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Channel Infrastructure NZ Limited (CHI) Fair Value & Analysis

Energy · AU · Market cap A$1.1B

CI Channel Infrastructure NZ Limited CHI · AU
PriceA$2.63
Fair ValueA$0.3300
Upside-87.5%
Quality40/100
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Expensive Growth
Thin margins · 8.4% net margin
Low debt · generates free cash flow
4.94% dividend yield
Trails peers (4/14)
Moderate moat 49/100
Evidence: Medium Range A$0.2500 – A$0.4200 Share as image

Fair value as of: Jul 20, 2026

From 9 valuation models · updated 21 days ago

Fair value updated Jul 20, 2026, revised from A$0.3700 to A$0.3300 (−10.8%) since Jun 26, 2026.

Below-average quality, and screening another 87% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (A$0.4200). The favourable scenario is already priced in.
  • Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (7 months)

A$2.70 A$2.39 Fair Value A$0.3300 Jan 2026 Aug 2026

White line = price, green steps = our fair value per fiscal year. As of Jul 20, 2026.

How to read this chart

7‑month range A$2.39 – A$2.70 · fair‑value band A$0.2500 – A$0.4200 · the A$2.63 price screens above the A$0.3300 fair value. As of Jul 20, 2026.

Full chart & analysis →

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Analysis

Channel Infrastructure NZ Limited (CHI) currently trades at A$2.63, while our model-based Fair Value estimate is A$0.3300, implying the stock looks roughly 87.5% overvalued today. The Quality Score stands at 40/100 (below-average quality), in the Energy 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, Channel Infrastructure NZ Limited generated revenue of A$140M at a net margin of 8.4%. It earns a return on equity of 2.6%. Net debt stands at A$332M. The stock trades on a trailing P/E of 65.3. Fundamentals as of Jul 20, 2026

Our scenario range runs from A$0.2500 (bear case) to A$0.4200 (bull case); at A$2.63, 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 10% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at -48% fair-value upside, at -87%, CHI 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
Growth DCF A$0.1300 80
Residual Income A$1.24 A$1.16 A$0.8200 76
Rev-Margin DCF A$0.1600 74
All 9 models by family
Earnings-Based
Graham-Dodd A$0.1900 A$0.5000 A$0.6600 54
Dividend Discount
Gordon GGM A$0.8900 A$1.57 A$2.22 70
DDM Multi-Stage A$0.8900 A$1.29 A$1.67 61
Multiples
P/E Multiple A$0.2800 A$0.3700 A$0.4600 63
P/B Multiple A$0.3600 A$0.4800 A$0.6000 55
Asset-Based
NCAV (Graham) A$0.9400 A$1.26 A$1.88 50
Growth DCF
Growth DCF A$0.1300 80
Rev-Margin DCF A$0.1600 74
Economic Profit
Residual Income A$1.24 A$1.16 A$0.8200 76

Widest divergence: Dividend Discount (A$1.29) versus Multiples (A$0.3700). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) A$140M
Net margin 8.4%
Return on equity 2.6%
Free cash flow A$24.2M FY2025
P/E ratio 65.8
Operating margin 31.2%
More key figures
EPS (TTM) A$0.0400
Dividend yield 4.9%
Net debt A$332M FY2025

Figures from reported company fundamentals · as of Jul 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 40/100

Of which business quality 44 · Market factors (momentum, volatility) 67

Profitability 20
Margins and returns on capital today
Quality Growth 26
Are margins and returns improving?
Cashflow 76
Earnings quality: real cash, not paper profit
Fin. Strength 45
Balance sheet, leverage, solvency risk
Investment 21
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 51
Price trend over the last 3–12 months (market factor)
52W Momentum 59
Distance to the 52-week high (market factor)
Net Issuance 63
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

Channel Infrastructure NZ Limited, together with its subsidiaries, provides infrastructure solutions to meet fuel and energy needs in New Zealand. The company offers fuels import terminal system, including jetty infrastructure at Marsden Point, storage tanks, Marsden Point to Auckland pipeline, and Somerton pipeline, as well as wiri leasing services.

Full company description

Channel Infrastructure NZ Limited, together with its subsidiaries, provides infrastructure solutions to meet fuel and energy needs in New Zealand. The company offers fuels import terminal system, including jetty infrastructure at Marsden Point, storage tanks, Marsden Point to Auckland pipeline, and Somerton pipeline, as well as wiri leasing services. It also provides fuel testing laboratory services. The company was formerly known as The New Zealand Refining Company Limited and changed its name to Channel Infrastructure NZ Limited in March 2022. Channel Infrastructure NZ Limited was incorporated in 1961 and is based in Whangarei, New Zealand.

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

Revenue & earnings trend

FY2022 – FY2025 · reported fiscal years

Channel Infrastructure NZ Limited reported revenue of A$136M in FY2025 versus A$88.2M in FY2022, a compound +15.6%/yr. Reported net income was A$11.8M in FY2025, compounding −0.5%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
A$136M
Latest YoY
−2.5%
Avg. growth/yr (3Y)
+15.6%
Revenue +15.6%/yr
FY22 A$88.2M
FY23 A$131M
FY24 A$140M
FY25 A$136M
Net income −0.5%/yr
FY22 A$12.0M
FY23 A$24.1M
FY24 A$13.9M
FY25 A$11.8M

CHI screens 87% overvalued. Compare with Reliance Industries Limited →

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Cite: Fair Value Calculator (2026). "Channel Infrastructure NZ Limited Fair Value". https://www.fairvalue-calculator.com/stock/CHI

Peer Group

Oil & Gas Refining & Marketing · 114 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 42 · Bottom 25%
Fair Value upside −88% · Bottom 25%
Return on equity (TTM) 3% · Bottom 25%
Return on assets 2% · Below median
Net margin (TTM) 8% · Top 25%
Operating margin (TTM) 31% · Top 25%
Revenue growth 0% · Below median
Dividend yield (TTM) 4.9% · Top 25%
Debt / equity 0.43× · Higher than median

Valuation Multiples vs Oil & Gas Refining & Marketing median · lower = cheaper

P/E (TTM) 65.8× · Pricier than 75% of peers
P/B 0.99× · Cheaper than median
P/S (TTM) 5.49× · Pricier than 75% of peers
P/FCF 31.8× · Pricier than 75% of peers
EV/EBITDA 11.4× · 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 15
FUTURE 0 · sector 15
PAST 10 · sector 32
HEALTH 79 · sector 80
DIVIDEND 99 · sector 50

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.

Oil & gas

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

Similar stocks

10 more Oil & Gas Refining & Marketing stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
Reliance Industries Limited RELIANCE ₹1,293 ₹835.66 -35%
Valero Energy Corporation VLO $309.65 $127.32 -59%
Marathon Petroleum Corporation MPC $283.74 $135.80 -52%
Phillips 66 PSX $196.16 $101.04 -48%
Neste Oyj NESTE €31.10 €4.07 -87%
Formosa Petrochemical Corporation 6505 81.30 TWD 16.68 TWD -79%
Indian Oil Corporation IOC ₹138.96 ₹417.35 +200%
HF Sinclair Corporation DINO $88.59 $48.90 -45%
Bharat Petroleum Corporation BPCL ₹315.55 ₹846.81 +168%
SK Innovation Co 096770 121,400 KRW 58,865 KRW -52%

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Frequently asked questions

Is Channel Infrastructure NZ Limited (CHI) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of A$0.3300 versus a price of A$2.63, about −87% (overvalued).
What is the fair value of CHI?
Our model-based fair value for Channel Infrastructure NZ Limited is A$0.3300 (as of Jul 20, 2026), built from audited fundamentals. The current price is A$2.63.
What is the quality score of CHI?
Channel Infrastructure NZ Limited has a Quality Score of 40/100. 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 Channel Infrastructure NZ Limited (CHI)?
Channel Infrastructure NZ Limited reported trailing-twelve-month revenue of about A$140M (latest available figure, as of Jul 20, 2026).
What is the net profit margin of CHI?
The net profit margin of Channel Infrastructure NZ Limited is about 8.4%, meaning it keeps roughly 8.4% of revenue as net income. Based on the latest reported figures.
Does Channel Infrastructure NZ Limited pay a dividend?
Channel Infrastructure NZ Limited currently shows a dividend yield of about 4.98% relative to its recent price (as of Jul 20, 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.

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