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Haitian Water Group (603759) Fair Value & Analysis

Utilities · CN · Market cap 3.5B CNY

HW Haitian Water Group 603759 · SHG
Price¥7.22
Fair Value¥6.51
Upside-9.8%
Quality38/100
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Expensive Growth
Thin margins · 3.0% net margin
Moderate debt · negative free cash flow
Mixed vs. peers (6/12)
Narrow moat 31/100
Evidence: High Range ¥4.88 – ¥8.14 Share as image

Fair value as of: Jul 12, 2026

From 17 valuation models · updated 29 days ago

Fair value updated Jul 12, 2026, revised from ¥6.89 to ¥6.51 (−5.5%) since Jun 24, 2026. Share price +1.4% over the past month.

Below-average quality, 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 ¥4.88 (bear) to ¥8.14 (bull), base ¥6.51. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 38/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

¥26.44 ¥5.44 Fair Value ¥6.51 Mar 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 ¥5.44 – ¥26.44 · fair‑value band ¥4.88 – ¥8.14 · the ¥7.22 price screens above the ¥6.51 fair value. Dashed = 300-day average. As of Jul 12, 2026.

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Analysis

Haitian Water Group (603759) currently trades at ¥7.22, while our model-based Fair Value estimate is ¥6.51, implying the stock looks roughly 9.8% fairly valued today. The Quality Score stands at 38/100 (below-average quality), in the Utilities 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, Haitian Water Group generated revenue of 4.4B CNY at a net margin of 3.0%. It earns a return on equity of 4.9%. Net debt stands at 2.8B CNY. The stock trades on a trailing P/E of 27.1. Fundamentals as of Jul 12, 2026

Our scenario range runs from ¥4.88 (bear case) to ¥8.14 (bull case); at ¥7.22, 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 56% below its 52-week high, currently below its 200-day average. For context, the median of 10 Utilities peers we cover trades at -10% fair-value upside, at -10%, 603759 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
Residual Income ¥4.97 ¥5.15 ¥5.19 76
ROIC Compounder ¥1.62 ¥2.49 ¥3.24 72
Gordon GGM ¥2.58 ¥5.14 ¥7.78 70
All 17 models by family
DCF Models
Owner Earnings ¥4.09 ¥13.79 ¥33.41 31
Earnings-Based
Graham-Dodd ¥2.60 ¥18.16 ¥25.48 54
Lynch FV ¥7.52 ¥10.74 ¥13.96 50
PEG = 1.0 ¥7.52 ¥10.74 ¥13.96 46
EPV ¥1.62 ¥2.49 ¥3.24 59
Dividend Discount
Gordon GGM ¥2.58 ¥5.14 ¥7.78 70
DDM Multi-Stage ¥2.58 ¥4.44 ¥5.42 61
Multiples
P/E Multiple ¥5.17 ¥6.89 ¥8.61 63
P/S Multiple ¥4.88 ¥6.51 ¥8.14 58
P/B Multiple ¥4.88 ¥6.51 ¥8.14 55
EV/EBIT ¥4.10 ¥6.76 ¥9.43 53
EV/EBITDA ¥6.33 ¥9.74 ¥13.15 54
EV/Revenue ¥2.57 ¥5.34 ¥8.11 43
Asset-Based
NCAV (Graham) ¥3.16 ¥4.24 ¥6.32 50
Economic Profit
Residual Income ¥4.97 ¥5.15 ¥5.19 76
ROIC Compounder ¥1.62 ¥2.49 ¥3.24 72
Growth Earnings
Growth-Adj P/E ¥8.88 ¥12.68 ¥16.48 68

Widest divergence: DCF Models (¥13.79) versus Economic Profit (¥2.49). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 4.4B CNY
Revenue growth (YoY) +367%
Net margin 3.0%
Return on equity 4.9%
Free cash flow −286M CNY FY2025
P/E ratio 27.1
More key figures
Operating margin 4.1%
EPS (TTM) ¥0.2800
EPS growth (YoY) -90.9%
Net debt 2.8B CNY FY2025

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

Quality Score breakdown

Overall quality 38/100

Of which business quality 36 · Market factors (momentum, volatility) 27

Profitability 26
Margins and returns on capital today
Quality Growth 45
Are margins and returns improving?
Cashflow 5
Earnings quality: real cash, not paper profit
Fin. Strength 29
Balance sheet, leverage, solvency risk
Investment 56
Disciplined investing over empire-building
Low Volatility 67
Calm price path (market factor)
Momentum 12
Price trend over the last 3–12 months (market factor)
52W Momentum 8
Distance to the 52-week high (market factor)
Net Issuance 82
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

Haitian Water Group Co.,Ltd. provides water and environmental protection services in China. It engages in the installation of water supply facilities and supply of tap water to users in government-franchised water supply area; sewage treatment; waste incineration power generation; supply of direct drinking water services; and engineering construction, …

Full company description

Haitian Water Group Co.,Ltd. provides water and environmental protection services in China. It engages in the installation of water supply facilities and supply of tap water to users in government-franchised water supply area; sewage treatment; waste incineration power generation; supply of direct drinking water services; and engineering construction, including renovation and expansion projects, as well as general contracting and professional subcontracting services. Haitian Water Group Co.,Ltd. was founded in 1999 and is based in Chengdu, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Haitian Water Group reported revenue of ¥3.2B in FY2025 versus ¥1.1B in FY2021, a compound +31.3%/yr. Reported net income was ¥177M in FY2025, compounding −4.6%/yr from FY2021.

Growth Quality 58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
3.2B CNY
Latest YoY
+111.9%
Avg. growth/yr (3Y)
+39.4%
Avg. growth/yr (5Y)
+30.5%
Avg. growth/yr (9Y)
+24.5%
Revenue +31.3%/yr
FY21 ¥1.1B
FY22 ¥1.2B
FY23 ¥1.3B
FY24 ¥1.5B
FY25 ¥3.2B
Net income −4.6%/yr
FY21 ¥214M
FY22 ¥213M
FY23 ¥242M
FY24 ¥305M
FY25 ¥177M

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Cite: Fair Value Calculator (2026). "Haitian Water Group Fair Value". https://www.fairvalue-calculator.com/stock/603759

Peer Group

Utilities - Regulated Water · 67 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 38 · Bottom 25%
Fair Value upside −10% · Above median
Return on equity (TTM) 5% · Below median
Return on assets 2% · Above median
Net margin (TTM) 3% · Bottom 25%
Operating margin (TTM) 4% · Bottom 25%
Revenue growth 367% · Top 25%
Debt / equity 0.88× · Higher than median

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

P/E (TTM) 27.1× · Pricier than median
P/B 1.20× · Cheaper than median
P/S (TTM) 0.80× · Cheaper than 75% of peers
EV/EBITDA 8.4× · 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 20 · sector 7
FUTURE 100 · sector 28
PAST 20 · sector 29
HEALTH 56 · sector 66
DIVIDEND 0 · sector 49

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 Water stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
American Water Works Company AWK $134.33 $65.80 -51%
SBSP3 SBSP3 R$29.22 R$31.23 +7%
SBS SBS $5.79 $5.21 -10%
Essential Utilities, Inc WTRG $38.59 $21.81 -43%
CSMG3 CSMG3 R$66.10 R$60.17 -9%
Grandblue Environment Co 600323 ¥29.42 ¥33.29 +13%
American States Water Company AWR $85.01 $48.02 -44%
Chengdu Xingrong Environment Co 000598 ¥6.97 ¥10.74 +54%
California Water Service Group CWT $49.73 $33.56 -33%
Chongqing Water Group 601158 ¥4.12 ¥2.77 -33%

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Frequently asked questions

Is Haitian Water Group (603759) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of ¥6.51 versus a price of ¥7.22, about −10% (fairly valued).
What is the fair value of 603759?
Our model-based fair value for Haitian Water Group is ¥6.51 (as of Jul 12, 2026), built from audited fundamentals. The current price is ¥7.22.
What is the quality score of 603759?
Haitian Water Group has a Quality Score of 38/100. 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 Haitian Water Group (603759)?
Haitian Water Group reported trailing-twelve-month revenue of about 4.4B CNY (latest available figure, as of Jul 12, 2026).
What is the net profit margin of 603759?
The net profit margin of Haitian Water Group is about 3.0%, meaning it keeps roughly 3.0% of revenue as net income. 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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