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Guangzhou Development Group Inc
SSE:600098

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Guangzhou Development Group Inc
SSE:600098
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Price: 7.24 CNY Market Closed
Market Cap: ¥25.4B

EV/IC

0.8
Current
5%
More Expensive
vs 3-y average of 0.7

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.8
=
Enterprise Value
¥52.4B
/
Invested Capital
¥69.5B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.8
=
Enterprise Value
¥52.4B
/
Invested Capital
¥69.5B

Valuation Scenarios

Guangzhou Development Group Inc is trading above its 3-year average

If EV/IC returns to its 3-Year Average (0.7), the stock would be worth ¥6.93 (4% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-4%
Maximum Upside
+152%
Average Upside
38%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.8 ¥7.24
0%
3-Year Average 0.7 ¥6.93
-4%
5-Year Average 0.7 ¥6.93
-4%
Industry Average 0.8 ¥7.72
+7%
Country Average 1.9 ¥18.26
+152%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close
Market Cap EV/IC P/E
CN
Guangzhou Development Group Inc
SSE:600098
25.4B CNY 0.8 10.9
CA
Enbridge Inc
TSX:ENB
158.4B CAD 1.2 22.6
US
Williams Companies Inc
NYSE:WMB
89.6B USD 2.1 35.5
US
Enterprise Products Partners LP
NYSE:EPD
83.9B USD 1.5 14.5
US
Kinder Morgan Inc
NYSE:KMI
70.8B USD 1.4 22
US
Energy Transfer LP
NYSE:ET
68B USD 1 16.4
CA
TC Energy Corp
TSX:TRP
89.7B CAD 1.3 26.8
US
Cheniere Energy Inc
NYSE:LNG
57.2B USD 1.7 10.8
US
MPLX LP
NYSE:MPLX
56.6B USD 2 11.7
US
ONEOK Inc
NYSE:OKE
56.2B USD 1.4 17
US
Targa Resources Corp
NYSE:TRGP
53.7B USD 3.1 30

Market Distribution

Lower than 80% of companies in China
Percentile
20th
Based on 7 566 companies
20th percentile
0.8
Low
0 — 1.1
Typical Range
1.1 — 3.4
High
3.4 —
Distribution Statistics
China
Min 0
30th Percentile 1.1
Median 1.9
70th Percentile 3.4
Max 1 129 391.6

Guangzhou Development Group Inc
Glance View

Market Cap
25.4B CNY
Industry
Energy

Guangzhou Development Group Inc., an established powerhouse in China's burgeoning energy sector, operates with a strategic focus on developing and managing a diverse portfolio of energy-related assets. The company's narrative is set against the dynamic backdrop of China's rapid urbanization and economic growth, which drives an insatiable demand for energy. Founded in the industrial heartland of Guangzhou, the company has carved out a significant niche in the realm of power generation, adhering to a broad vision of energy efficiency and sustainability. By leveraging its expertise in coal and natural gas-based energy production, Guangzhou Development Group aims to be a linchpin in powering the region's industrial and residential sectors. Its diversified approach includes investments in cleaner technologies and renewable energy sources, aiming to align with China's long-term carbon-neutral ambitions. At the core of Guangzhou Development Group's revenue model is its balanced portfolio of traditional and renewable energy projects. The company generates robust cash flows by operating several thermal power plants, which remain integral to the electricity supply in Guangdong province and beyond. Additionally, expanding its footprint in the natural gas market has positioned the company to buffer against the fluctuating coal market and embrace a cleaner future. By providing reliable energy while gradually pivoting towards sustainable sources like wind and solar, the company ensures steady profitability. Strategic partnerships and collaborations enhance its technical capabilities and market reach, allowing it to integrate smart grid innovations and optimize operational efficiencies. Through such measures, Guangzhou Development Group not only secures energy for today but also innovates for the challenges of tomorrow, solidifying its position as a key player in China's energy landscape.

Intrinsic Value
13.43 CNY
Undervaluation 46%
Intrinsic Value
Price ¥7.24
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