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Bros Eastern Co Ltd (601339) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 12.1B CNY (≈ $1.8B) · ISIN CNE100001FV8

What is Bros Eastern Co Ltd really worth?

BE Bros Eastern Co Ltd 601339 · SHG
Price¥7.52
Fair Value¥7.87
Upside+4.7%
Quality69/100

A solid business, currently priced close to our fair value of ¥7.87.

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Strengths

Low debt · generates free cash flow
Ranks above peers (9/14)

Risks

!Mixed Growth (revenue 5y +5.1 %/yr)
!Thin margins · 9.7% net margin
!Narrow moat 42/100

For context

·5.32% dividend yield
Evidence: High Range ¥5.80 – ¥9.95

Fair value as of: Aug 22, 2026

From 25 valuation models · updated 14 days ago

Share price −10.8% 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 close to our fair value, market and models broadly agree here, little valuation tension.
  • 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)

¥9.44 ¥3.61 Fair Value ¥7.87 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 22, 2026.

How to read this chart

60‑month range ¥3.61 – ¥9.44 · fair‑value band ¥5.80 – ¥9.95 · the ¥7.52 price screens below the ¥7.87 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 22, 2026.

Full chart & analysis →

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Analysis

Bros Eastern Co Ltd (601339) currently trades at ¥7.52, while our model-based Fair Value estimate is ¥7.87, implying the stock looks roughly 4.4% fairly valued today. The Quality Score stands at 69/100 (solid quality), in the Consumer Cyclical sector. Bull case: the DCF Models group reads highest at a median of ¥9.61 per share, and 13 of the 25 models we run sit above the ¥7.52 price. Bear case: the Asset-Based group reads lowest at ¥4.11, and 12 of the 25 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Bros Eastern Co Ltd generated revenue of 8.1B CNY at a net margin of 8.9%. Revenue grew 14.8% year over year. It earns a return on equity of 7.6%. Net debt stands at 649M CNY. Fundamentals as of Aug 22, 2026

Our scenario range runs from ¥5.80 (bear case) to ¥9.95 (bull case); at ¥7.52, 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 21% below its 52-week high and 65% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −36% fair-value upside, at 5%, 601339 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 ¥0.1015 per share, which is 1.3 % 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 ¥7.11 ¥9.87 ¥13.73 81
Growth DCF ¥7.33 ¥9.92 ¥13.42 79
Owner Earnings ¥7.44 ¥10.32 ¥14.37 77
All 25 models by family
DCF Models
FCF DCF best evidence ¥7.11 ¥9.87 ¥13.73 81
Owner Earnings ¥7.44 ¥10.32 ¥14.37 77
5Y Revenue Exit ¥5.43 ¥7.50 ¥9.99 73
5Y EBITDA Exit ¥6.82 ¥9.95 ¥13.38 76
5Y P/E Exit ¥6.93 ¥10.14 ¥13.28 71
10Y Revenue Exit ¥5.89 ¥7.84 ¥10.15 68
10Y EBITDA Exit ¥6.87 ¥9.48 ¥12.59 69
10Y P/E Exit ¥6.94 ¥9.61 ¥12.52 65
Earnings-Based
Graham-Dodd ¥2.98 ¥6.43 ¥8.18 66
PEG = 1.0 ¥1.00 ¥1.43 ¥1.86 57
EPV ¥4.49 ¥5.15 ¥5.73 74
Dividend Discount
Gordon GGM ¥4.41 ¥6.85 ¥9.53 68
DDM Multi-Stage ¥4.41 ¥6.35 ¥8.55 67
Multiples
P/E Multiple ¥7.22 ¥9.63 ¥12.03 63
P/S Multiple ¥4.72 ¥6.29 ¥7.86 58
P/B Multiple ¥5.58 ¥7.44 ¥9.30 55
EV/EBIT ¥6.76 ¥8.84 ¥10.92 66
EV/EBITDA ¥7.55 ¥9.90 ¥12.24 67
EV/Revenue ¥4.73 ¥6.53 ¥8.33 54
Asset-Based
NCAV (Graham) ¥3.07 ¥4.11 ¥6.14 54
Growth DCF
Growth DCF ¥7.33 ¥9.92 ¥13.42 79
Rev-Margin DCF ¥5.43 ¥7.60 ¥9.91 73
Economic Profit
Residual Income ¥5.04 ¥5.35 ¥5.75 76
ROIC Compounder ¥4.49 ¥5.15 ¥5.73 72
Growth Earnings
Growth-Adj P/E ¥5.33 ¥7.61 ¥9.89 67

Widest divergence: DCF Models (¥9.61) versus Asset-Based (¥4.11). Highest evidence: FCF DCF (81).

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Key figures & financial health

P/E ratio 15.7
P/S ratio 1.31 P/E × margin
EPS (TTM) ¥0.4800 price ÷ EPS = P/E 15.7
Dividend yield 5.3% payout 83.3%
Net margin 8.3% FY2025
Return on equity 7.6% TTM
More key figures
Profitability
Return on assets (EBIT) 6.6% avg 5y
Operating margin 11.0% TTM
Growth
Revenue (TTM) 8.1B CNY TTM
Revenue growth (YoY) +14.8% 3y avg +4.0%
EPS growth (YoY) +33.3%
Balance sheet & cash flow
Free cash flow 940M CNY FY2025
Net debt 649M CNY FY2025 · ≈ 0.7 yrs of FCF

Figures from reported company fundamentals · as of Aug 22, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 67 · Market factors (momentum, volatility) 64

Profitability 34
Margins and returns on capital today
Quality Growth 64
Are margins and returns improving?
Cashflow 68
Earnings quality: real cash, not paper profit
Fin. Strength 72
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 73
Calm price path (market factor)
Momentum 60
Price trend over the last 3–12 months (market factor)
52W Momentum 61
Distance to the 52-week high (market factor)
Net Issuance 87
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

Bros Eastern.,Ltd engages in the research and development, production, and sale of dyed mélange and colored yarns in China and internationally. It offers greige mélange yarn. The company also engages in dyeing and spinning activities. It sells its products in Europe, Asia, the United States, Hong Kong, and China.

Full company description

Bros Eastern.,Ltd engages in the research and development, production, and sale of dyed mélange and colored yarns in China and internationally. It offers greige mélange yarn. The company also engages in dyeing and spinning activities. It sells its products in Europe, Asia, the United States, Hong Kong, and China. Bros Eastern.,Ltd was founded in 2004 and is based in Ningbo, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Bros Eastern Co Ltd reported revenue of 7.9B CNY in FY2025 versus 7.8B CNY in FY2021, a compound +0.3%/yr. Reported net income was 656M CNY in FY2025, compounding −16.8%/yr from FY2021.

Growth Quality 63/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
7.9B CNY
Latest YoY
−1.0%
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.
+4.0%
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.
+5.1%
Avg. revenue growth/yr (17Y) 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.
+4.9%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+17.3% (12.0 + 5.3)
Revenue +0.3%/yr
FY21 7.8B CNY
FY22 7.0B CNY
FY23 6.9B CNY
FY24 7.9B CNY
FY25 7.9B CNY
Net income −16.8%/yr
FY21 1.4B CNY
FY22 1.6B CNY
FY23 504M CNY
FY24 410M CNY
FY25 656M CNY
Character of growth · EPS growth decomposed (2013-2024) +7.0 % p.a.
Revenue per share +5.2 %

of which total revenue +5.1 % · buybacks/dilution +0.0 %

EBIT margin +2.6 %
Tax rate +0.0 %
Residual (interest, one-offs) −0.8 %

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).

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Cite: Fair Value Calculator (2026). "Bros Eastern Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/601339

Peer Group

Textile Manufacturing · 332 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 69 · Top 25%
Fair Value upside +5% · Above median
Return on equity (TTM) 9% · Top 25%
Return on assets 3% · Above median
Net margin (TTM) 10% · Top 25%
Operating margin (TTM) 12% · Top 25%
Revenue growth 23% · Top 25%
Dividend yield (TTM) 5.3% · Top 25%
Debt / equity 0.11× · Higher than median

Valuation Multiples vs Textile Manufacturing median · lower = cheaper

P/E (TTM) 15.7× · Cheaper than median
P/B 1.32× · Pricier than median
P/S (TTM) 1.42× · Pricier than median
P/FCF 1.9× · Pricier than median
EV/EBITDA 9.2× · 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
VALUE40 · sector 4
FUTURE100 · sector 0
PAST35 · sector 15
HEALTH95 · sector 95
DIVIDEND100 · sector 33

Insider activity: 40/100

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 Textile Manufacturing stocks, each showing price versus our Fair Value estimate (as of Aug 22, 2026).

Stock Price Fair Value vs Fair Value
Shenzhou International Group 2313 HK$37.94 HK$68.35 +80%
Tongkun Group 601233 ¥22.67 ¥14.53 −36%
Inner Mongolia ERDOS Resources Co 600295 ¥12.95 ¥14.35 +11%
K.P.R. Mill Limited KPRMILL ₹1,124 ₹467.49 −58%
HMT (Xiamen) New Technical Materials Co 603306 ¥71.55 ¥11.85 −83%
Zhejiang Orient Holdings 600120 ¥4.89 ¥2.21 −55%
Vardhman Textiles Limited VTL ₹592.75 ₹437.53 −26%
Albany International Corp AIN $59.92 $18.40 −69%
Isiklar Enerji ve Yapi Holding IEYHO 174.20 TRY 324.31 TRY +86%
Welspun Living Limited WELSPUNLIV ₹190.40 ₹47.44 −75%

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Frequently asked questions

Is Bros Eastern Co Ltd (601339) overvalued or undervalued?
As of Aug 22, 2026, our model estimates a fair value of ¥7.87 versus a price of ¥7.52, about +5% upside (fairly valued).
What is the fair value of 601339?
Our model-based fair value for Bros Eastern Co Ltd is ¥7.87 (as of Aug 22, 2026), built from audited fundamentals. The current price: ¥7.52.
What is the quality score of 601339?
Bros Eastern Co Ltd has a Quality Score of 69/100. 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 Bros Eastern Co Ltd (601339)?
Bros Eastern Co Ltd reported trailing-twelve-month revenue of about 8.1B CNY (latest available figure, as of Aug 22, 2026).
What is the net profit margin of 601339?
The net profit margin of Bros Eastern Co Ltd is about 8.9%, meaning it keeps roughly 8.9% of revenue as net income. Based on the latest reported figures.
Does Bros Eastern Co Ltd pay a dividend?
Bros Eastern Co Ltd currently shows a dividend yield of about 5.32% relative to its recent price (as of Aug 22, 2026).
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