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Kangqiao Service Group Ltd (2205) fair value: what the stock is really worth

As of Sep 30, 2026: fair value of Kangqiao Service Group Ltd HK$1.43, price HK$0.60, upside +140.3%, quality 40 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.

  1. Fair value above price? Yes
  2. Good quality? No
  3. Add to watchlist

Real Estate · HK · ISIN KYG5224S1003

KS Thin data Sep 27, 2026

Kangqiao Service Group Ltd

2205 · HK

Cheap, value-trap riskThe stock looks deeply undervalued, but low quality raises value-trap risk.

✓Fair value HK$1.43 · Strongly undervalued (+140.3%)
!Quality 40/100
!Mixed Growth (revenue 5y +10.1 %/yr)
!Loss-making · -4.0% net margin (TTM)
✓Low debt · generates free cash flow
!Mixed vs. peers (5/12)
!Narrow moat 14/100
!Evidence only low, so the estimate is less certain
!Weak on future: 3 out of 100

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

Price vs Fair Value

HK$2.81 HK$0.4094 Fair Value HK$1.43 Jul 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 27, 2026.

How to read this chart

60‑month range HK$0.4094 – HK$2.81 · fair‑value band HK$1.16 – HK$1.72 · the HK$0.5950 price screens below the HK$1.43 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 27, 2026.

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Company profile

Kangqiao Service Group Limited, an investment holding company, engages in the provision of property management and related value-added services in the People's Republic of China. The company offers security, cleaning, greening, gardening, repairs, and maintenance services.

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Kangqiao Service Group Limited, an investment holding company, engages in the provision of property management and related value-added services in the People's Republic of China. The company offers security, cleaning, greening, gardening, repairs, and maintenance services. It also provides sales office management services to property developers' sales offices and show flats, such as visitor reception, as well as pre-delivery services. The company's portfolio includes commercial properties, office buildings, industrial parks, hospitals, and other public infrastructures. In addition, it provides community value-added services, including home-living, community operation, asset operation; and city services, such as rail transit sanitation services; city environmental sanitation; waste sorting and treatment; installation of road facilities; landscaping project; old communities renovation; and smart block construction, etc. Further, the company offers construction site management, consultancy, real estate marketing planning, business management, sanitation, commodity sales, and technology development services. Kangqiao Service Group Limited was founded in 2010 and is headquartered in Zhengzhou, the People's Republic of China. Kangqiao Service Group Limited operates as a subsidiary of Kangqiaoyue Shenghuo Holdings Limited.

Stock analysis

Kangqiao Service Group Ltd (2205) currently trades at HK$0.5950, while our model-based Fair Value estimate is HK$1.43, implying the stock looks roughly 58.4% undervalued today.

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Valuation

Bull case: the DCF Models group reads highest at a median of HK$1.50 per share, and 7 of the 9 models we run sit above the HK$0.5950 price.

Bear case: the Dividend Discount group reads lowest at HK$0.1800, and 2 of the 9 models stay below the price. Evidence for this calculation is low.

Scenario range: HK$1.16 (bear) to HK$1.72 (bull), the price of HK$0.5950 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.

Quality & growth

The Quality Score stands at 40/100 (below-average quality), in the Real Estate sector.

Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.

Kangqiao Service Group Ltd reported revenue of 932M CNY in FY2025 versus 784M CNY in FY2021, a compound +4.4%/yr. Reported net income was −36.7M CNY in FY2025.

Key figures

Market cap HK$665M (≈ $84.8M) · P/S ratio 0.71 · EPS (TTM) HK$0.0500 · Dividend yield 1.5% · Net margin −3.9% · Return on equity −2.5% · Return on assets (EBIT) 5.6% · Operating margin −17.7%.

Competitive moat

Our AI-assisted moat analysis scores the competitive advantage at 32 out of 100 (medium confidence).

What moves the price

The share trades about 61% below its 52-week high and 28% above its 52-week low, currently below its 200-day average.

For context, the median of 10 Real Estate peers we cover trades at −10% fair-value upside, at 140%, 2205 screens cheaper than that median.

Fair Value models

Bear HK$1.16 Fair Value HK$1.43 Bull HK$1.72
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 9 months old). Earnings retained since then (HK$0.0375 per share) are deliberately not added. 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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds. Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Highest evidence
FCF DCF HK$1.21 HK$1.50 HK$1.90 82
Growth DCF HK$1.20 HK$1.47 HK$1.80 80
5Y Revenue Exit HK$1.19 HK$1.56 HK$2.03 74
All 9 models by family
DCF Models
FCF DCF HK$1.21 HK$1.50 HK$1.90 82
5Y Revenue Exit HK$1.19 HK$1.56 HK$2.03 74
10Y Revenue Exit HK$1.18 HK$1.48 HK$1.92 68
Dividend Discount
Gordon GGM HK$0.1200 HK$0.1900 HK$0.2500 68
DDM Multi-Stage HK$0.1200 HK$0.1800 HK$0.2100 67
Multiples
EV/Revenue HK$1.21 HK$1.47 HK$1.73 54
Asset-Based
NCAV (Graham) HK$0.5700 HK$0.7700 HK$1.15 54
Growth DCF
Growth DCF HK$1.20 HK$1.47 HK$1.80 80
Rev-Margin DCF HK$1.19 HK$1.56 HK$2.00 74

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Quality Score breakdown

Overall quality 40/100

Of which business quality 45 · Market factors (momentum, volatility) 18

Profitability 12
Margins and returns on capital today
Quality Growth 9
Are margins and returns improving?
Cashflow 45
Earnings quality: real cash, not paper profit
Fin. Strength 68
Balance sheet, leverage, solvency risk
Investment 67
Disciplined investing over empire-building
Low Volatility 28
Calm price path (market factor)
Momentum 10
Price trend over the last 3–12 months (market factor)
52W Momentum 19
Distance to the 52-week high (market factor)
Net Issuance 82
Share count: buybacks or dilution?

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Revenue & earnings trend

Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card. 47/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−3.0%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+5.5%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+10.1%
Start year 2020 (pandemic)
Revenue growth 7 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+22.2%
Profit margin (trend) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.
25.1% (2020) → −3.0% (2025)
What shareholders gained per year ⓘWe only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed

Growth Forecast

Little optimism in the price
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
less than -40 %
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.

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Peer Groupⓘ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.Real Estate Services · 538 stocks

Beats the industry median on 5/11 measures
A mixed picture versus its industry peers.
Valuation
Quality Score 43 · Bottom 25%
Fair Value upside +140.3% · Top 25%
Profitability
Return on assets −1.0% · Bottom 25%
Net margin (TTM) −4.0% · Bottom 25%
Operating margin (TTM) −17.7% · Bottom 25%
Growth and dividend
Revenue growth 0.6% · Below median
Dividend yield (TTM) 1.5% · Below median
Balance sheet
Debt / equity 0.01× · Lowest 25%

Valuation Multiplesvs Real Estate Services median · lower = cheaper

P/B 0.12× · Cheapest 25%
P/S (TTM) 0.09× · Cheapest 25%
P/FCF 2.1× · Cheapest 25%

Strength profile in five axes (Snowflake)

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE (fair-value potential)100 · sector 46
FUTURE (revenue growth)3 · sector 12
PAST (return on equity)0 · sector 16
HEALTH (low debt)100 · sector 83
DIVIDEND (yield)30 · sector 62

Context: sector, industry, market

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

Similar stocks

10 more Real Estate Services stocks, each showing price versus our Fair Value estimate.

Stock Price Fair Value vs Fair Value
CBRE Group CBRE $134.55 $91.06 −32%
KE Holdings 2423 HK$42.92 HK$17.16 −60%
Cellnex Telecom, S.A CLNX €23.99 €23.94 +0%
Swire Properties Limited 1972 HK$24.32 HK$13.39 −45%
Vonovia SE VNA €17.17 €36.55 +113%
Jones Lang LaSalle Incorporated JLL $321.91 $540.65 +68%
Wharf Real Estate Investment Company 1997 HK$30.54 HK$27.42 −10%
CoStar Group CSGP $26.95 $6.19 −77%
China Resources Mixc Lifestyle Services Limited 1209 HK$37.00 HK$56.36 +52%
CapitaLand Investment Limited 9CI 2.60 SGD 0.5600 SGD −78%

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Cite: Fair Value Calculator (2026). "Kangqiao Service Group Ltd Fair Value". https://www.fairvalue-calculator.com/stock/2205

Frequently asked questions

Is Kangqiao Service Group Ltd (2205) overvalued or undervalued?
As of Sep 27, 2026, our model estimates a fair value of HK$1.43 versus a price of HK$0.5950, about +140% upside (undervalued).
What is the fair value of 2205?
Our model-based fair value for Kangqiao Service Group Ltd is HK$1.43 (as of Sep 27, 2026), built from audited fundamentals. The current price: HK$0.5950.
What is the quality score of 2205?
Kangqiao Service Group Ltd has a Quality Score of 40/100. 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 price target for Kangqiao Service Group Ltd (2205)?
Our model-based price target is the fair value of HK$1.43 (as of Sep 27, 2026) from 9 valuation models. Cautious scenario HK$1.16, optimistic scenario HK$1.72. It is a calculation from audited fundamentals, not an analyst target.
What is the Kangqiao Service Group Ltd stock forecast for 2026?
Our models put fair value at HK$1.43, about +140% upside versus a price of HK$0.5950 (undervalued). Cautious scenario HK$1.16, optimistic scenario HK$1.72. The calculation is refreshed regularly with new filings.
What is the revenue of Kangqiao Service Group Ltd (2205)?
Kangqiao Service Group Ltd reported trailing-twelve-month revenue of about 932M CNY (latest available figure, as of Sep 27, 2026).
Does Kangqiao Service Group Ltd pay a dividend?
Kangqiao Service Group Ltd currently shows a dividend yield of about 1.50% relative to its recent price (as of Sep 27, 2026).
What growth is priced into Kangqiao Service Group Ltd (2205)?
For today's price to be fair in a discounted-cash-flow model, Kangqiao Service Group Ltd would have to grow free cash flow by less than minus 40 % per year for five years (discount rate 13.5 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +10.1 % per year. As of Sep 27, 2026.
What discount rate (WACC) does the fair value of 2205 use?
Our models discount Kangqiao Service Group Ltd at 13.5 %: a base by market capitalisation (micro), damped by beta 1.07, country premium for Hong Kong. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Kangqiao Service Group Ltd that is less than minus 40 % per year a year over ten years, using the same discount rate (13.5 %) and the same formula as our fair value.
How much growth has Kangqiao Service Group Ltd (2205) delivered so far?
Over the past 5 years revenue at Kangqiao Service Group Ltd grew +10.1 % a year. The price currently implies less than minus 40 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Kangqiao Service Group Ltd (2205) growing?
The median revenue growth in the sector is +1.9 % a year. That is the yardstick for the growth priced into Kangqiao Service Group Ltd (less than minus 40 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Kangqiao Service Group Ltd (2205)?
The free-cash-flow yield on the price is 11.24 %: that much free cash flow Kangqiao Service Group Ltd produces per unit of market value. When it exceeds the discount rate of our models (13.5 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Kangqiao Service Group Ltd (2205)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Kangqiao Service Group Ltd it is HK$1.43 per share (as of Sep 27, 2026), against a price of HK$0.5950. It is the blended result of 9 valuation models (cash flow, earnings, asset, dividend).
Is Kangqiao Service Group Ltd stock overvalued or undervalued in 2026?
As of Sep 27, 2026, 2205 trades below its calculated fair value: price HK$0.5950, fair value HK$1.43, a gap of about +140% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 2205?
No. The price is what the market pays today (HK$0.5950); the fair value is what the company's own numbers justify (HK$1.43). For Kangqiao Service Group Ltd the two are HK$0.8350 per share apart. That gap is exactly why we show both numbers side by side.
How much is Kangqiao Service Group Ltd worth?
The market values Kangqiao Service Group Ltd at about HK$665M (market capitalisation, as of Sep 27, 2026). Per share that is HK$0.5950; our models calculate a fair value of HK$1.43 per share.
What do the bullish and bearish scenarios say about 2205?
Our models span a range for Kangqiao Service Group Ltd: cautious scenario HK$1.16, base HK$1.43, optimistic HK$1.72 per share (as of Sep 27, 2026, price HK$0.5950). The range comes from different growth and margin assumptions, not from analyst opinions.
How solid is the balance sheet of Kangqiao Service Group Ltd (2205)?
Balance-sheet figures for Kangqiao Service Group Ltd (as of Sep 27, 2026): return on equity −2.5%, debt of 0.01 per unit of equity. They feed the Quality Score of 40/100, which measures business quality independently of the share price.
How far is 2205 from its 52-week high?
Kangqiao Service Group Ltd trades at HK$0.5950, about 61% below its 52-week high of HK$1.53 and 28% above the low of HK$0.4650 (as of Sep 30, 2026). Distance from the high says nothing about value: that is what the fair value of HK$1.43 is for.
Which stocks are comparable to Kangqiao Service Group Ltd?
From the same area (Real Estate) we also value CBRE Group, KE Holdings, Cellnex Telecom, S.A, Swire Properties Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Kangqiao Service Group Ltd stock attractive at the current price?
The data as of Sep 27, 2026: price HK$0.5950, calculated fair value HK$1.43 (+140%), Quality Score 40/100, from 9 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 2205 calculated?
We run Kangqiao Service Group Ltd through 9 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of HK$1.43, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.7 % above its aggregate fair value. Kangqiao Service Group Ltd currently trades 58 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Kangqiao Service Group Ltd (2205)?
The closing price on Sep 30, 2026 was HK$0.5950. Our model-based fair value is HK$1.43, about +140% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Kangqiao Service Group Ltd right now?
The large discount to fair value meets weak quality (40/100). That raises the risk this is a value trap rather than a bargain. The price is below even our cautious bear case (HK$1.16). 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. As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.

Key figures of Kangqiao Service Group Ltd

How large is the market capitalisation of Kangqiao Service Group Ltd (2205)?
The market capitalisation of Kangqiao Service Group Ltd is HK$665M (≈ $84.8M). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Kangqiao Service Group Ltd (2205)?
The price-to-sales ratio of Kangqiao Service Group Ltd is 0.71 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Kangqiao Service Group Ltd (2205)?
Earnings per share at Kangqiao Service Group Ltd are HK$0.0500. Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Kangqiao Service Group Ltd (2205)?
The dividend yield of Kangqiao Service Group Ltd is 1.5% (payout 17.8%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Kangqiao Service Group Ltd (2205)?
The net margin of Kangqiao Service Group Ltd is −3.9% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Kangqiao Service Group Ltd (2205)?
The return on equity (ROE) of Kangqiao Service Group Ltd is −2.5% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Kangqiao Service Group Ltd (2205)?
On an EBIT basis the return on assets of Kangqiao Service Group Ltd is 5.6% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Kangqiao Service Group Ltd (2205)?
The operating margin of Kangqiao Service Group Ltd is −17.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Kangqiao Service Group Ltd (2205)?
Revenue at Kangqiao Service Group Ltd is growing +0.6% versus a year earlier (3y avg +5.5%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Kangqiao Service Group Ltd (2205)?
Earnings per share at Kangqiao Service Group Ltd are growing −21.8% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Kangqiao Service Group Ltd (2205) hold?
Kangqiao Service Group Ltd holds more cash than debt, 357M CNY net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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