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Hong Leong Industries Berhad, an investment holding company, (3301) Fair Value & Analysis

Consumer Cyclical · MY · Market cap 5.9B MYR

HL Hong Leong Industries Berhad, an investment holding company, 3301 · KLSE
Price17.90 MYR
Fair Value22.26 MYR
Upside+24.4%
Quality77/100
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Healthy Growth
Solidly profitable · 15.2% net margin
Low debt · generates free cash flow
5.34% dividend yield
Ranks above peers (12/14)
Wide moat 81/100
Evidence: Medium Range 15.17 MYR – 27.68 MYR Share as image

Fair value as of: Jul 16, 2026

From 26 valuation models · updated 25 days ago

Fair value updated Jul 16, 2026, revised from 31.75 MYR to 22.26 MYR (−29.9%) since Jul 9, 2026. Share price −4.2% over the past month.

A strong business, screening 24% undervalued on our models.

What matters now

  • A fairly wide model range (15.17 MYR to 27.68 MYR) leaves room in how you read the outcome.
  • Our model range runs from 15.17 MYR (bear) to 27.68 MYR (bull), base 22.26 MYR. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 77/100 (high quality) with medium evidence: read the verdict with care.
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Price vs Fair Value (5 years)

19.18 MYR 6.21 MYR Fair Value 22.26 MYR Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range 6.21 MYR – 19.18 MYR · fair‑value band 15.17 MYR – 27.68 MYR · the 17.90 MYR price screens below the 22.26 MYR fair value. Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Hong Leong Industries Berhad, an investment holding company, (3301) currently trades at 17.90 MYR, while our model-based Fair Value estimate is 22.26 MYR, implying the stock looks roughly 24.4% undervalued today. The Quality Score stands at 77/100 (high quality), in the Consumer Cyclical 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, Hong Leong Industries Berhad, an investment holding company, generated revenue of 3.6B MYR at a net margin of 15.2%. Revenue declined 1.5% year over year. It earns a return on equity of 28.3%. The balance sheet holds a net cash position of 257M MYR. Fundamentals as of Jul 16, 2026

Our scenario range runs from 15.17 MYR (bear case) to 27.68 MYR (bull case); at 17.90 MYR, the current price sits within 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 7% below its 52-week high and 53% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 25% fair-value upside, at 24%, 3301 screens richer 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 BearBaseBull Evidence
Highest evidence
Growth DCF 19.41 MYR 28.29 MYR 40.67 MYR 80
Residual Income 9.33 MYR 11.81 MYR 35.96 MYR 76
Rev-Margin DCF 13.19 MYR 19.38 MYR 26.70 MYR 74
All 26 models by family
DCF Models
FCF DCF 19.21 MYR 29.44 MYR 44.70 MYR 38
Owner Earnings 13.00 MYR 19.78 MYR 29.89 MYR 31
5Y Revenue Exit 13.19 MYR 19.22 MYR 26.77 MYR 39
5Y EBITDA Exit 20.71 MYR 33.48 MYR 48.47 MYR 41
5Y P/E Exit 21.84 MYR 35.64 MYR 50.27 MYR 38
10Y Revenue Exit 14.97 MYR 20.98 MYR 28.87 MYR 36
10Y EBITDA Exit 19.96 MYR 30.73 MYR 45.27 MYR 37
10Y P/E Exit 20.67 MYR 32.21 MYR 46.63 MYR 35
Earnings-Based
Graham-Dodd 10.38 MYR 34.55 MYR 46.24 MYR 54
Lynch FV 7.82 MYR 11.18 MYR 14.53 MYR 50
PEG = 1.0 7.82 MYR 11.18 MYR 14.53 MYR 46
EPV 17.04 MYR 19.60 MYR 21.81 MYR 59
Dividend Discount
Gordon GGM 7.02 MYR 13.99 MYR 21.19 MYR 70
DDM Multi-Stage 7.02 MYR 11.76 MYR 14.77 MYR 61
Multiples
P/E Multiple 25.19 MYR 33.59 MYR 41.99 MYR 63
P/S Multiple 10.09 MYR 13.46 MYR 16.82 MYR 58
P/B Multiple 19.47 MYR 25.96 MYR 32.45 MYR 55
EV/EBIT 33.56 MYR 44.47 MYR 55.38 MYR 53
EV/EBITDA 24.03 MYR 31.76 MYR 39.50 MYR 54
EV/Revenue 10.24 MYR 14.28 MYR 18.32 MYR 43
Asset-Based
NCAV (Graham) 3.62 MYR 4.85 MYR 7.25 MYR 50
Growth DCF
Growth DCF 19.41 MYR 28.29 MYR 40.67 MYR 80
Rev-Margin DCF 13.19 MYR 19.38 MYR 26.70 MYR 74
Economic Profit
Residual Income 9.33 MYR 11.81 MYR 35.96 MYR 76
ROIC Compounder 18.21 MYR 22.47 MYR 27.24 MYR 72
Growth Earnings
Growth-Adj P/E 21.22 MYR 30.31 MYR 39.40 MYR 68

Widest divergence: Growth Earnings (30.31 MYR) versus Asset-Based (4.85 MYR). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 3.6B MYR
Revenue growth (YoY) -1.5%
Net margin 15.2%
Return on equity 28.3%
Free cash flow 533M MYR FY2025
P/E ratio 10.8
More key figures
Operating margin 24.9%
EPS (TTM) 1.72 MYR
Dividend yield 5.3%
EPS growth (YoY) +39.9%
Net cash 257M MYR FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 77/100

Of which business quality 74 · Market factors (momentum, volatility) 76

Profitability 71
Margins and returns on capital today
Quality Growth 69
Are margins and returns improving?
Cashflow 67
Earnings quality: real cash, not paper profit
Fin. Strength 87
Balance sheet, leverage, solvency risk
Investment 70
Disciplined investing over empire-building
Low Volatility 91
Calm price path (market factor)
Momentum 61
Price trend over the last 3–12 months (market factor)
52W Momentum 84
Distance to the 52-week high (market factor)
Net Issuance 74
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

Hong Leong Industries Berhad, an investment holding company, engages in the manufacture and sale of consumer and industrial products in Malaysia, Australia, Vietnam, Thailand, Singapore, Taiwan, and internationally.

Full company description

Hong Leong Industries Berhad, an investment holding company, engages in the manufacture and sale of consumer and industrial products in Malaysia, Australia, Vietnam, Thailand, Singapore, Taiwan, and internationally. The company manufactures, assembles, and distributes motorcycles, scooters, and related parts and products; and manufactures and sells of ceramic tiles. It is also involved in the distribution, trading, and provision of services in marine-related products, such as outboard motors and spare parts, as well as offers after-sales services. The company sells its motorcycle products under the Yamaha brand; and its ceramic tile ceramic tile products under the Guocera brand name through a network of dealers and distributors. The company was formerly known as Fancy Tile Works Limited and changed its name to Hong Leong Industries Berhad in 1979. Hong Leong Industries Berhad was incorporated in 1964 and is based in Kuala Lumpur, Malaysia. Hong Leong Industries Berhad is a subsidiary of Hong Leong Manufacturing Group Sdn Bhd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hong Leong Industries Berhad, an investment holding company, reported revenue of 3.6B MYR in FY2025 versus 2.6B MYR in FY2021, a compound +7.9%/yr. Reported net income was 486M MYR in FY2025, compounding +13.6%/yr from FY2021.

Growth Quality 89/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
3.6B MYR
Latest YoY
+14.8%
Avg. growth/yr (3Y)
+13.1%
Avg. growth/yr (5Y)
+9.1%
Avg. growth/yr (13Y)
+3.9%
Revenue +7.9%/yr
FY21 2.6B MYR
FY22 2.5B MYR
FY23 3.4B MYR
FY24 3.1B MYR
FY25 3.6B MYR
Net income +13.6%/yr
FY21 292M MYR
FY22 211M MYR
FY23 291M MYR
FY24 388M MYR
FY25 486M MYR

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Cite: Fair Value Calculator (2026). "Hong Leong Industries Berhad, an investment holding company, Fair Value". https://www.fairvalue-calculator.com/stock/3301

Peer Group

Auto Manufacturers · 119 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 77 · Top 25%
Fair Value upside +24% · Above median
Return on equity (TTM) 28% · Top 25%
Return on assets 16% · Top 25%
Net margin (TTM) 15% · Top 25%
Operating margin (TTM) 25% · Top 25%
Revenue growth -2% · Below median
Dividend yield (TTM) 5.3% · Top 25%
Debt / equity 0.05× · Lower than median

Valuation Multiples vs Auto Manufacturers median · lower = cheaper

P/E (TTM) 10.8× · Cheaper than median
P/B 0.63× · Cheaper than 75% of peers
P/S (TTM) 0.40× · Cheaper than median
P/FCF 2.7× · Pricier than median
EV/EBITDA 1.3× · 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 66 · sector 28
FUTURE 0 · sector 33
PAST 100 · sector 19
HEALTH 98 · sector 94
DIVIDEND 100 · sector 44

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 Auto Manufacturers stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
Toyota Motor Corporation TM $179.76 $224.63 +25%
BYD Company 81211 HK$80.55 HK$50.85 -37%
Hyundai Motor Company 005380 425,000 KRW 616,918 KRW +45%
General Motors Company GM $77.72 $56.93 -27%
Bayerische Motoren Werke Aktiengesellschaft BMWM5N 1,909 MXN 2,944 MXN +54%
Ferrari N.V RACE $376.64 $228.05 -39%
Ford Motor Company F C$11.86 C$4.00 -66%
Mercedes-Benz Group BENZ C$20.44 C$35.15 +72%
Volkswagen AG VOW 2,149 CZK 7,191 CZK +235%
Maruti Suzuki India Limited MARUTI ₹13,803 ₹8,236 -40%

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Frequently asked questions

Is Hong Leong Industries Berhad, an investment holding company, (3301) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of 22.26 MYR versus a price of 17.90 MYR, about +24% (undervalued).
What is the fair value of 3301?
Our model-based fair value for Hong Leong Industries Berhad, an investment holding company, is 22.26 MYR (as of Jul 16, 2026), built from audited fundamentals. The current price is 17.90 MYR.
What is the quality score of 3301?
Hong Leong Industries Berhad, an investment holding company, has a Quality Score of 77/100. 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 Hong Leong Industries Berhad, an investment holding company, (3301)?
Hong Leong Industries Berhad, an investment holding company, reported trailing-twelve-month revenue of about 3.6B MYR (latest available figure, as of Jul 16, 2026).
What is the net profit margin of 3301?
The net profit margin of Hong Leong Industries Berhad, an investment holding company, is about 15.2%, meaning it keeps roughly 15.2% of revenue as net income. Based on the latest reported figures.
Does Hong Leong Industries Berhad, an investment holding company, pay a dividend?
Hong Leong Industries Berhad, an investment holding company, currently shows a dividend yield of about 5.52% relative to its recent price (as of Jul 16, 2026).

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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