Risk factor
High price volatility
Profitability factor
Greatly overvalued vs peers
About
Lecron Industrial Development Group Co., Ltd. operates in both Chinese domestic and international markets, specializing in the production and distribution of a diverse array of chemical products. Their extensive offerings include various polyols, such as monomer polyether, combined polyether, and polyester types, alongside general polyether polyols and urethane-based solutions. The company further provides a range of fluorinated compounds, including refrigerants, polymers, and fine chemicals. These versatile materials find critical applications in numerous sectors, notably for building and cold storage insulation, the manufacture of sandwich panels, water heaters, and refrigerator freezers, among other industrial uses. Founded in 2003 and headquartered in Zibo, China, the enterprise was formerly known as Lecron Internet Media Industry Co., Ltd. before adopting its current name in July 2019.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. In particular, the stock is overpriced on P/E, 'expensive' on EV/EB