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Sansec Technology Co (688489) Fair Value & Analysis

Technology · CN · Market cap 4.0B CNY

ST Sansec Technology Co 688489 · SHG
Price¥23.26
Fair Value¥5.19
Upside-77.7%
Quality54/100
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Mixed Growth
Loss-making · -5.8% net margin
generates free cash flow
Trails peers (3/10)
Narrow moat 18/100
Evidence: Medium Range ¥4.56 – ¥5.82 Share as image

Fair value as of: Aug 13, 2026

From 12 valuation models · updated today

Fair value updated Aug 13, 2026, revised from ¥4.49 to ¥5.19 (+15.6%) since Aug 12, 2026. Share price −1.2% over the past month.

A solid business, but screening 78% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥5.82). The favourable scenario is already priced in.
  • Solid but not exceptional quality (54/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (4 years)

¥97.10 ¥20.40 Fair Value ¥5.19 Dec 2022 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

44‑month range ¥20.40 – ¥97.10 · fair‑value band ¥4.56 – ¥5.82 · the ¥23.26 price screens above the ¥5.19 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Sansec Technology Co (688489) currently trades at ¥23.26, while our model-based Fair Value estimate is ¥5.19, implying the stock looks roughly 77.7% overvalued today. The Quality Score stands at 54/100 (solid quality), in the Technology 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, Sansec Technology Co generated revenue of 561M CNY at a net margin of -5.8%. Revenue grew 10.1% year over year. It earns a return on equity of -1.3%. Fundamentals as of Aug 13, 2026

Our scenario range runs from ¥4.56 (bear case) to ¥5.82 (bull case); at ¥23.26, 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 61% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -40% fair-value upside, at -78%, 688489 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
Growth DCF ¥5.84 ¥8.74 ¥14.02 72
Gordon GGM ¥0.6600 ¥1.31 ¥1.99 70
Rev-Margin DCF ¥5.16 ¥7.38 ¥10.65 67
All 12 models by family
DCF Models
FCF DCF ¥5.99 ¥8.21 ¥14.26 38
5Y Revenue Exit ¥5.16 ¥7.17 ¥10.88 39
5Y EBITDA Exit ¥4.95 ¥6.70 ¥9.72 41
10Y Revenue Exit ¥5.32 ¥7.75 ¥10.75 36
10Y EBITDA Exit ¥5.26 ¥7.36 ¥10.98 37
Dividend Discount
Gordon GGM ¥0.6600 ¥1.31 ¥1.99 70
DDM Multi-Stage ¥0.6600 ¥1.13 ¥1.39 61
Multiples
EV/EBITDA ¥4.56 ¥5.19 ¥5.82 54
EV/Revenue ¥4.73 ¥5.61 ¥6.49 43
Asset-Based
NCAV (Graham) ¥5.41 ¥7.25 ¥10.82 50
Growth DCF
Growth DCF ¥5.84 ¥8.74 ¥14.02 72
Rev-Margin DCF ¥5.16 ¥7.38 ¥10.65 67

Widest divergence: Growth DCF (¥7.38) versus Dividend Discount (¥1.13). Highest evidence: Growth DCF (72).

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Key figures & financial health

Revenue (TTM) 561M CNY
Revenue growth (YoY) +10.1%
Net margin -5.8%
Return on equity -1.3%
Free cash flow 38.4M CNY FY2025
Operating margin -37.9%
More key figures
EPS (TTM) ¥-0.2800
EPS growth (YoY) -79.8%

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 54/100

Of which business quality 55 · Market factors (momentum, volatility) 14

Profitability 13
Margins and returns on capital today
Quality Growth 49
Are margins and returns improving?
Cashflow 37
Earnings quality: real cash, not paper profit
Fin. Strength 93
Balance sheet, leverage, solvency risk
Investment 77
Disciplined investing over empire-building
Low Volatility 45
Calm price path (market factor)
Momentum 0
Price trend over the last 3–12 months (market factor)
52W Momentum 4
Distance to the 52-week high (market factor)
Net Issuance 77
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

Sansec Technology Co., Ltd. engages in the research, development, and production of commercial cryptographic products and solutions for internet information security in China.

Full company description

Sansec Technology Co., Ltd. engages in the research, development, and production of commercial cryptographic products and solutions for internet information security in China. The company develops PCI-E HSM, a cryptographic hardware device that enables data confidentiality, integrity, and other cryptographic functions through digital signature and data encryption; Cloud HSM that provides multiple authentication mechanisms based on PIN, and digital certificate; and General Purpose HSM, a cryptographic device, which offers security guarantee services for the development of social informatization. It also offers Financial HSM cryptographic equipment for cryptography-based protection for ICs, such as social security cards for inter-bank transactions in the financial system; and Sansec HSM Cryptographic Module, a cryptographic device used for financial, e-government, e-commerce, and enterprise information systems. In addition, it provides typical financial solutions, big data security solutions, and internet of vehicle solutions. The company was founded in 2008 and is based in Beijing, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Sansec Technology Co reported revenue of ¥554M in FY2025 versus ¥270M in FY2021, a compound +19.6%/yr. Reported net income was −¥43.6M in FY2025.

Growth Quality 62/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
554M CNY
Latest YoY
+17.1%
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.
+17.7%
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.
+22.3%
Revenue +19.6%/yr
FY21 ¥270M
FY22 ¥340M
FY23 ¥359M
FY24 ¥473M
FY25 ¥554M
Net income
FY21 ¥74.7M
FY22 ¥107M
FY23 ¥67.3M
FY24 ¥42.1M
FY25 −¥43.6M

688489 screens 78% overvalued. Compare with SAP SE →

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Cite: Fair Value Calculator (2026). "Sansec Technology Co Fair Value". https://www.fairvalue-calculator.com/stock/688489

Peer Group

Software - Application · 713 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 54 · Below median
Fair Value upside −78% · Bottom 25%
Return on assets -1% · Below median
Net margin (TTM) -6% · Below median
Operating margin (TTM) -38% · Bottom 25%
Revenue growth 10% · Above median

Valuation Multiples vs Software - Application median · lower = cheaper

P/B 0.32× · Cheaper than 75% of peers
P/S (TTM) 1.06× · Cheaper than median
P/FCF 15.5× · Pricier 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 4
FUTURE 51 · sector 38
PAST 0 · sector 13
HEALTH 0 · sector 98
DIVIDEND 0 · sector 27

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 Software - Application stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
SAP SE SAPS C$12.46 C$16.26 +30%
Shopify Inc SHOP C$209.78 C$28.76 -86%
Uber Technologies, Inc UBER $75.36 $43.66 -42%
Salesforce, Inc CRM $193.32 $249.28 +29%
ServiceNow, Inc NOW $124.94 $43.73 -65%
Cadence Design Systems, Inc CDNS $323.13 $112.57 -65%
Beijing Kingsoft Office Software, Inc 688111 ¥254.50 ¥81.23 -68%
Tata Elxsi Limited TATAELXSI ₹3,712 ₹2,519 -32%
Douzone Bizon Co 012510 120,000 KRW 92,181 KRW -23%
KFin Technologies Limited KFINTECH ₹922.00 ₹556.85 -40%

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Frequently asked questions

Is Sansec Technology Co (688489) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ¥5.19 versus a price of ¥23.26, about −78% (overvalued).
What is the fair value of 688489?
Our model-based fair value for Sansec Technology Co is ¥5.19 (as of Aug 13, 2026), built from audited fundamentals. The current price is ¥23.26.
What is the quality score of 688489?
Sansec Technology Co has a Quality Score of 54/100. 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 Sansec Technology Co (688489)?
Sansec Technology Co reported trailing-twelve-month revenue of about 561M CNY (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 688489?
The net profit margin of Sansec Technology Co is about -5.8%, 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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