| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | n/a | |
| Graham Formula | 24.50 | 5597 |
Beijing JIAYU Door, Window and Curtain Wall Joint-Stock Co., Ltd. is a specialized Chinese industrial company with over three decades of experience in the construction sector. Founded in 1987 and headquartered in Beijing, JIAYU focuses on manufacturing and supplying energy-efficient door, window, and curtain wall systems primarily for the Chinese market. The company's core business revolves around providing sustainable building envelope solutions that contribute to energy conservation in commercial and residential construction projects. Beyond its traditional product lines, JIAYU has diversified into adjacent sectors including photovoltaic light and heat systems, intelligent equipment manufacturing, industrial park investment management, and retail operations. Operating within the industrials sector, the company serves China's massive construction industry, which continues to demand energy-saving building materials amid the country's sustainability initiatives. As a publicly traded entity on the Shenzhen Stock Exchange, JIAYU leverages its longstanding industry presence and technical expertise to address the evolving needs of modern construction projects while navigating the competitive landscape of building materials manufacturing in China.
Beijing JIAYU presents a high-risk investment profile characterized by significant financial distress. The company reported a substantial net loss of -CNY 356 million for the period, with negative earnings per share of -CNY 0.50 and negative operating cash flow of -CNY 30 million. Despite generating CNY 482 million in revenue, the company's profitability metrics indicate severe operational challenges. The modest market capitalization of approximately CNY 308 million, combined with a beta of 0.299 suggesting lower volatility than the broader market, may appeal to risk-tolerant investors seeking exposure to China's construction sector turnaround plays. However, the company's financial health is concerning, with total debt of CNY 227 million significantly outweighing cash reserves of CNY 18 million. The absence of dividend payments reflects the company's focus on preserving capital. Investment attractiveness is heavily dependent on China's construction sector recovery and the company's ability to execute a successful operational turnaround.
Beijing JIAYU operates in the highly competitive Chinese building materials and construction services sector, where its competitive positioning is challenged by both scale disadvantages and financial constraints. The company's primary competitive advantage lies in its specialized focus on energy-saving door, window, and curtain wall systems, catering to the growing demand for sustainable building solutions in China's construction market. With over 35 years of industry experience, JIAYU has established technical expertise and customer relationships that provide some market foothold. However, the company faces intense competition from larger, better-capitalized domestic players who benefit from economies of scale and stronger financial positions. JIAYU's diversification into photovoltaic systems and intelligent equipment represents a strategic attempt to differentiate from traditional competitors, though these segments likely face their own competitive pressures. The company's financial distress significantly hampers its competitive positioning, limiting investment in technology, marketing, and capacity expansion compared to healthier rivals. In China's fragmented construction materials market, JIAYU's regional presence in Beijing provides some geographic advantage, but national competitors with broader distribution networks pose substantial challenges. The company's ability to compete effectively is constrained by its negative cash flow and high debt load, which may impact product quality, customer service, and ability to secure large contracts relative to financially stronger competitors.