China Leon Inspection Holding Ltd (1586) fair value: what the stock is really worth
As of Nov 9, 2026: fair value (intrinsic value) of China Leon Inspection Holding Ltd stock HK$0.87, price HK$1.36, that is 36.0% below the price, quality 48 out of 100. Rating: strongly overvalued. Calculated from audited financials with 16 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range HK$0.9917 – HK$3.24 · fair‑value band HK$0.6500 – HK$1.09 · the HK$1.36 price screens above the HK$0.8700 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
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China Leon Inspection Holding Limited, an investment holding company, provides inspection, testing, technical, and consulting services in Greater China, Singapore, and internationally.
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The company offers coal inspection and big data, metals and minerals inspection, petrochemical product inspection, climate change and sustainable development, power and energy, and leak detection and repair services, as well as integrated services in the environmental field.
It also provides standard technical; inspection and testing; inspection technical advisory; and quality inspection services. It serves energy and bulk industries, such as coal, oil, power, and mineral product.
The company was founded in 2009 and is headquartered in Beijing, the People's Republic of China.
Stock analysis
China Leon Inspection Holding Ltd (1586) currently trades at HK$1.36, while our model-based Fair Value estimate is HK$0.8700, 36% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of HK$1.38 per share, and 2 of the 16 models we run sit above the HK$1.36 price.
Bear case: the Dividend Discount group reads lowest at HK$0.1000, and 14 of the 16 models stay below the price. Data coverage for this calculation is low.
Scenario range: HK$0.6500 (bear) to HK$1.09 (bull), the price of HK$1.36 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 48/100 (below-average quality), in the Industrials sector.
Expensive Growth: The company is growing, but growth may require heavy reinvestment or weak cash conversion.
China Leon Inspection Holding Ltd reported revenue of HK$1.2B in FY2025 versus HK$819M in FY2021, a compound +10.1%/yr. Reported net income was HK$34.8M in FY2025, compounding −8.6%/yr from FY2021.
Key figures
Market cap HK$833M (≈ $106M) Micro · P/E ratio 21.3 · P/S ratio 0.61 · Dividend yield 1.0% · Net margin 2.9% · Return on equity 10.7% · Return on assets (EBIT) 18.8% (5-year average) · Operating margin 10.6%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 40 out of 100 (low confidence).
What moves the price
The share trades about 51% below its 52-week high and 8% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −12% fair-value upside, at −36%, 1586 screens richer than that median.
Fair Value models
BearHK$0.6500Fair Value HK$0.8700BullHK$1.09
Price HK$1.36 · Downside -36.0%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Revenue growth 1 year
+1.6%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+13.3%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+17.1%
Start year 2020 (pandemic). Over 10 years: +22.7% a year
Revenue growth 12 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+19.0%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−8.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year−9.0%
Dividend (yield on the price)1.0%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−9.0% vs −4.9%, slowing
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.14% → 7%
Compare China Leon Inspection Holding Ltd with another stock
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Specialty Business Services · 230 stocks
Beats the industry median on 8/13 measures
Overall it ranks above its industry peers.
Valuation
Quality Score48 · Below median
Fair Value upside−36.0% · Bottom 25%
Profitability
Return on equity (12 months)10.7% · Above median
Return on assets6.9% · Above median
Net margin (12 months)5.6% · Above median
Operating margin (12 months)10.6% · Above median
Growth and dividend
Revenue growth (quarter YoY)13.1% · Above median
Dividend yield (12 months)1.0% · Bottom 25%
Balance sheet
Debt / equity0.10× · Below median
Valuation Multiplesvs Specialty Business Services median · lower = cheaper
P/E (12 months)21.3× · Pricier than median
P/B2.07× · Pricier than median
P/S (12 months)1.07× · Cheaper than median
EV/EBITDA8.3× · Cheaper than median
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 44
FUTURE (revenue growth)66· sector 34
PAST (return on equity)43· sector 38
HEALTH (low debt)95· sector 94
DIVIDEND (yield)20· sector 57
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "China Leon Inspection Holding Ltd Fair Value". https://www.fairvalue-calculator.com/stock/1586
Frequently asked questions
Is China Leon Inspection Holding Ltd (1586) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of HK$0.8700 versus a price of HK$1.36, about 36% lower (overvalued).
What is the fair value of 1586?
Our model-based fair value for China Leon Inspection Holding Ltd is HK$0.8700 (as of Nov 8, 2026), built from audited fundamentals. The current price: HK$1.36.
What is the quality score of 1586?
China Leon Inspection Holding Ltd has a Quality Score of 48/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for China Leon Inspection Holding Ltd (1586)?
Our model-based price target is the fair value of HK$0.8700 (as of Nov 8, 2026) from 16 valuation models. Cautious scenario HK$0.6500, optimistic scenario HK$1.09. It is a calculation from audited fundamentals, not an analyst target.
What is the China Leon Inspection Holding Ltd stock forecast for 2026?
Our models put fair value at HK$0.8700, about 36% lower versus a price of HK$1.36 (overvalued). Cautious scenario HK$0.6500, optimistic scenario HK$1.09. The calculation is refreshed regularly with new filings.
What is the revenue of China Leon Inspection Holding Ltd (1586)?
China Leon Inspection Holding Ltd reported trailing-twelve-month revenue of about HK$1.4B (latest available figure, as of Nov 8, 2026).
Does China Leon Inspection Holding Ltd pay a dividend?
China Leon Inspection Holding Ltd currently shows a dividend yield of 0.99% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of China Leon Inspection Holding Ltd (1586)?
China Leon Inspection Holding Ltd has a dividend yield of 1.0%.
What is the intrinsic value of China Leon Inspection Holding Ltd (1586)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For China Leon Inspection Holding Ltd it is HK$0.8700 per share (as of Nov 8, 2026), against a price of HK$1.36. It is the blended result of 16 valuation models in 6 families (Earnings-Based, Dividend Discount, Multiples, Asset-Based, Economic Profit, Growth Earnings).
Is China Leon Inspection Holding Ltd stock overvalued or undervalued in 2026?
As of Nov 8, 2026, 1586 trades above its calculated fair value: price HK$1.36, fair value HK$0.8700, a gap of about −36% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 1586?
No. The price is what the market pays today (HK$1.36); the fair value is what the company's own numbers justify (HK$0.8700). For China Leon Inspection Holding Ltd the two are HK$0.4900 per share apart. That gap is exactly why we show both numbers side by side.
How much is China Leon Inspection Holding Ltd worth?
The market values China Leon Inspection Holding Ltd at about HK$833M (market capitalisation, as of Nov 8, 2026). Per share that is HK$1.36; our models calculate a fair value of HK$0.8700 per share.
What do the bullish and bearish scenarios say about 1586?
Our models span a range for China Leon Inspection Holding Ltd: cautious scenario HK$0.6500, base HK$0.8700, optimistic HK$1.09 per share (as of Nov 8, 2026, price HK$1.36). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 1586?
China Leon Inspection Holding Ltd trades at a price-to-earnings ratio of 21.3 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of HK$0.8700 is built from several models across several years. Other multiples: P/B 2.1, P/S 1.1, EV/EBITDA 8.3.
How solid is the balance sheet of China Leon Inspection Holding Ltd (1586)?
Balance-sheet figures for China Leon Inspection Holding Ltd (as of Nov 8, 2026): return on equity 10.7%, debt of 0.10 per unit of equity. They feed the Quality Score of 48/100, which measures business quality independently of the share price.
How far is 1586 from its 52-week high?
China Leon Inspection Holding Ltd trades at HK$1.36, about 51% below its 52-week high of HK$2.80 and 8% above the low of HK$1.26 (as of Nov 9, 2026). Distance from the high says nothing about value: that is what the fair value of HK$0.8700 is for.
Which stocks are comparable to China Leon Inspection Holding Ltd?
From the same area (Industrials) we also value Cintas Corporation, Thomson Reuters Corporation, Copart, Inc, Global Payments Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is China Leon Inspection Holding Ltd stock attractive at the current price?
The data as of Nov 8, 2026: price HK$1.36, calculated fair value HK$0.8700 (−36%), Quality Score 48/100, from 16 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 1586 calculated?
We run China Leon Inspection Holding Ltd through 16 models from 6 families: Earnings-Based, Dividend Discount, Multiples, Asset-Based, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of HK$0.8700 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. China Leon Inspection Holding Ltd itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of China Leon Inspection Holding Ltd (1586)?
The closing price on Nov 9, 2026 was HK$1.36. Our model-based fair value is HK$0.8700, about 36% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with China Leon Inspection Holding Ltd right now?
The price sits above even our optimistic bull case (HK$1.09). The favourable scenario is already priced in. Weak quality (48/100) and above fair value at the same time, the margin of safety is missing on both counts. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
Where does the earnings growth of China Leon Inspection Holding Ltd (1586) come from?
Earnings per share at China Leon Inspection Holding Ltd grew +0.8 % a year from 2014 to 2025. Broken into its drivers: revenue per share +18.7 %, EBIT margin −4.9 %, tax rate −2.6 %, residual (interest, one-offs) −8.4 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of China Leon Inspection Holding Ltd
How large is the market capitalisation of China Leon Inspection Holding Ltd (1586)?
The market capitalisation of China Leon Inspection Holding Ltd is HK$833M (≈ $106M). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of China Leon Inspection Holding Ltd (1586)?
The price-to-sales ratio of China Leon Inspection Holding Ltd is 0.61 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What is the dividend yield of China Leon Inspection Holding Ltd (1586)?
The dividend yield of China Leon Inspection Holding Ltd is 1.0%. Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of China Leon Inspection Holding Ltd (1586)?
The net margin of China Leon Inspection Holding Ltd is 2.9% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of China Leon Inspection Holding Ltd (1586)?
The return on equity (ROE) of China Leon Inspection Holding Ltd is 10.7% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of China Leon Inspection Holding Ltd (1586)?
On an EBIT basis the return on assets of China Leon Inspection Holding Ltd is 18.8% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of China Leon Inspection Holding Ltd (1586)?
The operating margin of China Leon Inspection Holding Ltd is 10.6% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at China Leon Inspection Holding Ltd (1586)?
Revenue at China Leon Inspection Holding Ltd is growing +13.1% versus a year earlier (3y avg +13.3%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at China Leon Inspection Holding Ltd (1586)?
Earnings per share at China Leon Inspection Holding Ltd are growing +7.4% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does China Leon Inspection Holding Ltd (1586) generate?
The free cash flow of China Leon Inspection Holding Ltd is −HK$17.6M (fiscal year 2025). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net debt does China Leon Inspection Holding Ltd (1586) carry?
The net debt of China Leon Inspection Holding Ltd is HK$3.8M (fiscal year 2025). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Thin data
Nov 8, 2026