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SDIC Power Holdings Co Ltd (600886) Fair Value & Analysis

Utilities · CN · Market cap 111B CNY (≈ $16.5B) · ISIN CNE000000JM2

What is SDIC Power Holdings Co Ltd really worth?

SP SDIC Power Holdings Co Ltd 600886 · SHG
Price¥14.25
Fair Value¥16.63
Upside+16.7%
Quality44/100

Below-average quality, trading 14% below our fair value of ¥16.63.

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Strengths

Solidly profitable · 14.2% net margin
Ranks above peers (10/15)

Risks

!Expensive Growth (revenue 5y +6.2 %/yr)
!High debt · generates free cash flow
!Moderate moat 62/100
!Weak on balance sheet: 17 out of 100

For context

·3.56% dividend yield
Evidence: High Range ¥8.16 – ¥20.78

Fair value as of: Aug 14, 2026

From 25 valuation models · updated 22 days ago

Share price −3.7% over the past month.

What runs behind every stock

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

What matters now

  • A fairly wide model range (¥8.16 to ¥20.78) leaves room in how you read the outcome.
  • The price sits in the lower half of our model range, the side with the larger margin of safety.
  • The data supports the verdict: every model runs on fully documented inputs.

Price vs Fair Value (5 years)

¥17.93 ¥7.32 Fair Value ¥16.63 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 14, 2026.

How to read this chart

60‑month range ¥7.32 – ¥17.93 · fair‑value band ¥8.16 – ¥20.78 · the ¥14.25 price screens below the ¥16.63 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 14, 2026.

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Analysis

SDIC Power Holdings Co Ltd (600886) currently trades at ¥14.25, while our model-based Fair Value estimate is ¥16.63, implying the stock looks roughly 14.3% undervalued today. The Quality Score stands at 44/100 (below-average quality), in the Utilities sector. Bull case: the Growth Earnings group reads highest at a median of ¥18.13 per share, and 13 of the 25 models we run sit above the ¥14.25 price. Bear case: the Asset-Based group reads lowest at ¥6.08, and 12 of the 25 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, SDIC Power Holdings Co Ltd generated revenue of 52.4B CNY at a net margin of 14.2%. Revenue declined 4.6% year over year. It earns a return on equity of 10.9%. Net debt stands at 118B CNY. Fundamentals as of Aug 14, 2026

Our scenario range runs from ¥8.16 (bear case) to ¥20.78 (bull case); at ¥14.25, 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 9% below its 52-week high and 12% above its 52-week low, currently above its 200-day average. For context, the median of 10 Utilities peers we cover trades at −12% fair-value upside, at 17%, 600886 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 ¥0.2731 per share, which is 1.6 % 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
Residual Income best evidence ¥8.08 ¥8.96 ¥12.72 76
EPV ¥5.03 ¥7.91 ¥10.42 72
FCF DCF ¥5.14 ¥21.32 ¥51.72 71
All 25 models by family
DCF Models
FCF DCF ¥5.14 ¥21.32 ¥51.72 71
5Y Revenue Exit ¥1.21 ¥11.70 ¥26.24 64
5Y EBITDA Exit ¥10.60 ¥31.94 ¥59.81 70
5Y P/E Exit ¥1.24 ¥11.77 ¥24.15 64
10Y Revenue Exit ¥1.94 ¥12.60 ¥29.65 59
10Y EBITDA Exit ¥8.70 ¥27.81 ¥59.00 62
10Y P/E Exit ¥2.38 ¥12.65 ¥27.83 57
Earnings-Based
Graham-Dodd ¥6.28 ¥33.67 ¥46.65 63
Lynch FV ¥9.30 ¥13.29 ¥17.28 61
PEG = 1.0 ¥9.30 ¥13.29 ¥17.28 57
EPV ¥5.03 ¥7.91 ¥10.42 72
Dividend Discount
Gordon GGM ¥9.04 ¥18.80 ¥29.82 66
DDM Multi-Stage ¥9.04 ¥15.85 ¥19.73 66
Multiples
P/E Multiple ¥12.47 ¥16.63 ¥20.78 63
P/S Multiple ¥11.78 ¥15.70 ¥19.63 58
P/B Multiple ¥11.78 ¥15.70 ¥19.63 55
EV/EBIT ¥13.33 ¥21.84 ¥30.35 64
EV/EBITDA ¥14.67 ¥23.62 ¥32.58 66
EV/Revenue ¥4.35 ¥9.32 50
Asset-Based
NCAV (Graham) ¥4.54 ¥6.08 ¥9.08 54
Growth DCF
Growth DCF ¥4.80 ¥19.23 ¥44.77 70
Rev-Margin DCF ¥1.21 ¥11.40 ¥25.21 64
Economic Profit
Residual Income best evidence ¥8.08 ¥8.96 ¥12.72 76
ROIC Compounder ¥5.03 ¥7.91 ¥12.35 70
Growth Earnings
Growth-Adj P/E ¥12.69 ¥18.13 ¥23.57 67

Widest divergence: Growth Earnings (¥18.13) versus Asset-Based (¥6.08). Highest evidence: Residual Income (76).

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Key figures & financial health

P/E ratio 15.7
P/S ratio 2.18 P/E × margin
EPS (TTM) ¥0.9100 price ÷ EPS = P/E 15.7
Dividend yield 3.6% payout 55.8%
Net margin 13.9% FY2025
Return on equity 10.9% TTM
More key figures
Profitability
Return on assets (EBIT) 4.5% avg 5y
Operating margin 38.6% TTM
Growth
Revenue (TTM) 52.4B CNY TTM
Revenue growth (YoY) −4.6% 3y avg +1.6%
EPS growth (YoY) −2.7%
Balance sheet & cash flow
Free cash flow 10.1B CNY FY2025
Net debt 118B CNY FY2025 · ≈ 11.6 yrs of FCF

Figures from reported company fundamentals · as of Aug 14, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 42 · Market factors (momentum, volatility) 58

Profitability 30
Margins and returns on capital today
Quality Growth 55
Are margins and returns improving?
Cashflow 70
Earnings quality: real cash, not paper profit
Fin. Strength 16
Balance sheet, leverage, solvency risk
Investment 39
Disciplined investing over empire-building
Low Volatility 95
Calm price path (market factor)
Momentum 43
Price trend over the last 3–12 months (market factor)
52W Momentum 42
Distance to the 52-week high (market factor)
Net Issuance 47
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

SDIC Power Holdings Co., Ltd. engages in the electricity generation business in China. The company generates electricity through hydropower, thermal power, solar power, onshore wind power, offshore wind power, energy storage, and electricity sales.

Full company description

SDIC Power Holdings Co., Ltd. engages in the electricity generation business in China. The company generates electricity through hydropower, thermal power, solar power, onshore wind power, offshore wind power, energy storage, and electricity sales. It generates electricity with an installed capacity of 44.6347 GW, including 21.3045 GW of hydropower; 13,074.8 MW of thermal power; 4,140.3 MW of wind power; 7,689.4 MW of solar power; and 686.6 MW of energy storage. The company was founded in 1989 and is based in Beijing, China. SDIC Power Holdings Co., Ltd. operates as a subsidiary of State Development & Investment Corp., Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

SDIC Power Holdings Co Ltd reported revenue of 53.0B CNY in FY2025 versus 43.8B CNY in FY2021, a compound +4.9%/yr. Reported net income was 7.4B CNY in FY2025, compounding +31.7%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
53.0B CNY
Latest YoY
−8.3%
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.
+1.6%
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.
+6.2%
Avg. revenue growth/yr (33Y) 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.
+26.3%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+9.3% (5.7 + 3.6)
Revenue +4.9%/yr
FY21 43.8B CNY
FY22 50.5B CNY
FY23 56.7B CNY
FY24 57.8B CNY
FY25 53.0B CNY
Net income +31.7%/yr
FY21 2.5B CNY
FY22 4.1B CNY
FY23 6.7B CNY
FY24 6.6B CNY
FY25 7.4B CNY
Character of growth · EPS growth decomposed (2013-2024) +0.6 % p.a.
Revenue per share +5.0 %

of which total revenue +6.6 % · buybacks/dilution −1.5 %

EBIT margin −1.8 %
Tax rate −2.3 %
Residual (interest, one-offs) −0.1 %

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). "SDIC Power Holdings Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/600886

Peer Group

Utilities - Renewable · 213 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 44 · Above median
Fair Value upside +17% · Above median
Return on equity (TTM) 11% · Top 25%
Return on assets 4% · Top 25%
Net margin (TTM) 14% · Above median
Operating margin (TTM) 39% · Top 25%
Revenue growth −5% · Below median
Dividend yield (TTM) 3.6% · Above median
Debt / equity 1.66× · Higher than 75% of peers

Valuation Multiples vs Utilities - Renewable median · lower = cheaper

P/E (TTM) 15.7× · Cheaper than median
P/B 1.53× · Pricier than median
P/S (TTM) 2.11× · Pricier than median
P/FCF 1.6× · Cheaper than median
EV/EBITDA 7.4× · Cheaper than median
PEG 3.38× · Pricier than 75% of peers

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
VALUE56 · sector 6
FUTURE0 · sector 0
PAST43 · sector 14
HEALTH17 · sector 68
DIVIDEND71 · sector 44

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 Utilities - Renewable stocks, each showing price versus our Fair Value estimate (as of Aug 14, 2026).

Stock Price Fair Value vs Fair Value
China Yangtze Power Co 600900 ¥27.96 ¥25.13 −10%
Ørsted A/S ORSTED kr 139.25 kr 31.40 −77%
Huaneng Lancang River Hydropower Inc 600025 ¥9.79 ¥5.57 −43%
Adani Green Energy Limited ADANIGREEN ₹1,319 ₹169.61 −87%
AXIA Energia SA AXIAP $10.74 $9.49 −12%
VERBUND AG OEWA €57.00 €66.19 +16%
BEP BEP $31.27 $70.40 +125%
BEPUN BEPUN C$45.05 C$42.83 −5%
Fortum Oyj FORTUM €19.80 €13.55 −32%
China Longyuan Power Group 001289 ¥15.92 ¥7.55 −53%

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Frequently asked questions

Is SDIC Power Holdings Co Ltd (600886) overvalued or undervalued?
As of Aug 14, 2026, our model estimates a fair value of ¥16.63 versus a price of ¥14.25, about +17% upside (undervalued).
What is the fair value of 600886?
Our model-based fair value for SDIC Power Holdings Co Ltd is ¥16.63 (as of Aug 14, 2026), built from audited fundamentals. The current price: ¥14.25.
What is the quality score of 600886?
SDIC Power Holdings Co Ltd has a Quality Score of 44/100. 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 SDIC Power Holdings Co Ltd (600886)?
SDIC Power Holdings Co Ltd reported trailing-twelve-month revenue of about 52.4B CNY (latest available figure, as of Aug 14, 2026).
What is the net profit margin of 600886?
The net profit margin of SDIC Power Holdings Co Ltd is about 14.2%, meaning it keeps roughly 14.2% of revenue as net income. Based on the latest reported figures.
Does SDIC Power Holdings Co Ltd pay a dividend?
SDIC Power Holdings Co Ltd currently shows a dividend yield of about 3.56% relative to its recent price (as of Aug 14, 2026).
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