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Choo Bee Metal Industries Bhd (5797) Fair Value & Analysis

Basic Materials · MY · Market cap 97.7M MYR

CB Choo Bee Metal Industries Bhd 5797 · KLSE
Price0.5150 MYR
Fair Value0.8240 MYR
Upside+60.0%
Quality60/100
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Strengths

Trades 38% below our fair value of 0.8240 MYR
generates free cash flow

Risks

!Weak Growth (revenue 5y +1.5 %/yr)
!Loss-making · -0.5% net margin
!Trails peers (3/9)
!Narrow moat 22/100
Weak Growth (revenue 5y +1.5 %/yr)
Loss-making · -0.5% net margin
generates free cash flow
Trails peers (3/9)
Narrow moat 22/100
Evidence: Medium Range 0.7041 MYR – 0.9439 MYR Share as image

Fair value as of: Aug 22, 2026

From 10 valuation models · updated 3 days ago

Fair value updated Aug 22, 2026, revised from 0.5500 MYR to 0.8240 MYR (+49.8%) since Aug 13, 2026. Share price +3.0% over the past month.

A solid business, trading 38% below our fair value.

What runs behind every stock

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

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What matters now

  • The price is below even our cautious bear case (0.7041 MYR). The market is more pessimistic than our downside scenario.
  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

1.50 MYR 0.4800 MYR Fair Value 0.8240 MYR Oct 2020 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 22, 2026.

How to read this chart

60‑month range 0.4800 MYR – 1.50 MYR · fair‑value band 0.7041 MYR – 0.9439 MYR · the 0.5150 MYR price screens below the 0.8240 MYR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 22, 2026.

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Analysis

Choo Bee Metal Industries Bhd (5797) currently trades at 0.5150 MYR, while our model-based Fair Value estimate is 0.8240 MYR, implying the stock looks roughly 60.0% undervalued today. The Quality Score stands at 60/100 (solid quality), in the Basic Materials 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, Choo Bee Metal Industries Bhd generated revenue of 360M MYR at a net margin of -0.5%. Revenue declined 13.9% year over year. It earns a return on equity of -0.3%. Fundamentals as of Aug 22, 2026

Our scenario range runs from 0.7041 MYR (bear case) to 0.9439 MYR (bull case); at 0.5150 MYR, 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 21% below its 52-week high and 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -17% fair-value upside, at 60%, 5797 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
Growth DCF 1.43 MYR 1.72 MYR 2.14 MYR 72
Rev-Margin DCF 1.50 MYR 2.08 MYR 2.80 MYR 67
EV/EBITDA 0.4700 MYR 0.5500 MYR 0.6300 MYR 54
All 10 models by family
DCF Models
FCF DCF 1.40 MYR 1.71 MYR 2.19 MYR 38
5Y Revenue Exit 1.50 MYR 2.05 MYR 2.85 MYR 39
5Y EBITDA Exit 0.9000 MYR 1.01 MYR 1.16 MYR 41
10Y Revenue Exit 1.42 MYR 1.78 MYR 2.16 MYR 36
10Y EBITDA Exit 1.13 MYR 1.23 MYR 1.31 MYR 37
Multiples
EV/EBITDA 0.4700 MYR 0.5500 MYR 0.6300 MYR 54
EV/Revenue 1.71 MYR 2.33 MYR 2.96 MYR 43
Asset-Based
NCAV (Graham) 1.50 MYR 2.01 MYR 3.00 MYR 50
Growth DCF
Growth DCF 1.43 MYR 1.72 MYR 2.14 MYR 72
Rev-Margin DCF 1.50 MYR 2.08 MYR 2.80 MYR 67

Widest divergence: Asset-Based (2.01 MYR) versus Multiples (0.5500 MYR). Highest evidence: Growth DCF (72).

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Key figures & financial health

P/S ratio 0.27 TTM
Net margin -0.5% TTM
Return on equity -0.3% TTM
Return on assets -0.8% TTM
Operating margin -1.5% TTM
EPS (TTM) -0.0100 MYR
More key figures
Growth
Revenue (TTM) 360M MYR TTM
Revenue growth (YoY) -13.9% 3y avg -8.9%
EPS growth (YoY) -48.7%
Balance sheet & cash flow
Free cash flow 31.5M MYR FY2025

Figures from reported company fundamentals · as of Aug 22, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 60 · Market factors (momentum, volatility) 43

Profitability 16
Margins and returns on capital today
Quality Growth 45
Are margins and returns improving?
Cashflow 55
Earnings quality: real cash, not paper profit
Fin. Strength 82
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 82
Calm price path (market factor)
Momentum 31
Price trend over the last 3–12 months (market factor)
52W Momentum 20
Distance to the 52-week high (market factor)
Net Issuance 82
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.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Choo Bee Metal Industries Berhad, together with its subsidiaries, manufactures and sells flat-based steel products in Malaysia and rest of Asia. It operates through two segments, Trading and Manufacturing.

Full company description

Choo Bee Metal Industries Berhad, together with its subsidiaries, manufactures and sells flat-based steel products in Malaysia and rest of Asia. It operates through two segments, Trading and Manufacturing. The company offers angles, pipes, beams, bars, channels, hollow sections, purlins, rails, plates, steel sheet piles, stainless steel products, and wire mesh. It is also involved in processing of steel coils into steel products; provision of processing services, such as shearing and slitting of steel products; and trading in hardware and construction materials. The company's products are used in the building, construction, and infra-structural related sectors, as well as the water and general manufacturing industries. It also exports its products to Singapore. Choo Bee Metal Industries Berhad was incorporated in 1971 and is headquartered in Ipoh, Malaysia.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Choo Bee Metal Industries Bhd reported revenue of 372M MYR in FY2025 versus 508M MYR in FY2021, a compound −7.5%/yr. Reported net income was −6.6M MYR in FY2025.

Growth Quality 31/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
372M MYR
Latest YoY
−6.0%
Avg. revenue 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.
−8.9%
Avg. revenue 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.
+1.5%
Avg. revenue growth/yr (13Y) 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.
−1.4%
Value creation/yr 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
Revenue −7.5%/yr
FY21 508M MYR
FY22 493M MYR
FY23 402M MYR
FY24 396M MYR
FY25 372M MYR
Net income
FY21 103M MYR
FY22 8.1M MYR
FY23 1.1M MYR
FY24 −25.7M MYR
FY25 −6.6M MYR

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Cite: Fair Value Calculator (2026). "Choo Bee Metal Industries Bhd Fair Value". https://www.fairvalue-calculator.com/stock/5797

Peer Group

Steel · 394 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 · Top 25%
Fair Value upside +60% · Top 25%
Return on assets -1% · Bottom 25%
Net margin (TTM) -1% · Bottom 25%
Operating margin (TTM) -2% · Bottom 25%
Revenue growth -14% · Bottom 25%

Valuation Multiples vs Steel median · lower = cheaper

P/S (TTM) 0.07× · Cheaper than 75% of peers
P/FCF 0.8× · Pricier than median

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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE100 · sector 13
FUTURE0 · sector 2
PAST0 · sector 16
HEALTH0 · sector 95
DIVIDEND0 · sector 48

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 Steel stocks, each showing price versus our Fair Value estimate (as of Aug 22, 2026).

Stock Price Fair Value vs Fair Value
Nucor Corporation NUE $271.81 $116.05 -57%
ArcelorMittal S.A MT €64.18 €53.35 -17%
JSW Steel Limited JSWSTEEL ₹1,296 ₹1,119 -14%
Steel Dynamics, Inc STLD $228.68 $127.14 -44%
500228 500228 ₹1,292 ₹1,079 -16%
Tata Steel Limited TATASTEEL ₹186.20 ₹145.39 -22%
Reliance, Inc RS $427.11 $217.81 -49%
Baoshan Iron & Steel Co 600019 ¥5.91 ¥8.07 +37%
POSCO Holdings PKX $57.09 $83.53 +46%
Jindal Steel & Power Limited JINDALSTEL ₹1,114 ₹429.44 -61%

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Frequently asked questions

Is Choo Bee Metal Industries Bhd (5797) overvalued or undervalued?
As of Aug 22, 2026, our model estimates a fair value of 0.8240 MYR versus a price of 0.5150 MYR, about +60% (undervalued).
What is the fair value of 5797?
Our model-based fair value for Choo Bee Metal Industries Bhd is 0.8240 MYR (as of Aug 22, 2026), built from audited fundamentals. The current price: 0.5150 MYR.
What is the quality score of 5797?
Choo Bee Metal Industries Bhd 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 Choo Bee Metal Industries Bhd (5797)?
Choo Bee Metal Industries Bhd reported trailing-twelve-month revenue of about 360M MYR (latest available figure, as of Aug 22, 2026).
What is the net profit margin of 5797?
The net profit margin of Choo Bee Metal Industries Bhd is about -0.5%, 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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