Smart City Development Holdings Ltd (8268) Fair Value & Analysis

Industrials · HK · Market cap HK$57.9M

Below-average quality, and screening another 37% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case (HK$0.1600). The favourable scenario is already priced in.
• Weak quality (42/100) and above fair value at the same time, the margin of safety is missing on both counts.
• The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
• A fairly wide model range (HK$0.0800 to HK$0.1600) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 15, 2026.

How to read this chart

60‑month range HK$0.1800 – HK$1.55 · fair‑value band HK$0.0800 – HK$0.1600 · the HK$0.2050 price screens above the HK$0.1300 fair value. Dashed = 300-day average. As of Aug 15, 2026.

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Analysis

Smart City Development Holdings Ltd (8268) currently trades at HK$0.2050, while our model-based Fair Value estimate is HK$0.1300, implying the stock looks roughly 36.6% overvalued today. The Quality Score stands at 42/100 (below-average quality), in the Industrials 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, Smart City Development Holdings Ltd generated revenue of HK$413M at a net margin of -8.7%. Revenue grew 5.9% year over year. It earns a return on equity of -30.3%. The balance sheet holds a net cash position of HK$28.2M. Fundamentals as of Aug 15, 2026

Our scenario range runs from HK$0.0800 (bear case) to HK$0.1600 (bull case); at HK$0.2050, the current price sits above 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 74% below its 52-week high and 20% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -34% fair-value upside, at -37%, 8268 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.

Key figures & financial health

Quality Score breakdown

About the company

Smart City Development Holdings Limited, an investment holding company, operates as a contractor in the building industry in Hong Kong. The company operates through four segments: Construction Business, Securities Investment, Property Investment Business, and Money Lending Business.

Full company description

Smart City Development Holdings Limited, an investment holding company, operates as a contractor in the building industry in Hong Kong. The company operates through four segments: Construction Business, Securities Investment, Property Investment Business, and Money Lending Business. The Construction Business segment undertakes building construction and related works; electrical and mechanical engineering works; and alteration, addition, renovation, refurbishment, and fitting-out works. The Securities Investment segment invests in long term and short term marketable securities. The Property Investment segment invests in, acquires, and rents properties. The Money Lending Business segment engages in the money lending activities. It also provides decoration engineering services. The company was formerly known as Deson Construction International Holdings Limited and changed its name to Smart City Development Holdings Limited in September 2020. Smart City Development Holdings Limited was founded in 1988 and is headquartered in Kwun Tong, Hong Kong.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Smart City Development Holdings Ltd reported revenue of HK$407M in FY2026 versus HK$325M in FY2022, a compound +5.8%/yr. Reported net income was −HK$22.4M in FY2026.

8268 screens 37% overvalued. Compare with Larsen & Toubro Limited →

Peer Group

Engineering & Construction · 837 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.

Valuation Multiples vs Engineering & Construction median · lower = cheaper

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 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

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.