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Zhengzhou Coal Mining Machinery Group Co Ltd
SSE:601717

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Zhengzhou Coal Mining Machinery Group Co Ltd
SSE:601717
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Price: 19.96 CNY -0.8% Market Closed
Market Cap: ¥35.6B

EV/OCF

13.7
Current
76%
More Expensive
vs 3-y average of 7.8

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
13.7
=
Enterprise Value
¥34B
/
Operating Cash Flow
¥2.4B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
13.7
=
Enterprise Value
¥34B
/
Operating Cash Flow
¥2.4B

Valuation Scenarios

Zhengzhou Coal Mining Machinery Group Co Ltd is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (7.8), the stock would be worth ¥11.35 (43% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-43%
Maximum Upside
+122%
Average Upside
22%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 13.7 ¥19.96
0%
3-Year Average 7.8 ¥11.35
-43%
5-Year Average 7.8 ¥11.31
-43%
Industry Average 30.4 ¥44.34
+122%
Country Average 20.8 ¥30.33
+52%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
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Market Distribution

In line with most companies in China
Percentile
36th
Based on 6 190 companies
36th percentile
13.7
Low
0 — 11.5
Typical Range
11.5 — 39.2
High
39.2 —
Distribution Statistics
China
Min 0
30th Percentile 11.5
Median 20.8
70th Percentile 39.2
Max 266 666.7

Zhengzhou Coal Mining Machinery Group Co Ltd
Glance View

Zhengzhou Coal Mining Machinery Group Co., Ltd, hailing from the heart of China's industrial landscape, is a company deeply rooted in the world of heavy machinery, serving as the bedrock for the coal mining industry. Established in 1958, this enterprise has woven itself into the fabric of China's economic tapestry by specializing in the research, development, and production of coal mining and excavating equipment. The company has become a linchpin for coal miners, offering an expansive suite of products that include hydraulic roof supports, armored-face conveyors, and electrical control systems. These products serve the essential function of extracting coal efficiently and safely from the earth, enabling the heavily relied-upon sector of energy production to continue thriving in a country that boasts some of the largest coal reserves in the world. The lifeblood of Zhengzhou Coal Mining Machinery Group revolves around its ability to innovate and adapt to an ever-changing industry. As China, and indeed the world, began to shift its gaze towards more sustainable energy sources, the company has diversified its portfolio to remain a formidable player on the global stage. Besides catering to the coal mining industry, it has ventured into producing auto parts, extending its technological craftsmanship to the automotive sector and effectively broadening its revenue streams. Thus, while its historical core lies in coal mining machinery, Zhengzhou Coal Mining Machinery Group is astutely navigating the tempestuous waters of modern industry trends by embracing technology development and diversification, therefore shaping itself as a resilient player in delivering essential machinery components across multiple sectors.

Intrinsic Value
41.75 CNY
Undervaluation 52%
Intrinsic Value
Price ¥19.96
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