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Nongfu Spring Co Ltd
HKEX:9633

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Nongfu Spring Co Ltd
HKEX:9633
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Price: 46.92 HKD -0.85% Market Closed
Market Cap: HK$527.7B

EV/EBIT

21.7
Current
22%
Cheaper
vs 3-y average of 27.8

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
21.7
=
Enterprise Value
HK$484B
/
EBIT
¥20.8B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
21.7
=
Enterprise Value
HK$484B
/
EBIT
¥20.8B

Valuation Scenarios

Nongfu Spring Co Ltd is trading below its 3-year average

If EV/EBIT returns to its 3-Year Average (27.8), the stock would be worth HK$60.21 (28% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-30%
Maximum Upside
+64%
Average Upside
24%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 21.7 HK$46.92
0%
3-Year Average 27.8 HK$60.21
+28%
5-Year Average 35.5 HK$76.95
+64%
Industry Average 15.2 HK$32.97
-30%
Country Average 28.9 HK$62.57
+33%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
HK$484B
/
Jan 2026
¥20.8B
=
21.7
Current
HK$484B
/
Dec 2026
¥21.4B
=
22.6
Forward
HK$484B
/
Dec 2027
¥23.9B
=
20.2
Forward
HK$484B
/
Dec 2028
¥25B
=
19.4
Forward
HK$484B
/
Dec 2029
¥29.4B
=
16.5
Forward
HK$484B
/
Dec 2030
¥32.1B
=
15.1
Forward
HK$484B
/
Dec 2031
¥35.7B
=
13.6
Forward
HK$484B
/
Dec 2032
¥37.8B
=
12.8
Forward
HK$484B
/
Dec 2033
¥39.8B
=
12.2
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
CN
Nongfu Spring Co Ltd
HKEX:9633
532.2B HKD 21.7 30.6
US
Coca-Cola Co
NYSE:KO
329.7B USD 24.1 25.2
US
PepsiCo Inc
NASDAQ:PEP
212.6B USD 16.1 24.3
MX
Fomento Economico Mexicano SAB de CV
NYSE:FMX
203.5B USD 50.6 181.2
US
Monster Beverage Corp
NASDAQ:MNST
76.5B USD 30.5 40.2
UK
Coca-Cola Europacific Partners PLC
NASDAQ:CCEP
44B USD 17.1 19.7
US
Keurig Dr Pepper Inc
NASDAQ:KDP
39.7B USD 14.7 19.1
MX
Coca-Cola Femsa SAB de CV
NYSE:KOF
21.5B USD 10.3 15.6
MX
Arca Continental SAB de CV
BMV:AC
361B MXN 9.4 18.5
CH
Coca Cola HBC AG
LSE:CCH
15.2B GBP 13.4 18.5
IN
Varun Beverages Ltd
NSE:VBL
1.6T INR 42.6 54.7

Market Distribution

In line with most companies in China
Percentile
40th
Based on 5 337 companies
40th percentile
21.7
Low
0 — 16.6
Typical Range
16.6 — 52.9
High
52.9 —
Distribution Statistics
China
Min 0
30th Percentile 16.6
Median 28.9
70th Percentile 52.9
Max 49 021

Nongfu Spring Co Ltd
Glance View

In the bustling and competitive landscape of China's beverage industry, Nongfu Spring Co Ltd has emerged as a quintessential story of ingenuity and adaptation. Founded in 1996 by businessman Zhong Shanshan, the company originated with a simple yet profound mission—to provide naturally healthy water to the masses. Nongfu Spring has carved out its niche by tapping into the vast natural reserves of pristine water sources across China, capitalizing on the consumer shift towards health-conscious products. Emphasizing its motto, "We are the porters of nature," Nongfu Spring ensures their bottled water retains a pure and natural essence. Their distinctive red-capped bottles have become synonymous with trust and quality, securing a dominant presence in the Chinese market, where it leads in packaged water sales. Nongfu Spring's business acumen extends beyond just bottled water. Its product diversification strategy includes the development and marketing of a variety of beverages such as tea and functional drinks, along with vitamin-infused beverages. This strategic expansion has allowed the company to capture various consumer segments and maintain robust revenue streams. Alongside their innovative product offerings, Nongfu Spring has leveraged strategic branding and distribution channels, ensuring their abundant presence from rural convenience stores to urban supermarkets across China. With a profound understanding of local consumer preferences and an agile approach to market trends, Nongfu Spring Co Ltd continues to draw a lucrative profit from its ability to align its innovative products with the health and wellness aspirations of its consumers.

Intrinsic Value
48.58 HKD
Undervaluation 3%
Intrinsic Value
Price HK$46.92
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