Lafang China Co (SHSE:603630) Cash Conversion Cycle: 19.94 (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:603630 Lafang China Co Ltd SHSE:603630
64 GF Score
Price ¥15.20
GF Value ¥17.32
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Lafang China Co Cash Conversion Cycle?

Lafang China Co SHSE:603630 +2.70% 64 Cash Conversion Cycle is 19.94 as of Mar. 2026. GuruFocus rates SHSE:603630 with a GF Score™ of 64/100 and a GF Value™ of ¥17.32 (Modestly Undervalued). The stock has 2 warning signs investors should review.

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Lafang China Co's Days Sales Outstanding for the three months ended in Mar. 2026 was 24.17.
Lafang China Co's Days Inventory for the three months ended in Mar. 2026 was 82.31.
Lafang China Co's Days Payable for the three months ended in Mar. 2026 was 86.54.
Therefore, Lafang China Co's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2026 was 19.94.


Lafang China Co  (SHSE:603630) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


Lafang China Co Cash Conversion Cycle Related Terms


Lafang China Co Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Lafang China Co's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Lafang China Co Cash Conversion Cycle Chart

Lafang China Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 121.26 127.85 112.30 64.16 25.04

Lafang China Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 34.94 37.63 23.96 14.39 19.94

SHSE:603630 vs PG, CL, KVUE: Cash Conversion Cycle Comparison

For the Household & Personal Products subindustry, Lafang China Co's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lafang China Co Cash Conversion Cycle vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Lafang China Co's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Lafang China Co's Cash Conversion Cycle falls into.


SHSE:603630
64GF Score
Lafang China Co Ltd SHSE:603630
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lafang China Co Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Lafang China Co's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=27.89+87.35-90.2
=25.04

Lafang China Co's Cash Conversion Cycle for the quarter that ended in Mar. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=24.17+82.31-86.54
=19.94

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of 19.94 mean?
Lafang China Co (SHSE:603630) has a Cash Conversion Cycle of 19.94 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Lafang China Co and its competitors.
Is Lafang China Co's Cash Conversion Cycle too high?
Lafang China Co's current Cash Conversion Cycle is 19.94. The Consumer Packaged Goods industry median Cash Conversion Cycle is 75.81. Lafang China Co's value of 19.94 is 73.7% below this industry median. Overall, Lafang China Co has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lafang China Co's Cash Conversion Cycle compare to PG and CL?
Lafang China Co's Cash Conversion Cycle of 19.94 can be compared against companies in the Consumer Packaged Goods industry. The industry median Cash Conversion Cycle is 75.81. Lafang China Co's value of 19.94 is 73.7% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Consumer Packaged Goods company?
The median Cash Conversion Cycle among Consumer Packaged Goods companies is 75.81, based on 1,952 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lafang China Co's current Cash Conversion Cycle of 19.94 is 73.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Lafang China Co and its competitors. For the Consumer Packaged Goods industry, the median Cash Conversion Cycle is 75.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lafang China Co's current Cash Conversion Cycle is 19.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lafang China Co stock overvalued right now?
Based on GuruFocus' analysis, Lafang China Co (SHSE:603630) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥17.32, compared to a current price of ¥15.20 — trading 12.2% below its estimated fair value. The current Cash Conversion Cycle is 19.94 and 73.7% below the Consumer Packaged Goods industry median of 75.81. Lafang China Co's overall GF Score™ is 64/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Lafang China Co (SHSE:603630), the current Cash Conversion Cycle is 19.94 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Lafang China Co (SHSE:603630) Overvalued in 2026?

Based on GuruFocus' analysis, Lafang China Co stock appears to be undervalued. The current stock price of ¥15.20 is trading 12.2% below its estimated GF Value™ of ¥17.32. GuruFocus considers Lafang China Co to be Modestly Undervalued.

Key valuation signals for SHSE:603630:

  • Cash Conversion Cycle: 19.94
  • GF Value™: ¥17.32 vs. price of ¥15.20 (12.2% below fair value)
  • GF Score™: 64/100 with 2 warning signs
  • Industry Position: 73.7% below the Consumer Packaged Goods median

No single metric tells the full story. See the SHSE:603630 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lafang China Co Business Description

Address Longjiang Road, Lafang Building, Wanji Industrial Zone, Guangdong Province, Chaonan District, Shantou, CHN, 515041
Lafang China Co Ltd research and development, production and sales of daily chemical products.
64GF Score

Get the complete analysis for SHSE:603630

Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥15.20
Price
¥17.32
GF Value