EN DE

Henglin Home Furnishings Co (603661) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 4.8B CNY

HH Henglin Home Furnishings Co 603661 · SHG
Price¥32.02
Fair Value¥24.74
Upside-22.7%
Quality57/100
Watch Henglin Home Furnishings Co for free, get notified when fair value or trend changes. Watch for free
Healthy Growth
Thin margins · 1.4% net margin
Low debt · generates free cash flow
1.55% dividend yield
Mixed vs. peers (8/14)
Narrow moat 30/100
Evidence: High Range ¥20.41 – ¥30.93 Share as image

Fair value as of: Jul 12, 2026

From 26 valuation models · updated 29 days ago

Fair value updated Jul 12, 2026, revised from ¥54.24 to ¥24.74 (−54.4%) since Jun 24, 2026. Share price −25.0% over the past month.

A solid business, but screening 23% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥30.93). The favourable scenario is already priced in.
  • Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.
Share this valuation: 𝕏 WhatsApp

Price vs Fair Value (5 years)

¥51.77 ¥21.67 Fair Value ¥24.74 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range ¥21.67 – ¥51.77 · fair‑value band ¥20.41 – ¥30.93 · the ¥32.02 price screens above the ¥24.74 fair value. Dashed = 300-day average. As of Jul 12, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

Henglin Home Furnishings Co (603661) currently trades at ¥32.02, while our model-based Fair Value estimate is ¥24.74, implying the stock looks roughly 22.7% overvalued today. The Quality Score stands at 57/100 (solid quality), in the Consumer Cyclical 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: high).

Over the trailing twelve months, Henglin Home Furnishings Co generated revenue of 12.2B CNY at a net margin of 1.4%. Revenue grew 21.3% year over year. It earns a return on equity of 5.5%. Net debt stands at 642M CNY. Fundamentals as of Jul 12, 2026

Our scenario range runs from ¥20.41 (bear case) to ¥30.93 (bull case); at ¥32.02, 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 19% 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 Cyclical peers we cover trades at 16% fair-value upside, at -23%, 603661 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 ¥86.93 ¥153.82 ¥284.32 80
Residual Income ¥19.69 ¥19.89 ¥18.47 76
Rev-Margin DCF ¥60.08 ¥112.29 ¥193.00 74
All 26 models by family
DCF Models
FCF DCF ¥92.28 ¥140.59 ¥290.36 38
Owner Earnings ¥62.14 ¥133.42 ¥277.56 31
5Y Revenue Exit ¥60.08 ¥99.38 ¥178.12 39
5Y EBITDA Exit ¥87.60 ¥156.81 ¥287.86 41
5Y P/E Exit ¥41.78 ¥69.72 ¥104.21 38
10Y Revenue Exit ¥67.73 ¥128.73 ¥178.60 36
10Y EBITDA Exit ¥88.74 ¥183.29 ¥360.06 37
10Y P/E Exit ¥56.59 ¥92.45 ¥149.54 35
Earnings-Based
Graham-Dodd ¥8.01 ¥55.87 ¥78.41 54
Lynch FV ¥18.75 ¥26.78 ¥34.81 50
PEG = 1.0 ¥18.75 ¥26.78 ¥34.81 46
EPV ¥40.57 ¥46.42 ¥51.47 59
Dividend Discount
Gordon GGM ¥15.22 ¥30.34 ¥45.94 70
DDM Multi-Stage ¥15.22 ¥26.22 ¥32.02 61
Multiples
P/E Multiple ¥18.56 ¥24.74 ¥30.93 63
P/S Multiple ¥15.02 ¥20.03 ¥25.04 58
P/B Multiple ¥15.02 ¥20.03 ¥25.04 55
EV/EBIT ¥61.25 ¥80.49 ¥99.73 53
EV/EBITDA ¥86.15 ¥113.68 ¥141.22 54
EV/Revenue ¥44.73 ¥62.38 ¥80.04 43
Asset-Based
NCAV (Graham) ¥13.08 ¥17.53 ¥26.16 50
Growth DCF
Growth DCF ¥86.93 ¥153.82 ¥284.32 80
Rev-Margin DCF ¥60.08 ¥112.29 ¥193.00 74
Economic Profit
Residual Income ¥19.69 ¥19.89 ¥18.47 76
ROIC Compounder ¥49.91 ¥72.74 ¥90.19 72
Growth Earnings
Growth-Adj P/E ¥24.70 ¥35.28 ¥45.87 68

Widest divergence: DCF Models (¥128.73) versus Asset-Based (¥17.53). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 12.2B CNY
Revenue growth (YoY) +21.3%
Net margin 1.4%
Return on equity 5.5%
Free cash flow 778M CNY FY2025
P/E ratio 28.0
More key figures
Operating margin 5.4%
EPS (TTM) ¥1.23
Dividend yield 1.6%
EPS growth (YoY) +13.2%
Net debt 642M CNY FY2025

Figures from reported company fundamentals · as of Jul 12, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 57/100

Of which business quality 57 · Market factors (momentum, volatility) 50

Profitability 38
Margins and returns on capital today
Quality Growth 53
Are margins and returns improving?
Cashflow 64
Earnings quality: real cash, not paper profit
Fin. Strength 48
Balance sheet, leverage, solvency risk
Investment 82
Disciplined investing over empire-building
Low Volatility 63
Calm price path (market factor)
Momentum 45
Price trend over the last 3–12 months (market factor)
52W Momentum 43
Distance to the 52-week high (market factor)
Net Issuance 71
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

Henglin Home Furnishings Co.,Ltd engages in research and development, manufacturing, and sales of home furnishing products in China and internationally. It offers office chairs, sofas, system offices, and new material floors. The company was founded in 1998 and is headquartered in Huzhou, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Henglin Home Furnishings Co reported revenue of ¥11.7B in FY2025 versus ¥5.8B in FY2021, a compound +19.2%/yr. Reported net income was ¥164M in FY2025, compounding −16.5%/yr from FY2021.

Growth Quality 85/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
11.7B CNY
Latest YoY
+5.9%
Avg. growth/yr (3Y)
+21.5%
Avg. growth/yr (5Y)
+19.7%
Avg. growth/yr (12Y)
+21.6%
Revenue +19.2%/yr
FY21 ¥5.8B
FY22 ¥6.5B
FY23 ¥8.2B
FY24 ¥11.0B
FY25 ¥11.7B
Net income −16.5%/yr
FY21 ¥338M
FY22 ¥358M
FY23 ¥263M
FY24 ¥263M
FY25 ¥164M

603661 screens 23% overvalued. Compare with Midea Group →

Share or link this analysis
For bloggers & editors: embed code + live data

For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.

Cite: Fair Value Calculator (2026). "Henglin Home Furnishings Co Fair Value". https://www.fairvalue-calculator.com/stock/603661

Peer Group

Furnishings, Fixtures & Appliances · 311 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 57 · Above median
Fair Value upside −23% · Below median
Return on equity (TTM) 5% · Above median
Return on assets 3% · Above median
Net margin (TTM) 1% · Below median
Operating margin (TTM) 5% · Above median
Revenue growth 21% · Top 25%
Dividend yield (TTM) 1.6% · Below median
Debt / equity 0.21× · Higher than 75% of peers

Valuation Multiples vs Furnishings, Fixtures & Appliances median · lower = cheaper

P/E (TTM) 28.0× · Pricier than median
P/B 1.32× · Pricier than median
P/S (TTM) 0.39× · Cheaper than median
P/FCF 0.9× · Cheaper than median
EV/EBITDA 5.6× · 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 3 · sector 26
FUTURE 100 · sector 0
PAST 22 · sector 19
HEALTH 89 · sector 98
DIVIDEND 31 · sector 55

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 Furnishings, Fixtures & Appliances stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
Midea Group 000333 ¥82.71 ¥107.22 +30%
Gree Electric Appliances, Inc 000651 ¥38.25 ¥88.02 +130%
Haier Smart Home Co 600690 ¥21.46 ¥36.04 +68%
King Slide Works Co 2059 8,655 TWD 1,917 TWD -78%
Guangdong Songfa Ceramics Co 603268 ¥155.59 ¥38.95 -75%
SharkNinja, Inc SN $154.53 $89.07 -42%
Hisense Home Appliances Group 000921 ¥26.33 ¥48.03 +82%
Zhejiang Supor Co 002032 ¥43.85 ¥44.84 +2%
COWAY Co 021240 96,700 KRW 112,530 KRW +16%
Ecovacs Robotics Co 603486 ¥50.13 ¥54.11 +8%

Compare Henglin Home Furnishings Co with another stock

Price, fair value, quality and upside side by side.

Free, no sign-up

Explore undervalued stocks

More undervalued Consumer Cyclical stocks →

All undervalued stocks TechnologyFinancial ServicesHealthcareConsumer CyclicalConsumer DefensiveCommunication ServicesIndustrialsEnergyBasic MaterialsReal EstateUtilities Deeply Undervalued StocksUndervalued Blue-Chip StocksUndervalued Small-Cap StocksUndervalued Dividend Stocks

Frequently asked questions

Is Henglin Home Furnishings Co (603661) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of ¥24.74 versus a price of ¥32.02, about −23% (overvalued).
What is the fair value of 603661?
Our model-based fair value for Henglin Home Furnishings Co is ¥24.74 (as of Jul 12, 2026), built from audited fundamentals. The current price is ¥32.02.
What is the quality score of 603661?
Henglin Home Furnishings Co has a Quality Score of 57/100. 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 Henglin Home Furnishings Co (603661)?
Henglin Home Furnishings Co reported trailing-twelve-month revenue of about 12.2B CNY (latest available figure, as of Jul 12, 2026).
What is the net profit margin of 603661?
The net profit margin of Henglin Home Furnishings Co is about 1.4%, meaning it keeps roughly 1.4% of revenue as net income. Based on the latest reported figures.
Does Henglin Home Furnishings Co pay a dividend?
Henglin Home Furnishings Co currently shows a dividend yield of about 1.55% relative to its recent price (as of Jul 12, 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.

14 days Pro free · no card

Track Henglin Home Furnishings Co and try Pro for 14 days

One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.

Zero risk: nothing is ever charged. After 14 days you decide whether to stay.