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Shanghai InnoStar Bio-tech Co (688710) Fair Value & Analysis

Healthcare · CN · Market cap 7.4B CNY

SI Shanghai InnoStar Bio-tech Co 688710 · SHG
Price¥90.69
Fair Value¥10.48
Upside-88.4%
Quality27/100
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Weak Growth
Loss-making · -2.9% net margin
negative free cash flow
Trails peers (2/10)
Narrow moat 28/100
Evidence: Medium Range ¥10.29 – ¥11.07 Share as image

Fair value as of: Jul 12, 2026

From 8 valuation models · updated 29 days ago

Share price +41.1% over the past month.

Below-average quality, and screening another 88% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥11.07). The favourable scenario is already priced in.
  • Weak quality (27/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • The models converge in a tight band (¥10.29 to ¥11.07), unusually little disagreement for a valuation.
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Price vs Fair Value (23 months)

¥90.69 ¥22.76 Fair Value ¥10.48 Sep 2024 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

23‑month range ¥22.76 – ¥90.69 · fair‑value band ¥10.29 – ¥11.07 · the ¥90.69 price screens above the ¥10.48 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

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Analysis

Shanghai InnoStar Bio-tech Co (688710) currently trades at ¥90.69, while our model-based Fair Value estimate is ¥10.48, implying the stock looks roughly 88.4% overvalued today. The Quality Score stands at 27/100 (below-average quality), in the Healthcare 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, Shanghai InnoStar Bio-tech Co generated revenue of 812M CNY at a net margin of -2.9%. Revenue grew 0.4% year over year. Fundamentals as of Jul 12, 2026

Our scenario range runs from ¥10.29 (bear case) to ¥11.07 (bull case); at ¥90.69, 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 near its 52-week high and 194% above its 52-week low, currently above its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -25% fair-value upside, at -88%, 688710 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
Gordon GGM ¥2.81 ¥3.80 ¥4.77 70
ROIC Compounder ¥10.29 ¥10.48 ¥10.64 67
DDM Multi-Stage ¥2.81 ¥3.84 ¥5.00 61
All 8 models by family
Earnings-Based
EPV ¥10.29 ¥10.48 ¥10.64 59
Dividend Discount
Gordon GGM ¥2.81 ¥3.80 ¥4.77 70
DDM Multi-Stage ¥2.81 ¥3.84 ¥5.00 61
Multiples
EV/EBIT ¥11.32 ¥12.05 ¥12.78 53
EV/EBITDA ¥16.90 ¥19.49 ¥22.08 54
EV/Revenue ¥10.61 ¥11.24 ¥11.87 43
Asset-Based
NCAV (Graham) ¥8.24 ¥11.04 ¥16.48 50
Economic Profit
ROIC Compounder ¥10.29 ¥10.48 ¥10.64 67

Widest divergence: Multiples (¥12.05) versus Dividend Discount (¥3.80). Highest evidence: Gordon GGM (70).

Key figures & financial health

Revenue (TTM) 812M CNY
Revenue growth (YoY) +0.4%
Net margin -2.9%
Return on equity 0.0%
Free cash flow −32.6M CNY FY2025
Operating margin 11.0%
More key figures
EPS (TTM) ¥-0.1700
EPS growth (YoY) +125%

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

Quality Score breakdown

Overall quality 27/100

Of which business quality 31 · Market factors (momentum, volatility) 68

Profitability 10
Margins and returns on capital today
Quality Growth 0
Are margins and returns improving?
Cashflow 18
Earnings quality: real cash, not paper profit
Fin. Strength 83
Balance sheet, leverage, solvency risk
Investment 30
Disciplined investing over empire-building
Low Volatility 0
Calm price path (market factor)
Momentum 95
Price trend over the last 3–12 months (market factor)
52W Momentum 100
Distance to the 52-week high (market factor)
Net Issuance 40
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

Shanghai InnoStar Bio-tech Co., Ltd. provides drug research and development services in China and internationally. The company offers screening and discovery, nonclinical assessment stage, and clinical development stage services in the areas of chemical products, biologics, cell and gene therapeutics, radiopharmaceuticals, and traditional Chinese medicines.

Full company description

Shanghai InnoStar Bio-tech Co., Ltd. provides drug research and development services in China and internationally. The company offers screening and discovery, nonclinical assessment stage, and clinical development stage services in the areas of chemical products, biologics, cell and gene therapeutics, radiopharmaceuticals, and traditional Chinese medicines. The company was founded in 2010 and is based in Shanghai, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Shanghai InnoStar Bio-tech Co reported revenue of ¥811M in FY2025 versus ¥582M in FY2021, a compound +8.7%/yr. Reported net income was −¥30.5M in FY2025.

Growth Quality 0/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
811M CNY
Latest YoY
−28.9%
Avg. growth/yr (3Y)
−2.0%
Revenue +8.7%/yr
FY21 ¥582M
FY22 ¥863M
FY23 ¥1.0B
FY24 ¥1.1B
FY25 ¥811M
Net income
FY21 ¥86.7M
FY22 ¥135M
FY23 ¥194M
FY24 ¥148M
FY25 −¥30.5M

688710 screens 88% overvalued. Compare with Eli Lilly and Company →

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Cite: Fair Value Calculator (2026). "Shanghai InnoStar Bio-tech Co Fair Value". https://www.fairvalue-calculator.com/stock/688710

Peer Group

Drug Manufacturers - General · 76 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 27 · Bottom 25%
Fair Value upside −88% · Bottom 25%
Return on assets 1% · Bottom 25%
Net margin (TTM) -3% · Bottom 25%
Operating margin (TTM) 11% · Below median
Revenue growth 0% · Below median
Dividend yield (TTM) 0.0% · Bottom 25%

Valuation Multiples vs Drug Manufacturers - General median · lower = cheaper

P/B 0.47× · Cheaper than 75% of peers
P/S (TTM) 1.35× · Cheaper 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 2 · sector 24
PAST 0 · sector 50
HEALTH 0 · sector 94
DIVIDEND 0 · sector 46

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 Drug Manufacturers - General stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
Eli Lilly and Company LLY $1,182 $396.77 -66%
Johnson & Johnson, JNJ $257.59 $169.04 -34%
AbbVie Inc ABBV $254.49 $67.72 -73%
Roche Holding 1RO €392.80 €226.68 -42%
Merck & Co MRK €108.08 €121.54 +12%
Novartis AG NVSN 2,742 MXN 2,379 MXN -13%
AstraZeneca PLC AZN $171.61 $129.54 -25%
Novo Nordisk A/S NOVOB kr 329.90 kr 409.46 +24%
Amgen Inc AMGN $363.39 $252.02 -31%
Sanofi SNYN 770.00 MXN 1,251 MXN +63%

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Frequently asked questions

Is Shanghai InnoStar Bio-tech Co (688710) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of ¥10.48 versus a price of ¥90.69, about −88% (overvalued).
What is the fair value of 688710?
Our model-based fair value for Shanghai InnoStar Bio-tech Co is ¥10.48 (as of Jul 12, 2026), built from audited fundamentals. The current price is ¥90.69.
What is the quality score of 688710?
Shanghai InnoStar Bio-tech Co has a Quality Score of 27/100. 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 Shanghai InnoStar Bio-tech Co (688710)?
Shanghai InnoStar Bio-tech Co reported trailing-twelve-month revenue of about 812M CNY (latest available figure, as of Jul 12, 2026).
What is the net profit margin of 688710?
The net profit margin of Shanghai InnoStar Bio-tech Co is about -2.9%, 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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