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Hubei Chaozhuo Aviation Technology Group (688237) Fair Value & Analysis

Industrials · CN · Market cap 5.4B CNY

HC Hubei Chaozhuo Aviation Technology Group 688237 · SHG
Price¥58.88
Fair Value¥30.08
Upside-48.9%
Quality44/100
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Expensive Growth
Thin margins · 3.5% net margin
negative free cash flow
0.55% dividend yield
Trails peers (2/11)
Narrow moat 17/100
Evidence: High Range ¥21.04 – ¥39.05 Share as image

Fair value as of: Aug 11, 2026

From 17 valuation models · updated yesterday

Fair value updated Aug 11, 2026, revised from ¥4.46 to ¥30.08 (+574.4%) since Jul 12, 2026. Share price +10.4% over the past month.

Below-average quality, and screening another 49% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥39.05). The favourable scenario is already priced in.
  • Weak quality (44/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (¥21.04 to ¥39.05) leaves room in how you read the outcome.
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Price vs Fair Value (4 years)

¥74.52 ¥15.14 Fair Value ¥30.08 Jul 2022 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

49‑month range ¥15.14 – ¥74.52 · fair‑value band ¥21.04 – ¥39.05 · the ¥58.88 price screens above the ¥30.08 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 11, 2026.

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Analysis

Hubei Chaozhuo Aviation Technology Group (688237) currently trades at ¥58.88, while our model-based Fair Value estimate is ¥30.08, implying the stock looks roughly 48.9% overvalued today. The Quality Score stands at 44/100 (below-average quality), in the Industrials 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, Hubei Chaozhuo Aviation Technology Group generated revenue of 413M CNY at a net margin of 3.5%. Revenue grew 30.9% year over year. It earns a return on equity of 1.2%. Fundamentals as of Aug 11, 2026

Our scenario range runs from ¥21.04 (bear case) to ¥39.05 (bull case); at ¥58.88, 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 6% below its 52-week high and 134% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -59% fair-value upside, at -49%, 688237 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 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
Residual Income ¥9.15 ¥8.60 ¥6.17 76
Gordon GGM ¥3.03 ¥6.03 ¥9.14 70
Growth-Adj P/E ¥3.12 ¥4.46 ¥5.79 68
All 17 models by family
DCF Models
Owner Earnings ¥2.24 ¥4.08 ¥7.80 31
Earnings-Based
Graham-Dodd ¥0.9600 ¥6.70 ¥9.40 54
Lynch FV ¥2.41 ¥3.45 ¥4.48 50
PEG = 1.0 ¥2.41 ¥3.45 ¥4.48 46
EPV ¥2.07 ¥2.28 ¥2.47 59
Dividend Discount
Gordon GGM ¥3.03 ¥6.03 ¥9.14 70
DDM Multi-Stage ¥3.03 ¥5.22 ¥6.37 61
Multiples
P/E Multiple ¥2.22 ¥2.97 ¥3.71 63
P/S Multiple ¥1.80 ¥2.40 ¥3.00 58
P/B Multiple ¥1.80 ¥2.40 ¥3.00 55
EV/EBIT ¥3.12 ¥3.91 ¥4.71 53
EV/EBITDA ¥6.16 ¥7.97 ¥9.78 54
EV/Revenue ¥2.43 ¥3.16 ¥3.89 43
Asset-Based
NCAV (Graham) ¥6.74 ¥9.04 ¥13.49 50
Economic Profit
Residual Income ¥9.15 ¥8.60 ¥6.17 76
ROIC Compounder ¥2.07 ¥2.28 ¥2.47 67
Growth Earnings
Growth-Adj P/E ¥3.12 ¥4.46 ¥5.79 68

Widest divergence: Asset-Based (¥9.04) versus Economic Profit (¥2.28). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 413M CNY
Revenue growth (YoY) +30.9%
Net margin 3.5%
Return on equity 1.2%
Free cash flow −78.5M CNY FY2025
P/E ratio 321.0
More key figures
Operating margin 0.4%
EPS (TTM) ¥0.1600
EPS growth (YoY) +100%

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

Quality Score breakdown

Overall quality 44/100

Of which business quality 43 · Market factors (momentum, volatility) 73

Profitability 17
Margins and returns on capital today
Quality Growth 32
Are margins and returns improving?
Cashflow 0
Earnings quality: real cash, not paper profit
Fin. Strength 75
Balance sheet, leverage, solvency risk
Investment 81
Disciplined investing over empire-building
Low Volatility 55
Calm price path (market factor)
Momentum 79
Price trend over the last 3–12 months (market factor)
52W Momentum 84
Distance to the 52-week high (market factor)
Net Issuance 81
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

Hubei Chaozhuo Aviation Technology Group Co. Ltd. provides cold spray additive manufacturing technology for the aircraft maintenance and remanufacturing industry in China and internationally.

Full company description

Hubei Chaozhuo Aviation Technology Group Co. Ltd. provides cold spray additive manufacturing technology for the aircraft maintenance and remanufacturing industry in China and internationally. It is involved in the additive manufacturing and maintenance of airborne equipment; maintenance of military and civil aircraft pneumatic accessories, and hydraulic accessories; repair business of fuel and electrical accessories; sale of civil aviation materials, mechanical parts, components, special packaging equipment, special equipment for pulping and papermaking, machinery and equipment, non-ferrous metal alloys, and 3D printing materials; and parts processing activities. The company also manufactures and sells paints, general and special equipment, non-ferrous metal alloys, additive manufacturing equipment, and high-speed rail equipment and accessories; and special equipment for pulping, papermaking, packaging, and printing. In addition, it provides technical, technology development, technical consultation, technology exchange, technology transfer, technology promotion, metal cutting processing, spraying processing, metal surface treatment and heat treatment processing, precious metal smelting, special equipment rental, and 3D printing services; and engages in the research and development of mechanical equipment, metal products, and new material technology. The company serves military and related subordinate aircraft overhaul factories; and subordinate units of the military industry group, as well as civil aviation operating enterprises. The company was formerly known as Hubei Chaozhuo Aviation Technology Co., Ltd. The company was founded in 2006 and is headquartered in Xiangyang, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hubei Chaozhuo Aviation Technology Group reported revenue of ¥389M in FY2025 versus ¥141M in FY2021, a compound +28.8%/yr. Reported net income was ¥12.7M in FY2025, compounding −35.0%/yr from FY2021.

Growth Quality 52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
389M CNY
Latest YoY
−3.7%
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.
+40.7%
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.
+26.0%
Revenue +28.8%/yr
FY21 ¥141M
FY22 ¥140M
FY23 ¥270M
FY24 ¥404M
FY25 ¥389M
Net income −35.0%/yr
FY21 ¥70.7M
FY22 ¥58.7M
FY23 −¥35.0M
FY24 ¥13.0M
FY25 ¥12.7M

688237 screens 49% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "Hubei Chaozhuo Aviation Technology Group Fair Value". https://www.fairvalue-calculator.com/stock/688237

Peer Group

Aerospace & Defense · 229 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 44 · Below median
Fair Value upside −49% · Above median
Return on equity (TTM) 1% · Bottom 25%
Return on assets 0% · Bottom 25%
Net margin (TTM) 3% · Below median
Operating margin (TTM) 0% · Bottom 25%
Revenue growth 31% · Top 25%
Dividend yield (TTM) 0.6% · Below median

Valuation Multiples vs Aerospace & Defense median · lower = cheaper

P/E (TTM) 373.3× · Pricier than 75% of peers
P/B 4.43× · Pricier than median
P/S (TTM) 12.97× · Pricier 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 47
PAST 5 · sector 37
HEALTH 0 · sector 94
DIVIDEND 11 · sector 15

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.

Weapons Defense

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Aug 11, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $381.22 $116.71 -69%
RTX Corporation RTX $195.93 $88.37 -55%
Airbus SE 1AIR €213.25 €86.20 -60%
The Boeing Company BA $217.11 $48.20 -78%
China CSSC Holdings 600150 ¥34.31 ¥21.90 -36%
HD Hyundai Heavy Industries Co 329180 466,000 KRW 272,966 KRW -41%
Hanwha Aerospace Co 012450 967,000 KRW 573,468 KRW -41%
ASELSAN Elektronik Sanayi ve Ticaret Anonim Sirketi ASELS 337.50 TRY 130.70 TRY -61%
Saab AB SAABB kr 520.40 kr 212.84 -59%
Kongsberg Gruppen ASA KOG kr 277.50 kr 106.93 -61%

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Frequently asked questions

Is Hubei Chaozhuo Aviation Technology Group (688237) overvalued or undervalued?
As of Aug 11, 2026, our model estimates a fair value of ¥30.08 versus a price of ¥58.88, about −49% (overvalued).
What is the fair value of 688237?
Our model-based fair value for Hubei Chaozhuo Aviation Technology Group is ¥30.08 (as of Aug 11, 2026), built from audited fundamentals. The current price is ¥58.88.
What is the quality score of 688237?
Hubei Chaozhuo Aviation Technology Group has a Quality Score of 44/100. 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 Hubei Chaozhuo Aviation Technology Group (688237)?
Hubei Chaozhuo Aviation Technology Group reported trailing-twelve-month revenue of about 413M CNY (latest available figure, as of Aug 11, 2026).
What is the net profit margin of 688237?
The net profit margin of Hubei Chaozhuo Aviation Technology Group is about 3.5%, meaning it keeps roughly 3.5% 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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