Supor Investment Quality Review (002032.SZ)

Quality score: 81/100 Valuation position: current price/base FV 1.32 Final signal: WATCHLIST

Core Conclusion

Supor remains WATCHLIST. The company clears the quality threshold, but current price of CNY42.83 is above the CNY32.49 base FV and far above the CNY25.16 conservative FV.

Business And Quality

Five-year revenue CAGR is 1.3% and latest-year FCF is CNY2.45bn. The 81/100 score reflects repeatable cash flow and net cash, while limited growth and disclosure depth keep the valuation multiple restrained.

Financial Audit

The review uses fiscal 2021-2025 in CNY. Five-year average FCF/Net Income is 1.10 and OCF/Net Income is 1.18. Latest net cash is CNY1.74bn. Market value is about CNY34.26bn on roughly 800mn shares.

Valuation

Normalized FCF is the main anchor, with the 1.7% CNY 10Y yield dated 2026-07-27 as the risk-free reference. Price/base FV of 1.32 leaves no mispricing signal, and the balance sheet does not offset the valuation gap.

Buy And Monitor

Current action is watchlist. Upgrade requires price/base FV below 0.70, quality score at least 75, and stronger evidence of temporary market mispricing. Track revenue trend, FCF/Net Income, ROIC, net cash/debt, dividends, buybacks, and governance disclosure.

Risks

Risks include mature demand, margin pressure, weaker cash conversion, and shareholder returns that do not protect per-share value. A sustained FCF/Net Income fall below 0.60 would lower FV and signal.

Sources

Sources are public quote and financial data platforms, official filings or company IR, and ChinaBond for the CNY risk-free rate. Research only, not personalized investment advice.