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Changyou International Group (1039) Fair Value & Analysis

Consumer Cyclical · HK · Market cap HK$90.5M

CI Changyou International Group 1039 · HK
PriceHK$0.0460
Fair ValueHK$0.0299
Upside-35.0%
Quality64/100
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Weak Growth
Loss-making · -8.4% net margin
Moderate debt · generates free cash flow
Ranks above peers (7/11)
Narrow moat 20/100
Evidence: Medium Range HK$0.0299 – HK$0.0446 Share as image

Fair value as of: Aug 13, 2026

From 11 valuation models · updated 2 days ago

Fair value updated Aug 13, 2026, revised from HK$0.0298 to HK$0.0299 (+0.5%) since Aug 5, 2026. Share price −8.0% over the past month.

A solid business, but screening 35% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (HK$0.0446). The favourable scenario is already priced in.
  • Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

HK$0.4450 HK$0.0330 Fair Value HK$0.0299 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$0.0330 – HK$0.4450 · fair‑value band HK$0.0299 – HK$0.0446 · the HK$0.0460 price screens above the HK$0.0299 fair value. Dashed = 300-day average. As of Aug 13, 2026.

Full chart & analysis →

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Analysis

Changyou International Group (1039) currently trades at HK$0.0460, while our model-based Fair Value estimate is HK$0.0299, implying the stock looks roughly 35.0% overvalued today. The Quality Score stands at 64/100 (solid quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Changyou International Group generated revenue of HK$192M at a net margin of -8.4%. Revenue grew 29.9% year over year. Net debt stands at HK$142M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.0299 (bear case) to HK$0.0446 (bull case); at HK$0.0460, the current price sits above 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 35% below its 52-week high and 31% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -52% fair-value upside, at -35%, 1039 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$0.0700 HK$0.1200 HK$0.1800 80
Rev-Margin DCF HK$0.0100 HK$0.0500 HK$0.0900 74
EV/EBITDA HK$0.0200 54
All 11 models by family
DCF Models
FCF DCF HK$0.0700 HK$0.1300 HK$0.2100 38
5Y Revenue Exit HK$0.0100 HK$0.0500 HK$0.0900 39
5Y EBITDA Exit HK$0.0100 HK$0.0500 HK$0.0900 41
10Y Revenue Exit HK$0.0300 HK$0.0700 HK$0.1100 36
10Y EBITDA Exit HK$0.0400 HK$0.0700 HK$0.1100 37
Multiples
EV/EBIT HK$0.0300 HK$0.0500 53
EV/EBITDA HK$0.0200 54
EV/Revenue HK$0.0200 43
Asset-Based
NCAV (Graham) HK$0.0600 HK$0.0800 HK$0.1200 50
Growth DCF
Growth DCF HK$0.0700 HK$0.1200 HK$0.1800 80
Rev-Margin DCF HK$0.0100 HK$0.0500 HK$0.0900 74

Widest divergence: Asset-Based (HK$0.0800) versus Multiples (HK$0.0300). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) HK$192M
Revenue growth (YoY) +29.9%
Net margin -8.4%
Return on equity -711%
Free cash flow HK$31.0M FY2025
Operating margin 3.2%
More key figures
Net debt HK$142M FY2025

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

Quality Score breakdown

Overall quality 64/100

Of which business quality 63 · Market factors (momentum, volatility) 27

Profitability 31
Margins and returns on capital today
Quality Growth 65
Are margins and returns improving?
Cashflow 77
Earnings quality: real cash, not paper profit
Fin. Strength 48
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 31
Calm price path (market factor)
Momentum 23
Price trend over the last 3–12 months (market factor)
52W Momentum 30
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

Changyou International Group Limited, an investment holding company, engages in the digital points business in the People's Republic of China.

Full company description

Changyou International Group Limited, an investment holding company, engages in the digital points business in the People's Republic of China. The company operates an electronic trading platform to promote and facilitate awards earned by customers of loyalty programs of other companies to be exchanged in the form of virtual assets and credits for the consumption of merchandises, games, services, and other commercial transactions, as well as other trading services. It also provides blockchain technology research and development services. The company was formerly known as Changyou Alliance Group Limited and changed its name to Changyou International Group Limited in November 2024. Changyou International Group Limited was founded in 2001 and is based in Pok Fu Lam, Hong Kong.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Changyou International Group reported revenue of HK$192M in FY2025 versus HK$114M in FY2021, a compound +13.9%/yr. Reported net income was −HK$16.1M in FY2025.

Growth Quality 21/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
HK$192M
Latest YoY
+6.3%
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.
−3.7%
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.
−6.5%
Avg. growth/yr (18Y) 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%
Revenue +13.9%/yr
FY21 HK$114M
FY22 HK$215M
FY23 HK$227M
FY24 HK$181M
FY25 HK$192M
Net income
FY21 −HK$49.5M
FY22 −HK$34.7M
FY23 −HK$37.6M
FY24 −HK$19.5M
FY25 −HK$16.1M

1039 screens 35% overvalued. Compare with Amazon.com, Inc →

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Cite: Fair Value Calculator (2026). "Changyou International Group Fair Value". https://www.fairvalue-calculator.com/stock/1039

Peer Group

Internet Retail · 108 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 64 · Above median
Fair Value upside −35% · Below median
Return on assets 3% · Above median
Net margin (TTM) -8% · Bottom 25%
Operating margin (TTM) 3% · Above median
Revenue growth 30% · Top 25%
Debt / equity 0.80× · Higher than 75% of peers

Valuation Multiples vs Internet Retail median · lower = cheaper

P/B 0.05× · Cheaper than 75% of peers
P/S (TTM) 0.06× · Cheaper than 75% of peers
P/FCF 0.4× · Cheaper than 75% of peers
EV/EBITDA 18.1× · 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 0 · sector 35
FUTURE 100 · sector 48
PAST 0 · sector 10
HEALTH 60 · sector 95
DIVIDEND 0 · sector 38

VALUE 0: the price sits above our fair-value range.

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

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Amazon.com, Inc AMZN $267.28 $127.67 -52%
Alibaba Group BABA $125.22 $76.00 -39%
PDD Holdings PDD $89.04 $224.27 +152%
MercadoLibre, Inc MELI $1,828 $798.98 -56%
DoorDash, Inc DASH $212.00 $38.64 -82%
Sea Limited SE $128.11 $52.70 -59%
eBay Inc EBAY $102.31 $60.13 -41%
JD.com, Inc JD €27.00 €31.73 +18%
Coupang, Inc CPNG $16.32 $2.79 -83%
Delivery Hero SE DHER €37.04 €12.71 -66%

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Frequently asked questions

Is Changyou International Group (1039) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.0299 versus a price of HK$0.0460, about −35% (overvalued).
What is the fair value of 1039?
Our model-based fair value for Changyou International Group is HK$0.0299 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.0460.
What is the quality score of 1039?
Changyou International Group has a Quality Score of 64/100. 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 Changyou International Group (1039)?
Changyou International Group reported trailing-twelve-month revenue of about HK$192M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 1039?
The net profit margin of Changyou International Group is about -8.4%, meaning it is currently running at a net loss. 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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