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China Securities Co Ltd (601066) Fair Value & Analysis

Financial Services · CN · Market cap 211B CNY (≈ $31.6B) · ISIN CNE1000031T5

What is China Securities Co Ltd really worth?

CS China Securities Co Ltd 601066 · SHG
Price¥25.28
Fair Value¥12.04
Upside−52.4%
Quality48/100

Below-average quality, and trading another 110% above our fair value of ¥12.04.

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Strengths

Highly profitable · 43.5% net margin
generates free cash flow
Wide moat 68/100

Risks

!Expensive Growth (revenue 5y +6.8 %/yr)
!Mixed vs. peers (5/12)
!Evidence only medium, so the estimate is less certain
!Weak on dividend: 27 out of 100

For context

·1.34% dividend yield
Evidence: Medium Range ¥9.04 – ¥19.68

Fair value as of: Aug 28, 2026

From 12 valuation models · updated 8 days ago

Share price −2.9% over the past month.

What runs behind every stock

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

What matters now

  • The price sits above even our optimistic bull case (¥19.68). The favourable scenario is already priced in.
  • Solid but not exceptional quality (48/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (¥9.04 to ¥19.68) leaves room in how you read the outcome.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.

Price vs Fair Value (5 years)

¥33.19 ¥18.00 Fair Value ¥12.04 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 28, 2026.

How to read this chart

60‑month range ¥18.00 – ¥33.19 · fair‑value band ¥9.04 – ¥19.68 · the ¥25.28 price screens above the ¥12.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 28, 2026.

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Analysis

China Securities Co Ltd (601066) currently trades at ¥25.28, while our model-based Fair Value estimate is ¥12.04, implying the stock looks roughly 109.9% overvalued today. The Quality Score stands at 48/100 (below-average quality), in the Financial Services sector. Bull case: the DCF Models group reads highest at a median of ¥35.73 per share, and 6 of the 12 models we run sit above the ¥25.28 price. Bear case: the Dividend Discount group reads lowest at ¥5.08, and 6 of the 12 models stay below the price. Evidence for this calculation is medium.

Over the trailing twelve months, China Securities Co Ltd generated revenue of 25.9B CNY at a net margin of 43.5%. Revenue grew 61.4% year over year. It earns a return on equity of 9.7%. Net debt stands at 321B CNY. Fundamentals as of Aug 28, 2026

Our scenario range runs from ¥9.04 (bear case) to ¥19.68 (bull case); at ¥25.28, the current price sits above 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 21% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −35% fair-value upside, at −52%, 601066 screens richer 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 ¥0.6727 per share, which is 5.6 % 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
Growth DCF ¥31.95 ¥57.18 ¥110.35 70
Residual Income ¥8.87 ¥10.51 ¥22.68 70
Rev-Margin DCF ¥16.97 ¥25.79 ¥41.07 68
All 12 models by family
DCF Models
5Y P/E Exit ¥20.53 ¥35.73 ¥55.66 66
10Y P/E Exit ¥24.38 ¥42.19 ¥71.57 59
Earnings-Based
Graham-Dodd ¥7.41 ¥51.69 ¥72.54 60
Lynch FV ¥18.53 ¥26.47 ¥34.40 58
Dividend Discount
Gordon GGM ¥2.84 ¥6.21 ¥10.44 63
DDM Multi-Stage ¥2.84 ¥5.08 ¥6.47 64
Multiples
P/E Multiple ¥10.63 ¥14.17 ¥17.71 61
P/B Multiple ¥10.06 ¥13.41 ¥16.76 53
Asset-Based
NCAV (Graham) ¥4.79 ¥6.42 ¥9.58 50
Growth DCF
Growth DCF ¥31.95 ¥57.18 ¥110.35 70
Rev-Margin DCF ¥16.97 ¥25.79 ¥41.07 68
Economic Profit
Residual Income ¥8.87 ¥10.51 ¥22.68 70

Widest divergence: DCF Models (¥35.73) versus Dividend Discount (¥5.08). Highest evidence: Growth DCF (70).

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Key figures & financial health

P/E ratio 20.5 as of Jul 12, 2026
P/S ratio 5.61 P/E × margin
EPS (TTM) ¥1.33 price ÷ EPS = P/E 20.5
Dividend yield 1.3% payout 25.6%
Net margin 27.4% FY2025
Return on equity 9.7% TTM
More key figures
Profitability
Return on assets (EBIT) 2.2% avg 5y
Operating margin 59.8% TTM
Growth
Revenue (TTM) 25.9B CNY TTM
Revenue growth (YoY) +61.4% 3y avg −0.2%
EPS growth (YoY) +120%
Balance sheet & cash flow
Free cash flow 13.9B CNY FY2025
Net debt 321B CNY FY2025 · ≈ 23.1 yrs of FCF

Figures from reported company fundamentals · as of Aug 28, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 48/100

Of which business quality 44 · Market factors (momentum, volatility) 53

Profitability 36
Margins and returns on capital today
Quality Growth 62
Are margins and returns improving?
Cashflow 75
Earnings quality: real cash, not paper profit
Fin. Strength 21
Balance sheet, leverage, solvency risk
Investment 50
Disciplined investing over empire-building
Low Volatility 81
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 35
Distance to the 52-week high (market factor)
Net Issuance 22
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

CSC Financial Co., Ltd., together with its subsidiaries, provides investment banking services in Mainland China and internationally. The company operates through four segments: Investment Banking, Wealth Management, Trading and Institutional Client Services, and Asset Management.

Full company description

CSC Financial Co., Ltd., together with its subsidiaries, provides investment banking services in Mainland China and internationally. The company operates through four segments: Investment Banking, Wealth Management, Trading and Institutional Client Services, and Asset Management. The company offers securities brokerage, securities investment consultancy, financial advisory services, securities underwriting and sponsoring, trading and investment of securities, securities asset management, agency sale of securities investment funds, margin financing and securities lending services, agency sale of financial products, and market-making of stock options. It also provides custodian services for securities investment funds, market-making trading business of listed securities, sale of precious metal products, commodity futures brokerage, financial futures brokerage and asset management, equity investment and corporate management services, investment management, raising and management of investment funds, investment management of equity investment, investment consulting, and project consulting services. In addition, it offers equity and debt financing; brokerage agency services for corporate and personal clients in the trading of equity stocks, funds, bonds, and futures; specialized research and advisory services; and private placement offerings and related services. The company was formerly known as China Securities Finance Co., Ltd. CSC Financial Co., Ltd. was founded in 2005 and is based in Beijing, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Securities Co Ltd reported revenue of 34.5B CNY in FY2025 versus 37.1B CNY in FY2021, a compound −1.8%/yr. Reported net income was 9.4B CNY in FY2025, compounding −2.0%/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)
34.5B CNY
Latest YoY
+66.1%
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.
−0.2%
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.
+6.8%
Avg. revenue growth/yr (20Y) 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.
+40.4%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
−1.3% (−2.6 + 1.3)
Revenue −1.8%/yr
FY21 37.1B CNY
FY22 34.7B CNY
FY23 23.1B CNY
FY24 20.8B CNY
FY25 34.5B CNY
Net income −2.0%/yr
FY21 10.2B CNY
FY22 7.5B CNY
FY23 7.0B CNY
FY24 7.2B CNY
FY25 9.4B CNY
Character of growth · EPS growth decomposed (2014-2025) +0.8 % p.a.
Revenue per share +4.6 %

of which total revenue +7.5 % · buybacks/dilution −2.7 %

EBIT margin −1.9 %
Tax rate +1.0 %
Residual (interest, one-offs) −2.8 %

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).

601066 screens 110% overvalued. Compare with Morgan Stanley, a financial holding company, →

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Cite: Fair Value Calculator (2026). "China Securities Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/601066

Peer Group

Capital Markets · 453 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 −52% · Bottom 25%
Return on equity (TTM) 10% · Above median
Return on assets 2% · Above median
Net margin (TTM) 44% · Top 25%
Operating margin (TTM) 60% · Top 25%
Revenue growth 61% · Top 25%
Dividend yield (TTM) 1.3% · Below median

Valuation Multiples vs Capital Markets median · lower = cheaper

P/E (TTM) 20.5× · Pricier than median
P/B 2.55× · Pricier than 75% of peers
P/S (TTM) 8.16× · Pricier than 75% of peers
P/FCF 2.3× · 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
VALUE0 · sector 10
FUTURE100 · sector 91
PAST39 · sector 30
HEALTH0 · sector 94
DIVIDEND27 · sector 38

VALUE 0: the price sits above our fair-value range.

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 Capital Markets stocks, each showing price versus our Fair Value estimate (as of Aug 28, 2026).

Stock Price Fair Value vs Fair Value
Morgan Stanley, a financial holding company, MS $214.77 $138.97 −35%
The Goldman Sachs Group GS $1,034 $756.89 −27%
The Charles Schwab Corporation SCHW $110.16 $66.17 −40%
Robinhood Markets, Inc HOOD $104.26 $30.94 −70%
Macquarie Group MQG A$251.87 A$75.58 −70%
CITIC Securities Company 600030 ¥27.93 ¥17.68 −37%
Guotai Haitong Securities Co 601211 ¥17.87 ¥18.62 +4%
East Money Information Co 300059 ¥19.42 ¥4.77 −75%
Huatai Securities Co 601688 ¥19.56 ¥19.26 −2%
Nomura Holdings NMR $10.30 $9.99 −3%

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Frequently asked questions

Is China Securities Co Ltd (601066) overvalued or undervalued?
As of Aug 28, 2026, our model estimates a fair value of ¥12.04 versus a price of ¥25.28, about −52% upside (overvalued).
What is the fair value of 601066?
Our model-based fair value for China Securities Co Ltd is ¥12.04 (as of Aug 28, 2026), built from audited fundamentals. The current price: ¥25.28.
What is the quality score of 601066?
China Securities Co Ltd has a Quality Score of 48/100. 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 China Securities Co Ltd (601066)?
China Securities Co Ltd reported trailing-twelve-month revenue of about 25.9B CNY (latest available figure, as of Aug 28, 2026).
What is the net profit margin of 601066?
The net profit margin of China Securities Co Ltd is about 43.5%, meaning it keeps roughly 43.5% of revenue as net income. Based on the latest reported figures.
Does China Securities Co Ltd pay a dividend?
China Securities Co Ltd currently shows a dividend yield of about 1.34% relative to its recent price (as of Aug 28, 2026).
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