Risk factor
Strong & resilient to price shocks
Profitability factor
Fairly valued vs peers
About
Qingdao Hanhe Cable Co., Ltd., headquartered in Qingdao, People's Republic of China, is a company primarily focused on the research, development, manufacturing, and distribution of various cables and wires, predominantly serving the domestic Chinese market. Its extensive product line encompasses a wide range of cable types, such as power cables, submarine cables (including optical fiber composite), communication and data cables, radio-frequency cables, electrical equipment wires, and overhead conductors. The company also specializes in application-specific cables for demanding environments, including nuclear plants, shipboard use, mining, oil platforms, and wind farms, as well as fire-resistant and DC series cables. Complementing these are essential components like cable accessories, bus bars, prefabricated branch cables, optical power composite cables, and high-performance materials like heat-resistant and high-strength aluminum alloy wires, and carbon fiber wires. Beyond manufacturing, Qingdao Hanhe delivers a comprehensive suite of services. These include the laying, installation, and final completion testing for cables and their associated accessories. The company also provides advanced solutions such as high-voltage electrical equipment status monitoring products for smart transformer substations and sophisticated cable fault testing systems. Furthermore, it offers electrical equipment testing services to clients across the power, metallurgical, chemical, and petroleum industries. Its capabilities also extend to electric power design, engineering, installation services, and ongoing operational maintenance for transformer substations. These diverse products and services cater to a broad spectrum of industries, including power generation and distribution, metallurgy, telecommunications, railway, petroleum and chemical, coal mining, and construction. Established in 2007, the company also maintains an international presence, exporting its products to approximately 30 countries and regions worldwide.
Company Valuation
Based on key historical and expected multiples, the stock is fairly valued relative to its peers. Specifically, the stock is fairly valued on P/E, overvalued on EV/EBITD.