Hongcheng Environmental Technology Co Ltd (2265) fair value: what the stock is really worth
As of Sep 30, 2026: fair value of Hongcheng Environmental Technology Co Ltd HK$2.17, price HK$1.13, upside +92.0%, quality 59 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
Watch Hongcheng Environmental Technology Co Ltd for free, get notified when fair value or trend changes. Plus fair value for all 35,000+ stocks, 14 days of Pro free, no card.Watch for freePro now: $1 first month
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
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
59‑month range HK$0.5100 – HK$1.80 · fair‑value band HK$1.63 – HK$2.71 · the HK$1.13 price screens below the HK$2.17 fair value. Dashed = 300-day average. As of Sep 27, 2026.
Follow Hongcheng Environmental Technology Co in your weekly email
Every Wednesday you see whether Hongcheng Environmental Technology Co is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
Hongcheng Environmental Technology Company Limited engages in the gold mine hazardous waste treatment services in the People's Republic of China. The company offers gold mine hazardous waste recycling and resource recovery services. The company is also involved in sale of pyrite concentrate and provision of hazardous waste storage rental services.
Show more
Hongcheng Environmental Technology Company Limited engages in the gold mine hazardous waste treatment services in the People's Republic of China. The company offers gold mine hazardous waste recycling and resource recovery services. The company is also involved in sale of pyrite concentrate and provision of hazardous waste storage rental services. In addition, it produces and sells sulphuric acid, iron powder, electricity by reprocessing pyrite concentrate from the waste treatment services. The company was founded in 2011 and is headquartered in Laizhou, China. Hongcheng Environmental Technology Company Limited operates as a subsidiary of Zeming International Investment Co., Ltd.
Stock analysis
Hongcheng Environmental Technology Co Ltd (2265) currently trades at HK$1.13, while our model-based Fair Value estimate is HK$2.17, implying the stock looks roughly 47.9% undervalued today.
Show more
Valuation
Bull case: the Growth Earnings group reads highest at a median of HK$3.71 per share, and 8 of the 15 models we run sit above the HK$1.13 price.
Bear case: the Asset-Based group reads lowest at HK$0.4900, and 7 of the 15 models stay below the price. Evidence for this calculation is low.
Scenario range: HK$1.63 (bear) to HK$2.71 (bull), the price of HK$1.13 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 59/100 (solid quality), in the Industrials sector.
Expensive Growth: The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Hongcheng Environmental Technology Co Ltd reported revenue of 324M CNY in FY2025 versus 257M CNY in FY2021, a compound +5.9%/yr. Reported net income was 88.5M CNY in FY2025, compounding +0.8%/yr from FY2021.
Key figures
Market cap HK$1.1B (≈ $144M) · P/E ratio 12.0 · P/S ratio 3.28 · EPS (TTM) HK$0.0400 · Net margin 27.3% · Return on equity 15.0% · Return on assets (EBIT) 11.2% · Operating margin 38.7%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 50 out of 100 (low confidence).
What moves the price
The share trades about 37% below its 52-week high and 13% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −18% fair-value upside, at 92%, 2265 screens cheaper than that median.
Fair Value models
Bear HK$1.63Fair Value HK$2.17Bull HK$2.71
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$0.0300 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.
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.52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Revenue growth 1 year
+38.4%
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.
+13.3%
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.
+9.5%
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.
+17.9%
’18
’19
’20
’21
’22
’23
’24
’25
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+4.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year+4.0%
Dividend (yield on the price)0.0%
Profit margin 2020 to 2025 ⓘ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.50% → 36%
Compare Hongcheng Environmental Technology Co Ltd with another stock
Price, fair value, quality and upside side by side.
Free, no sign-up
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.Waste Management · 164 stocks
Beats the industry median on 10/12 measures
Overall it ranks above its industry peers.
Valuation
Quality Score59 · Top 25%
Fair Value upside+92.0% · Top 25%
Profitability
Return on equity (TTM)15.0% · Top 25%
Return on assets7.1% · Top 25%
Net margin (TTM)27.4% · Top 25%
Operating margin (TTM)38.7% · Top 25%
Growth and dividend
Revenue growth47.5% · Top 25%
Balance sheet
Debt / equity0.11× · Below median
Valuation Multiplesvs Waste Management median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Hongcheng Environmental Technology Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/2265
Frequently asked questions
Is Hongcheng Environmental Technology Co Ltd (2265) overvalued or undervalued?
As of Sep 27, 2026, our model estimates a fair value of HK$2.17 versus a price of HK$1.13, about +92% upside (undervalued).
What is the fair value of 2265?
Our model-based fair value for Hongcheng Environmental Technology Co Ltd is HK$2.17 (as of Sep 27, 2026), built from audited fundamentals. The current price: HK$1.13.
What is the quality score of 2265?
Hongcheng Environmental Technology Co Ltd has a Quality Score of 59/100. 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 Hongcheng Environmental Technology Co Ltd (2265)?
Our model-based price target is the fair value of HK$2.17 (as of Sep 27, 2026) from 15 valuation models. Cautious scenario HK$1.63, optimistic scenario HK$2.71. It is a calculation from audited fundamentals, not an analyst target.
What is the Hongcheng Environmental Technology Co Ltd stock forecast for 2026?
Our models put fair value at HK$2.17, about +92% upside versus a price of HK$1.13 (undervalued). Cautious scenario HK$1.63, optimistic scenario HK$2.71. The calculation is refreshed regularly with new filings.
What is the revenue of Hongcheng Environmental Technology Co Ltd (2265)?
Hongcheng Environmental Technology Co Ltd reported trailing-twelve-month revenue of about 324M CNY (latest available figure, as of Sep 27, 2026).
What is the intrinsic value of Hongcheng Environmental Technology Co Ltd (2265)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Hongcheng Environmental Technology Co Ltd it is HK$2.17 per share (as of Sep 27, 2026), against a price of HK$1.13. It is the blended result of 15 valuation models (cash flow, earnings, asset, dividend).
Is Hongcheng Environmental Technology Co Ltd stock overvalued or undervalued in 2026?
As of Sep 27, 2026, 2265 trades below its calculated fair value: price HK$1.13, fair value HK$2.17, a gap of about +92% (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 2265?
No. The price is what the market pays today (HK$1.13); the fair value is what the company's own numbers justify (HK$2.17). For Hongcheng Environmental Technology Co Ltd the two are HK$1.04 per share apart. That gap is exactly why we show both numbers side by side.
How much is Hongcheng Environmental Technology Co Ltd worth?
The market values Hongcheng Environmental Technology Co Ltd at about HK$1.1B (market capitalisation, as of Sep 27, 2026). Per share that is HK$1.13; our models calculate a fair value of HK$2.17 per share.
What do the bullish and bearish scenarios say about 2265?
Our models span a range for Hongcheng Environmental Technology Co Ltd: cautious scenario HK$1.63, base HK$2.17, optimistic HK$2.71 per share (as of Sep 27, 2026, price HK$1.13). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 2265?
Hongcheng Environmental Technology Co Ltd trades at a price-to-earnings ratio of 12.0 (as of Sep 27, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of HK$2.17 is built from several models across several years. Other multiples: P/B 1.6, P/S 3.0, EV/EBITDA 5.8.
How solid is the balance sheet of Hongcheng Environmental Technology Co Ltd (2265)?
Balance-sheet figures for Hongcheng Environmental Technology Co Ltd (as of Sep 27, 2026): return on equity 15.0%, debt of 0.11 per unit of equity. They feed the Quality Score of 59/100, which measures business quality independently of the share price.
How far is 2265 from its 52-week high?
Hongcheng Environmental Technology Co Ltd trades at HK$1.13, about 37% below its 52-week high of HK$1.80 and 13% above the low of HK$1.00 (as of Sep 30, 2026). Distance from the high says nothing about value: that is what the fair value of HK$2.17 is for.
Which stocks are comparable to Hongcheng Environmental Technology Co Ltd?
From the same area (Industrials) we also value Waste Management, Inc, Republic Services, Inc, Waste Connections, Inc, Veolia Environnement SA, 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 Hongcheng Environmental Technology Co Ltd stock attractive at the current price?
The data as of Sep 27, 2026: price HK$1.13, calculated fair value HK$2.17 (+92%), Quality Score 59/100, from 15 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 2265 calculated?
We run Hongcheng Environmental Technology Co Ltd through 15 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$2.17, 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. Hongcheng Environmental Technology Co Ltd currently trades 48 % 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 Hongcheng Environmental Technology Co Ltd (2265)?
The closing price on Sep 30, 2026 was HK$1.13. Our model-based fair value is HK$2.17, about +92% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Hongcheng Environmental Technology Co Ltd right now?
The price is below even our cautious bear case (HK$1.63). 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 (59/100) at a price below fair value, the discount is the argument here, not the business quality.
Key figures of Hongcheng Environmental Technology Co Ltd
How large is the market capitalisation of Hongcheng Environmental Technology Co Ltd (2265)?
The market capitalisation of Hongcheng Environmental Technology Co Ltd is HK$1.1B (≈ $144M). 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 Hongcheng Environmental Technology Co Ltd (2265)?
The price-to-sales ratio of Hongcheng Environmental Technology Co Ltd is 3.28 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Hongcheng Environmental Technology Co Ltd (2265)?
Earnings per share at Hongcheng Environmental Technology Co Ltd are HK$0.0400 (price ÷ EPS = P/E 12.0). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Hongcheng Environmental Technology Co Ltd (2265)?
The net margin of Hongcheng Environmental Technology Co Ltd is 27.3% (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 Hongcheng Environmental Technology Co Ltd (2265)?
The return on equity (ROE) of Hongcheng Environmental Technology Co Ltd is 15.0% (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 Hongcheng Environmental Technology Co Ltd (2265)?
On an EBIT basis the return on assets of Hongcheng Environmental Technology Co Ltd is 11.2% (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 Hongcheng Environmental Technology Co Ltd (2265)?
The operating margin of Hongcheng Environmental Technology Co Ltd is 38.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Hongcheng Environmental Technology Co Ltd (2265)?
Revenue at Hongcheng Environmental Technology Co Ltd is growing +47.5% versus a year earlier (3y avg +13.3%). 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 Hongcheng Environmental Technology Co Ltd (2265)?
Earnings per share at Hongcheng Environmental Technology Co Ltd are growing +31.7% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does Hongcheng Environmental Technology Co Ltd (2265) generate?
The free cash flow of Hongcheng Environmental Technology Co Ltd is −33.9M CNY (fiscal year 2025). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net debt does Hongcheng Environmental Technology Co Ltd (2265) carry?
The net debt of Hongcheng Environmental Technology Co Ltd is 3.8M CNY (fiscal year 2025). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
Free · no account needed
Watch Hongcheng Environmental Technology Co Ltd in the live analysis
One click puts Hongcheng Environmental Technology Co Ltd on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
