NetDragon Websoft Holdings (0777) Fair Value & Analysis
Communication Services · HK · Market cap HK$3.8B
Fair value as of: Aug 13, 2026
From 24 valuation models · updated 2 days ago
Fair value updated Aug 13, 2026, revised from HK$8.33 to HK$8.34 (+0.1%) since Aug 5, 2026. Share price −2.4% over the past month.
A solid business, screening 11% undervalued on our models.
What matters now
- Our model range runs from HK$5.51 (bear) to HK$9.18 (bull), base HK$8.34. The closer the price sits to the lower half, the larger the margin of safety.
- Quality 59/100 (solid quality) with high evidence: the data supports the verdict.
Price vs Fair Value (5 years)
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$6.93 – HK$15.31 · fair‑value band HK$5.51 – HK$9.18 · the HK$7.52 price screens below the HK$8.34 fair value. Dashed = 300-day average. As of Aug 13, 2026.
Analysis
NetDragon Websoft Holdings (0777) currently trades at HK$7.52, while our model-based Fair Value estimate is HK$8.34, implying the stock looks roughly 11.0% undervalued today. The Quality Score stands at 59/100 (solid quality), in the Communication 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.
Over the trailing twelve months, NetDragon Websoft Holdings generated revenue of HK$4.5B at a net margin of 3.4%. Revenue declined 23.7% year over year. It earns a return on equity of 0.6%. The balance sheet holds a net cash position of HK$784M. Fundamentals as of Aug 13, 2026
Our scenario range runs from HK$5.51 (bear case) to HK$9.18 (bull case); at HK$7.52, the current price sits within 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 53% below its 52-week high and 10% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at -25% fair-value upside, at 11%, 0777 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.
All 24 models by family
Widest divergence: DCF Models (HK$16.71) versus Earnings-Based (HK$3.91). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 58 · Market factors (momentum, volatility) 32
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
NetDragon Websoft Holdings Limited provides online and mobile games the People's Republic of China, the United States, Germany, the United Kingdom, Spain, France, and internationally. It operates through the Gaming and Application Services, Mynd.ai Business, and Property Development segments.
Full company description
NetDragon Websoft Holdings Limited provides online and mobile games the People's Republic of China, the United States, Germany, the United Kingdom, Spain, France, and internationally. It operates through the Gaming and Application Services, Mynd.ai Business, and Property Development segments. The company's games for kids include JumpStart, School of Dragons, Neopets, World of Madagascar, and Math Blaster; and other games comprise Eudemons Online, Conquer Online, Way of the Five, Conquer Online, and Heroes Evolved. It also licenses and services developed games; sells education hardware and software products, as well as engages in the products and marketing business, mobile solutions business, and operation and development of online education business. The company was founded in 1999 and is headquartered in Fuzhou, China.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
NetDragon Websoft Holdings reported revenue of HK$4.5B in FY2025 versus HK$7.0B in FY2021, a compound −10.7%/yr. Reported net income was HK$151M in FY2025, compounding −38.6%/yr from FY2021.
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Peer Group
Electronic Gaming & Multimedia · 155 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.
Valuation Multiples vs Electronic Gaming & Multimedia median · lower = cheaper
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.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Electronic Gaming & Multimedia stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| NetEase, Inc 9999 | HK$192.50 | HK$262.75 | +36% |
| Electronic Arts Inc EA | $209.70 | $76.57 | -63% |
| Take-Two Interactive Software, Inc TTWO | $243.00 | $60.20 | -75% |
| Roblox Corporation RBLX | $36.22 | $21.20 | -41% |
| Zhejiang Century Huatong Group 002602 | ¥14.29 | ¥14.68 | +3% |
| KRAFTON, Inc 259960 | 234,500 KRW | 356,218 KRW | +52% |
| Giant Network Group 002558 | ¥28.57 | ¥15.50 | -46% |
| International Games System Co 3293 | 762.00 TWD | 568.16 TWD | -25% |
| 37 Interactive Entertainment Network Technology Group 002555 | ¥19.21 | ¥22.29 | +16% |
| Kingnet Network Co 002517 | ¥17.36 | ¥12.86 | -26% |
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Frequently asked questions
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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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