Hongfa Technology Co (SHSE:600885) EV-to-FCF: 37.55 (As of Jul. 20, 2026) — 13% Above Median

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SHSE:600885 Hongfa Technology Co Ltd SHSE:600885
95 GF Score
Price ¥31.70
GF Value ¥30.81
Valuation Fairly Valued
! 2 Warning Signs
View Full Analysis

What is Hongfa Technology Co EV-to-FCF?

Hongfa Technology Co SHSE:600885 +0.76% 95 EV-to-FCF is 37.55 as of Jul. 20, 2026, which is 13% above its 10-year median of 33.14. GuruFocus rates SHSE:600885 with a GF Score™ of 95/100 and a GF Value™ of ¥30.81 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,733 Industrial Products companies, Hongfa Technology Co ranks worse than 65.38% on this metric.

EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Hongfa Technology Co's Enterprise Value is ¥50,747 Mil. Hongfa Technology Co's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was ¥1,352 Mil. Therefore, Hongfa Technology Co's EV-to-FCF for today is 37.55.

The historical rank and industry rank for Hongfa Technology Co's EV-to-FCF or its related term are showing as below:

SHSE:600885' s EV-to-FCF Range Over the Past 10 Years
Min: -3235.16   Med: 33.14   Max: 22245.98
Current: 37.55

During the past 13 years, the highest EV-to-FCF of Hongfa Technology Co was 22245.98. The lowest was -3235.16. And the median was 33.14.

SHSE:600885's EV-to-FCF is ranked worse than
65.38% of 1733 companies
in the Industrial Products industry
Industry Median: 24.13 vs SHSE:600885: 37.55

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

As of today (2026-07-20), Hongfa Technology Co's stock price is ¥31.70. Hongfa Technology Co's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 was ¥1.207. Therefore, Hongfa Technology Co's PE Ratio (TTM) for today is 26.26.


Hongfa Technology Co  (SHSE:600885) EV-to-FCF Explanation

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

Hongfa Technology Co's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=31.70/1.207
=26.26

Hongfa Technology Co's share price for today is ¥31.70.
Hongfa Technology Co's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ¥1.207.

* 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.

Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.


Hongfa Technology Co EV-to-FCF Related Terms


Hongfa Technology Co EV-to-FCF Historical Data

* Premium members only.

The historical data trend for Hongfa Technology Co's EV-to-FCF 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.

Hongfa Technology Co EV-to-FCF Chart

Hongfa Technology Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4,471.25 403.12 19.41 33.41 26.54

Hongfa Technology Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EV-to-FCF 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 53.67 41.30 28.81 26.54 33.04

SHSE:600885 vs VRT, BE: EV-to-FCF Comparison

For the Electrical Equipment & Parts subindustry, Hongfa Technology Co's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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.


Hongfa Technology Co EV-to-FCF vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Hongfa Technology Co's EV-to-FCF distribution charts can be found below:

* The bar in red indicates where Hongfa Technology Co's EV-to-FCF falls into.


SHSE:600885
95GF Score
Hongfa Technology Co Ltd SHSE:600885
EV-to-FCF is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hongfa Technology Co EV-to-FCF Calculation

Hongfa Technology Co's EV-to-FCF for today is calculated as:

EV-to-FCF=Enterprise Value (Today)/Free Cash Flow (TTM)
=50747.006/1351.522
=37.55

Hongfa Technology Co's current Enterprise Value is ¥50,747 Mil.
Hongfa Technology Co's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ¥1,352 Mil.

* 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 EV-to-FCF →
What does a EV-to-FCF of 37.55 mean?
Hongfa Technology Co (SHSE:600885) has a EV-to-FCF of 37.55 as of Jul. 20, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Hongfa Technology Co and its competitors. This is 13% above median its historical median of 33.14. According to the industry distribution chart, Hongfa Technology Co ranks #1133 out of 1733 companies in the Industrial Products industry, placing it in the top 65.4%.
Is Hongfa Technology Co's EV-to-FCF too high?
Hongfa Technology Co's current EV-to-FCF of 37.55 is 13% above median its 10-year median of 33.14. The Industrial Products industry median EV-to-FCF is 24.13. Hongfa Technology Co's value of 37.55 is 55.6% above this industry median. Based on the distribution chart, Hongfa Technology Co ranks #1133 out of 1733 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Hongfa Technology Co has a GF Score™ of 95/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hongfa Technology Co's EV-to-FCF compare to VRT and BE?
According to the Industrial Products industry distribution chart, Hongfa Technology Co ranks #1133 out of 1733 companies for EV-to-FCF. This places Hongfa Technology Co in the lower half of its industry. The industry median EV-to-FCF is 24.13. Hongfa Technology Co's value of 37.55 is 55.6% above this benchmark. While the company's 10-year median is 33.14 vs. the industry median of 24.13, Hongfa Technology Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for an Industrial Products company?
The median EV-to-FCF among Industrial Products companies is 24.13, based on 1,733 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hongfa Technology Co's current EV-to-FCF of 37.55 is 55.6% above 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 EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Hongfa Technology Co and its competitors. For the Industrial Products industry, the median EV-to-FCF is 24.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hongfa Technology Co's current EV-to-FCF is 37.55, which is 13% above median its own 10-year median of 33.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hongfa Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Hongfa Technology Co (SHSE:600885) is currently considered Fairly Valued. The stock's GF Value™ is ¥30.81, compared to a current price of ¥31.70 — trading 2.9% above its estimated fair value. The current EV-to-FCF is 37.55, which is 13% above median its 10-year median of 33.14 and 55.6% above the Industrial Products industry median of 24.13. Hongfa Technology Co's overall GF Score™ is 95/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Hongfa Technology Co (SHSE:600885), the current EV-to-FCF is 37.55 as of Jul. 20, 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 Hongfa Technology Co (SHSE:600885) Overvalued in 2026?

Based on GuruFocus' analysis, Hongfa Technology Co stock appears to be overvalued. The current stock price of ¥31.70 is trading 2.9% above its estimated GF Value™ of ¥30.81. GuruFocus considers Hongfa Technology Co to be Fairly Valued.

Key valuation signals for SHSE:600885:

  • EV-to-FCF: 37.55 (13% above median its 10-year median of 33.14)
  • GF Value™: ¥30.81 vs. price of ¥31.70 (2.9% above fair value)
  • GF Score™: 95/100 with 2 warning signs
  • Industry Position: 55.6% above the Industrial Products median (#1133 of 1733)

No single metric tells the full story. See the SHSE:600885 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hongfa Technology Co Business Description

Address No. 564, Donglin Road, Jimei North Industrial Zone, Fujian Province, Xiamen, CHN, 361021
Hongfa Technology Co Ltd is engaged in Research, manufacture and selling relays, low voltage electrical appliances, contactors, automation equipment and related electronic components and assemblies, electromechanical products, mechanical equipment.
95GF Score

Get the complete analysis for SHSE:600885

EV-to-FCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥31.70
Price
¥30.81
GF Value