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China Art Financial Holdings Ltd (1572) Fair Value & Analysis

Financial Services · HK · Market cap HK$152M

CA China Art Financial Holdings Ltd 1572 · HK
PriceHK$0.0770
Fair ValueHK$0.1288
Upside+67.3%
Quality60/100
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Expensive Growth
Loss-making · -0.4% net margin
Low debt · negative free cash flow
Mixed vs. peers (5/9)
Narrow moat 17/100
Evidence: Low Range HK$0.1221 – HK$0.1354 Share as image

Fair value as of: Aug 13, 2026

From 6 valuation models · updated 3 days ago

Fair value updated Aug 13, 2026, revised from HK$0.1414 to HK$0.1288 (−8.9%) since Aug 5, 2026. Share price −10.5% over the past month.

A solid business, screening 67% undervalued on our models.

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What matters now

  • The price is below even our cautious bear case (HK$0.1221). 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.
  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
  • The models converge in a tight band (HK$0.1221 to HK$0.1354), unusually little disagreement for a valuation.
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Price vs Fair Value (5 years)

HK$0.4250 HK$0.0570 Fair Value HK$0.1288 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$0.0570 – HK$0.4250 · fair‑value band HK$0.1221 – HK$0.1354 · the HK$0.0770 price screens below the HK$0.1288 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

China Art Financial Holdings Ltd (1572) currently trades at HK$0.0770, while our model-based Fair Value estimate is HK$0.1288, implying the stock looks roughly 67.3% undervalued today. The Quality Score stands at 60/100 (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: low), always confirm before acting.

Over the trailing twelve months, China Art Financial Holdings Ltd generated revenue of HK$134M at a net margin of -0.4%. Revenue grew 161.6% year over year. The balance sheet holds a net cash position of HK$234M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.1221 (bear case) to HK$0.1354 (bull case); at HK$0.0770, 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 46% below its 52-week high and 1% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -45% fair-value upside, at 67%, 1572 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
ROIC Compounder HK$0.1600 HK$0.1600 HK$0.1600 72
EPV HK$0.1600 HK$0.1600 HK$0.1600 59
EV/EBITDA HK$0.1700 HK$0.1700 HK$0.1800 54
All 6 models by family
Earnings-Based
EPV HK$0.1600 HK$0.1600 HK$0.1600 59
Multiples
EV/EBIT HK$0.1700 HK$0.1700 HK$0.1800 53
EV/EBITDA HK$0.1700 HK$0.1700 HK$0.1800 54
EV/Revenue HK$0.1700 HK$0.1700 HK$0.1800 43
Asset-Based
NCAV (Graham) HK$0.3300 HK$0.4400 HK$0.6600 50
Economic Profit
ROIC Compounder HK$0.1600 HK$0.1600 HK$0.1600 72

Widest divergence: Asset-Based (HK$0.4400) versus Earnings-Based (HK$0.1600). Highest evidence: ROIC Compounder (72).

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Key figures & financial health

Revenue (TTM) HK$134M
Revenue growth (YoY) +162%
Net margin -0.4%
Return on equity 0.0%
Free cash flow −HK$340M FY2025
Operating margin 4.9%
More key figures
EPS growth (YoY) -95.3%
Net cash HK$234M FY2025

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

Quality Score breakdown

Overall quality 60/100

Of which business quality 59 · Market factors (momentum, volatility) 18

Profitability 13
Margins and returns on capital today
Quality Growth 64
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 94
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 20
Calm price path (market factor)
Momentum 21
Price trend over the last 3–12 months (market factor)
52W Momentum 9
Distance to the 52-week high (market factor)
Net Issuance 79
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 Art Financial Holdings Limited, an investment holding company, operates as an art finance service provider in the People's Republic of China. The company operates through three segments: Art and Asset Pawn Business, Art and Asset Auction Business, and Art and Asset Sales Business.

Full company description

China Art Financial Holdings Limited, an investment holding company, operates as an art finance service provider in the People's Republic of China. The company operates through three segments: Art and Asset Pawn Business, Art and Asset Auction Business, and Art and Asset Sales Business. The company provides pawn loan services secured by artworks and assets as collateral. Its artwork collateral portfolio primarily includes zisha artworks, as well as paintings and calligraphies, and jewel artworks. It also offers online art auction and related services; and agency services. The company was founded in 2004 and is headquartered in Yixing, the People's Republic of China. China Art Financial Holdings Limited operates as a subsidiary of Intelligenesis Investment Co., Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Art Financial Holdings Ltd reported revenue of HK$125M in FY2025 versus HK$42.9M in FY2021, a compound +30.8%/yr. Reported net income was −HK$475K in FY2025.

Growth Quality 44/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
HK$125M
Latest YoY
+75.8%
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.
+66.2%
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.
+17.2%
Avg. growth/yr (12Y) 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.
+10.0%
Revenue +30.8%/yr
FY21 HK$42.9M
FY22 HK$27.3M
FY23 HK$59.7M
FY24 HK$71.3M
FY25 HK$125M
Net income
FY21 HK$25.4M
FY22 HK$14.6M
FY23 HK$11.0M
FY24 HK$4.5M
FY25 −HK$475K
Character of growth · EPS growth decomposed (2014-2025) −28.0 % p.a.
Revenue per share −15.3 pp

of which total revenue −6.4 pp · buybacks/dilution −8.9 pp

EBIT margin −13.6 pp
Tax rate −0.8 pp
Residual (interest, one-offs) +1.7 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "China Art Financial Holdings Ltd Fair Value". https://www.fairvalue-calculator.com/stock/1572

Peer Group

Credit Services · 333 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 60 · Above median
Fair Value upside +69% · Top 25%
Return on assets 0% · Bottom 25%
Net margin (TTM) -0% · Bottom 25%
Operating margin (TTM) 5% · Bottom 25%
Revenue growth 162% · Top 25%

Valuation Multiples vs Credit Services median · lower = cheaper

P/S (TTM) 0.15× · 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 33
FUTURE 100 · sector 39
PAST 0 · sector 31
HEALTH 100 · sector 59
DIVIDEND 0 · sector 58

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

Stock Price Fair Value vs Fair Value
Visa Inc V $359.42 $198.27 -45%
Mastercard Incorporated MA $561.44 $221.87 -60%
Bajaj Finance Limited BAJFINANCE ₹1,094 ₹397.61 -64%
Shriram Finance Limited SHRIRAMFIN ₹1,117 ₹553.83 -50%
Cholamandalam Investment and Finance Company CHOLAFIN ₹1,918 ₹796.52 -58%
Tata Capital Limited TATACAP ₹367.05 ₹149.40 -59%
Power Finance Corporation PFC ₹376.50 ₹615.85 +64%
Muthoot Finance Limited MUTHOOTFIN ₹2,876 ₹3,429 +19%
Indian Railway Finance Corporation IRFC ₹88.35 ₹69.72 -21%
REC Limited RECLTD ₹346.00 ₹692.00 +100%

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Frequently asked questions

Is China Art Financial Holdings Ltd (1572) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.1288 versus a price of HK$0.0770, about +67% (undervalued).
What is the fair value of 1572?
Our model-based fair value for China Art Financial Holdings Ltd is HK$0.1288 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.0770.
What is the quality score of 1572?
China Art Financial Holdings Ltd has a Quality Score of 60/100. 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 Art Financial Holdings Ltd (1572)?
China Art Financial Holdings Ltd reported trailing-twelve-month revenue of about HK$134M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 1572?
The net profit margin of China Art Financial Holdings Ltd is about -0.4%, 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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