1938 (1938) Fair Value & Analysis

Basic Materials · Market cap HK$236M

1 1938 1938 · HK

PriceHK$0.2180

Fair ValueHK$0.1746

Upside-19.9%

Quality42/100

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Evidence: High Range HK$0.1367 – HK$0.3319

Fair value as of: Jul 2, 2026

From 24 valuation models · updated today

Share price −20.7% over the past month.

Price vs Fair Value (12 months)

12‑month range HK$0.2110 – HK$0.5000 · fair‑value band HK$0.1367 – HK$0.3319 · the HK$0.2180 price screens above the HK$0.1746 fair value. As of Jul 2, 2026.

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Analysis

1938 (1938) currently trades at HK$0.2180, while our model-based Fair Value estimate is HK$0.1746 — implying the stock looks roughly 19.9% overvalued today. We read business quality at 42/100 (below-average quality), in the Basic Materials 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: high).

Over the trailing twelve months, 1938 generated revenue of HK$2.4B at a net margin of 10.5%. Revenue declined 26.0% year over year. It earns a return on equity of 18.0%. Net debt stands at HK$1.7B. Fundamentals as of Jul 2, 2026

Key figures & financial health

Revenue (TTM) HK$2.4B

Revenue growth (YoY) -26.0%

Net margin 10.5%

Return on equity 18.0%

Free cash flow HK$123M FY2025

P/E ratio 0.8

More key figures

Operating margin -4.8%

EPS (TTM) HK$0.1700

EPS growth (YoY) -10.3%

Net debt HK$1.7B FY2025

Figures from reported company fundamentals (EODHD) · as of Jul 2, 2026. TTM = trailing twelve months.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

1938 reported revenue of HK$2.4B in FY2025 versus HK$1.8B in FY2021, a compound +6.7%/yr. Reported net income was HK$246M in FY2025.

Revenue +6.7%/yr

FY21 HK$1.8B

FY22 HK$2.4B

FY23 HK$2.7B

FY24 HK$2.9B

FY25 HK$2.4B

Net income

FY21 −HK$94.4M

FY22 HK$163M

FY23 HK$184M

FY24 HK$213M

FY25 HK$246M

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Similar stocks

6 more Steel stocks, each showing price versus our Fair Value estimate (as of Jul 2, 2026).

Stock	Price	Fair Value	vs Fair Value
Tata Steel Limited TTST	$0.2110	$0.0100	-95%
Nucor Corporation NUE	$254.39	$83.10	-67%
ArcelorMittal S.A ARMT34	R$166.77	R$110.23	-34%
JSW Steel Limited JSWSTEEL	₹1,282	₹1,113	-13%
China Steel Corporation 2002A	38.45 TWD	11.94 TWD	-69%
Baoshan Iron & Steel Co 600019	¥5.75	¥8.07	+40%

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Frequently asked questions

Is 1938 (1938) undervalued?

As of Jul 2, 2026, our model estimates a fair value of HK$0.1746 versus a price of HK$0.2180 — about −20% (overvalued). Model-based estimate, not financial advice.

What is the fair value of 1938?

Our model-based fair value for 1938 is HK$0.1746 (as of Jul 2, 2026), built from audited fundamentals. The current price is HK$0.2180.

What is the quality score of 1938?

1938 has a Quality Score of 42/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.

What is the revenue of 1938 (1938)?

1938 reported trailing-twelve-month revenue of about HK$2.4B (latest available figure, as of Jul 2, 2026).

What is the net profit margin of 1938?

The net profit margin of 1938 is about 10.5%, meaning it keeps roughly 10.5% 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.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.