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China Pipe Group (0380) Fair Value & Analysis

Consumer Cyclical · HK · Market cap HK$179M

CP China Pipe Group 0380 · HK
PriceHK$0.1240
Fair ValueHK$0.2088
Upside+68.4%
Quality65/100
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Mixed Growth
Thin margins · 8.7% net margin
Low debt · generates free cash flow
Ranks above peers (10/13)
Narrow moat 38/100
Evidence: High Range HK$0.1566 – HK$0.2610 Share as image

Fair value as of: Aug 13, 2026

From 24 valuation models · updated 2 days ago

Fair value updated Aug 13, 2026, revised from HK$0.2066 to HK$0.2088 (+1.1%) since Aug 2, 2026. Share price +5.1% over the past month.

A solid business, screening 68% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (HK$0.1566). The market is more pessimistic than our downside scenario.
  • Solid quality (65/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

HK$0.1850 HK$0.0580 Fair Value HK$0.2088 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range HK$0.0580 – HK$0.1850 · fair‑value band HK$0.1566 – HK$0.2610 · the HK$0.1240 price screens below the HK$0.2088 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

China Pipe Group (0380) currently trades at HK$0.1240, while our model-based Fair Value estimate is HK$0.2088, implying the stock looks roughly 68.4% undervalued today. The Quality Score stands at 65/100 (solid quality), in the Consumer Cyclical sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, China Pipe Group generated revenue of HK$645M at a net margin of 8.7%. Revenue declined 22.4% year over year. It earns a return on equity of 6.6%. The balance sheet holds a net cash position of HK$389M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.1566 (bear case) to HK$0.2610 (bull case); at HK$0.1240, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 45% below its 52-week high and 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -21% fair-value upside, at 68%, 0380 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model 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. Evidence
Highest evidence
Growth DCF HK$1.41 HK$1.66 HK$1.97 80
Residual Income HK$0.4700 HK$0.4600 HK$0.4200 76
Rev-Margin DCF HK$1.01 HK$1.21 HK$1.44 74
All 24 models by family
DCF Models
FCF DCF HK$1.39 HK$1.66 HK$2.01 38
Owner Earnings HK$0.8100 HK$0.9300 HK$1.08 31
5Y Revenue Exit HK$1.01 HK$1.19 HK$1.40 39
5Y EBITDA Exit HK$1.11 HK$1.35 HK$1.62 41
5Y P/E Exit HK$1.13 HK$1.39 HK$1.66 38
10Y Revenue Exit HK$1.18 HK$1.34 HK$1.52 36
10Y EBITDA Exit HK$1.23 HK$1.43 HK$1.65 37
10Y P/E Exit HK$1.25 HK$1.46 HK$1.67 35
Earnings-Based
Graham-Dodd HK$0.2900 HK$0.5600 HK$0.7000 54
EPV HK$0.5900 HK$0.6200 HK$0.6500 59
Dividend Discount
Gordon GGM HK$0.0700 HK$0.0800 HK$0.1000 70
DDM Multi-Stage HK$0.0700 HK$0.0800 HK$0.1000 61
Multiples
P/E Multiple HK$0.6600 HK$0.8800 HK$1.10 63
P/S Multiple HK$0.5400 HK$0.7100 HK$0.8900 58
P/B Multiple HK$0.5400 HK$0.7100 HK$0.8900 55
EV/EBIT HK$0.8700 HK$1.05 HK$1.23 53
EV/EBITDA HK$0.9500 HK$1.15 HK$1.35 54
EV/Revenue HK$0.7200 HK$0.8800 HK$1.05 43
Asset-Based
NCAV (Graham) HK$0.3300 HK$0.4400 HK$0.6600 50
Growth DCF
Growth DCF HK$1.41 HK$1.66 HK$1.97 80
Rev-Margin DCF HK$1.01 HK$1.21 HK$1.44 74
Economic Profit
Residual Income HK$0.4700 HK$0.4600 HK$0.4200 76
ROIC Compounder HK$0.5900 HK$0.6200 HK$0.6500 72
Growth Earnings
Growth-Adj P/E HK$0.4800 HK$0.6800 HK$0.8800 68

Widest divergence: DCF Models (HK$1.35) versus Dividend Discount (HK$0.0800). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) HK$645M
Revenue growth (YoY) -22.4%
Net margin 8.7%
Return on equity 6.6%
Free cash flow HK$184M FY2025
P/E ratio 3.4 as of Jul 1, 2026
More key figures
Operating margin 7.2%
EPS (TTM) HK$0.0200
EPS growth (YoY) -52.8%
Net cash HK$389M FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 65/100

Of which business quality 68 · Market factors (momentum, volatility) 28

Profitability 39
Margins and returns on capital today
Quality Growth 15
Are margins and returns improving?
Cashflow 99
Earnings quality: real cash, not paper profit
Fin. Strength 90
Balance sheet, leverage, solvency risk
Investment 76
Disciplined investing over empire-building
Low Volatility 58
Calm price path (market factor)
Momentum 21
Price trend over the last 3–12 months (market factor)
52W Momentum 7
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

China Pipe Group Limited, an investment holding company, engages in the trading of construction materials in Hong Kong, Macau, and Mainland China. It engages in the wholesale and retail of copper tube, ductile iron, and steel pipe related products, as well as fittings. The company also provides warehousing and logistics services.

Full company description

China Pipe Group Limited, an investment holding company, engages in the trading of construction materials in Hong Kong, Macau, and Mainland China. It engages in the wholesale and retail of copper tube, ductile iron, and steel pipe related products, as well as fittings. The company also provides warehousing and logistics services. It offers its products to contractors, designers, consultants, and government agencies. The company was formerly known as Softpower International Limited and changed its name to China Pipe Group Limited in June 2021. China Pipe Group Limited was founded in 1949 and is headquartered in Mong Kok, Hong Kong.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Pipe Group reported revenue of HK$645M in FY2025 versus HK$682M in FY2021, a compound −1.4%/yr. Reported net income was HK$56.0M in FY2025, compounding −0.2%/yr from FY2021.

Growth Quality 64/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
HK$645M
Latest YoY
−17.6%
Avg. growth/yr (3Y) 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.
+0.5%
Avg. growth/yr (5Y) 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.
+5.4%
Avg. growth/yr (25Y) 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.
+1.6%
Revenue −1.4%/yr
FY21 HK$682M
FY22 HK$637M
FY23 HK$714M
FY24 HK$784M
FY25 HK$645M
Net income −0.2%/yr
FY21 HK$56.4M
FY22 HK$49.2M
FY23 HK$58.4M
FY24 HK$87.2M
FY25 HK$56.0M
Character of growth · EPS growth decomposed (2014-2025) +7.4 % p.a.
Revenue per share +2.1 pp

of which total revenue +2.1 pp · buybacks/dilution +0.0 pp

EBIT margin +4.3 pp
Tax rate +0.0 pp
Residual (interest, one-offs) +1.0 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "China Pipe Group Fair Value". https://www.fairvalue-calculator.com/stock/0380

Peer Group

Home Improvement Retail · 36 stocks

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.

Quality Score 65 · Above median
Fair Value upside +69% · Top 25%
Return on equity (TTM) 7% · Below median
Return on assets 3% · Below median
Net margin (TTM) 9% · Top 25%
Operating margin (TTM) 7% · Above median
Revenue growth -22% · Bottom 25%
Dividend yield (TTM) 7.0% · Top 25%
Debt / equity 0.05× · Lower than median

Valuation Multiples vs Home Improvement Retail median · lower = cheaper

P/E (TTM) 3.4× · Cheaper than 75% of peers
P/B 0.20× · Cheaper than 75% of peers
P/S (TTM) 0.28× · Cheaper than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 20
FUTURE 0 · sector 11
PAST 26 · sector 30
HEALTH 98 · sector 95
DIVIDEND 100 · sector 54

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Home Improvement Retail stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
The Home Depot, Inc HD $354.48 $236.85 -33%
Lowe's Companies, Inc LOW $215.97 $186.32 -14%
Wesfarmers Limited WES A$88.48 A$50.50 -43%
Floor & Decor Holdings FND $59.33 $27.30 -54%
Mr D.I.Y. Group 5296 1.52 MYR 1.47 MYR -3%
Home Product Center Public Company HMPROR 6.70 THB 6.31 THB -6%
Siam Global House Public Company GLOBAL 7.50 THB 5.96 THB -21%
Dohome Public Company DOHOME 3.78 THB 2.75 THB -27%
Haverty Furniture Companies, Inc HVT $28.30 $22.53 -20%
Test-Rite International Co 2908 21.85 TWD 4.97 TWD -77%

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Frequently asked questions

Is China Pipe Group (0380) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.2088 versus a price of HK$0.1240, about +68% (undervalued).
What is the fair value of 0380?
Our model-based fair value for China Pipe Group is HK$0.2088 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.1240.
What is the quality score of 0380?
China Pipe Group has a Quality Score of 65/100. 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 revenue of China Pipe Group (0380)?
China Pipe Group reported trailing-twelve-month revenue of about HK$645M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 0380?
The net profit margin of China Pipe Group is about 8.7%, meaning it keeps roughly 8.7% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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