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Cocoon Holdings (0428) Fair Value & Analysis

Financial Services · HK · Market cap HK$35.2M

CH Cocoon Holdings 0428 · HK
PriceHK$0.1930
Fair ValueHK$0.3570
Upside+85.0%
Quality50/100
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Mixed Growth
Low debt · generates free cash flow
Mixed vs. peers (5/10)
Narrow moat 20/100
Evidence: High Range HK$0.2355 – HK$0.3919 Share as image

Fair value as of: Aug 13, 2026

From 12 valuation models · updated 2 days ago

Share price −8.1% over the past month.

A solid business, screening 85% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (HK$0.2355). The market is more pessimistic than our downside scenario.
  • Solid quality (50/100) at a price below fair value, the discount is the argument here, not the business quality.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

HK$7.60 HK$0.1760 Fair Value HK$0.3570 Feb 2020 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$0.1760 – HK$7.60 · fair‑value band HK$0.2355 – HK$0.3919 · the HK$0.1930 price screens below the HK$0.3570 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Cocoon Holdings (0428) currently trades at HK$0.1930, while our model-based Fair Value estimate is HK$0.3570, implying the stock looks roughly 85.0% undervalued today. The Quality Score stands at 50/100 (solid quality), in the Financial Services 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.

Trailing-twelve-month revenue stands at HK$319K. Revenue grew 40.7% year over year. It earns a return on equity of 6.4%. Net debt stands at HK$1.6M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.2355 (bear case) to HK$0.3919 (bull case); at HK$0.1930, 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 52% below its 52-week high and 7% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -22% fair-value upside, at 85%, 0428 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$0.2700 HK$0.4400 HK$0.6900 80
Residual Income HK$0.8100 HK$0.8100 HK$0.7100 76
Rev-Margin DCF HK$0.2800 HK$0.4900 HK$0.9300 74
All 12 models by family
DCF Models
5Y P/E Exit HK$0.5000 HK$1.17 HK$2.07 38
10Y P/E Exit HK$0.4200 HK$0.9800 HK$1.92 35
Earnings-Based
Graham-Dodd HK$0.4300 HK$3.01 HK$4.22 54
Lynch FV HK$1.55 HK$2.22 HK$2.89 50
Dividend Discount
Gordon GGM HK$0.2600 HK$0.4400 HK$0.5800 70
DDM Multi-Stage HK$0.2600 HK$0.4200 HK$0.4800 61
Multiples
P/E Multiple HK$0.6200 HK$0.8200 HK$1.03 63
P/B Multiple HK$0.8100 HK$1.08 HK$1.35 55
Asset-Based
NCAV (Graham) HK$0.5800 HK$0.7700 HK$1.16 50
Growth DCF
Growth DCF HK$0.2700 HK$0.4400 HK$0.6900 80
Rev-Margin DCF HK$0.2800 HK$0.4900 HK$0.9300 74
Economic Profit
Residual Income HK$0.8100 HK$0.8100 HK$0.7100 76

Widest divergence: Earnings-Based (HK$2.22) versus Dividend Discount (HK$0.4200). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) HK$319K
Revenue growth (YoY) +40.7%
Net margin 3,069%
Return on equity 6.4%
Free cash flow HK$3.7M FY2025
P/E ratio 2.5 as of Jul 1, 2026
More key figures
Operating margin -1,073%
EPS (TTM) HK$0.0300
Net debt HK$1.6M FY2025

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

Quality Score breakdown

Overall quality 50/100

Of which business quality 53 · Market factors (momentum, volatility) 28

Profitability 40
Margins and returns on capital today
Quality Growth 90
Are margins and returns improving?
Cashflow 57
Earnings quality: real cash, not paper profit
Fin. Strength 69
Balance sheet, leverage, solvency risk
Investment 57
Disciplined investing over empire-building
Low Volatility 62
Calm price path (market factor)
Momentum 17
Price trend over the last 3–12 months (market factor)
52W Momentum 8
Distance to the 52-week high (market factor)
Net Issuance 0
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

Cocoon Holdings Limited is a principal investment firm specializing in investments in listed and unlisted companies. The firm typically invests in the fields of resources, technology enabled manufacturing, food and retail and healthcare.

Full company description

Cocoon Holdings Limited is a principal investment firm specializing in investments in listed and unlisted companies. The firm typically invests in the fields of resources, technology enabled manufacturing, food and retail and healthcare. It also offers other investment services that include money market instruments, capital syndication, and arranging strategic corporate deals, with an emphasis on financial restructuring and capital infusion. The firm invests in Asia and the Greater China region. Cocoon Holdings Limited, formerly known as Huge China Holdings Limited, was founded in 1993 and is based in Hong Kong with additional office in Hamilton, Bermuda.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Cocoon Holdings reported revenue of HK$24.3M in FY2025 versus HK$7.6M in FY2021, a compound +33.7%/yr. Reported net income was HK$9.8M in FY2025.

Growth Quality 76/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
HK$24.3M
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.
+74.8%
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.
+37.9%
Avg. growth/yr (22Y) 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.
−0.3%
Revenue +33.7%/yr
FY21 HK$7.6M
FY22 HK$4.6M
FY23 HK$59.9M
FY24 HK$254K
FY25 HK$24.3M
Net income
FY21 −HK$28.6M
FY22 −HK$48.1M
FY23 HK$53.5M
FY24 −HK$76.8M
FY25 HK$9.8M

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Cite: Fair Value Calculator (2026). "Cocoon Holdings Fair Value". https://www.fairvalue-calculator.com/stock/0428

Peer Group

Capital Markets · 426 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 48 · Below median
Fair Value upside +85% · Top 25%
Return on equity (TTM) 6% · Below median
Return on assets -3% · Bottom 25%
Revenue growth 41% · Above median
Dividend yield (TTM) 16.7% · Top 25%

Valuation Multiples vs Capital Markets median · lower = cheaper

P/E (TTM) 2.5× · Cheaper than 75% of peers
P/S (TTM) 14.05× · Pricier than 75% of peers
P/FCF 1.2× · Pricier than median

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 15
FUTURE 100 · sector 92
PAST 25 · sector 30
HEALTH 100 · sector 93
DIVIDEND 100 · sector 42

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 Capital Markets stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Mirae Asset Securities Co 006800 38,050 KRW 18,009 KRW -53%
Meritz Financial Group 138040 118,600 KRW 52,717 KRW -56%
Korea Investment Holdings 071050 200,500 KRW 189,335 KRW -6%
NH Investment & Securities Co 005940 28,550 KRW 22,396 KRW -22%
Samsung Securities Co 016360 93,100 KRW 75,573 KRW -19%
Kiwoom Securities Co 039490 299,000 KRW 214,812 KRW -28%
SSI Securities Corporation SSI 25,300 VND 17,375 VND -31%
Bolsas y Mercados Argentinos S.A BYMA 313.75 ARS 294.30 ARS -6%
Daishin Securities Co 003540 26,950 KRW 48,790 KRW +81%
SK Securities Co 001515 4,285 KRW 1,395 KRW -67%

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Frequently asked questions

Is Cocoon Holdings (0428) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.3570 versus a price of HK$0.1930, about +85% (undervalued).
What is the fair value of 0428?
Our model-based fair value for Cocoon Holdings is HK$0.3570 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.1930.
What is the quality score of 0428?
Cocoon Holdings has a Quality Score of 50/100. 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 Cocoon Holdings (0428)?
Cocoon Holdings reported trailing-twelve-month revenue of about HK$319K (latest available figure, as of Aug 13, 2026).

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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