# Luxshare Precision Industry (002475.SHE)

Canonical: https://gigainvestors.com/s/002475.SHE

Analysis as of: 2026-10-16T07:33:54.974Z. Financial observations: FY2007–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

A wonderful business at a fair price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: yes.

Share price: CNY 44.65 per share; close as of 2026-10-15.

Estimated value: low CNY 41.55 per share, central CNY 55.74 per share, high CNY 64.01 per share. Buy at or below the central value CNY 55.74 per share. Valuation as of 2026-10-16T07:33:54.974Z; scenarios are not confidence intervals.

Expected annual return: 12.0% at the stated quote. About 12.0% 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: 0.27×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.10×

- FY2017: 0.09×

- FY2018: 0.09×

- FY2019: 0.09×

- FY2020: 0.09×

- FY2021: 0.05×

- FY2022: 0.05×

- FY2023: 0.06×

- FY2024: 0.06×

- FY2025: 0.05×

### moat: pass

- ROIC, median of available years: 18.8%

- ROIC, second-lowest year: 14.5%

- Typical minus recent gross margin: 4.0 pp

- Typical gross margin (annual median): 15.1%

- Recent gross margin (lower of latest and 3-year median): 11.1%

- Years with nonpositive capital: 0

- Capital spending / revenue: 8.1%

- ROIC including acquisitions, ten-year median: 15.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 15.2%

- FY2017: 14.5%

- FY2018: 16.6%

- FY2019: 26.6%

- FY2020: 28.4%

- FY2021: 18.8%

- FY2022: 18.7%

- FY2023: 21.2%

- FY2024: 22.2%

- FY2025: 14.4%

### economics: pass

- Owner earnings / net income, 5-yr: 0.98×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 56B

- Net income, five-year total: CNY 57B

- Return on incremental invested capital: 30.7%

- Working capital / revenue, annual change: -2.6 pp

- Working capital / revenue, change between three-year averages: -19.6 pp

- Working capital / revenue, final three-year average: 2.7%

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

- FY2021: 0.99×

- FY2022: 0.98×

- FY2023: 0.99×

- FY2024: 0.99×

- FY2025: 0.97×

### management: pass

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

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 15.2% vs 21.2%

- Per-share earnings: 0.23 to 1.85 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.9%

- Ordinary dilution, 5-year annual growth: -0.8%

- Market cap gain: CNY 313B

- Cumulative retained earnings: CNY 63B

- Diluted shares, 10-year annual growth: 1.9%

- Diluted shares, 5-year annual growth: -0.8%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 29.7%

- Per-share value change: CNY 1.62

- Per-share value, starting three-year median: CNY 0.23

- Per-share value, ending three-year median: CNY 1.85

- Buyback history: 0 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 5.3B

- Cumulative net income, 10 years: CNY 75B

- ROIC, first three-year median: 15.2%

- ROIC, last three-year median: 21.2%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.23

- FY2017: CNY 0.25

- FY2018: CNY 0.39

- FY2019: CNY 0.67

- FY2020: CNY 0.94

- FY2021: CNY 0.98

- FY2022: CNY 1.28

- FY2023: CNY 1.53

- FY2024: CNY 1.85

- FY2025: CNY 2.26

### accounting: pass

- Sloan accruals: -0.2%

- Receivables to sales index (DSRI): 1.05×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.04×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.07×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -0.7%

- FY2017: 5.7%

- FY2018: -1.2%

- FY2019: -5.6%

- FY2020: 0.5%

- FY2021: 0.1%

- FY2022: -2.4%

- FY2023: -10.3%

- FY2024: -6.1%

- FY2025: -0.2%

## Holders

## Price story

Down 39% since May 2026 · sales +23.6%

Story as of 2026-10-16T09:59:58.275Z; price observation 2026-10-15.

Price needs cash profits to grow 3.1% a year for ten years

### Sales · FY2024–2025

sales +23.6%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 14B 

- FY2017: CNY 23B 

- FY2018: CNY 36B 

- FY2019: CNY 63B 

- FY2020: CNY 93B 

- FY2021: CNY 154B 

- FY2022: CNY 214B 

- FY2023: CNY 232B 

- FY2024: CNY 269B 

- FY2025: CNY 332B 

### Gross margin · FY2025

gross margin 11.9%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 21.4% 

- FY2017: 19.9% 

- FY2018: 20.9% 

- FY2019: 19.9% 

- FY2020: 18.0% 

- FY2021: 12.2% 

- FY2022: 11.9% 

- FY2023: 11.1% 

- FY2024: 10.1% 

- FY2025: 11.9% 

## Owner memo

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

### How it makes money

Operates in electronic components; annual sales are CNY 332.3 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2025: revenue 332344443143.39; grossProfit 39588532166.68; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002475.SHE: Luxshare Precision Industry Co., Ltd. engages in the research, development, manufacturing, and sales of products in the fields of consumer electronics, communication, auto electronics, and healthcare in China and internationally. The company specializes in precision manufacturing solutions including components and modules, and systems for clients across consumer electronics, automotive electronics, communication and data centres, and other end markets. It engages in the production and sale of connecting cables, connectors, computer peripherals, and plastic and metal products worldwide. The company offers consumer electronics products, including WIFI7 mesh router, bone conduction earphone, TWS headset, smart watch and bracelet; fiber optic router, 5G indoor terminal equipment, 5G wireless network sharer and outdoor router, network surveillance camera, and intelligent doorbell; charging gun, smart helmet, intelligent bicycle lock, balance car, electric scooter, and energy storage power supply; webcam, keyboard, office mouse, conference expansion dock, stylus, cable and connector, conference speaker, business headset, and wireless charging; and game machine expansion dock, intelligent sound box, sweeping robot, intelligent door lock, intelligent doorbell, VR/AR glasses, and e-sport headset. It also provides solutions for smart driving and cockpit, vehicle nerve system, and vehicle dynamics; solutions for communication interconnection, including microwave point-to-point, industrial platform, computing terminal, digital DAS+small cell, BSA, and RRU + Filter; and inter-cabinet connection, switch, server, and inside cabinet solution packages. In addition, the company manufactures and sells AIoT (Artificial Intelligence of Things) solutions. Luxshare Precision Industry Co., Ltd. was incorporated in 2004 and is based in Dongguan, China.

### Why customers stay

Margins ranged from 10.1% to 11.9% during 2023–25; it earns 18.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2023: grossProfit / revenue = 11.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2024: grossProfit / revenue = 10.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2025: grossProfit / revenue = 11.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); 10-year return on capital observations [[2016,0.15168010035048574],[2017,0.1454164782693787],[2018,0.16644671444301687],[2019,0.2663215408785785],[2020,0.2839174735907859],[2021,0.18798485976800408],[2022,0.18734181029961655],[2023,0.21208353493290266],[2024,0.22244320568703946],[2025,0.14399217572997067]]; median 0.18766333503381033. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 12% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); Gross margin observations: [[2021,0.12172357236362041],[2022,0.11907895267391484],[2023,0.11098390266447371]]; range within 2 percentage points.

### Where the cash goes

Spends 28.7% of cash earnings on expansion; earns 30.7% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2016: growth capex 1112930612; upkeep 449846651; owner earnings 1156533487. Growth capex / owner earnings = 0.9622986489452164.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2017: growth capex 2857342783; upkeep 669437310; owner earnings 1690568111. Growth capex / owner earnings = 1.6901672073477316.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2018: growth capex 4148134876; upkeep 1008004124; owner earnings 2722631130. Growth capex / owner earnings = 1.5235757904523777.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2019: growth capex 4844120000; upkeep 1518459000; owner earnings 4713821000. Growth capex / owner earnings = 1.0276419066400697.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2020: growth capex 5222911000; upkeep 2279229000; owner earnings 7225463000. Growth capex / owner earnings = 0.7228479337587086.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2021: growth capex 7625209000; upkeep 4942013000; owner earnings 7007501303.29. Growth capex / owner earnings = 1.0881494943739773.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2022: growth capex 6179565000; upkeep 7404575000; owner earnings 9023223540.118002. Growth capex / owner earnings = 0.6848511479877607.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2023: growth capex 1534713000; upkeep 9852736000; owner earnings 10853806784.40607. Growth capex / owner earnings = 0.14139859226211393.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2024: growth capex 1616297000; upkeep 10494403000; owner earnings 13232172256.295238. Growth capex / owner earnings = 0.1221490295541643.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); FY2025: growth capex 4641155832.109999; upkeep 13263181836.06; owner earnings 16169900190.587732. Growth capex / owner earnings = 0.2870243957851731.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); Incremental return on capital 0.3074890513098694, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); Dividend observations: [[2016,200393155],[2017,283673328],[2018,389948000],[2019,536309000],[2020,1053607000],[2021,773891000],[2022,1796754000],[2023,2441050000],[2024,3667868000],[2025,3277097034.77]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 37.9% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002475.SHE SharesStats.PercentInsiders = 37.9 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 3.1% yearly over ten years; actual growth was 28.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:54.974Z); Ten-year compound average after fade. Initial solved rate 0.03186488866700887. Price 44.65; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.17748061099319207 → FY2025 2.201474773485119. Closing-price date 2026-10-15.

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

- 2016-10: CNY 22.40 per share

- 2016-11: CNY 20.45 per share

- 2016-12: CNY 20.75 per share

- 2017-01: CNY 20.34 per share

- 2017-02: CNY 21.94 per share

- 2017-03: CNY 25.30 per share

- 2017-04: CNY 27.13 per share

- 2017-05: CNY 27.82 per share

- 2017-06: CNY 29.24 per share

- 2017-07: CNY 20.98 per share

- 2017-08: CNY 20.98 per share

- 2017-09: CNY 20.66 per share

- 2017-10: CNY 24.66 per share

- 2017-11: CNY 23.54 per share

- 2017-12: CNY 23.44 per share

- 2018-01: CNY 21.75 per share

- 2018-02: CNY 24.49 per share

- 2018-03: CNY 24.18 per share

- 2018-04: CNY 20.92 per share

- 2018-05: CNY 23.24 per share

- 2018-06: CNY 22.54 per share

- 2018-07: CNY 18.05 per share

- 2018-08: CNY 18.60 per share

- 2018-09: CNY 15.42 per share

- 2018-10: CNY 16.60 per share

- 2018-11: CNY 15.09 per share

- 2018-12: CNY 14.06 per share

- 2019-01: CNY 16.37 per share

- 2019-02: CNY 20.97 per share

- 2019-03: CNY 24.80 per share

- 2019-04: CNY 1,000,000.00 per share

- 2019-05: CNY 21.46 per share

- 2019-06: CNY 24.79 per share

- 2019-07: CNY 21.60 per share

- 2019-08: CNY 24.48 per share

- 2019-09: CNY 26.76 per share

- 2019-10: CNY 31.81 per share

- 2019-11: CNY 34.03 per share

- 2019-12: CNY 36.50 per share

- 2020-01: CNY 45.15 per share

- 2020-02: CNY 47.80 per share

- 2020-03: CNY 38.20 per share

- 2020-04: CNY 47.31 per share

- 2020-05: CNY 44.65 per share

- 2020-06: CNY 51.35 per share

- 2020-07: CNY 58.59 per share

- 2020-08: CNY 55.15 per share

- 2020-09: CNY 57.08 per share

- 2020-10: CNY 54.86 per share

- 2020-11: CNY 51.69 per share

- 2020-12: CNY 56.12 per share

- 2021-01: CNY 53.10 per share

- 2021-02: CNY 46.50 per share

- 2021-03: CNY 33.83 per share

- 2021-04: CNY 36.96 per share

- 2021-05: CNY 39.00 per share

- 2021-06: CNY 46.00 per share

- 2021-07: CNY 36.98 per share

- 2021-08: CNY 33.86 per share

- 2021-09: CNY 35.71 per share

- 2021-10: CNY 38.64 per share

- 2021-11: CNY 39.65 per share

- 2021-12: CNY 49.20 per share

- 2022-01: CNY 46.66 per share

- 2022-02: CNY 43.43 per share

- 2022-03: CNY 31.70 per share

- 2022-04: CNY 30.88 per share

- 2022-05: CNY 33.81 per share

- 2022-06: CNY 33.79 per share

- 2022-07: CNY 33.95 per share

- 2022-08: CNY 37.52 per share

- 2022-09: CNY 29.40 per share

- 2022-10: CNY 28.50 per share

- 2022-11: CNY 30.91 per share

- 2022-12: CNY 31.75 per share

- 2023-01: CNY 32.48 per share

- 2023-02: CNY 29.94 per share

- 2023-03: CNY 30.31 per share

- 2023-04: CNY 26.10 per share

- 2023-05: CNY 27.30 per share

- 2023-06: CNY 32.45 per share

- 2023-07: CNY 32.32 per share

- 2023-08: CNY 33.00 per share

- 2023-09: CNY 29.82 per share

- 2023-10: CNY 32.77 per share

- 2023-11: CNY 31.83 per share

- 2023-12: CNY 34.45 per share

- 2024-01: CNY 25.49 per share

- 2024-02: CNY 27.58 per share

- 2024-03: CNY 29.41 per share

- 2024-04: CNY 29.20 per share

- 2024-05: CNY 31.79 per share

- 2024-06: CNY 39.31 per share

- 2024-07: CNY 38.23 per share

- 2024-08: CNY 39.42 per share

- 2024-09: CNY 43.46 per share

- 2024-10: CNY 42.22 per share

- 2024-11: CNY 38.68 per share

- 2024-12: CNY 40.76 per share

- 2025-01: CNY 40.19 per share

- 2025-02: CNY 43.15 per share

- 2025-03: CNY 40.89 per share

- 2025-04: CNY 30.85 per share

- 2025-05: CNY 30.40 per share

- 2025-06: CNY 34.69 per share

- 2025-07: CNY 36.63 per share

- 2025-08: CNY 45.98 per share

- 2025-09: CNY 64.69 per share

- 2025-10: CNY 63.00 per share

- 2025-11: CNY 57.78 per share

- 2025-12: CNY 56.71 per share

- 2026-01: CNY 51.69 per share

- 2026-02: CNY 50.22 per share

- 2026-03: CNY 49.26 per share

- 2026-04: CNY 67.00 per share

- 2026-05: CNY 73.29 per share

- 2026-06: CNY 70.40 per share

- 2026-07: CNY 57.48 per share

- 2026-08: CNY 57.62 per share

- 2026-09: CNY 49.43 per share

- 2026-10: CNY 46.15 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 3.89 per share, central CNY 4.24 per share, high CNY 4.70 per share

- FY2017: low CNY 4.63 per share, central CNY 6.28 per share, high CNY 7.24 per share

- FY2018: low CNY 6.62 per share, central CNY 9.15 per share, high CNY 10.63 per share

- FY2019: low CNY 10.12 per share, central CNY 14.07 per share, high CNY 16.36 per share

- FY2020: low CNY 14.01 per share, central CNY 19.35 per share, high CNY 22.46 per share

- FY2021: low CNY 23.59 per share, central CNY 32.91 per share, high CNY 38.34 per share

- FY2022: low CNY 32.67 per share, central CNY 45.80 per share, high CNY 53.45 per share

- FY2023: low CNY 24.67 per share, central CNY 33.50 per share, high CNY 38.65 per share

- FY2024: low CNY 31.74 per share, central CNY 41.89 per share, high CNY 47.79 per share

- FY2025: low CNY 35.92 per share, central CNY 48.26 per share, high CNY 55.45 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 2026-10-15T06:39:40.339Z 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.