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China Investment and Finance Group (1226) Fair Value & Analysis

Financial Services · HK · Market cap HK$371M

CI China Investment and Finance Group 1226 · HK
PriceHK$0.8550
Fair ValueHK$1.71
Upside+100.0%
Quality70/100
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Mixed Growth
Highly profitable · 92.3% net margin
Low debt · negative free cash flow
Ranks above peers (9/12)
Wide moat 65/100
Evidence: Medium Range HK$1.28 – HK$2.14 Share as image

Fair value as of: Aug 13, 2026

From 6 valuation models · updated 2 days ago

Fair value updated Aug 13, 2026, revised from HK$0.9900 to HK$1.71 (+72.7%) since Aug 5, 2026. Share price −2.8% over the past month.

A solid business, screening 100% undervalued on our models.

What matters now

  • The rarer combination: high quality (70/100) AND below fair value. That earns a closer look rather than a quick verdict.
  • The price is below even our cautious bear case (HK$1.28). The market is more pessimistic than our downside scenario.
  • 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$1.60 HK$0.2200 Fair Value HK$1.71 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$0.2200 – HK$1.60 · fair‑value band HK$1.28 – HK$2.14 · the HK$0.8550 price screens below the HK$1.71 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

China Investment and Finance Group (1226) currently trades at HK$0.8550, while our model-based Fair Value estimate is HK$1.71, implying the stock looks roughly 100.0% undervalued today. The Quality Score stands at 70/100 (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: medium), always confirm before acting.

Over the trailing twelve months, China Investment and Finance Group generated revenue of HK$151M at a net margin of 92.3%. Revenue declined 25.7% year over year. It earns a return on equity of 62.5%. The balance sheet holds a net cash position of HK$28.8M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$1.28 (bear case) to HK$2.14 (bull case); at HK$0.8550, 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 38% below its 52-week high and 30% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -33% fair-value upside, at 100%, 1226 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
P/E Multiple HK$3.30 HK$4.40 HK$5.50 63
Residual Income HK$2.44 HK$3.78 HK$52.79 61
P/B Multiple HK$0.7500 HK$0.9900 HK$1.24 55
All 6 models by family
Earnings-Based
Graham-Dodd HK$2.30 HK$16.04 HK$22.51 54
Lynch FV HK$8.29 HK$11.84 HK$15.39 50
Multiples
P/E Multiple HK$3.30 HK$4.40 HK$5.50 63
P/B Multiple HK$0.7500 HK$0.9900 HK$1.24 55
Asset-Based
NCAV (Graham) HK$0.3500 HK$0.4800 HK$0.7100 50
Economic Profit
Residual Income HK$2.44 HK$3.78 HK$52.79 61

Widest divergence: Earnings-Based (HK$11.84) versus Asset-Based (HK$0.4800). Highest evidence: P/E Multiple (63).

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Key figures & financial health

Revenue (TTM) HK$151M
Revenue growth (YoY) -25.7%
Net margin 92.3%
Return on equity 62.5%
Free cash flow −HK$677K FY2025
P/E ratio 2.5
More key figures
Operating margin -198%
EPS (TTM) HK$0.3500
EPS growth (YoY) -34.8%
Net cash HK$28.8M FY2026

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

Quality Score breakdown

Overall quality 70/100

Of which business quality 67 · Market factors (momentum, volatility) 37

Profitability 65
Margins and returns on capital today
Quality Growth 100
Are margins and returns improving?
Cashflow 40
Earnings quality: real cash, not paper profit
Fin. Strength 84
Balance sheet, leverage, solvency risk
Investment 53
Disciplined investing over empire-building
Low Volatility 51
Calm price path (market factor)
Momentum 40
Price trend over the last 3–12 months (market factor)
52W Momentum 19
Distance to the 52-week high (market factor)
Net Issuance 66
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 Investment and Finance Group Limited is an equity fund launched and managed by China Everbright Securities (HK) Limited. The fund invests in the equity markets of Greater China. China Investment and Finance Group Limited was formed on April 26, 2002 and is domiciled in Cayman Islands.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

China Investment and Finance Group reported revenue of HK$38.0M in FY2026 versus HK$4.0M in FY2022, a compound +75.3%/yr. Reported net income was HK$140M in FY2026.

Growth Quality 60/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
HK$38.0M
Latest YoY
+1,098.6%
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.
+91.6%
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.
+53.1%
Avg. growth/yr (23Y) 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.
+13.0%
Revenue +75.3%/yr
FY22 HK$4.0M
FY23 HK$5.4M
FY24 −HK$27.5M
FY25 HK$3.2M
FY26 HK$38.0M
Net income
FY22 −HK$7.0M
FY23 −HK$41.2M
FY24 −HK$37.8M
FY25 −HK$5.5M
FY26 HK$140M

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Cite: Fair Value Calculator (2026). "China Investment and Finance Group Fair Value". https://www.fairvalue-calculator.com/stock/1226

Peer Group

Asset Management · 692 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 70 · Top 25%
Fair Value upside +100% · Top 25%
Return on equity (TTM) 63% · Top 25%
Return on assets 38% · Top 25%
Net margin (TTM) 92% · Top 25%
Operating margin (TTM) -198% · Bottom 25%
Revenue growth -26% · Bottom 25%
Debt / equity 0.06× · Lower than median

Valuation Multiples vs Asset Management median · lower = cheaper

P/E (TTM) 2.5× · Cheaper than 75% of peers
P/B 1.27× · Pricier than median
P/S (TTM) 2.46× · Cheaper than median
EV/EBITDA 2.5× · 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 38
FUTURE 0 · sector 14
PAST 100 · sector 25
HEALTH 97 · sector 95
DIVIDEND 0 · sector 85

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

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ICICIAMC ICICIAMC ₹3,077 ₹1,132 -63%
Jio Financial Services Limited JIOFIN ₹256.05 ₹171.84 -33%
Hedef Holding HEDEF 267.25 TRY 321.44 TRY +20%
Bajaj Holdings BAJAJHLDNG ₹11,579 ₹11,257 -3%
HDFC Asset Management Company HDFCAMC ₹2,490 ₹866.78 -65%
Nippon Life Asset Management Limited NAMINDIA ₹1,182 ₹311.00 -74%

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Frequently asked questions

Is China Investment and Finance Group (1226) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$1.71 versus a price of HK$0.8550, about +100% (undervalued).
What is the fair value of 1226?
Our model-based fair value for China Investment and Finance Group is HK$1.71 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.8550.
What is the quality score of 1226?
China Investment and Finance Group has a Quality Score of 70/100. 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 Investment and Finance Group (1226)?
China Investment and Finance Group reported trailing-twelve-month revenue of about HK$151M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 1226?
The net profit margin of China Investment and Finance Group is about 92.3%, meaning it keeps roughly 92.3% 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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