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Lafang China Co (603630) Fair Value & Analysis

Consumer Defensive · CN · Market cap 3.0B CNY

LC Lafang China Co 603630 · SHG
Price¥15.23
Fair Value¥4.88
Upside-68.0%
Quality47/100
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Weak Growth
Loss-making · -2.7% net margin
Low debt · negative free cash flow
Mixed vs. peers (5/11)
Narrow moat 25/100
Evidence: Medium Range ¥4.79 – ¥5.22 Share as image

Fair value as of: Jul 11, 2026

From 8 valuation models · updated 30 days ago

Share price +13.7% over the past month.

Below-average quality, and screening another 68% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥5.22). The favourable scenario is already priced in.
  • Solid but not exceptional quality (47/100) and above fair value, neither a clear bargain nor a standout compounder.
  • The models converge in a tight band (¥4.79 to ¥5.22), unusually little disagreement for a valuation.
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Price vs Fair Value (5 years)

¥31.44 ¥9.10 Fair Value ¥4.88 Feb 2021 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

60‑month range ¥9.10 – ¥31.44 · fair‑value band ¥4.79 – ¥5.22 · the ¥15.23 price screens above the ¥4.88 fair value. Dashed = 300-day average. As of Jul 11, 2026.

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Analysis

Lafang China Co (603630) currently trades at ¥15.23, while our model-based Fair Value estimate is ¥4.88, implying the stock looks roughly 68.0% overvalued today. The Quality Score stands at 47/100 (below-average quality), in the Consumer Defensive 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, Lafang China Co generated revenue of 831M CNY at a net margin of -2.7%. Revenue grew 6.2% year over year. It earns a return on equity of -1.2%. The balance sheet holds a net cash position of 1.2B CNY. Fundamentals as of Jul 11, 2026

Our scenario range runs from ¥4.79 (bear case) to ¥5.22 (bull case); at ¥15.23, 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 51% below its 52-week high and 20% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at -26% fair-value upside, at -68%, 603630 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
ROIC Compounder ¥4.73 ¥4.80 ¥4.86 72
Gordon GGM ¥0.8600 ¥0.9300 ¥1.05 70
DDM Multi-Stage ¥0.8600 ¥1.06 ¥1.33 61
All 8 models by family
Earnings-Based
EPV ¥4.73 ¥4.80 ¥4.86 59
Dividend Discount
Gordon GGM ¥0.8600 ¥0.9300 ¥1.05 70
DDM Multi-Stage ¥0.8600 ¥1.06 ¥1.33 61
Multiples
EV/EBIT ¥5.23 ¥5.55 ¥5.86 53
EV/EBITDA ¥5.66 ¥6.12 ¥6.58 54
EV/Revenue ¥4.96 ¥5.25 ¥5.54 43
Asset-Based
NCAV (Graham) ¥4.14 ¥5.55 ¥8.29 50
Economic Profit
ROIC Compounder ¥4.73 ¥4.80 ¥4.86 72

Widest divergence: Multiples (¥5.55) versus Dividend Discount (¥0.9300). Highest evidence: ROIC Compounder (72).

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Key figures & financial health

Revenue (TTM) 831M CNY
Revenue growth (YoY) +6.2%
Net margin -2.7%
Return on equity -1.2%
Free cash flow −60.4M CNY FY2025
Operating margin 12.4%
More key figures
EPS (TTM) ¥-0.1000
EPS growth (YoY) +66.7%
Net cash 1.2B CNY FY2024

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

Quality Score breakdown

Overall quality 47/100

Of which business quality 48 · Market factors (momentum, volatility) 27

Profitability 16
Margins and returns on capital today
Quality Growth 31
Are margins and returns improving?
Cashflow 13
Earnings quality: real cash, not paper profit
Fin. Strength 100
Balance sheet, leverage, solvency risk
Investment 74
Disciplined investing over empire-building
Low Volatility 62
Calm price path (market factor)
Momentum 16
Price trend over the last 3–12 months (market factor)
52W Momentum 9
Distance to the 52-week high (market factor)
Net Issuance 66
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

Lafang China Co.,Ltd engages in the research, development, and sale of cleaning, skin care, and cosmetics products in China. It offers cream, conditioner, body wash, shampoo, soap, gel water, and gel cream products under the Lafang, Meadows, Yujie, Taoran, Mansina, Jiaocaotang, Binchun, Shengfeng, Bai Xiaoqi, Ruiboxi, T8, Muscle Ant, VNK brands.

Full company description

Lafang China Co.,Ltd engages in the research, development, and sale of cleaning, skin care, and cosmetics products in China. It offers cream, conditioner, body wash, shampoo, soap, gel water, and gel cream products under the Lafang, Meadows, Yujie, Taoran, Mansina, Jiaocaotang, Binchun, Shengfeng, Bai Xiaoqi, Ruiboxi, T8, Muscle Ant, VNK brands. The company was formerly known as Guangdong Lafang Rihua Co., Ltd. Lafang China Co.,Ltd was founded in 2001 and is based in Shantou, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Lafang China Co reported revenue of ¥818M in FY2025 versus ¥1.1B in FY2021, a compound −7.2%/yr. Reported net income was −¥31.2M in FY2025.

Growth Quality 0/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
818M CNY
Latest YoY
−7.9%
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.
−2.7%
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.
−3.6%
Avg. growth/yr (13Y) 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.
+0.7%
Revenue −7.2%/yr
FY21 ¥1.1B
FY22 ¥887M
FY23 ¥860M
FY24 ¥889M
FY25 ¥818M
Net income
FY21 ¥69.0M
FY22 ¥59.2M
FY23 ¥65.5M
FY24 ¥41.4M
FY25 −¥31.2M
Character of growth · EPS growth decomposed (2013-2024) −11.1 % p.a.
Revenue per share −3.4 pp

of which total revenue −0.4 pp · buybacks/dilution −3.0 pp

EBIT margin −8.9 pp
Tax rate +0.3 pp
Residual (interest, one-offs) +0.9 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).

603630 screens 68% overvalued. Compare with The Procter & Gamble Company →

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Cite: Fair Value Calculator (2026). "Lafang China Co Fair Value". https://www.fairvalue-calculator.com/stock/603630

Peer Group

Household & Personal Products · 244 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 47 · Below median
Fair Value upside −68% · Bottom 25%
Return on assets 0% · Bottom 25%
Net margin (TTM) -3% · Bottom 25%
Operating margin (TTM) 12% · Above median
Revenue growth 6% · Above median
Dividend yield (TTM) 0.0% · Bottom 25%

Valuation Multiples vs Household & Personal Products median · lower = cheaper

P/B 0.24× · Cheaper than 75% of peers
P/S (TTM) 0.53× · Cheaper than median

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 28
FUTURE 31 · sector 4
PAST 0 · sector 26
HEALTH 100 · sector 98
DIVIDEND 0 · sector 50

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 Household & Personal Products stocks, each showing price versus our Fair Value estimate (as of Jul 11, 2026).

Stock Price Fair Value vs Fair Value
The Procter & Gamble Company PG $146.80 $108.16 -26%
Unilever PLC ULN 1,080 MXN 1,273 MXN +18%
Hindustan Unilever Limited HINDUNILVR ₹2,144 ₹1,000 -53%
Essity AB ESSITYA kr 279.00 kr 250.02 -10%
Godrej Consumer Products Limited GODREJCP ₹1,088 ₹367.64 -66%
Marico Limited MARICO ₹846.75 ₹233.05 -72%
APR Co 278470 375,000 KRW 151,222 KRW -60%
Dabur India Limited DABUR ₹429.45 ₹181.60 -58%
Kimberly-Clark de México, S. A. B. de C. V., KIMBERA 38.07 MXN 50.09 MXN +32%
PT Unilever Indonesia Tbk UNVR 1,730 IDR 1,934 IDR +12%

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Frequently asked questions

Is Lafang China Co (603630) overvalued or undervalued?
As of Jul 11, 2026, our model estimates a fair value of ¥4.88 versus a price of ¥15.23, about −68% (overvalued).
What is the fair value of 603630?
Our model-based fair value for Lafang China Co is ¥4.88 (as of Jul 11, 2026), built from audited fundamentals. The current price is ¥15.23.
What is the quality score of 603630?
Lafang China Co has a Quality Score of 47/100. 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 Lafang China Co (603630)?
Lafang China Co reported trailing-twelve-month revenue of about 831M CNY (latest available figure, as of Jul 11, 2026).
What is the net profit margin of 603630?
The net profit margin of Lafang China Co is about -2.7%, 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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