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Watta Holding Bhd (7226) Fair Value & Analysis

Technology · MY · Market cap 32.1M MYR

WH Watta Holding Bhd 7226 · KLSE
Price0.4050 MYR
Fair Value0.3800 MYR
Upside-6.2%
Quality46/100
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Risks

!Weak Growth (revenue 5y −19.2 %/yr)
!Loss-making · -33.3% net margin
!Low debt · negative free cash flow
!Trails peers (3/10)
Weak Growth (revenue 5y −19.2 %/yr)
Loss-making · -33.3% net margin
Low debt · negative free cash flow
Trails peers (3/10)
Narrow moat 11/100
Evidence: Low Range 0.2800 MYR – 0.5600 MYR Share as image

Fair value as of: Aug 20, 2026

From 1 valuation models · updated 6 days ago

Share price −3.6% over the past month.

Below-average quality, currently priced close to 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 sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range (0.2800 MYR to 0.5600 MYR) leaves room in how you read the outcome.
  • Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.
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Price vs Fair Value (5 years)

0.9500 MYR 0.2400 MYR Fair Value 0.3800 MYR Oct 2016 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 20, 2026.

How to read this chart

60‑month range 0.2400 MYR – 0.9500 MYR · fair‑value band 0.2800 MYR – 0.5600 MYR · the 0.4050 MYR price screens above the 0.3800 MYR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 20, 2026.

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Analysis

Watta Holding Bhd (7226) currently trades at 0.4050 MYR, while our model-based Fair Value estimate is 0.3800 MYR, implying the stock looks roughly 6.2% fairly valued today. The Quality Score stands at 46/100 (below-average quality), in the Technology 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: low).

Over the trailing twelve months, Watta Holding Bhd generated revenue of 3.9M MYR at a net margin of -33.3%. Revenue declined 25.0% year over year. It earns a return on equity of -2.6%. Fundamentals as of Aug 20, 2026

Our scenario range runs from 0.2800 MYR (bear case) to 0.5600 MYR (bull case); at 0.4050 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 39% below its 52-week high and 35% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -54% fair-value upside, at -6%, 7226 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
NCAV (Graham) 0.2900 MYR 0.3900 MYR 0.5900 MYR 50
All 1 models by family
Asset-Based
NCAV (Graham) 0.2900 MYR 0.3900 MYR 0.5900 MYR 50

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Key figures & financial health

P/S ratio 8.06 TTM
Net margin -33.3% TTM
Return on equity -2.6% TTM
Return on assets -2.2% TTM
Operating margin -51.2% TTM
EPS (TTM) -0.0200 MYR
More key figures
Growth
Revenue (TTM) 3.9M MYR TTM
Revenue growth (YoY) -25.0% 3y avg -27.8%
EPS growth (YoY) +79.7%
Balance sheet & cash flow
Free cash flow −1.7M MYR FY2025

Figures from reported company fundamentals · as of Aug 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 46/100

Of which business quality 45 · Market factors (momentum, volatility) 40

Profitability 4
Margins and returns on capital today
Quality Growth 37
Are margins and returns improving?
Cashflow 18
Earnings quality: real cash, not paper profit
Fin. Strength 64
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 52
Calm price path (market factor)
Momentum 46
Price trend over the last 3–12 months (market factor)
52W Momentum 18
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

Watta Holding Berhad, an investment holding company, engages in servicing and repairing of mobile telecommunication equipment products and other electronic equipment in Malaysia. It is involved in marketing and distributing telecommunication equipment and related products; and invests in property.

Full company description

Watta Holding Berhad, an investment holding company, engages in servicing and repairing of mobile telecommunication equipment products and other electronic equipment in Malaysia. It is involved in marketing and distributing telecommunication equipment and related products; and invests in property. Watta Holding Berhad was incorporated in 1994 and is based in Kuala Lumpur, Malaysia.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Watta Holding Bhd reported revenue of 4.2M MYR in FY2025 versus 12.0M MYR in FY2021, a compound −23.1%/yr. Reported net income was −1.3M MYR in FY2025.

Growth Quality 0/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
4.2M MYR
Latest YoY
−35.3%
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.
−27.8%
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.
−19.2%
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.
−12.6%
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 −23.1%/yr
FY21 12.0M MYR
FY22 11.2M MYR
FY23 8.6M MYR
FY24 6.5M MYR
FY25 4.2M MYR
Net income
FY21 −1.2M MYR
FY22 −862K MYR
FY23 −2.0M MYR
FY24 −1.4M MYR
FY25 −1.3M MYR

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Cite: Fair Value Calculator (2026). "Watta Holding Bhd Fair Value". https://www.fairvalue-calculator.com/stock/7226

Peer Group

Communication Equipment · 307 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 45 · Below median
Fair Value upside −6% · Above median
Return on assets -2% · Bottom 25%
Net margin (TTM) -33% · Bottom 25%
Operating margin (TTM) -51% · Bottom 25%
Revenue growth -25% · Bottom 25%

Valuation Multiples vs Communication Equipment median · lower = cheaper

P/B 0.16× · Cheaper than 75% of peers
P/S (TTM) 2.05× · 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
VALUE25 · sector 0
FUTURE0 · sector 34
PAST0 · sector 15
HEALTH100 · sector 98
DIVIDEND0 · sector 24

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 Communication Equipment stocks, each showing price versus our Fair Value estimate (as of Aug 20, 2026).

Stock Price Fair Value vs Fair Value
Cisco Systems, Inc CSCO $111.61 $61.53 -45%
Zhongji Innolight Co 300308 ¥921.00 ¥171.09 -81%
Foxconn Industrial Internet Co 601138 ¥61.83 ¥28.65 -54%
Eoptolink Technology Inc 300502 ¥429.90 ¥176.99 -59%
Nokia Oyj NOK $10.32 $3.77 -63%
Motorola Solutions, Inc MSI $469.74 $236.33 -50%
Suzhou TFC Optical Communication Co 300394 ¥276.25 ¥43.67 -84%
Telefonaktiebolaget LM Ericsson (publ), ERIC $10.27 $19.93 +94%
Accton Technology Corporation 2345 2,270 TWD 1,135 TWD -50%
Ubiquiti Inc UI $577.76 $252.79 -56%

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Frequently asked questions

Is Watta Holding Bhd (7226) overvalued or undervalued?
As of Aug 20, 2026, our model estimates a fair value of 0.3800 MYR versus a price of 0.4050 MYR, about −6% (fairly valued).
What is the fair value of 7226?
Our model-based fair value for Watta Holding Bhd is 0.3800 MYR (as of Aug 20, 2026), built from audited fundamentals. The current price: 0.4050 MYR.
What is the quality score of 7226?
Watta Holding Bhd has a Quality Score of 46/100. 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 Watta Holding Bhd (7226)?
Watta Holding Bhd reported trailing-twelve-month revenue of about 3.9M MYR (latest available figure, as of Aug 20, 2026).
What is the net profit margin of 7226?
The net profit margin of Watta Holding Bhd is about -33.3%, 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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