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Huali Industrial Group Company Limited (300979) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 37.4B CNY (≈ $5.6B) · ISIN CNE100004KP4

What is Huali Industrial Group Company Limited really worth?

HI Huali Industrial Group Company Limited 300979 · SHE
Price¥32.86
Fair Value¥51.36
Upside+56.3%
Quality62/100

A solid business, trading 36% below our fair value of ¥51.36.

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Strengths

Solidly profitable · 11.8% net margin
generates free cash flow
Ranks above peers (9/13)

Risks

!Mixed Growth (revenue 5y +12.4 %/yr)
!Moderate moat 63/100

For context

·6.39% dividend yield
Evidence: High Range ¥27.83 – ¥68.65

Fair value as of: Aug 27, 2026

From 26 valuation models · updated 9 days ago

Share price −3.8% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • Solid quality (62/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (¥27.83 to ¥68.65) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

¥97.84 ¥29.75 Fair Value ¥51.36 Apr 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 27, 2026.

How to read this chart

60‑month range ¥29.75 – ¥97.84 · fair‑value band ¥27.83 – ¥68.65 · the ¥32.86 price screens below the ¥51.36 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 27, 2026.

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Analysis

Huali Industrial Group Company Limited (300979) currently trades at ¥32.86, while our model-based Fair Value estimate is ¥51.36, implying the stock looks roughly 36.0% undervalued today. The Quality Score stands at 62/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of ¥56.01 per share, and 19 of the 26 models we run sit above the ¥32.86 price. Bear case: the Asset-Based group reads lowest at ¥9.32, and 7 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Huali Industrial Group Company Limited generated revenue of 23.9B CNY at a net margin of 11.8%. Revenue declined 19.4% year over year. It earns a return on equity of 16.4%. The balance sheet holds a net cash position of 5.1B CNY. Fundamentals as of Aug 27, 2026

Our scenario range runs from ¥27.83 (bear case) to ¥68.65 (bull case); at ¥32.86, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 47% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 32% fair-value upside, at 56%, 300979 screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly ¥0.2242 per share, which is 0.4 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF best evidence ¥16.92 ¥27.25 ¥45.68 76
Growth DCF ¥16.78 ¥26.10 ¥42.19 74
Owner Earnings ¥20.22 ¥33.39 ¥56.90 71
All 26 models by family
DCF Models
FCF DCF best evidence ¥16.92 ¥27.25 ¥45.68 76
Owner Earnings ¥20.22 ¥33.39 ¥56.90 71
5Y Revenue Exit ¥21.01 ¥35.25 ¥55.11 69
5Y EBITDA Exit ¥33.29 ¥61.04 ¥96.92 70
5Y P/E Exit ¥37.60 ¥70.10 ¥108.39 66
10Y Revenue Exit ¥18.93 ¥32.11 ¥53.31 62
10Y EBITDA Exit ¥27.76 ¥51.21 ¥88.95 63
10Y P/E Exit ¥30.65 ¥57.92 ¥98.73 59
Earnings-Based
Graham-Dodd ¥18.68 ¥92.32 ¥127.30 64
Lynch FV ¥24.87 ¥35.53 ¥46.19 61
PEG = 1.0 ¥24.87 ¥35.53 ¥46.19 57
EPV ¥31.29 ¥35.67 ¥39.50 70
Dividend Discount
Gordon GGM ¥30.74 ¥63.90 ¥101.38 66
DDM Multi-Stage ¥30.74 ¥53.89 ¥67.07 66
Multiples
P/E Multiple ¥45.34 ¥60.45 ¥75.56 63
P/S Multiple ¥19.26 ¥25.69 ¥32.11 58
P/B Multiple ¥35.03 ¥46.71 ¥58.39 55
EV/EBIT ¥53.26 ¥69.35 ¥85.44 63
EV/EBITDA ¥43.54 ¥56.40 ¥69.25 64
EV/Revenue ¥22.97 ¥30.67 ¥38.38 52
Asset-Based
NCAV (Graham) ¥6.96 ¥9.32 ¥13.92 51
Growth DCF
Growth DCF ¥16.78 ¥26.10 ¥42.19 74
Rev-Margin DCF ¥21.01 ¥34.68 ¥52.70 69
Economic Profit
Residual Income ¥17.16 ¥20.73 ¥48.29 70
ROIC Compounder ¥34.84 ¥44.54 ¥56.62 70
Growth Earnings
Growth-Adj P/E ¥39.21 ¥56.01 ¥72.82 67

Widest divergence: Growth Earnings (¥56.01) versus Asset-Based (¥9.32). Highest evidence: FCF DCF (76).

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Key figures & financial health

P/E ratio 13.5
P/S ratio 1.74 P/E × margin
EPS (TTM) ¥2.43 price ÷ EPS = P/E 13.5
Dividend yield 6.4% payout 86.4%
Net margin 12.8% FY2025
Return on equity 16.4% TTM
More key figures
Profitability
Return on assets (EBIT) 21.6% avg 5y
Operating margin 11.2% TTM
Growth
Revenue (TTM) 23.9B CNY TTM
Revenue growth (YoY) −19.4% 3y avg +6.7%
EPS growth (YoY) −49.2%
Balance sheet & cash flow
Free cash flow 1.1B CNY FY2025
Net cash 5.1B CNY FY2024

Figures from reported company fundamentals · as of Aug 27, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 62/100

Of which business quality 62 · Market factors (momentum, volatility) 30

Profitability 66
Margins and returns on capital today
Quality Growth 30
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 96
Balance sheet, leverage, solvency risk
Investment 56
Disciplined investing over empire-building
Low Volatility 77
Calm price path (market factor)
Momentum 15
Price trend over the last 3–12 months (market factor)
52W Momentum 2
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Huali Industrial Group Company Limited engages in the design, research and development, production, and sale of shoe soles, shoe materials, and footwear products in China and internationally.

Full company description

Huali Industrial Group Company Limited engages in the design, research and development, production, and sale of shoe soles, shoe materials, and footwear products in China and internationally. The company offers athletic and leisure shoes, and outdoor boots, as well as athletic sandals and slippers for professional sports, such as running, walking, trail running, hiking, basketball, skateboarding, skiing, mass sports, daily commuting, and fashion wear; and footwear technical consulting services. It is also involved in investment in the footwear industry; design, production, and operation of various molds, and knitted and woven shoe uppers; research and development of textile technology. The company was founded in 1995 and is based in Zhongshan, China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Huali Industrial Group Company Limited reported revenue of 25.0B CNY in FY2025 versus 17.5B CNY in FY2021, a compound +9.4%/yr. Reported net income was 3.2B CNY in FY2025, compounding +3.7%/yr from FY2021.

Growth Quality 83/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
25.0B CNY
Latest YoY
+4.1%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.7%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+12.4%
Avg. revenue growth/yr (8Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+12.1%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+9.4% (3.0 + 6.4)
Revenue +9.4%/yr
FY21 17.5B CNY
FY22 20.6B CNY
FY23 20.1B CNY
FY24 24.0B CNY
FY25 25.0B CNY
Net income +3.7%/yr
FY21 2.8B CNY
FY22 3.2B CNY
FY23 3.2B CNY
FY24 3.8B CNY
FY25 3.2B CNY

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Cite: Fair Value Calculator (2026). "Huali Industrial Group Company Limited Fair Value". https://www.fairvalue-calculator.com/stock/300979

Peer Group

Footwear & Accessories · 93 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 62 · Top 25%
Fair Value upside +56% · Top 25%
Return on equity (TTM) 16% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 12% · Top 25%
Operating margin (TTM) 11% · Top 25%
Revenue growth −19% · Bottom 25%
Dividend yield (TTM) 6.4% · Top 25%

Valuation Multiples vs Footwear & Accessories median · lower = cheaper

P/E (TTM) 13.5× · Cheaper than median
P/B 2.30× · Pricier than median
P/S (TTM) 1.56× · Pricier than 75% of peers
P/FCF 5.3× · Pricier than median
EV/EBITDA 7.0× · Cheaper than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE100 · sector 6
FUTURE0 · sector 0
PAST66 · sector 22
HEALTH0 · sector 97
DIVIDEND100 · sector 49

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Footwear & Accessories stocks, each showing price versus our Fair Value estimate (as of Aug 27, 2026).

Stock Price Fair Value vs Fair Value
NIKE, Inc NKE $38.44 $35.63 −7%
Deckers Outdoor Corporation DECK $87.76 $125.16 +43%
On Holding ONON $31.03 $17.79 −43%
Zhejiang China Commodities City Group 600415 ¥12.61 ¥13.03 +3%
Birkenstock Holding BIRK $33.95 $44.93 +32%
Crocs, Inc CROX $122.23 $203.65 +67%
PUMA SE PUM €25.63 €10.57 −59%
Steven Madden, Ltd SHOO $47.70 $11.69 −75%
Yue Yuen Industrial (Holdings) Limited 0551 HK$13.65 HK$31.67 +132%
Samsonite Group 1910 HK$13.20 HK$36.62 +177%

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Frequently asked questions

Is Huali Industrial Group Company Limited (300979) overvalued or undervalued?
As of Aug 27, 2026, our model estimates a fair value of ¥51.36 versus a price of ¥32.86, about +56% upside (undervalued).
What is the fair value of 300979?
Our model-based fair value for Huali Industrial Group Company Limited is ¥51.36 (as of Aug 27, 2026), built from audited fundamentals. The current price: ¥32.86.
What is the quality score of 300979?
Huali Industrial Group Company Limited has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Huali Industrial Group Company Limited (300979)?
Huali Industrial Group Company Limited reported trailing-twelve-month revenue of about 23.9B CNY (latest available figure, as of Aug 27, 2026).
What is the net profit margin of 300979?
The net profit margin of Huali Industrial Group Company Limited is about 11.8%, meaning it keeps roughly 11.8% of revenue as net income. Based on the latest reported figures.
Does Huali Industrial Group Company Limited pay a dividend?
Huali Industrial Group Company Limited currently shows a dividend yield of about 6.39% relative to its recent price (as of Aug 27, 2026).
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