Royale Home Holdings (1198) Fair Value & Analysis
Consumer Cyclical · HK · Market cap HK$156M
Fair value as of: Aug 5, 2026
From 1 valuation models · updated 5 days ago
Fair value updated Aug 5, 2026, revised from HK$0.1493 to HK$0.1702 (+14.0%) since Jul 2, 2026. Share price −19.3% over the past month.
Below-average quality, screening 93% undervalued on our models.
What matters now
- The large discount to fair value meets weak quality (27/100). That raises the risk this is a value trap rather than a bargain.
- The price is below even our cautious bear case (HK$0.1322). 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.
- A fairly wide model range (HK$0.1322 to HK$0.2462) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 5, 2026.
How to read this chart
60‑month range HK$0.0580 – HK$3.02 · fair‑value band HK$0.1322 – HK$0.2462 · the HK$0.0880 price screens below the HK$0.1702 fair value. Dashed = 300-day average. As of Aug 5, 2026.
Analysis
Royale Home Holdings (1198) currently trades at HK$0.0880, while our model-based Fair Value estimate is HK$0.1702, implying the stock looks roughly 93.4% undervalued today. The Quality Score stands at 27/100 (below-average 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: low), always confirm before acting.
Trailing-twelve-month revenue stands at HK$381M. Revenue declined 24.0% year over year. It earns a return on equity of -57.2%. Net debt stands at HK$3.2B. Fundamentals as of Aug 5, 2026
Our scenario range runs from HK$0.1322 (bear case) to HK$0.2462 (bull case); at HK$0.0880, 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 76% below its 52-week high and 47% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 16% fair-value upside, at 93%, 1198 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 1 models by family
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 5, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 25 · Market factors (momentum, volatility) 21
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
Royale Home Holdings Limited, an investment holding company, engages in the manufacture and sale of furniture in the People's Republic of China. It operates through the Manufacture and Sale of Furniture; Development Properties for Sales and Property Investments; and Hotel Operations segments.
Full company description
Royale Home Holdings Limited, an investment holding company, engages in the manufacture and sale of furniture in the People's Republic of China. It operates through the Manufacture and Sale of Furniture; Development Properties for Sales and Property Investments; and Hotel Operations segments. The company offers bedroom, living room, dining room, study, home visit, cloakroom, and balcony products under the Royal brand; and decoration services. It is also involved in development of properties for sale and property investments; hotel operations; trading of commodities; rental of properties; and sale of upholstered furniture. The company was formerly known as Royale Furniture Holdings Limited and changed its name to Royale Home Holdings Limited in June 2020. Royale Home Holdings Limited was founded in 1997 and is headquartered in Tsim Sha Tsui East, Hong Kong.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Royale Home Holdings reported revenue of HK$424M in FY2025 versus HK$1.5B in FY2021, a compound −27.4%/yr. Reported net income was −HK$671M in FY2025.
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Peer Group
Furnishings, Fixtures & Appliances · 311 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 Furnishings, Fixtures & Appliances 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 Furnishings, Fixtures & Appliances stocks, each showing price versus our Fair Value estimate (as of Aug 5, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Midea Group 000333 | ¥82.71 | ¥107.22 | +30% |
| Gree Electric Appliances, Inc 000651 | ¥38.25 | ¥88.02 | +130% |
| Haier Smart Home Co 600690 | ¥21.46 | ¥36.04 | +68% |
| King Slide Works Co 2059 | 8,655 TWD | 1,917 TWD | -78% |
| Guangdong Songfa Ceramics Co 603268 | ¥155.59 | ¥38.95 | -75% |
| SharkNinja, Inc SN | $154.53 | $89.07 | -42% |
| Hisense Home Appliances Group 000921 | ¥26.33 | ¥48.03 | +82% |
| Zhejiang Supor Co 002032 | ¥43.85 | ¥44.84 | +2% |
| COWAY Co 021240 | 96,700 KRW | 112,530 KRW | +16% |
| Ecovacs Robotics Co 603486 | ¥50.13 | ¥54.11 | +8% |
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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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