# Thunder Software Technology (300496.SHE)

Canonical: https://gigainvestors.com/s/300496.SHE

Analysis as of: 2026-10-16T07:38:44.511Z. Financial observations: FY2011–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

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

Share price: CNY 49.91 per share; close as of 2026-10-15.

Estimated value: low CNY 15.35 per share, central CNY 16.82 per share, high CNY 18.77 per share. Buy at or below the central value CNY 16.82 per share. Valuation as of 2026-10-16T07:38:44.511Z; scenarios are not confidence intervals.

Expected annual return: 4.8% at the stated quote. About 4.8% 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

- 1 revenue decline in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 1

- Years with a net loss: 0

- Operating margin variation: 0.33×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.10×

- FY2017: 0.07×

- FY2018: 0.12×

- FY2019: 0.13×

- FY2020: 0.18×

- FY2021: 0.16×

- FY2022: 0.14×

- FY2023: 0.08×

- FY2024: 0.08×

- FY2025: 0.06×

### moat: fail

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 9.1pp below the typical margin (limit 4pp)

- ROIC, median of available years: 18.3%

- ROIC, second-lowest year: 6.9%

- Typical minus recent gross margin: 9.1 pp

- Typical gross margin (annual median): 40.8%

- Recent gross margin (lower of latest and 3-year median): 31.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 9.0%

- ROIC including acquisitions, ten-year median: 11.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 26.8%

- FY2017: 13.3%

- FY2018: 21.5%

- FY2019: 22.0%

- FY2020: 20.2%

- FY2021: 18.6%

- FY2022: 18.0%

- FY2023: 8.7%

- FY2024: 6.9%

- FY2025: 6.4%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.27×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 727M

- Net income, five-year total: CNY 2.7B

- Return on incremental invested capital: 6.7%

- Working capital / revenue, annual change: 1.2 pp

- Working capital / revenue, change between three-year averages: 9.3 pp

- Working capital / revenue, final three-year average: 42.9%

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

- FY2021: 0.66×

- FY2022: 0.73×

- FY2023: 0.58×

- FY2024: -1.34×

- FY2025: 0.04×

### 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: 21.5% vs 6.9%

- Per-share earnings: 0.29 to 0.97 (three-year endpoint medians)

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

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.7%

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

- Market cap gain: CNY 9.5B

- Cumulative retained earnings: CNY 3.0B

- Diluted shares, 10-year annual growth: 1.7%

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

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 16.3%

- Per-share value change: CNY 0.68

- Per-share value, starting three-year median: CNY 0.29

- Per-share value, ending three-year median: CNY 0.97

- Buybacks concentrated in cheaper years (correlation): 0.94

- Average buyback yield: 0.1%

- Buyback history: 6 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 2.6B

- Cumulative net income, 10 years: CNY 3.8B

- ROIC, first three-year median: 21.5%

- ROIC, last three-year median: 6.9%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.29

- FY2017: CNY 0.19

- FY2018: CNY 0.41

- FY2019: CNY 0.59

- FY2020: CNY 1.05

- FY2021: CNY 1.58

- FY2022: CNY 1.76

- FY2023: CNY 1.02

- FY2024: CNY 0.88

- FY2025: CNY 0.97

### accounting: pass

- Sloan accruals: -1.7%

- Receivables to sales index (DSRI): 0.76×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.51×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.25×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 2.4%

- FY2017: -4.2%

- FY2018: -3.3%

- FY2019: 3.3%

- FY2020: 1.8%

- FY2021: 7.0%

- FY2022: 2.5%

- FY2023: -2.5%

- FY2024: -2.8%

- FY2025: -1.7%

## Holders

## Price story

Down 68% since Nov 2021 · sales +44.4%

Story as of 2026-10-16T10:00:10.197Z; price observation 2026-10-15.

Price needs cash profits to grow 17.7% a year for ten years

### Sales · FY2024–2025

sales +44.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 848M 

- FY2017: CNY 1.2B 

- FY2018: CNY 1.5B 

- FY2019: CNY 1.8B 

- FY2020: CNY 2.6B 

- FY2021: CNY 4.1B 

- FY2022: CNY 5.4B 

- FY2023: CNY 5.2B 

- FY2024: CNY 5.4B 

- FY2025: CNY 7.8B 

### Gross margin · FY2025

gross margin 31.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 46.4% 

- FY2017: 38.3% 

- FY2018: 43.2% 

- FY2019: 44.3% 

- FY2020: 45.9% 

- FY2021: 40.7% 

- FY2022: 40.9% 

- FY2023: 38.6% 

- FY2024: 35.7% 

- FY2025: 31.7% 

## Owner memo

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

### How it makes money

Operates in software application; annual sales are CNY 7.8 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2025: revenue 7778043920.32; grossProfit 2463342204.75; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 300496.SHE: Thunder Software Technology Co.,Ltd. provides operating systems and on-device AI products and technologies in China, Europe, the United States, Japan, and internationally. The company offers pre and post silicon products; Smart Robotics Solutions, such as high, medium, and low computing power system on module and robot brain solutions; Edge AI station, IoT harbor, AIoT turnkey platform products; and Kanzi-3D engine and HMI toolchain. It also provides vehicle OS and HPC products; smart cockpit platforms, smart drive and vision, automatic test product toolchain; IoT OS products; IoT computing platform; and smart devices, including XR, handy terminals, video conference and live streaming, and arm server, as well as smart wearables, cameras, and speakers. In addition, the company offers system software solutions and customization comprising smartphone solutions and carrier certification services. Thunder Software Technology Co.,Ltd. was founded in 2008 and is headquartered in Beijing, China.

### Why customers stay

Margins ranged from 31.7% to 38.6% during 2023–25; it earns 18.3% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2023: grossProfit / revenue = 38.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2024: grossProfit / revenue = 35.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2025: grossProfit / revenue = 31.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); 10-year return on capital observations [[2016,0.2684439252369707],[2017,0.132632645820706],[2018,0.21538953567650002],[2019,0.22009574233532475],[2020,0.20151480943414318],[2021,0.1862901414387261],[2022,0.18037694113454192],[2023,0.08703753709066132],[2024,0.06865591431273319],[2025,0.06405633222377285]]; median 0.183333541286634. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Earns 6.7% on new investment; paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2016: growth capex 14758259.100000001; upkeep 13137997; owner earnings 120282202. Growth capex / owner earnings = 0.12269694813202706.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2017: growth capex 0; upkeep 22284068; owner earnings 105503443. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2018: growth capex 0; upkeep 38075852; owner earnings 195300901. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2019: growth capex 6222245; upkeep 81417637; owner earnings 237638175. Growth capex / owner earnings = 0.0261836929188671.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2020: growth capex 74933889.32972741; upkeep 330864353.6702726; owner earnings 203470791.3297274. Growth capex / owner earnings = 0.3682783599553409.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2021: growth capex 162629277.15064317; upkeep 299328465.84935683; owner earnings 427875610.92864317. Growth capex / owner earnings = 0.3800854103314733.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2022: growth capex 164870908.06870145; upkeep 350645225.93129855; owner earnings 558911292.3607014. Growth capex / owner earnings = 0.29498582390834865.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2023: growth capex 0; upkeep 445751260; owner earnings 268194389.594. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); FY2025: growth capex 394250899.6971929; upkeep 947073682.4628072; owner earnings 20162663.597192764. Growth capex / owner earnings = 19.55351274878604.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); Incremental return on capital 0.06677988816811894, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); Dividend observations: [[2016,51508998.8],[2017,43999502.3],[2018,84221037],[2019,53828437],[2020,68621244],[2021,93093023],[2022,129642650],[2023,154170192],[2024,171740760],[2025,28967924.21]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 28.6% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 300496.SHE SharesStats.PercentInsiders = 28.566000000000003 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 17.7% yearly over ten years; actual decline was 16.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:38:44.511Z); Ten-year compound average after fade. Initial solved rate 0.24308414261348366. Price 49.91; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.2534804146368628 → FY2025 0.04360515343266047. Closing-price date 2026-10-15.

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

- 2016-10: CNY 52.28 per share

- 2016-11: CNY 52.28 per share

- 2016-12: CNY 52.28 per share

- 2017-01: CNY 33.82 per share

- 2017-02: CNY 34.02 per share

- 2017-03: CNY 34.07 per share

- 2017-04: CNY 31.14 per share

- 2017-05: CNY 28.63 per share

- 2017-06: CNY 28.30 per share

- 2017-07: CNY 27.64 per share

- 2017-08: CNY 33.01 per share

- 2017-09: CNY 39.26 per share

- 2017-10: CNY 34.06 per share

- 2017-11: CNY 33.91 per share

- 2017-12: CNY 32.32 per share

- 2018-01: CNY 28.16 per share

- 2018-02: CNY 28.60 per share

- 2018-03: CNY 36.23 per share

- 2018-04: CNY 35.77 per share

- 2018-05: CNY 29.33 per share

- 2018-06: CNY 29.47 per share

- 2018-07: CNY 27.44 per share

- 2018-08: CNY 28.36 per share

- 2018-09: CNY 26.43 per share

- 2018-10: CNY 22.60 per share

- 2018-11: CNY 23.14 per share

- 2018-12: CNY 22.10 per share

- 2019-01: CNY 26.91 per share

- 2019-02: CNY 34.50 per share

- 2019-03: CNY 34.55 per share

- 2019-04: CNY 31.52 per share

- 2019-05: CNY 28.76 per share

- 2019-06: CNY 29.08 per share

- 2019-07: CNY 32.20 per share

- 2019-08: CNY 34.56 per share

- 2019-09: CNY 36.50 per share

- 2019-10: CNY 38.95 per share

- 2019-11: CNY 44.63 per share

- 2019-12: CNY 45.14 per share

- 2020-01: CNY 58.10 per share

- 2020-02: CNY 69.30 per share

- 2020-03: CNY 52.61 per share

- 2020-04: CNY 62.00 per share

- 2020-05: CNY 57.70 per share

- 2020-06: CNY 77.68 per share

- 2020-07: CNY 96.99 per share

- 2020-08: CNY 91.82 per share

- 2020-09: CNY 86.32 per share

- 2020-10: CNY 85.64 per share

- 2020-11: CNY 88.29 per share

- 2020-12: CNY 117.00 per share

- 2021-01: CNY 147.21 per share

- 2021-02: CNY 120.30 per share

- 2021-03: CNY 121.85 per share

- 2021-04: CNY 134.35 per share

- 2021-05: CNY 150.92 per share

- 2021-06: CNY 157.06 per share

- 2021-07: CNY 146.02 per share

- 2021-08: CNY 118.55 per share

- 2021-09: CNY 125.19 per share

- 2021-10: CNY 136.00 per share

- 2021-11: CNY 156.96 per share

- 2021-12: CNY 138.42 per share

- 2022-01: CNY 138.00 per share

- 2022-02: CNY 139.44 per share

- 2022-03: CNY 99.20 per share

- 2022-04: CNY 94.06 per share

- 2022-05: CNY 109.90 per share

- 2022-06: CNY 130.48 per share

- 2022-07: CNY 142.18 per share

- 2022-08: CNY 122.97 per share

- 2022-09: CNY 105.58 per share

- 2022-10: CNY 98.74 per share

- 2022-11: CNY 114.50 per share

- 2022-12: CNY 100.30 per share

- 2023-01: CNY 109.73 per share

- 2023-02: CNY 95.60 per share

- 2023-03: CNY 108.35 per share

- 2023-04: CNY 84.49 per share

- 2023-05: CNY 97.80 per share

- 2023-06: CNY 96.35 per share

- 2023-07: CNY 90.35 per share

- 2023-08: CNY 80.07 per share

- 2023-09: CNY 76.57 per share

- 2023-10: CNY 70.19 per share

- 2023-11: CNY 80.20 per share

- 2023-12: CNY 80.06 per share

- 2024-01: CNY 50.08 per share

- 2024-02: CNY 60.66 per share

- 2024-03: CNY 51.27 per share

- 2024-04: CNY 48.71 per share

- 2024-05: CNY 56.49 per share

- 2024-06: CNY 45.59 per share

- 2024-07: CNY 45.38 per share

- 2024-08: CNY 34.32 per share

- 2024-09: CNY 52.55 per share

- 2024-10: CNY 58.01 per share

- 2024-11: CNY 55.05 per share

- 2024-12: CNY 59.56 per share

- 2025-01: CNY 62.14 per share

- 2025-02: CNY 61.59 per share

- 2025-03: CNY 57.46 per share

- 2025-04: CNY 55.39 per share

- 2025-05: CNY 55.21 per share

- 2025-06: CNY 57.22 per share

- 2025-07: CNY 58.62 per share

- 2025-08: CNY 79.03 per share

- 2025-09: CNY 77.68 per share

- 2025-10: CNY 68.76 per share

- 2025-11: CNY 65.38 per share

- 2025-12: CNY 67.50 per share

- 2026-01: CNY 75.26 per share

- 2026-02: CNY 73.00 per share

- 2026-03: CNY 58.42 per share

- 2026-04: CNY 63.91 per share

- 2026-05: CNY 63.18 per share

- 2026-06: CNY 61.79 per share

- 2026-07: CNY 60.38 per share

- 2026-08: CNY 59.49 per share

- 2026-09: CNY 52.90 per share

- 2026-10: CNY 51.89 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 6.28 per share, central CNY 6.77 per share, high CNY 7.43 per share

- FY2017: low CNY 8.19 per share, central CNY 8.89 per share, high CNY 9.82 per share

- FY2018: low CNY 7.77 per share, central CNY 8.54 per share, high CNY 9.57 per share

- FY2019: low CNY 8.38 per share, central CNY 9.29 per share, high CNY 10.50 per share

- FY2020: low CNY 13.71 per share, central CNY 14.94 per share, high CNY 16.57 per share

- FY2021: low CNY 19.13 per share, central CNY 25.20 per share, high CNY 28.74 per share

- FY2022: low CNY 27.95 per share, central CNY 35.47 per share, high CNY 39.84 per share

- FY2023: low CNY 25.02 per share, central CNY 30.46 per share, high CNY 34.00 per share

- FY2024: low CNY 19.41 per share, central CNY 24.68 per share, high CNY 27.75 per share

- FY2025: low CNY 14.49 per share, central CNY 15.79 per share, high CNY 17.51 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

## 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.