Risk factor
Good trading liquidity
Profitability factor
Greatly overvalued vs peers
About
Guizhou Zhenhua New Material Co., Ltd. manufactures cathode material for lithium ion batteries. It also manufactures power ternary, lithium cobalt oxide, composite ternary, cobalt-nickel lithium manganese ternary, and high manganese polycrystalline products. The company's products are used in consumer electronics and automobile industries. The company was formerly known as Shenzhen Zhenhua New Material Co.,LTD and changed its name to Guizhou Zhenhua New Material Co., Ltd. in May 2018. The company was incorporated in 2004 and is based in Shenzhen, China.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. In particular, the stock is 'expensive' on EV/EBITDA, overvalued on
