CWAFF (China Water Affairs Group) Intrinsic Value: DCF (Dividends Based): $2.09 (As of Jul. 26, 2026) — 850% Above Median

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Director of Data and Quant Analytics at GuruFocus
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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.

CWAFF China Water Affairs Group Ltd CWAFF
40 GF Score
Price $0.62
GF Value $0.57
Valuation Fairly Valued
! 10 Warning Signs
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What is China Water Affairs Group Intrinsic Value: DCF (Dividends Based)?

China Water Affairs Group CWAFF 40 Intrinsic Value: DCF (Dividends Based) is $2.09 as of Jul. 26, 2026, which is 850% above its 10-year median of 0.22. GuruFocus rates CWAFF with a GF Score™ of 40/100 and a GF Value™ of $0.57 (Fairly Valued). The stock has 10 warning signs investors should review. Among 104 Utilities - Regulated companies, China Water Affairs Group ranks better than 96.15% on this metric.

As of today (2026-07-26), China Water Affairs Group's intrinsic value calculated from the Discounted Dividend model is $2.09.

Note: Discounted Dividend model is only suitable for companies who have a consistant distribution history. If the company's dividends does not remain steady over a long period, results may not be accurate due to the low consistency. The model is also only suitable for predictable companies (Business Predictability Rank higher than 1-Star) with dividend payments. If the company's Predictability Rank is 1-Star or Not Rated, or if the company does not pay dividend, the data will not be stored into our database.

China Water Affairs Group's Predictability Rank is 2-Stars.

Margin of Safety % (DCF Dividends Based) using Discounted Dividend Model for China Water Affairs Group is 70.33%.

The historical rank and industry rank for China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) or its related term are showing as below:

CWAFF' s Price-to-DCF (Dividends Based) Range Over the Past 10 Years
Min: 0.16   Med: 0.22   Max: 0.46
Current: 0.3

During the past 13 years, the highest Price-to-Intrinsic-Value-DCF (Dividends Based) Ratio of China Water Affairs Group was 0.46. The lowest was 0.16. And the median was 0.22.

CWAFF's Price-to-DCF (Dividends Based) is ranked better than
96.15% of 104 companies
in the Utilities - Regulated industry
Industry Median: 0.905 vs CWAFF: 0.30

China Water Affairs Group  (OTCPK:CWAFF) Intrinsic Value: DCF (Dividends Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book per Share, Graham Number, Median PS Value etc, discounted Dividends model evaluates the companies based on their power of future dividend distribution instead of their assets.


Be Aware

What you need to know about Discounted Dividends model:

1. The Discounted Dividends model evaluates a company based on its future dividends distribution power
2. Dividend growth is taken into account; therefore a company with a higher dividend growth rate is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies with consistently steady dividends distributed.
4. The Discounted Dividends model works poorly for inconsistent dividends distributor like high growth companies.
5. Your expected return from the investment is a reasonable discount rate assumption.
6. A larger margin of safety should be required for companies with less dividends distributed.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) and Intrinsic Value: DCF (Dividends Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


China Water Affairs Group Intrinsic Value: DCF (Dividends Based) Related Terms


China Water Affairs Group Intrinsic Value: DCF (Dividends Based) Historical Data

* Premium members only.

The historical data trend for China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) 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.

China Water Affairs Group Intrinsic Value: DCF (Dividends Based) Chart

China Water Affairs Group Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Intrinsic Value: DCF (Dividends Based)
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.33 4.40 3.47 2.04 0.00

China Water Affairs Group Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Intrinsic Value: DCF (Dividends Based) 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 3.47 0.00 2.04 0.00 0.00

CWAFF vs AWK, WTRG, AWR: Intrinsic Value: DCF (Dividends Based) Comparison

For the Utilities - Regulated Water subindustry, China Water Affairs Group's Price-to-DCF (Dividends Based), along with its competitors' market caps and Price-to-DCF (Dividends Based) 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.


China Water Affairs Group Price-to-DCF (Dividends Based) vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, China Water Affairs Group's Price-to-DCF (Dividends Based) distribution charts can be found below:

* The bar in red indicates where China Water Affairs Group's Price-to-DCF (Dividends Based) falls into.


CWAFF
40GF Score
China Water Affairs Group Ltd CWAFF
Intrinsic Value: DCF (Dividends Based) is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Water Affairs Group Intrinsic Value: DCF (Dividends Based) Calculation

This is the intrinsic value calculated from the Discounted Dividend Model with default parameters. The calculation method is the same as Discounted Cash Flow model except adjusted dividend are used in the calculation instead of free cash flow. This is the default method of calculation with GuruFocus DCF calculator.

Usually a two-stage model is used in calculating the intrinsic value with discounted cash flow model. The first stage is called growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DDM calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 11%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 4.68%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Dividend Growth Rate in the growth stage: g1 = 19.30%
The Growth Rate in the growth stage is initially set as the default 10-Year Dividend Growth Rate. In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year Dividend Growth Rate. If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year Dividend Growth Rate.
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
=> China Water Affairs Group's average Dividend Growth Rate in the past 10 years was 19.30%, which is between 5% and 20%. => GuruFocus defaults => Growth Rate: 19.30%

3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Dividends per Share: adjusted dividends per share = $0.0702.
GuruFocus uses adjusted dividends per share by default to ensure that the valuation reflects the total value of the company, as the actual dividend is only a portion of the total value.

All of the default settings can be changed in the DCF calculator and the results are calculated automatically.

China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) for today is calculated as:

Intrinsic Value: DCF (Dividends Based)=Dividends per Share*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+0.193)/(1+0.11) = 1.0747747747748
and y = (1+g2)/(1+d) = (1+0.04)/(1+0.11) = 0.93693693693694

Intrinsic Value: DCF (Dividends Based)=Dividends per Share*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=Dividends per Share*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=0.0702*29.8158
=2.09

Margin of Safety % (DCF Dividends Based) = (Intrinsic Value: DCF (Dividends Based)-Current Price) /Intrinsic Value: DCF (Dividends Based)
= (2.09 - 0.62) / 2.09
= 70.33 %

* 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.

What does a Intrinsic Value: DCF (Dividends Based) of $2.09 mean?
China Water Affairs Group (CWAFF) has a Intrinsic Value: DCF (Dividends Based) of $2.09 as of Jul. 26, 2026. Intrinsic Value: DCF (Dividends Based) is the stock value based on a two-stage discounted dividend model. View historical data on China Water Affairs Group and its competitors. This is 850% above median its historical median of 0.22. Over the past decade, China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) has ranged from 0.16 to 0.46. According to the industry distribution chart, China Water Affairs Group ranks #4 out of 104 companies in the Utilities - Regulated industry, placing it in the top 3.8%.
Is China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) too high?
China Water Affairs Group's current Intrinsic Value: DCF (Dividends Based) of $2.09 is 850% above median its 10-year median of 0.22. Over the past 10 years, this metric has ranged from a low of 0.16 to a high of 0.46. The Utilities - Regulated industry median Intrinsic Value: DCF (Dividends Based) is 0.91. China Water Affairs Group's value of $2.09 is 130.9% above this industry median. Based on the distribution chart, China Water Affairs Group ranks #4 out of 104 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, China Water Affairs Group has a GF Score™ of 40/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does China Water Affairs Group's Intrinsic Value: DCF (Dividends Based) compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, China Water Affairs Group ranks #4 out of 104 companies for Intrinsic Value: DCF (Dividends Based). This places China Water Affairs Group in the top 4% of its industry — outperforming the majority of peers. The industry median Intrinsic Value: DCF (Dividends Based) is 0.91. China Water Affairs Group's value of $2.09 is 130.9% above this benchmark. Historically, China Water Affairs Group's own Intrinsic Value: DCF (Dividends Based) has ranged from 0.16 to 0.46 over the past decade. While the company's 10-year median is 0.22 vs. the industry median of 0.91, China Water Affairs Group 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 Intrinsic Value: DCF (Dividends Based) for an Utilities - Regulated company?
The median Intrinsic Value: DCF (Dividends Based) among Utilities - Regulated companies is 0.91, based on 104 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: DCF (Dividends Based) significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: DCF (Dividends Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China Water Affairs Group's current Intrinsic Value: DCF (Dividends Based) of $2.09 is 130.9% 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 Intrinsic Value: DCF (Dividends Based) mean?
A high Intrinsic Value: DCF (Dividends Based) can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: DCF (Dividends Based) is the stock value based on a two-stage discounted dividend model. View historical data on China Water Affairs Group and its competitors. For the Utilities - Regulated industry, the median Intrinsic Value: DCF (Dividends Based) is 0.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Water Affairs Group's current Intrinsic Value: DCF (Dividends Based) is $2.09, which is 850% above median its own 10-year median of 0.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Water Affairs Group stock overvalued right now?
Based on GuruFocus' analysis, China Water Affairs Group (CWAFF) is currently considered Fairly Valued. The stock's GF Value™ is $0.57, compared to a current price of $0.62 — trading 8.8% above its estimated fair value. The current Intrinsic Value: DCF (Dividends Based) is $2.09, which is 850% above median its 10-year median of 0.22 and 130.9% above the Utilities - Regulated industry median of 0.91. China Water Affairs Group's overall GF Score™ is 40/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: DCF (Dividends Based) calculated?
Intrinsic Value: DCF (Dividends Based) is calculated from a company's financial statements. For China Water Affairs Group (CWAFF), the current Intrinsic Value: DCF (Dividends Based) is $2.09 as of Jul. 26, 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 China Water Affairs Group (CWAFF) Overvalued in 2026?

Based on GuruFocus' analysis, China Water Affairs Group stock appears to be overvalued. The current stock price of $0.62 is trading 8.8% above its estimated GF Value™ of $0.57. GuruFocus considers China Water Affairs Group to be Fairly Valued.

Key valuation signals for CWAFF:

  • Intrinsic Value: DCF (Dividends Based): $2.09 (850% above median its 10-year median of 0.22)
  • GF Value™: $0.57 vs. price of $0.62 (8.8% above fair value)
  • GF Score™: 40/100 with 10 warning signs
  • Industry Position: 130.9% above the Utilities - Regulated median (#4 of 104)

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


China Water Affairs Group Business Description

Other Exchanges 00855:Hong KongCUBB:Germany
Address 18 Harbour Road, Central Plaza, Suite 6408, 64th Floor, Wanchai, Hong Kong, HKG
China Water Affairs Group Ltd is a Chinese water utility company that builds, operates, and invests in water affairs projects in China. The firm's primary segments include City water supply operation, main contractor construction, Environmental protection, and Pipeline direct drinking water supply. It generates a majority of its revenue from the City water supply operation segment. Geographically, the company generates a maximum share of its revenue from the People's Republic of China.
40GF Score

Get the complete analysis for CWAFF

Intrinsic Value: DCF (Dividends Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$0.62
Price
$0.57
GF Value