Han's Laser Technology Industry Group Co Ltd Class A
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
¥99.26 | Sxxy | Kztnstjn |
Han’s Laser Earnings: Recovery in Consumer Electronics Offset by Gluts Elsewhere
We maintain our fair value estimate for Han’s Laser of CNY 20 as a gradual recovery in consumer electronics is weighed down by gluts in electric vehicles, lithium batteries, and solar power-generation industries. We view the stock as fairly valued and prefer surveillance and automation product vendor Hikvision as a China industrial recovery play. Two possible upside catalysts are the company’s commitment to repurchase almost CNY 200 million worth of stock by May 2 and artificial intelligence features successfully spurring replacement demand in consumer electronics.