ¥0.9200 ¥1.91 ¥3.03 70
DDM Multi-Stage ¥0.9200 ¥1.61 ¥2.00 61
NCAV (Graham) ¥2.65 ¥3.56 ¥5.31 50
All 3 models by family
Dividend Discount
Gordon GGM ¥0.9200 ¥1.91 ¥3.03 70
DDM Multi-Stage ¥0.9200 ¥1.61 ¥2.00 61
Asset-Based
NCAV (Graham) ¥2.65 ¥3.56 ¥5.31 50

Widest divergence: Asset-Based (¥3.56) versus Dividend Discount (¥1.61). Highest evidence: Gordon GGM (70).

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Key figures & financial health

Revenue (TTM) 3.4B CNY
Revenue growth (YoY) +23.5%
Net margin -4.0%
Return on equity -5.5%
Free cash flow −267M CNY FY2025
Operating margin -5.6%
More key figures
EPS (TTM) ¥-0.3100
EPS growth (YoY) -56.2%
Net cash 2.0B CNY FY2024

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

Quality Score breakdown

Overall quality 62/100

Of which business quality 62 · Market factors (momentum, volatility) 32

Profitability 36
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 18
Earnings quality: real cash, not paper profit
Fin. Strength 100
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 38
Calm price path (market factor)
Momentum 28
Price trend over the last 3–12 months (market factor)
52W Momentum 34
Distance to the 52-week high (market factor)
Net Issuance 92
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

IReader Technology Co., Ltd. engages in the digital reading platform and copyright product business in China. The company edits and produces digital book content with publishing houses, copyright agencies, literary websites, and authors through digital reading platforms.

Full company description

IReader Technology Co., Ltd. engages in the digital reading platform and copyright product business in China. The company edits and produces digital book content with publishing houses, copyright agencies, literary websites, and authors through digital reading platforms. It also offers the iReader app, an e-reading mobile app that contains a library of content, including published works, original literature, audiobooks, comics, and magazines; iReader Select, which provides digital libraries and reading solutions; iReader Bookstore, which offers comics; and Dejian Novel. The company was founded in 2008 and is based in Beijing, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

IReader Technology Co reported revenue of ¥3.2B in FY2025 versus ¥2.1B in FY2021, a compound +11.9%/yr. Reported net income was −¥176M in FY2025.

Growth Quality 34/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
3.2B CNY
Latest YoY
+25.5%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.9%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.5%
Avg. growth/yr (12Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+24.8%
Revenue +11.9%/yr
FY21 ¥2.1B
FY22 ¥2.6B
FY23 ¥2.8B
FY24 ¥2.6B
FY25 ¥3.2B
Net income
FY21 ¥151M
FY22 ¥57.6M
FY23 ¥34.8M
FY24 ¥49.3M
FY25 −¥176M
Character of growth · EPS growth decomposed (2013-2024) −4.2 % p.a.
Revenue per share +17.1 pp

of which total revenue +22.4 pp · buybacks/dilution −5.3 pp

EBIT margin −16.9 pp
Tax rate −0.7 pp
Residual (interest, one-offs) −3.7 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

603533 screens 48% overvalued. Compare with SAP SE →

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Cite: Fair Value Calculator (2026). "IReader Technology Co Fair Value". https://www.fairvalue-calculator.com/stock/603533

Peer Group

Software - Application · 708 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 62 · Above median
Fair Value upside −48% · Below median
Return on assets -4% · Below median
Net margin (TTM) -4% · Below median
Operating margin (TTM) -6% · Below median
Revenue growth 24% · Top 25%

Valuation Multiples vs Software - Application median · lower = cheaper

P/B 0.65× · Cheaper than 75% of peers
P/S (TTM) 0.45× · Cheaper 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 38
PAST 0 · sector 13
HEALTH 0 · sector 98
DIVIDEND 0 · sector 28

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 Software - Application stocks, each showing price versus our Fair Value estimate (as of Aug 11, 2026).

Stock Price Fair Value vs Fair Value
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Shopify Inc SHOP C$173.23 C$20.54 -88%
Uber Technologies, Inc UBER $72.67 $51.11 -30%
Salesforce, Inc CRM $170.77 $182.10 +7%
ServiceNow, Inc NOW $107.71 $33.12 -69%
Cadence Design Systems, Inc CDNS $384.17 $80.41 -79%
Snowflake Inc SNOW $271.87 $34.04 -87%
Adobe Inc ADBE $230.61 $379.48 +65%
Automatic Data Processing, Inc ADP $241.92 $177.51 -27%
Intuit Inc INTU $291.09 $258.69 -11%

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Frequently asked questions

Is IReader Technology Co (603533) overvalued or undervalued?
As of Aug 11, 2026, our model estimates a fair value of ¥11.80 versus a price of ¥22.82, about −48% (overvalued).
What is the fair value of 603533?
Our model-based fair value for IReader Technology Co is ¥11.80 (as of Aug 11, 2026), built from audited fundamentals. The current price is ¥22.82.
What is the quality score of 603533?
IReader Technology Co has a Quality Score of 62/100. 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 IReader Technology Co (603533)?
IReader Technology Co reported trailing-twelve-month revenue of about 3.4B CNY (latest available figure, as of Aug 11, 2026).
What is the net profit margin of 603533?
The net profit margin of IReader Technology Co is about -4.0%, meaning it is currently running at a net loss. Based on the latest reported figures.

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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