| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 16.65 | 179 |
| Intrinsic value (DCF) | 2.42 | -59 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 6.71 | 12 |
NYOCOR Co., Ltd. (formerly Tianjin Quanyechang Group) is a prominent Chinese department store and supermarket operator headquartered in Tianjin, China. Specializing in consumer cyclical retail, the company operates comprehensive retail establishments offering women's and children's apparel including dresses, jackets, sweaters, tops, trousers, and sweater suits. As a key player in China's competitive retail sector, NYOCOR leverages its established presence in the economically significant Tianjin region to serve local consumers. The company's dual-format approach combining department stores with supermarkets creates a diversified retail footprint. Operating on the Shanghai Stock Exchange, NYOCOR represents traditional brick-and-mortar retail in China's evolving consumer landscape, balancing physical retail presence with the challenges of e-commerce competition. The company's long-standing market position and regional focus provide stability in the dynamic Chinese retail market.
NYOCOR presents a mixed investment profile with several concerning financial metrics. While the company generated CNY 802.7 million in net income on CNY 3.61 billion revenue, indicating reasonable profitability, its substantial total debt of CNY 23.43 billion raises significant leverage concerns. The company maintains a low beta of 0.238, suggesting relative stability compared to the broader market, which may appeal to risk-averse investors. However, the high debt load relative to market capitalization (CNY 11.35 billion) and operating cash flow (CNY 1.88 billion) creates financial risk, particularly in a challenging retail environment. The dividend payment of CNY 0.20 per share provides some income appeal, but investors should carefully monitor the company's ability to manage its debt obligations amid changing consumer preferences and increasing e-commerce competition in China's retail sector.
NYOCOR operates in the highly competitive Chinese department store sector, facing pressure from both traditional retailers and rapidly growing e-commerce platforms. The company's competitive positioning is primarily regional, with its strength concentrated in the Tianjin market where it has established brand recognition and physical presence. This regional focus provides some insulation from national competitors but limits growth potential. NYOCOR's dual format of department stores and supermarkets offers some diversification, though this model faces challenges from specialized retailers and online marketplaces. The company's substantial debt burden (CNY 23.43 billion) compared to market capitalization creates competitive disadvantages, limiting financial flexibility for store renovations, technology investments, or expansion initiatives needed to compete effectively. While traditional department stores still attract certain consumer segments preferring in-person shopping experiences, NYOCOR must navigate the industry-wide transition to omnichannel retailing. The company's relatively stable cash flow generation provides some operational stability, but its ability to adapt to changing consumer behaviors and digital transformation will be critical for maintaining competitive relevance against more agile and better-capitalized competitors.