# AVIC Jonhon Optronic Technology (002179.SHE)

Canonical: https://gigainvestors.com/s/002179.SHE

Analysis as of: 2026-10-16T07:35:53.751Z. Financial observations: FY2004–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 32.28 per share; close as of 2026-10-15.

Estimated value: low CNY 19.94 per share, central CNY 27.27 per share, high CNY 31.54 per share. Buy at or below the central value CNY 27.27 per share. Valuation as of 2026-10-16T07:35:53.751Z; scenarios are not confidence intervals.

Expected annual return: 8.9% at the stated quote. About 8.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.14×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.14×

- FY2017: 0.15×

- FY2018: 0.14×

- FY2019: 0.14×

- FY2020: 0.16×

- FY2021: 0.17×

- FY2022: 0.19×

- FY2023: 0.18×

- FY2024: 0.18×

- FY2025: 0.12×

### moat: pass

- ROIC, median of available years: 22.3%

- ROIC, second-lowest year: 17.9%

- Typical minus recent gross margin: -2.0 pp

- Typical gross margin (annual median): 35.0%

- Recent gross margin (lower of latest and 3-year median): 37.1%

- Years with nonpositive capital: 0

- Capital spending / revenue: 6.0%

- ROIC including acquisitions, ten-year median: 19.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 19.4%

- FY2017: 22.2%

- FY2018: 17.9%

- FY2019: 18.0%

- FY2020: 26.2%

- FY2021: 27.7%

- FY2022: 36.2%

- FY2023: 29.6%

- FY2024: 22.5%

- FY2025: 13.1%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.77×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 10B

- Net income, five-year total: CNY 14B

- Return on incremental invested capital: 18.1%

- Working capital / revenue, annual change: -1.9 pp

- Working capital / revenue, change between three-year averages: -13.7 pp

- Working capital / revenue, final three-year average: 38.0%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.88×

- FY2022: 0.84×

- FY2023: 0.74×

- FY2024: 0.74×

- FY2025: 0.68×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 19.4% vs 22.5%

- Per-share earnings: 0.40 to 1.56 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.2%

- Ordinary dilution, 5-year annual growth: 1.9%

- Market cap gain: CNY -12B

- Cumulative retained earnings: CNY 9.8B

- Diluted shares, 10-year annual growth: 1.2%

- Diluted shares, 5-year annual growth: 1.9%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 18.7%

- Per-share value change: CNY 1.17

- Per-share value, starting three-year median: CNY 0.40

- Per-share value, ending three-year median: CNY 1.56

- Buybacks concentrated in cheaper years (correlation): 0.07

- Average buyback yield: 0.1%

- Buyback history: 7 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 630M

- Cumulative net income, 10 years: CNY 19B

- ROIC, first three-year median: 19.4%

- ROIC, last three-year median: 22.5%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.40

- FY2017: CNY 0.44

- FY2018: CNY 0.51

- FY2019: CNY 0.58

- FY2020: CNY 0.75

- FY2021: CNY 0.96

- FY2022: CNY 1.31

- FY2023: CNY 1.56

- FY2024: CNY 1.58

- FY2025: CNY 1.00

### accounting: pass

- Sloan accruals: 1.3%

- Receivables to sales index (DSRI): 0.68×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.74×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.04×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 5.9%

- FY2017: 3.4%

- FY2018: 6.9%

- FY2019: 1.6%

- FY2020: 0.9%

- FY2021: -0.3%

- FY2022: 1.9%

- FY2023: 0.7%

- FY2024: 2.9%

- FY2025: 1.3%

## Holders

## Price story

Down 69% since Nov 2021 · sales +3%

Story as of 2026-10-16T10:00:06.299Z; price observation 2026-10-15.

Price needs cash profits to grow 8.8% a year for ten years

### Sales · FY2024–2025

sales +3%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 5.9B 

- FY2017: CNY 6.4B 

- FY2018: CNY 7.8B 

- FY2019: CNY 9.2B 

- FY2020: CNY 10B 

- FY2021: CNY 13B 

- FY2022: CNY 16B 

- FY2023: CNY 20B 

- FY2024: CNY 21B 

- FY2025: CNY 21B 

### Gross margin · FY2024

gross margin 35.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 32.7% 

- FY2017: 34.4% 

- FY2018: 31.5% 

- FY2019: 32.0% 

- FY2020: 34.9% 

- FY2021: 35.3% 

- FY2022: 35.2% 

- FY2023: 37.1% 

- FY2024: 35.7% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in electronic components; annual sales are CNY 21.3 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2025: revenue 21301292000; grossProfit 21301292000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002179.SHE: Jonhon Optronic Technology Co., Ltd. research and develops optical, electrical, and fluid connection technologies and equipment in China and internationally. It provides electric vehicle, power system, rail transit, petroleum industry, data center, medical equipment, and wireless base station solutions. The company was formerly known as AVIC Jonhon Optronic Technology Co.,Ltd. and changed its name to Jonhon Optronic Technology Co., Ltd. in November 2024. Jonhon Optronic Technology Co., Ltd. was founded in 2007 and is headquartered in Luoyang, China.

### Why customers stay

Margins ranged from 35.7% to 100% during 2023–25; it earns 22.3% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2023: grossProfit / revenue = 37.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2024: grossProfit / revenue = 35.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2025: grossProfit / revenue = 100%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); 10-year return on capital observations [[2016,0.19389511863864448],[2017,0.2215763963491108],[2018,0.1789808215080416],[2019,0.18017962519129294],[2020,0.26175575459265565],[2021,0.27717419606213184],[2022,0.36201452477311374],[2023,0.29568677411663974],[2024,0.224675959153081],[2025,0.1313976339959094]]; median 0.2231261777510959. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 35% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); Gross margin observations: [[2021,0.35330060327231316],[2022,0.3522389230920952],[2023,0.3706701400950413]]; range within 2 percentage points.

### Where the cash goes

Spends 14.7% of cash earnings on expansion; earns 18.1% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2016: growth capex 92626461; upkeep 155328911; owner earnings 733765938. Growth capex / owner earnings = 0.12623434286479512.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2017: growth capex 130136581; upkeep 161726204; owner earnings 825350760. Growth capex / owner earnings = 0.15767427293578792.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2018: growth capex 106864794; upkeep 172816447; owner earnings 951561054. Growth capex / owner earnings = 0.11230471607762964.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2019: growth capex 109030162; upkeep 184771740; owner earnings 1071086935. Growth capex / owner earnings = 0.10179394261773905.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2020: growth capex 190855020; upkeep 202497232; owner earnings 1439082439. Growth capex / owner earnings = 0.13262271488256275.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2021: growth capex 661937586.6425483; upkeep 456908898.3574517; owner earnings 1761472786.3445482. Growth capex / owner earnings = 0.3757864394920443.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2022: growth capex 777187726.2033128; upkeep 740058112.7966872; owner earnings 2276133867.229313. Growth capex / owner earnings = 0.3414507983879551.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2023: growth capex 1158736035.711685; upkeep 1234942174.288315; owner earnings 2483368234.5216846. Growth capex / owner earnings = 0.4665985573963284.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2024: growth capex 187073825.294338; upkeep 1355730272.705662; owner earnings 2493483710.750338. Growth capex / owner earnings = 0.0750250841775276.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2025: growth capex 211873612.48158622; upkeep 1370267997.0084138; owner earnings 1437532430.0375862. Growth capex / owner earnings = 0.14738701406273422.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); Incremental return on capital 0.18117380042543757, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); Dividend observations: [[2016,119559743.5],[2017,122972754],[2018,173127367],[2019,161668549],[2020,204359043],[2021,427941008],[2022,659624153],[2023,919942615.2],[2024,1269280768],[2025,1751062913.72]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); FY2025: cash repurchases 247772916.93333337 CNY.

### Are managers owners

Insiders own 47.6% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002179.SHE SharesStats.PercentInsiders = 47.559000000000005 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 8.8% yearly over ten years; actual growth was 8.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:53.751Z); Ten-year compound average after fade. Initial solved rate 0.11402459259547915. Price 32.28; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.3024734298046319 → FY2025 0.6788888283524338. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 49.96 per share

- 2016-11: CNY 48.89 per share

- 2016-12: CNY 47.18 per share

- 2017-01: CNY 51.97 per share

- 2017-02: CNY 50.26 per share

- 2017-03: CNY 49.26 per share

- 2017-04: CNY 49.22 per share

- 2017-05: CNY 27.78 per share

- 2017-06: CNY 31.19 per share

- 2017-07: CNY 34.39 per share

- 2017-08: CNY 33.18 per share

- 2017-09: CNY 37.20 per share

- 2017-10: CNY 37.16 per share

- 2017-11: CNY 36.10 per share

- 2017-12: CNY 39.38 per share

- 2018-01: CNY 36.63 per share

- 2018-02: CNY 37.37 per share

- 2018-03: CNY 43.30 per share

- 2018-04: CNY 38.80 per share

- 2018-05: CNY 39.04 per share

- 2018-06: CNY 39.00 per share

- 2018-07: CNY 41.98 per share

- 2018-08: CNY 41.30 per share

- 2018-09: CNY 44.00 per share

- 2018-10: CNY 38.30 per share

- 2018-11: CNY 39.17 per share

- 2018-12: CNY 33.68 per share

- 2019-01: CNY 35.17 per share

- 2019-02: CNY 40.99 per share

- 2019-03: CNY 40.64 per share

- 2019-04: CNY 42.51 per share

- 2019-05: CNY 33.00 per share

- 2019-06: CNY 33.46 per share

- 2019-07: CNY 36.91 per share

- 2019-08: CNY 43.35 per share

- 2019-09: CNY 41.18 per share

- 2019-10: CNY 40.36 per share

- 2019-11: CNY 38.52 per share

- 2019-12: CNY 39.06 per share

- 2020-01: CNY 37.38 per share

- 2020-02: CNY 39.29 per share

- 2020-03: CNY 34.23 per share

- 2020-04: CNY 35.83 per share

- 2020-05: CNY 34.29 per share

- 2020-06: CNY 41.01 per share

- 2020-07: CNY 43.60 per share

- 2020-08: CNY 47.86 per share

- 2020-09: CNY 46.30 per share

- 2020-10: CNY 55.40 per share

- 2020-11: CNY 59.00 per share

- 2020-12: CNY 78.29 per share

- 2021-01: CNY 69.50 per share

- 2021-02: CNY 68.83 per share

- 2021-03: CNY 67.60 per share

- 2021-04: CNY 68.18 per share

- 2021-05: CNY 77.10 per share

- 2021-06: CNY 79.02 per share

- 2021-07: CNY 82.90 per share

- 2021-08: CNY 100.25 per share

- 2021-09: CNY 82.04 per share

- 2021-10: CNY 92.10 per share

- 2021-11: CNY 102.80 per share

- 2021-12: CNY 100.56 per share

- 2022-01: CNY 88.58 per share

- 2022-02: CNY 88.47 per share

- 2022-03: CNY 77.69 per share

- 2022-04: CNY 75.70 per share

- 2022-05: CNY 82.99 per share

- 2022-06: CNY 63.32 per share

- 2022-07: CNY 61.00 per share

- 2022-08: CNY 60.85 per share

- 2022-09: CNY 58.00 per share

- 2022-10: CNY 65.80 per share

- 2022-11: CNY 58.64 per share

- 2022-12: CNY 57.76 per share

- 2023-01: CNY 57.73 per share

- 2023-02: CNY 57.00 per share

- 2023-03: CNY 54.08 per share

- 2023-04: CNY 54.93 per share

- 2023-05: CNY 42.51 per share

- 2023-06: CNY 45.35 per share

- 2023-07: CNY 42.29 per share

- 2023-08: CNY 44.72 per share

- 2023-09: CNY 42.30 per share

- 2023-10: CNY 41.30 per share

- 2023-11: CNY 39.71 per share

- 2023-12: CNY 39.00 per share

- 2024-01: CNY 30.95 per share

- 2024-02: CNY 34.32 per share

- 2024-03: CNY 34.41 per share

- 2024-04: CNY 34.38 per share

- 2024-05: CNY 35.31 per share

- 2024-06: CNY 38.05 per share

- 2024-07: CNY 38.97 per share

- 2024-08: CNY 36.89 per share

- 2024-09: CNY 43.54 per share

- 2024-10: CNY 44.15 per share

- 2024-11: CNY 40.07 per share

- 2024-12: CNY 39.30 per share

- 2025-01: CNY 37.69 per share

- 2025-02: CNY 37.69 per share

- 2025-03: CNY 41.03 per share

- 2025-04: CNY 40.63 per share

- 2025-05: CNY 39.22 per share

- 2025-06: CNY 40.36 per share

- 2025-07: CNY 38.18 per share

- 2025-08: CNY 41.85 per share

- 2025-09: CNY 41.27 per share

- 2025-10: CNY 35.10 per share

- 2025-11: CNY 33.94 per share

- 2025-12: CNY 35.44 per share

- 2026-01: CNY 34.29 per share

- 2026-02: CNY 35.55 per share

- 2026-03: CNY 33.80 per share

- 2026-04: CNY 36.56 per share

- 2026-05: CNY 36.42 per share

- 2026-06: CNY 46.20 per share

- 2026-07: CNY 34.04 per share

- 2026-08: CNY 35.25 per share

- 2026-09: CNY 33.33 per share

- 2026-10: CNY 33.64 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 4.87 per share, central CNY 6.66 per share, high CNY 7.70 per share

- FY2017: low CNY 6.38 per share, central CNY 8.76 per share, high CNY 10.15 per share

- FY2018: low CNY 8.28 per share, central CNY 11.24 per share, high CNY 12.97 per share

- FY2019: low CNY 9.73 per share, central CNY 13.26 per share, high CNY 15.32 per share

- FY2020: low CNY 11.37 per share, central CNY 15.27 per share, high CNY 17.54 per share

- FY2021: low CNY 14.79 per share, central CNY 19.46 per share, high CNY 22.19 per share

- FY2022: low CNY 18.89 per share, central CNY 24.99 per share, high CNY 28.54 per share

- FY2023: low CNY 21.91 per share, central CNY 29.39 per share, high CNY 33.75 per share

- FY2024: low CNY 22.25 per share, central CNY 30.02 per share, high CNY 34.54 per share

- FY2025: low CNY 20.17 per share, central CNY 27.42 per share, high CNY 31.64 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:41:35.361Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.