Risk factor
Strong & resilient to price shocks
Profitability factor
Very poor margins and returns
About
Zhejiang Wansheng Co., Ltd., a Chinese enterprise, specializes in manufacturing and supplying a diverse portfolio of chemical products. This includes organic phosphorus-based flame retardants, specialized amines, and cardanol-derived curing agents and diluents. The company's extensive range of flame retardants is engineered for various applications, such as rigid and flexible polyurethane (PU), PC/ABS blends, HIPS/MPPO, soft PVC, epoxy resins, and other intermediate compounds. Beyond flame retardants, their offerings encompass specialty amines, amine catalysts, a variety of curing agents/diluents, coatings, and other catalytic agents. These flame retardants are primarily utilized in engineering plastics, insulation materials, and within the automotive and furniture industries for PU applications. Concurrently, their amine products are integral to numerous sectors, including polyurethane production, electronic chemicals, household products, pharmaceuticals, and agrochemicals. Established in 1995, the company initially operated as Zhejiang Wansheng Chemicals Co., Ltd., before rebranding to its current name, Zhejiang Wansheng Co., Ltd., in 2010. Its corporate headquarters are situated in Linhai, China.
Company Valuation
Based on key historical and expected multiples, the stock is fairly valued relative to its peers.