Guangdong Create Century Intelligent Equipment Group Corporation Limited (SZSE:300083), is not the largest company out there, but it saw a decent share price growth in the teens level on the SZSE over the last few months. As a CN¥17b market cap stock, it seems odd Guangdong Create Century Intelligent Equipment Group is not more well-covered by analysts. Although, there is more of an opportunity for mispricing in stocks with low coverage, which can be a good thing. So, could the stock still be trading at a low price relative to its actual value? Today I will analyse the most recent data on Guangdong Create Century Intelligent Equipment Group's outlook and valuation to see if the opportunity still exists.

View our latest analysis for Guangdong Create Century Intelligent Equipment Group

What Is Guangdong Create Century Intelligent Equipment Group Worth?

According to my valuation model, Guangdong Create Century Intelligent Equipment Group seems to be fairly priced at around 10.35% above my intrinsic value, which means if you buy Guangdong Create Century Intelligent Equipment Group today, you'd be paying a relatively fair price for it. And if you believe the company's true value is CN¥10.14, then there isn't really any room for the share price grow beyond what it's currently trading. Although, there may be an opportunity to buy in the future. This is because Guangdong Create Century Intelligent Equipment Group's beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company's shares will likely fall by more than the rest of the market, providing a prime buying opportunity.

What kind of growth will Guangdong Create Century Intelligent Equipment Group generate?

Future outlook is an important aspect when you're looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. Guangdong Create Century Intelligent Equipment Group's earnings over the next few years are expected to double, indicating a very optimistic future ahead. This should lead to stronger cash flows, feeding into a higher share value.

What This Means For You

Are you a shareholder? It seems like the market has already priced in 300083's positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven't considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough confidence to invest in the company should the price drop below its fair value?

Are you a potential investor? If you've been keeping tabs on 300083, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for the company, which means it's worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.

Since timing is quite important when it comes to individual stock picking, it's worth taking a look at what those latest analysts forecasts are. At Simply Wall St, we have the analysts estimates which you can view by clicking here.

If you are no longer interested in Guangdong Create Century Intelligent Equipment Group, you can use our free platform to see our list of over 50 other stocks with a high growth potential.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.