Sterling Group Holdings Ltd (1825) fair value: what the stock is really worth
As of Nov 13, 2026: fair value (intrinsic value) of Sterling Group Holdings Ltd stock HK$2.57, price HK$1.35, upside +90.9%, quality 24 out of 100. Rating: strongly undervalued. Calculated from audited financials with 4 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 11, 2026.
How to read this chart
60‑month range HK$0.6500 – HK$36.20 · fair‑value band HK$2.35 – HK$2.77 · the HK$1.35 price screens below the HK$2.57 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 4 fiscal years are left out: there the valuation rested on only a fraction of the usual models. As of Nov 11, 2026.
Follow Sterling Group Holdings in your weekly email
Every Wednesday you see whether Sterling Group Holdings is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
Sterling Group Holdings Limited, an investment holding company, manufactures and trades in apparel products in Hong Kong, the United States, and Europe.
Show moreShow less
The company offers outerwear, including jackets, coats, and blazers; bottoms, such as pants, shorts, and skirts; tops comprising shirts, blouses, and tank tops; and other products that include dresses, suits, gowns, scarfs, jumpsuits, sleepwear, masks, and vests. It also licenses trademarks.
The company serves international apparel brand customers. Sterling Group Holdings Limited was founded in 1993 and is headquartered in San Po Kong, Hong Kong.
Stock analysis
Sterling Group Holdings Ltd (1825) currently trades at HK$1.35, while our model-based Fair Value estimate is HK$2.57, implying the stock looks roughly 48% undervalued today.
Show more
Valuation
Bull case: the Growth DCF group reads highest at a median of HK$4.68 per share, and 4 of the 4 models we run sit above the HK$1.35 price.
Bear case: the DCF Models group reads lowest at HK$3.02, and 0 of the 4 models stay below the price. Data coverage for this calculation is low.
Scenario range: HK$2.35 (bear) to HK$2.77 (bull), the price of HK$1.35 sits below 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 24/100 (below-average quality), in the Consumer Cyclical sector.
Weak Growth: Revenue is shrinking: the last year, the last three and the last five years are all negative.
Sterling Group Holdings Ltd reported revenue of HK$328M in FY2026 versus HK$456M in FY2022, a compound −7.9%/yr. Reported net income was −HK$62.3M in FY2026.
Key figures
Market cap HK$55.3M (≈ $7.0M) Micro · P/S ratio 0.22 · Net margin −19.0% · Return on equity −2,647% · Return on assets (EBIT) −5.7% (5-year average) · Operating margin −27.7% · Revenue (TTM) HK$328M · Revenue growth (YoY) −27.2%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 16 out of 100 (medium confidence).
What moves the price
The share trades about 89% below its 52-week high and 107% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −7% fair-value upside, at 91%, 1825 screens cheaper than that median.
Fair Value models
BearHK$2.35Fair Value HK$2.57BullHK$2.77
Price HK$1.35 · Upside +90.9%
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.
Best data coverage
FCF DCFHK$3.64HK$4.62HK$6.2882
Growth DCFHK$3.75HK$4.68HK$6.1480
5Y Revenue ExitHK$2.13HK$2.41HK$2.8274
All 4 models by family
DCF Models
FCF DCFHK$3.64HK$4.62HK$6.2882
5Y Revenue ExitHK$2.13HK$2.41HK$2.8274
10Y Revenue ExitHK$2.76HK$3.02HK$3.2668
Growth DCF
Growth DCFHK$3.75HK$4.68HK$6.1480
The fair value above starts from this blend and is adjusted for dilution from new shares.
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.18/100
Revenue is shrinking: the last year, the last three and the last five years are all negative.
Revenue growth 1 year
−31.4%
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.
−19.3%
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.
−2.5%
Start year 2021 (pandemic). Over 10 years: −5.1% a year
Revenue growth 11 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.
−3.1%
’15
’16
’17
’18
’19
’20
’21
’22
’23
’24
’25
’26
Profit margin (trend) ⓘ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.
−7.9% (2021) → −13.5% (2026)
What shareholders gained per year ⓘWe only publish this rate when it is defensible. Reason: fiscal 2026 is a loss year, no rate is defined from a loss
not computed
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+22.0%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (Hong Kong: IMF forecast 2.1% a year to 2030, 1.8% from 2016 to 2025) that is about +19.5% a year for the price.
Compare Sterling Group Holdings Ltd with another stock
Price, fair value, quality and upside side by side.
Free, no sign-up
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.Apparel Manufacturing · 219 stocks
Beats the industry median on 2/8 measures
Overall it trails its industry peers.
Valuation
Quality Score24 · Bottom 25%
Fair Value upside+90.9% · Top 25%
Profitability
Return on equity (12 months)Negative equity ⓘThe company's equity is below zero, for example after large share buybacks. A ratio to negative equity has no meaning, so we show no number here and do not rank it against the peer group.
Return on assets−28.5% · Bottom 25%
Net margin (12 months)−19.0% · Bottom 25%
Operating margin (12 months)−27.7% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)−27.2% · Bottom 25%
Balance sheet
Debt / equityNegative equity ⓘThe company's equity is below zero, for example after large share buybacks. A ratio to negative equity has no meaning, so we show no number here and do not rank it against the peer group.
Valuation Multiplesvs Apparel Manufacturing median · lower = cheaper
P/BNegative equity ⓘThe company's equity is below zero, for example after large share buybacks. A ratio to negative equity has no meaning, so we show no number here and do not rank it against the peer group.
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). "Sterling Group Holdings Ltd Fair Value". https://www.fairvalue-calculator.com/stock/1825
Frequently asked questions
Is Sterling Group Holdings Ltd (1825) overvalued or undervalued?
As of Nov 11, 2026, our model estimates a fair value of HK$2.57 versus a price of HK$1.35, about +91% upside (undervalued).
What is the fair value of 1825?
Our model-based fair value for Sterling Group Holdings Ltd is HK$2.57 (as of Nov 11, 2026), built from audited fundamentals. The current price: HK$1.35.
What is the quality score of 1825?
Sterling Group Holdings Ltd has a Quality Score of 24/100. 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 Sterling Group Holdings Ltd (1825)?
Our model-based price target is the fair value of HK$2.57 (as of Nov 11, 2026) from 4 valuation models. Cautious scenario HK$2.35, optimistic scenario HK$2.77. It is a calculation from audited fundamentals, not an analyst target.
What is the Sterling Group Holdings Ltd stock forecast for 2026?
Our models put fair value at HK$2.57, about +91% upside versus a price of HK$1.35 (undervalued). Cautious scenario HK$2.35, optimistic scenario HK$2.77. The calculation is refreshed regularly with new filings.
What is the revenue of Sterling Group Holdings Ltd (1825)?
Sterling Group Holdings Ltd reported trailing-twelve-month revenue of about HK$328M (latest available figure, as of Nov 11, 2026).
What growth is priced into Sterling Group Holdings Ltd (1825)?
For today's price to be fair in a discounted-cash-flow model, Sterling Group Holdings Ltd would have to grow free cash flow by 22.0 % per year for five years (discount rate 10.7 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue fell 2.5 % per year. As of Nov 11, 2026.
What discount rate (WACC) does the fair value of 1825 use?
Our models discount Sterling Group Holdings Ltd at 10.7 %: a base by market capitalisation (nano), damped by beta 1.17, country premium for Hong Kong. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Sterling Group Holdings Ltd that is +22.0 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (10.7 %) and the same formula as our fair value.
How much growth has Sterling Group Holdings Ltd (1825) delivered so far?
Over the past 5 years revenue at Sterling Group Holdings Ltd shrank 2.5 % a year. The price currently implies free-cash-flow growth of +22.0 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Sterling Group Holdings Ltd (1825) growing?
The median revenue growth in the sector is +4.4 % a year. That is the yardstick for the growth priced into Sterling Group Holdings Ltd (+22.0 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Sterling Group Holdings Ltd (1825)?
The free-cash-flow yield on the price is 5.44 %: that much free cash flow Sterling Group Holdings Ltd produces per unit of market value. When it exceeds the discount rate of our models (10.7 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Sterling Group Holdings Ltd (1825)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Sterling Group Holdings Ltd it is HK$2.57 per share (as of Nov 11, 2026), against a price of HK$1.35. It is the blended result of 4 valuation models in 2 families (DCF Models, Growth DCF).
Is Sterling Group Holdings Ltd stock overvalued or undervalued in 2026?
As of Nov 11, 2026, 1825 trades below its calculated fair value: price HK$1.35, fair value HK$2.57, a gap of about +91% (undervalued). 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 1825?
No. The price is what the market pays today (HK$1.35); the fair value is what the company's own numbers justify (HK$2.57). For Sterling Group Holdings Ltd the two are HK$1.22 per share apart. That gap is exactly why we show both numbers side by side.
How much is Sterling Group Holdings Ltd worth?
The market values Sterling Group Holdings Ltd at about HK$55.3M (market capitalisation, as of Nov 11, 2026). Per share that is HK$1.35; our models calculate a fair value of HK$2.57 per share.
What do the bullish and bearish scenarios say about 1825?
Our models span a range for Sterling Group Holdings Ltd: cautious scenario HK$2.35, base HK$2.57, optimistic HK$2.77 per share (as of Nov 11, 2026, price HK$1.35). The range comes from different growth and margin assumptions, not from analyst opinions.
How solid is the balance sheet of Sterling Group Holdings Ltd (1825)?
Balance-sheet figures for Sterling Group Holdings Ltd (as of Nov 11, 2026): negative equity, so no return on equity and no debt-to-equity ratio. They feed the Quality Score of 24/100, which measures business quality independently of the share price.
How far is 1825 from its 52-week high?
Sterling Group Holdings Ltd trades at HK$1.35, about 89% below its 52-week high of HK$12.65 and 107% above the low of HK$0.6500 (as of Nov 13, 2026). Distance from the high says nothing about value: that is what the fair value of HK$2.57 is for.
Which stocks are comparable to Sterling Group Holdings Ltd?
From the same area (Consumer Cyclical) we also value Ralph Lauren Corporation, Moncler S.p.A, LPP SA, Levi Strauss & Co, 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 Sterling Group Holdings Ltd stock attractive at the current price?
The data as of Nov 11, 2026: price HK$1.35, calculated fair value HK$2.57 (+91%), Quality Score 24/100, from 4 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 1825 calculated?
We run Sterling Group Holdings Ltd through 4 models from 2 families: DCF Models, Growth DCF. Every model gets the same audited fundamentals; the fair value of HK$2.57 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 14.1% above its aggregate fair value. Sterling Group Holdings Ltd currently trades 48% below its own fair value, and the market average says nothing about that. 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 Sterling Group Holdings Ltd (1825)?
The closing price on Nov 13, 2026 was HK$1.35. Our model-based fair value is HK$2.57, about +91% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Sterling Group Holdings Ltd right now?
The large discount to fair value meets weak quality (24/100). That raises the risk this is a value trap rather than a bargain. The price is below even our cautious bear case (HK$2.35). The market is more pessimistic than our downside scenario. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
Key figures of Sterling Group Holdings Ltd
How large is the market capitalisation of Sterling Group Holdings Ltd (1825)?
The market capitalisation of Sterling Group Holdings Ltd is HK$55.3M (≈ $7.0M). 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 Sterling Group Holdings Ltd (1825)?
The price-to-sales ratio of Sterling Group Holdings Ltd is 0.22 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What is the net margin of Sterling Group Holdings Ltd (1825)?
The net margin of Sterling Group Holdings Ltd is −19.0% (fiscal year 2026). 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 Sterling Group Holdings Ltd (1825)?
The return on equity (ROE) of Sterling Group Holdings Ltd is −2,647% (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 Sterling Group Holdings Ltd (1825)?
On an EBIT basis the return on assets of Sterling Group Holdings Ltd is −5.7% (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 Sterling Group Holdings Ltd (1825)?
The operating margin of Sterling Group Holdings Ltd is −27.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Sterling Group Holdings Ltd (1825)?
Revenue at Sterling Group Holdings Ltd is down 27.2% versus a year earlier (3y avg −19.3%). 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 Sterling Group Holdings Ltd (1825)?
Earnings per share at Sterling Group Holdings Ltd are growing 33.5% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Sterling Group Holdings Ltd (1825) carry?
The net debt of Sterling Group Holdings Ltd is HK$40.1M (fiscal year 2026, ≈ 17.2 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
Free · no account needed
Watch Sterling Group Holdings Ltd in the live analysis
One click puts Sterling Group Holdings Ltd on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 27,000+ stock screener.
Thin data
Nov 11, 2026