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China Health Group Inc (8225) Fair Value & Analysis

Healthcare · HK · Market cap HK$93.6M

CH China Health Group Inc 8225 · HK
PriceHK$0.0800
Fair ValueHK$0.1120
Upside+40.0%
Quality65/100
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Weak Growth
Loss-making · -52.4% net margin
Low debt · generates free cash flow
Mixed vs. peers (5/10)
Narrow moat 0/100
Evidence: Low Range HK$0.0880 – HK$0.1360 Share as image

Fair value as of: Aug 13, 2026

From 7 valuation models · updated 3 days ago

Fair value updated Aug 13, 2026, revised from HK$0.1114 to HK$0.1120 (+0.5%) since Aug 6, 2026. Share price −16.7% over the past month.

A solid business, screening 40% undervalued on our models.

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What matters now

  • The price is below even our cautious bear case (HK$0.0880). 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 (65/100) 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)

HK$0.5200 HK$0.0710 Fair Value HK$0.1120 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range HK$0.0710 – HK$0.5200 · fair‑value band HK$0.0880 – HK$0.1360 · the HK$0.0800 price screens below the HK$0.1120 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

China Health Group Inc (8225) currently trades at HK$0.0800, while our model-based Fair Value estimate is HK$0.1120, implying the stock looks roughly 40.0% undervalued today. The Quality Score stands at 65/100 (solid quality), in the Healthcare 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: low), always confirm before acting.

Over the trailing twelve months, China Health Group Inc generated revenue of HK$28.6M at a net margin of -52.4%. Revenue declined 14.9% year over year. It earns a return on equity of -24.0%. The balance sheet holds a net cash position of HK$23.4M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.0880 (bear case) to HK$0.1360 (bull case); at HK$0.0800, 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 60% below its 52-week high, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -50% fair-value upside, at 40%, 8225 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 HK$0.1000 HK$0.1300 HK$0.1700 80
Rev-Margin DCF HK$0.0800 HK$0.1200 HK$0.1600 74
NCAV (Graham) HK$0.0300 HK$0.0400 HK$0.0600 50
All 7 models by family
DCF Models
FCF DCF HK$0.1000 HK$0.1300 HK$0.1800 38
5Y Revenue Exit HK$0.0800 HK$0.1200 HK$0.1600 39
10Y Revenue Exit HK$0.0900 HK$0.1200 HK$0.1600 36
Multiples
EV/Revenue HK$0.0800 HK$0.1000 HK$0.1300 43
Asset-Based
NCAV (Graham) HK$0.0300 HK$0.0400 HK$0.0600 50
Growth DCF
Growth DCF HK$0.1000 HK$0.1300 HK$0.1700 80
Rev-Margin DCF HK$0.0800 HK$0.1200 HK$0.1600 74

Widest divergence: DCF Models (HK$0.1200) versus Asset-Based (HK$0.0400). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) HK$28.6M
Revenue growth (YoY) -14.9%
Net margin -52.4%
Return on equity -24.0%
Free cash flow HK$9.0M FY2025
Operating margin -365%
More key figures
EPS (TTM) HK$0.0100
EPS growth (YoY) +17.8%
Net cash HK$23.4M FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 65/100

Of which business quality 68 · Market factors (momentum, volatility) 20

Profitability 10
Margins and returns on capital today
Quality Growth 65
Are margins and returns improving?
Cashflow 100
Earnings quality: real cash, not paper profit
Fin. Strength 71
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 67
Calm price path (market factor)
Momentum 0
Price trend over the last 3–12 months (market factor)
52W Momentum 0
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.

About the company

China Health Group Inc., together with its subsidiaries, researches and develops bio, natural, and synthetic drugs in the People's Republic of China.

Full company description

China Health Group Inc., together with its subsidiaries, researches and develops bio, natural, and synthetic drugs in the People's Republic of China. It engages in the pharmacodynamics and clinical research of drugs; provision of post market and contracted pharmaceutical development services; and technological transfer and services for the research and development of drugs. The company was formerly known as Venturepharm Laboratories Limited and changed its name to China Health Group Inc. in February 2015. China Health Group Inc. was founded in 1998 and is headquartered in Beijing, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Health Group Inc reported revenue of HK$27.8M in FY2025 versus HK$83.6M in FY2021, a compound −24.0%/yr. Reported net income was −HK$14.6M in FY2025.

Growth Quality 21/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
HK$27.8M
Latest YoY
+5.2%
Avg. 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.
+28.6%
Avg. 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.
−19.6%
Avg. growth/yr (23Y) 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.
−0.7%
Revenue −24.0%/yr
FY21 HK$83.6M
FY22 HK$13.1M
FY23 HK$21.4M
FY24 HK$26.5M
FY25 HK$27.8M
Net income
FY21 HK$36.3M
FY22 −HK$15.8M
FY23 −HK$58.0M
FY24 −HK$14.5M
FY25 −HK$14.6M

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Cite: Fair Value Calculator (2026). "China Health Group Inc Fair Value". https://www.fairvalue-calculator.com/stock/8225

Peer Group

Diagnostics & Research · 135 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 65 · Top 25%
Fair Value upside +38% · Top 25%
Return on assets -10% · Bottom 25%
Net margin (TTM) -52% · Bottom 25%
Revenue growth -15% · Bottom 25%
Debt / equity 0.09× · Higher than median

Valuation Multiples vs Diagnostics & Research median · lower = cheaper

P/B 0.22× · Cheaper than 75% of peers
P/S (TTM) 0.42× · Cheaper than 75% of peers
P/FCF 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 83 · sector 0
FUTURE 0 · sector 25
PAST 0 · sector 11
HEALTH 96 · sector 96
DIVIDEND 0 · sector 30

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 Diagnostics & Research stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Thermo Fisher Scientific Inc TMO $603.01 $308.19 -49%
Danaher Corporation DHR $205.79 $103.88 -50%
WuXi AppTec Co 2359 HK$198.90 HK$157.39 -21%
Lonza Group LONN CHF 566.20 CHF 259.80 -54%
IDEXX Laboratories, Inc IDXX $570.58 $255.77 -55%
Agilent Technologies, Inc A $148.24 $61.53 -58%
Waters Corporation WAT $416.15 $121.96 -71%
IQVIA Holdings IQV $243.84 $132.17 -46%
Illumina, Inc ILMN $192.91 $95.51 -50%
Mettler-Toledo International Inc MTD $1,437 $615.78 -57%

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Frequently asked questions

Is China Health Group Inc (8225) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.1120 versus a price of HK$0.0800, about +40% (undervalued).
What is the fair value of 8225?
Our model-based fair value for China Health Group Inc is HK$0.1120 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.0800.
What is the quality score of 8225?
China Health Group Inc has a Quality Score of 65/100. 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 China Health Group Inc (8225)?
China Health Group Inc reported trailing-twelve-month revenue of about HK$28.6M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 8225?
The net profit margin of China Health Group Inc is about -52.4%, 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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