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601117:SSEChina National Chemical Engineering Co., Ltd Class A Analysis

Data as of 2026-05-29 - not real-time

CN¥7.73

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

China National Chemical Engineering appears markedly undervalued, with a price‑to‑earnings multiple far below the industry average and a discounted cash‑flow estimate that suggests a price many times the current level. The company also boasts a high dividend yield and a modest payout ratio, indicating that the dividend is well‑supported by cash flow and free cash generation.
On the technical side, the stock is hovering just above a clear support zone while the relative strength index sits in oversold territory, though the MACD remains bearish. Low beta and a moderate volatility profile temper market risk, while decreasing volume hints at a potential slowdown in short‑term trading interest. Overall, the fundamentals and valuation metrics point to a compelling buying opportunity, especially for investors seeking income and long‑run upside.

Market Outlook

Short Term

< 1 year
Positive
Model confidence: 7/10

Key Factors

  • Undervalued relative to DCF and peer PE multiples
  • High dividend yield with sustainable payout
  • Price near a strong support level

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Fundamental valuation gap offering upside
  • Stable operating and free cash flow
  • Potential re‑rating as market sentiment improves

Long Term

> 3 years
Positive
Model confidence: 8/10

Key Factors

  • Long‑term upside to intrinsic fair value
  • Consistent dividend income over time
  • Strategic position in China’s chemical engineering sector

Key Metrics & Analysis

Financial Health

Revenue Growth3.20%
Profit Margin3.44%
P/E Ratio7.2
ROE9.70%
ROA2.11%
Debt/Equity21.45
P/B Ratio0.7
Op. Cash FlowCN¥15.2B
Free Cash FlowCN¥6.9B
Industry P/E30.0

Technical Analysis

TrendNeutral
RSI33.1
SupportCN¥7.62
ResistanceCN¥8.70
MA 20CN¥8.16
MA 50CN¥8.58
MA 200CN¥8.16
MACDBearish
VolumeDecreasing
Fear & Greed Index93.32

Valuation

Fair ValueCN¥20.73
GradeUndervalued
TypeValue
Dividend Yield3.71%

Risk Assessment

Beta0.13
Volatility20.59%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium

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.