| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 32.47 | 158 |
| Intrinsic value (DCF) | 6.76 | -46 |
| Graham-Dodd Method | 1.39 | -89 |
| Graham Formula | 3.38 | -73 |
Keli Motor Group Co., Ltd. is a leading Chinese manufacturer specializing in micro motor technology with a comprehensive portfolio spanning shaded pole motors, electromagnetic pumps, micro diaphragm pumps, and advanced servo systems. Founded in 1992 and headquartered in Shenzhen, the company serves diverse global markets including household appliances, industrial control equipment, IT products, and medical devices like nebulizers. Keli Motor's products are integral components in microwave ovens, air conditioners, 3D printers, robotics, and electric tools, demonstrating their critical role in both consumer and industrial applications. With significant international reach exporting to North America, Europe, and other regions, the company has established itself as a key player in the electrical equipment sector. Operating within China's robust manufacturing ecosystem, Keli Motor leverages Shenzhen's technological infrastructure to drive innovation in micro-motor solutions while maintaining competitive production capabilities. The company's broad product range and global distribution network position it strategically within the industrial sector's supply chain, serving both domestic Chinese manufacturers and international OEM clients across multiple industries.
Keli Motor Group presents a mixed investment profile with several concerning financial metrics. The company's modest net income of CNY 60 million on CNY 1.66 billion revenue reflects thin margins of approximately 3.6%, indicating potential pricing pressure or operational inefficiencies. While the company maintains a reasonable debt level with total debt of CNY 182 million against cash holdings of CNY 401 million, the negative capital expenditures of CNY -257 million suggest significant investment outflows that may impact future growth. The diluted EPS of CNY 0.097 and small dividend of CNY 0.05 per share offer limited income appeal. The beta of 1.048 indicates stock volatility slightly above market average, which combined with the challenging margin environment in China's competitive motor manufacturing sector, presents substantial risk factors. Investors should closely monitor the company's ability to improve profitability and generate positive returns on its capital investments.
Keli Motor Group operates in the highly competitive micro motor manufacturing sector where scale, technological capability, and cost efficiency determine market positioning. The company's competitive advantage lies in its diversified product portfolio that spans multiple motor types and applications, providing some insulation against demand fluctuations in specific end-markets. However, Keli faces intense competition from both domestic Chinese manufacturers and international players with greater scale and technological resources. The company's headquarters in Shenzhen provides access to China's manufacturing ecosystem and supply chain advantages, but also places it in direct competition with numerous regional competitors. Keli's export business to international markets demonstrates some product quality recognition, though competing against established global motor manufacturers requires continuous innovation and cost management. The company's challenge lies in maintaining technological relevance while competing on price in a margin-compressed industry. Their ability to serve diverse applications from household appliances to industrial equipment provides some diversification benefit, but also requires maintaining expertise across multiple product categories, potentially diluting R&D focus. The competitive landscape demands continuous operational efficiency improvements and technological upgrades to maintain market position against both lower-cost producers and higher-technology competitors.