EN DE

Xinjiang East Universe Gas Co. (603706) Fair Value & Analysis

Utilities · CN · Market cap 3.9B CNY

XE Xinjiang East Universe Gas Co. 603706 · SHG
Price¥19.15
Fair Value¥20.54
Upside+7.3%
Quality71/100
Watch Xinjiang East Universe Gas Co. for free, get notified when fair value or trend changes. Watch for free
Mixed Growth
Solidly profitable · 17.6% net margin
Low debt · generates free cash flow
4.45% dividend yield
Ranks above peers (11/14)
Moderate moat 64/100
Evidence: Medium Range ¥15.40 – ¥25.67 Share as image

Fair value as of: Jul 11, 2026

From 26 valuation models · updated 30 days ago

Share price +2.1% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from ¥15.40 (bear) to ¥25.67 (bull), base ¥20.54. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 71/100 (solid quality) with medium evidence: read the verdict with care.
Share this valuation: 𝕏 WhatsApp

Price vs Fair Value (5 years)

¥24.52 ¥11.05 Fair Value ¥20.54 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 ¥11.05 – ¥24.52 · fair‑value band ¥15.40 – ¥25.67 · the ¥19.15 price screens below the ¥20.54 fair value. Dashed = 300-day average. As of Jul 11, 2026.

Full chart & analysis →

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

Analysis

Xinjiang East Universe Gas Co. (603706) currently trades at ¥19.15, while our model-based Fair Value estimate is ¥20.54, implying the stock looks roughly 7.3% fairly valued today. The Quality Score stands at 71/100 (solid quality), in the Utilities sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, Xinjiang East Universe Gas Co. generated revenue of 1.3B CNY at a net margin of 17.6%. Revenue grew 4.0% year over year. It earns a return on equity of 13.4%. The balance sheet holds a net cash position of 275M CNY. Fundamentals as of Jul 11, 2026

Our scenario range runs from ¥15.40 (bear case) to ¥25.67 (bull case); at ¥19.15, the current price sits within 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 24% below its 52-week high and 3% above its 52-week low, currently below its 200-day average. For context, the median of 10 Utilities peers we cover trades at -19% fair-value upside, at 7%, 603706 screens cheaper 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 ¥16.90 ¥29.43 ¥50.53 80
Residual Income ¥8.52 ¥9.83 ¥15.65 76
Rev-Margin DCF ¥14.73 ¥25.22 ¥39.43 74
All 26 models by family
DCF Models
FCF DCF ¥17.25 ¥31.41 ¥57.34 38
Owner Earnings ¥22.33 ¥41.33 ¥75.14 31
5Y Revenue Exit ¥14.73 ¥25.56 ¥40.60 39
5Y EBITDA Exit ¥17.00 ¥30.45 ¥47.85 41
5Y P/E Exit ¥16.15 ¥28.60 ¥43.34 38
10Y Revenue Exit ¥15.01 ¥25.67 ¥42.82 36
10Y EBITDA Exit ¥16.94 ¥29.27 ¥49.01 37
10Y P/E Exit ¥16.37 ¥27.91 ¥45.16 35
Earnings-Based
Graham-Dodd ¥7.76 ¥41.73 ¥57.82 54
Lynch FV ¥11.54 ¥16.49 ¥21.43 50
PEG = 1.0 ¥11.54 ¥16.49 ¥21.43 46
EPV ¥13.15 ¥15.04 ¥16.66 59
Dividend Discount
Gordon GGM ¥7.97 ¥15.87 ¥24.04 70
DDM Multi-Stage ¥7.97 ¥13.72 ¥16.76 61
Multiples
P/E Multiple ¥15.40 ¥20.54 ¥25.67 63
P/S Multiple ¥13.18 ¥17.58 ¥21.97 58
P/B Multiple ¥12.41 ¥16.54 ¥20.68 55
EV/EBIT ¥18.71 ¥24.54 ¥30.38 53
EV/EBITDA ¥17.96 ¥23.54 ¥29.13 54
EV/Revenue ¥13.51 ¥18.78 ¥24.06 43
Asset-Based
NCAV (Graham) ¥4.60 ¥6.16 ¥9.19 50
Growth DCF
Growth DCF ¥16.90 ¥29.43 ¥50.53 80
Rev-Margin DCF ¥14.73 ¥25.22 ¥39.43 74
Economic Profit
Residual Income ¥8.52 ¥9.83 ¥15.65 76
ROIC Compounder ¥14.82 ¥19.91 ¥26.80 72
Growth Earnings
Growth-Adj P/E ¥15.72 ¥22.46 ¥29.20 68

Widest divergence: DCF Models (¥28.60) versus Asset-Based (¥6.16). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 1.3B CNY
Revenue growth (YoY) +4.0%
Net margin 17.6%
Return on equity 13.4%
Free cash flow 234M CNY FY2025
P/E ratio 16.4
More key figures
Operating margin 28.3%
EPS (TTM) ¥1.25
Dividend yield 4.5%
EPS growth (YoY) +25.6%
Net cash 275M CNY FY2024

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

Quality Score breakdown

Overall quality 71/100

Of which business quality 70 · Market factors (momentum, volatility) 45

Profitability 46
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 71
Earnings quality: real cash, not paper profit
Fin. Strength 86
Balance sheet, leverage, solvency risk
Investment 90
Disciplined investing over empire-building
Low Volatility 79
Calm price path (market factor)
Momentum 37
Price trend over the last 3–12 months (market factor)
52W Momentum 19
Distance to the 52-week high (market factor)
Net Issuance 84
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

Xinjiang East Universe Gas Co.Ltd. engages in the natural gas sales, natural gas facility equipment installation, and natural gas heating businesses. It also provides refrigeration and air conditioning services. The company was founded in 2001 and is based in Changji, the People's Republic of China

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Xinjiang East Universe Gas Co. reported revenue of ¥1.3B in FY2025 versus ¥988M in FY2021, a compound +7.7%/yr. Reported net income was ¥216M in FY2025, compounding +8.5%/yr from FY2021.

Growth Quality 86/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
1.3B CNY
Latest YoY
−7.8%
Avg. growth/yr (3Y)
+8.0%
Avg. growth/yr (5Y)
+10.6%
Avg. growth/yr (11Y)
+13.5%
Revenue +7.7%/yr
FY21 ¥988M
FY22 ¥1.1B
FY23 ¥1.2B
FY24 ¥1.4B
FY25 ¥1.3B
Net income +8.5%/yr
FY21 ¥156M
FY22 ¥137M
FY23 ¥197M
FY24 ¥197M
FY25 ¥216M

Watch 603706: get an alert when its fair value changes →

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). "Xinjiang East Universe Gas Co. Fair Value". https://www.fairvalue-calculator.com/stock/603706

Peer Group

Utilities - Regulated Gas · 104 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 71 · Top 25%
Fair Value upside +7% · Above median
Return on equity (TTM) 13% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 18% · Top 25%
Operating margin (TTM) 28% · Top 25%
Revenue growth 4% · Above median
Dividend yield (TTM) 4.5% · Above median
Debt / equity 0.06× · Lower than median

Valuation Multiples vs Utilities - Regulated Gas median · lower = cheaper

P/E (TTM) 16.4× · Cheaper than median
P/B 2.23× · Pricier than 75% of peers
P/S (TTM) 2.87× · Pricier than 75% of peers
P/FCF 2.5× · Pricier than median
EV/EBITDA 8.3× · 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 43 · sector 22
FUTURE 20 · sector 0
PAST 54 · sector 34
HEALTH 97 · sector 85
DIVIDEND 89 · sector 67

Insider activity: 30/100

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 Utilities - Regulated Gas stocks, each showing price versus our Fair Value estimate (as of Jul 11, 2026).

Stock Price Fair Value vs Fair Value
Naturgy Energy Group NTGY €28.84 €35.80 +24%
Atmos Energy Corporation ATO $177.68 $85.67 -52%
NiSource Inc NI $47.07 $28.59 -39%
Uniper SE UN0 €42.80 €49.13 +15%
The Hong Kong and China Gas Company 0003 HK$7.03 HK$5.08 -28%
Italgas S.p.A IG €9.98 €8.11 -19%
GAIL (India) Limited GAIL ₹171.71 ₹147.74 -14%
Adani Total Gas Limited ATGL ₹723.90 ₹101.36 -86%
ENN Natural Gas Co 600803 ¥17.30 ¥25.71 +49%
UGI Corporation UGI $35.84 $27.13 -24%

Compare Xinjiang East Universe Gas Co. with another stock

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

Free, no sign-up

Explore undervalued stocks

More undervalued Utilities 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 Xinjiang East Universe Gas Co. (603706) overvalued or undervalued?
As of Jul 11, 2026, our model estimates a fair value of ¥20.54 versus a price of ¥19.15, about +7% (fairly valued).
What is the fair value of 603706?
Our model-based fair value for Xinjiang East Universe Gas Co. is ¥20.54 (as of Jul 11, 2026), built from audited fundamentals. The current price is ¥19.15.
What is the quality score of 603706?
Xinjiang East Universe Gas Co. has a Quality Score of 71/100. 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 Xinjiang East Universe Gas Co. (603706)?
Xinjiang East Universe Gas Co. reported trailing-twelve-month revenue of about 1.3B CNY (latest available figure, as of Jul 11, 2026).
What is the net profit margin of 603706?
The net profit margin of Xinjiang East Universe Gas Co. is about 17.6%, meaning it keeps roughly 17.6% of revenue as net income. Based on the latest reported figures.
Does Xinjiang East Universe Gas Co. pay a dividend?
Xinjiang East Universe Gas Co. currently shows a dividend yield of about 4.45% 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.

14 days Pro free · no card

Track Xinjiang East Universe Gas 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.