Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Asia Carbon Industries, Inc., leveraging its network of subsidiaries, specializes in the production and distribution of carbon black products throughout the People's Republic of China. The company's portfolio encompasses several key grades: N220, a hard carbon black primarily used in the fabrication of automobile tires, and N330, another hard variant specifically employed for tire sidewalls. Furthermore, it offers N660, a soft carbon black crucial for manufacturing vehicle tire inner tubes and hoses. These offerings are marketed under its proprietary brand, Great Double Star. Asia Carbon Industries, Inc. was founded in 2003 and maintains its principal operations in Taiyuan, China.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is underpriced on P/E.