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002001:SZSEZhejiang NHU Company Ltd. Analysis

Data as of 2026-03-17 - not real-time

CN¥35.28

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

Zhejiang NHU is trading well above its 20‑day, 50‑day and 200‑day moving averages at CNY 35.28, with a bullish MACD crossover and rising volume supporting a short‑term upside momentum. However, the DCF‑derived fair value of roughly CNY 19.7 suggests the market may be overpaying, while the trailing PE of about 15 is markedly below the industry average of 26, indicating a valuation disconnect. The company posts strong profitability (gross margin ~46%, operating margin ~38%) and solid cash generation, with cash far exceeding debt, and it pays a modest dividend yield of 1.88% on a low payout ratio, which appears sustainable. Overall, the stock reflects a blend of growth and value characteristics but faces heightened volatility (≈50% 30‑day) and regulatory exposure typical of the specialty‑generic pharma sector.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Bullish MACD and increasing volume support near‑term momentum
  • Current price near the upper end of the 20‑day SMA band and close to resistance
  • DCF fair value gap raises concern of short‑term pullback

Medium Term

1–3 years
Positive
Model confidence: 7/10

Key Factors

  • PE well below industry average indicating relative undervaluation
  • Strong cash flow and low debt‑to‑equity provide financial flexibility
  • Sustainable dividend yield adds income appeal

Long Term

> 3 years
Positive
Model confidence: 8/10

Key Factors

  • High ROE (~24%) and consistent profit margins signal durable competitive advantage
  • Diversified product portfolio across nutrition, flavor, polymer and API segments reduces concentration risk
  • Low beta and robust balance sheet mitigate market volatility over the long horizon

Key Metrics & Analysis

Financial Health

Revenue Growth-6.70%
Profit Margin32.04%
P/E Ratio15.0
ROE24.16%
ROA12.07%
Debt/Equity26.49
P/B Ratio3.4
Op. Cash FlowCN¥8.1B
Free Cash FlowCN¥4.4B
Industry P/E26.4

Technical Analysis

TrendBullish
RSI59.5
SupportCN¥29.27
ResistanceCN¥40.19
MA 20CN¥33.68
MA 50CN¥29.49
MA 200CN¥24.87
MACDBullish
VolumeIncreasing
Fear & Greed Index78.16

Valuation

Fair ValueCN¥19.73
Target PriceCN¥33.55
Upside/Downside-4.91%
GradeFair
TypeBlend
Dividend Yield1.88%

Risk Assessment

Beta0.13
Volatility50.14%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.