Eastern Communications Co Ltd
SSE:600776
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EV/IC
Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.
Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.
Valuation Scenarios
If EV/IC returns to its 3-Year Average (4.2), the stock would be worth ¥7.22 (57% downside from current price).
| Scenario | EV/IC Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 9.6 | ¥16.62 |
0%
|
| 3-Year Average | 4.2 | ¥7.22 |
-57%
|
| 5-Year Average | 4.2 | ¥7.22 |
-57%
|
| Industry Average | 4 | ¥7 |
-58%
|
| Country Average | 1.9 | ¥3.35 |
-80%
|
Forward EV/IC
Today’s price vs future invested capital
Peer Comparison
| Market Cap | EV/IC | P/E | ||||
|---|---|---|---|---|---|---|
| CN |
|
Eastern Communications Co Ltd
SSE:600776
|
20.9B CNY | 9.6 | 45.6 | |
| JP |
N
|
Nakayo Inc
TSE:6715
|
111.4T JPY | 7 835.5 | 7 956 708 | |
| US |
|
Cisco Systems Inc
NASDAQ:CSCO
|
362.9B USD | 3.5 | 32.8 | |
| US |
|
Arista Networks Inc
NYSE:ANET
|
217B USD | 25.5 | 61.8 | |
| CN |
|
Zhongji Innolight Co Ltd
SZSE:300308
|
952.8B CNY | 35.6 | 63.7 | |
| US |
|
Ciena Corp
NYSE:CIEN
|
75.7B USD | 18.8 | 330.6 | |
| US |
|
Motorola Solutions Inc
NYSE:MSI
|
72.2B USD | 4.7 | 33.5 | |
| FI |
|
Nokia Oyj
OMXH:NOKIA
|
59.3B EUR | 2 | 75.8 | |
| US |
|
Lumentum Holdings Inc
NASDAQ:LITE
|
67.8B USD | 20.1 | 268.7 | |
| US |
|
Ubiquiti Inc
NYSE:UI
|
61.7B USD | 57.8 | 69 | |
| CN |
|
Yangtze Optical Fibre and Cable Joint Stock Ltd Co
SSE:601869
|
290.9B CNY | 11.6 | 357.5 |
Market Distribution
| Min | 0 |
| 30th Percentile | 1.1 |
| Median | 1.9 |
| 70th Percentile | 3.4 |
| Max | 1 129 391.6 |
Other Multiples
Eastern Communications Co Ltd
Glance View
Eastern Communications Co Ltd., a company rooted in the rich industrial fabric of China, has emerged as a pivotal player in the telecommunication and information technology sectors. Established in an era when communication technology was rapidly evolving, the company swiftly embraced innovation to carve out its niche. Today, it stands at the forefront of developing and deploying high-tech communication solutions, capitalizing on a wide array of products and services. Its offerings range from enterprise-level communication networks to consumer broadband services, seamlessly catering to both large-scale corporate clients and individual consumers. By leveraging its extensive infrastructure and technological expertise, Eastern Communications has managed to tap into the surging demand for reliable connectivity, riding the wave of digital transformation that is sweeping across industries worldwide. The company's revenue model is underpinned by a robust and diversified portfolio that spans multiple streams. Eastern Communications generates income through its telecommunications services, which include providing broadband internet, data services, and comprehensive IT solutions. Additionally, the company has cultivated a strong foothold in the production and distribution of communication hardware, bolstering its presence in both domestic and international markets. Strategic partnerships and continual investment in research and development further enhance its competitive edge, allowing the firm to adapt to the fast-paced changes in technology and consumer preferences. By adeptly balancing these segments, Eastern Communications ensures a steady flow of revenue while positioning itself for long-term growth and leadership in the telecommunications industry.