| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 30.73 | 4 |
| Intrinsic value (DCF) | 8.91 | -70 |
| Graham-Dodd Method | 9.28 | -69 |
| Graham Formula | n/a |
Daqian Ecology&Environment Group Co., Ltd. is a prominent Chinese engineering and construction company specializing in integrated ecological solutions. Founded in 1988 and headquartered in Nanjing, the company has evolved from its origins as Daqian Ecology & Landscape Co., Ltd. to become a comprehensive environmental group. Its core business encompasses ecological landscape design and construction, ecological environment restoration, and tourism and cultural development projects. Operating within the industrials sector, Daqian leverages over three decades of experience to address China's growing demand for sustainable urban development and environmental protection. The company plays a vital role in China's green infrastructure initiatives, contributing to projects that enhance biodiversity, manage water resources, and create recreational spaces. As environmental sustainability becomes increasingly central to governmental and municipal planning in China, Daqian's expertise positions it at the intersection of ecological conservation and urban development, serving both public and private sector clients seeking to implement environmentally responsible construction and land-use solutions.
Daqian Ecology&Environment Group presents a mixed investment profile. On the positive side, the company demonstrates strong profitability with a net income of CNY 29.1 million on revenue of CNY 114.7 million, representing a healthy net margin. The company maintains a solid cash position of CNY 276.5 million against total debt of CNY 291.3 million, indicating reasonable financial stability. The positive operating cash flow of CNY 212.8 million significantly exceeds net income, suggesting quality earnings. However, investors should note the company's negative beta of -0.099, which indicates price movement contrary to the broader market—a characteristic that may appeal to those seeking diversification but could signal underlying business volatility. The modest market capitalization of approximately CNY 5 billion and the specific focus on China's ecological construction sector may limit growth opportunities compared to broader industrial competitors. The dividend yield, while present, is modest at CNY 0.05 per share.
Daqian Ecology&Environment Group operates in a specialized niche within China's engineering and construction sector, focusing specifically on ecological and environmental projects. The company's competitive positioning is defined by its long-standing presence in the market since 1988 and its specialized expertise in integrating landscape design with environmental restoration. This focus allows Daqian to differentiate itself from general construction firms by offering integrated ecological solutions that address both aesthetic and environmental objectives. The company's competitive advantage appears to stem from its project experience and established relationships within China's municipal and development sectors, particularly in the economically significant Yangtze River Delta region where it is headquartered. However, the company faces significant competition from both specialized ecological firms and large, diversified construction conglomerates that have expanded into environmental projects. Daqian's relatively smaller scale compared to state-owned enterprise competitors may limit its ability to secure the largest infrastructure projects, but could provide agility in serving regional and specialized market segments. The company's financial performance suggests effective project management and cost control, though its growth potential may be constrained by dependence on government environmental spending and regional economic conditions. The evolution from a landscape focus to a broader environmental group indicates strategic adaptation to market opportunities in China's sustainability-driven development policies.