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Sichuan Road & Bridge Group Co Ltd (600039) Fair Value & Analysis

Industrials · CN · Market cap 74.9B CNY (≈ $11.2B) · ISIN CNE000001DQ4

What is Sichuan Road & Bridge Group Co Ltd really worth?

SR Sichuan Road & Bridge Group Co Ltd 600039 · SHG
Price¥9.16
Fair Value¥17.14
Upside+87.1%
Quality47/100

Below-average quality, trading 47% below our fair value of ¥17.14.

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Strengths

Moderate debt · generates free cash flow

Risks

!Weak Growth (revenue 5y +12.3 %/yr)
!Thin margins · 6.2% net margin
!Mixed vs. peers (8/15)
!Moderate moat 45/100

For context

·5.37% dividend yield
Evidence: High Range ¥8.61 – ¥22.03

Fair value as of: Sep 5, 2026

From 26 valuation models · updated today

Share price +6.4% 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 (47/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (¥8.61 to ¥22.03) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

¥10.58 ¥3.64 Fair Value ¥17.14 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 5, 2026.

How to read this chart

60‑month range ¥3.64 – ¥10.58 · fair‑value band ¥8.61 – ¥22.03 · the ¥9.16 price screens below the ¥17.14 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 5, 2026.

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Analysis

Sichuan Road & Bridge Group Co Ltd (600039) currently trades at ¥9.16, while our model-based Fair Value estimate is ¥17.14, implying the stock looks roughly 46.6% undervalued today. The Quality Score stands at 47/100 (below-average quality), in the Industrials sector. Bull case: the Growth Earnings group reads highest at a median of ¥24.20 per share, and 22 of the 26 models we run sit above the ¥9.16 price. Bear case: the Asset-Based group reads lowest at ¥4.07, and 4 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Sichuan Road & Bridge Group Co Ltd generated revenue of 114B CNY at a net margin of 6.2%. Revenue declined 4.1% year over year. It earns a return on equity of 13.1%. Net debt stands at 39.7B CNY. Fundamentals as of Sep 5, 2026

Our scenario range runs from ¥8.61 (bear case) to ¥22.03 (bull case); at ¥9.16, 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 14% below its 52-week high and 18% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at −46% fair-value upside, at 87%, 600039 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 ¥0.2084 per share, which is 1.2 % 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
EPV best evidence ¥7.19 ¥9.14 ¥10.84 74
FCF DCF ¥7.88 ¥15.58 ¥38.84 72
Growth DCF ¥7.22 ¥17.82 ¥38.65 72
All 26 models by family
DCF Models
FCF DCF ¥7.88 ¥15.58 ¥38.84 72
Owner Earnings ¥10.42 ¥29.41 ¥69.26 68
5Y Revenue Exit ¥8.96 ¥20.93 ¥44.85 67
5Y EBITDA Exit ¥10.65 ¥24.51 ¥50.42 70
5Y P/E Exit ¥8.44 ¥23.14 ¥42.40 66
10Y Revenue Exit ¥8.09 ¥23.70 ¥40.03 63
10Y EBITDA Exit ¥9.84 ¥27.01 ¥59.60 62
10Y P/E Exit ¥8.27 ¥22.68 ¥48.18 58
Earnings-Based
Graham-Dodd ¥5.71 ¥39.79 ¥55.85 63
Lynch FV ¥12.66 ¥18.09 ¥23.52 61
PEG = 1.0 ¥12.66 ¥18.09 ¥23.52 57
EPV best evidence ¥7.19 ¥9.14 ¥10.84 74
Dividend Discount
Gordon GGM ¥4.90 ¥10.18 ¥16.16 66
DDM Multi-Stage ¥4.90 ¥8.59 ¥10.69 66
Multiples
P/E Multiple ¥13.22 ¥17.62 ¥22.03 63
P/S Multiple ¥10.70 ¥14.27 ¥17.83 58
P/B Multiple ¥10.70 ¥14.27 ¥17.83 55
EV/EBIT ¥13.77 ¥19.84 ¥25.92 65
EV/EBITDA ¥11.82 ¥17.25 ¥22.68 67
EV/Revenue ¥8.55 ¥14.12 ¥19.70 52
Asset-Based
NCAV (Graham) ¥3.04 ¥4.07 ¥6.07 54
Growth DCF
Growth DCF ¥7.22 ¥17.82 ¥38.65 72
Rev-Margin DCF ¥8.96 ¥23.42 ¥45.54 68
Economic Profit
Residual Income ¥5.90 ¥7.23 ¥14.68 72
ROIC Compounder ¥8.29 ¥13.65 ¥18.46 71
Growth Earnings
Growth-Adj P/E ¥16.94 ¥24.20 ¥31.46 67

Widest divergence: Growth Earnings (¥24.20) versus Asset-Based (¥4.07). Highest evidence: EPV (74).

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Key figures & financial health

P/E ratio 11.3
P/S ratio 0.72 P/E × margin
EPS (TTM) ¥0.8100 price ÷ EPS = P/E 11.3
Dividend yield 5.4% payout 60.7%
Net margin 6.3% FY2025
Return on equity 13.1% TTM
More key figures
Profitability
Return on assets (EBIT) 5.1% avg 5y
Operating margin 11.5% TTM
Growth
Revenue (TTM) 114B CNY TTM
Revenue growth (YoY) −4.1% 3y avg −5.2%
EPS growth (YoY) −15.0%
Balance sheet & cash flow
Free cash flow 6.6B CNY FY2025
Net debt 39.7B CNY FY2025 · ≈ 6.0 yrs of FCF

Figures from reported company fundamentals · as of Sep 5, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 47/100

Of which business quality 44 · Market factors (momentum, volatility) 54

Profitability 31
Margins and returns on capital today
Quality Growth 37
Are margins and returns improving?
Cashflow 48
Earnings quality: real cash, not paper profit
Fin. Strength 24
Balance sheet, leverage, solvency risk
Investment 72
Disciplined investing over empire-building
Low Volatility 83
Calm price path (market factor)
Momentum 40
Price trend over the last 3–12 months (market factor)
52W Momentum 47
Distance to the 52-week high (market factor)
Net Issuance 76
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

Sichuan Road & Bridge Group Co.,Ltd engages in the investment, development, construction, and operation of engineering construction, clean energy, and mining and new materials in China and internationally.

Full company description

Sichuan Road & Bridge Group Co.,Ltd engages in the investment, development, construction, and operation of engineering construction, clean energy, and mining and new materials in China and internationally. The company is involved project investment and asset management; highway management; highway, bridge, tunnel, building construction, municipal public works, highway traffic, earthwork, power, electromechanical installation, foundation, and building decoration engineering; ready-mixed concrete and precast concrete components; engineering survey and design; surveying services; planning management; engineering management services; construction machinery leasing and repair; building materials production; and wholesale and retail of goods. It also engages in the clean energy and new materials businesses, including hydropower and photovoltaic power generation; power transmission and distribution; new materials technology research and development; mineral processing; geological exploration of metallic and non-metallic mineral resources; sale of metallic ores, non-metallic minerals, non-ferrous metal alloys, and batteries; recycling and cascade utilization of waste power batteries from new energy vehicles; energy storage technology services; emerging energy technology research and development; and sale of chemical products. The company was founded in 1999 and is headquartered in Chengdu, China. Sichuan Road & Bridge Group Co.,Ltd operates as a subsidiary of Sichuan Railway Investment Group Co., Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Sichuan Road & Bridge Group Co Ltd reported revenue of 115B CNY in FY2025 versus 103B CNY in FY2021, a compound +2.9%/yr. Reported net income was 7.3B CNY in FY2025, compounding +2.1%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
115B CNY
Latest YoY
+7.3%
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.
−5.2%
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.
+12.3%
Avg. revenue growth/yr (25Y) 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.
+17.1%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+13.9% (8.5 + 5.4)
Revenue +2.9%/yr
FY21 103B CNY
FY22 135B CNY
FY23 115B CNY
FY24 107B CNY
FY25 115B CNY
Net income +2.1%/yr
FY21 6.7B CNY
FY22 11.2B CNY
FY23 9.0B CNY
FY24 7.2B CNY
FY25 7.3B CNY
Character of growth · EPS growth decomposed (2013-2024) +19.3 % p.a.
Revenue per share +7.1 %

of which total revenue +17.3 % · buybacks/dilution −8.7 %

EBIT margin +6.9 %
Tax rate +0.5 %
Residual (interest, one-offs) +3.7 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Sichuan Road & Bridge Group Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/600039

Peer Group

Engineering & Construction · 816 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 47 · Below median
Fair Value upside +87% · Top 25%
Return on equity (TTM) 13% · Above median
Return on assets 3% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 11% · Top 25%
Revenue growth −4% · Below median
Dividend yield (TTM) 5.4% · Top 25%
Debt / equity 1.23× · Higher than 75% of peers

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 11.3× · Cheaper than median
P/B 1.42× · Pricier than median
P/S (TTM) 0.66× · Pricier than median
P/FCF 1.7× · Cheaper than median
EV/EBITDA 8.9× · Pricier than median
PEG 1.35× · Pricier 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 16
FUTURE0 · sector 11
PAST52 · sector 26
HEALTH38 · sector 94
DIVIDEND100 · sector 39

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

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10 more Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Sep 5, 2026).

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Vinci SA DG €114.35 €185.62 +62%
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Larsen & Toubro Limited LT ₹4,072 ₹2,196 −46%
Ferrovial N.V FER €57.28 €19.17 −67%
HOCHTIEF Aktiengesellschaft HOT €426.40 €203.87 −52%
Samsung C&T Corporation 028260 373,000 KRW 261,411 KRW −30%
EMCOR Group EME $775.04 $549.47 −29%
MasTec, Inc MTZ $241.00 $100.00 −59%
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Frequently asked questions

Is Sichuan Road & Bridge Group Co Ltd (600039) overvalued or undervalued?
As of Sep 5, 2026, our model estimates a fair value of ¥17.14 versus a price of ¥9.16, about +87% upside (undervalued).
What is the fair value of 600039?
Our model-based fair value for Sichuan Road & Bridge Group Co Ltd is ¥17.14 (as of Sep 5, 2026), built from audited fundamentals. The current price: ¥9.16.
What is the quality score of 600039?
Sichuan Road & Bridge Group Co Ltd has a Quality Score of 47/100. 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 Sichuan Road & Bridge Group Co Ltd (600039)?
Sichuan Road & Bridge Group Co Ltd reported trailing-twelve-month revenue of about 114B CNY (latest available figure, as of Sep 5, 2026).
What is the net profit margin of 600039?
The net profit margin of Sichuan Road & Bridge Group Co Ltd is about 6.2%, meaning it keeps roughly 6.2% of revenue as net income. Based on the latest reported figures.
Does Sichuan Road & Bridge Group Co Ltd pay a dividend?
Sichuan Road & Bridge Group Co Ltd currently shows a dividend yield of about 5.37% relative to its recent price (as of Sep 5, 2026).
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