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Wing Lee Dvlp Constr Hldg Ltd (9639) Fair Value & Analysis

Industrials · HK · Market cap HK$940M

WL Wing Lee Dvlp Constr Hldg Ltd 9639 · HK
PriceHK$0.9750
Fair ValueHK$1.16
Upside+19.0%
Quality46/100
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Expensive Growth
Thin margins · 6.5% net margin
Low debt · negative free cash flow
Mixed vs. peers (7/13)
Moderate moat 45/100
Evidence: High Range HK$0.8700 – HK$1.46 Share as image

Fair value as of: Aug 13, 2026

From 17 valuation models · updated 3 days ago

Share price −0.5% over the past month.

Below-average quality, screening 19% undervalued on our models.

What matters now

  • Our model range runs from HK$0.8700 (bear) to HK$1.46 (bull), base HK$1.16. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 46/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (22 months)

HK$1.47 HK$0.4050 Fair Value HK$1.16 Oct 2024 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

22‑month range HK$0.4050 – HK$1.47 · fair‑value band HK$0.8700 – HK$1.46 · the HK$0.9750 price screens below the HK$1.16 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Wing Lee Dvlp Constr Hldg Ltd (9639) currently trades at HK$0.9750, while our model-based Fair Value estimate is HK$1.16, implying the stock looks roughly 19.0% undervalued today. The Quality Score stands at 46/100 (below-average quality), in the Industrials 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: high), always confirm before acting.

Over the trailing twelve months, Wing Lee Dvlp Constr Hldg Ltd generated revenue of HK$568M at a net margin of 6.5%. Revenue declined 37.0% year over year. It earns a return on equity of 13.9%. The balance sheet holds a net cash position of HK$21.5M. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.8700 (bear case) to HK$1.46 (bull case); at HK$0.9750, 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 46% below its 52-week high and 11% 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 19%, 9639 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
Residual Income HK$0.3400 HK$0.4200 HK$0.8900 76
ROIC Compounder HK$0.6800 HK$0.9500 HK$1.10 72
Gordon GGM HK$0.1800 HK$0.3300 HK$0.4600 70
All 17 models by family
DCF Models
Owner Earnings HK$0.2100 HK$0.3500 HK$0.5900 31
Earnings-Based
Graham-Dodd HK$0.3800 HK$2.63 HK$3.69 54
Lynch FV HK$1.15 HK$1.64 HK$2.14 50
PEG = 1.0 HK$1.15 HK$1.64 HK$2.14 46
EPV HK$0.5500 HK$0.6100 HK$0.6700 59
Dividend Discount
Gordon GGM HK$0.1800 HK$0.3300 HK$0.4600 70
DDM Multi-Stage HK$0.1800 HK$0.3000 HK$0.3500 61
Multiples
P/E Multiple HK$0.8700 HK$1.16 HK$1.46 63
P/S Multiple HK$0.7100 HK$0.9400 HK$1.18 58
P/B Multiple HK$0.7100 HK$0.9400 HK$1.18 55
EV/EBIT HK$0.9900 HK$1.29 HK$1.59 53
EV/EBITDA HK$0.9700 HK$1.26 HK$1.56 54
EV/Revenue HK$0.7300 HK$1.01 HK$1.28 43
Asset-Based
NCAV (Graham) HK$0.1800 HK$0.2400 HK$0.3500 50
Economic Profit
Residual Income HK$0.3400 HK$0.4200 HK$0.8900 76
ROIC Compounder HK$0.6800 HK$0.9500 HK$1.10 72
Growth Earnings
Growth-Adj P/E HK$1.42 HK$2.02 HK$2.63 68

Widest divergence: Growth Earnings (HK$2.02) versus Asset-Based (HK$0.2400). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) HK$568M
Revenue growth (YoY) -37.0%
Net margin 6.5%
Return on equity 13.9%
Free cash flow −HK$60.1M FY2025
P/E ratio 47.0 as of Jul 3, 2026
More key figures
Operating margin 10.1%
EPS (TTM) HK$0.0400
EPS growth (YoY) -61.6%
Net cash HK$21.5M FY2025

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

Quality Score breakdown

Overall quality 46/100

Of which business quality 48 · Market factors (momentum, volatility) 24

Profitability 61
Margins and returns on capital today
Quality Growth 24
Are margins and returns improving?
Cashflow 4
Earnings quality: real cash, not paper profit
Fin. Strength 88
Balance sheet, leverage, solvency risk
Investment 20
Disciplined investing over empire-building
Low Volatility 20
Calm price path (market factor)
Momentum 31
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.

About the company

Wing Lee Development Construction Holdings Limited, an investment holding company, provides civil and electrical cable engineering, and solar photovoltaic (PV) system contracting services in Hong Kong. The company operates through Civil Engineering, Electrical and Mechanical Engineering, and New Energy segments.

Full company description

Wing Lee Development Construction Holdings Limited, an investment holding company, provides civil and electrical cable engineering, and solar photovoltaic (PV) system contracting services in Hong Kong. The company operates through Civil Engineering, Electrical and Mechanical Engineering, and New Energy segments. It engages in the road and drainage works, such as construction and modification of roads, carriageways, and pavements; construction of covered walkways; renovation of subways and footbridges; provision of facilities at footbridges, elevated walkways, and subways; construction of drainage systems, manholes, and cable trenches; and installation of water mains and sewerage pipes, as well as site formation works, which includes earthworks, excavation, and installation of steel structures. The company also provides electrical cable engineering works, which includes cable trenching, laying, and jointing; excavation, reinstatement, and miscellaneous construction works; and traffic impact assessment, underground cable laying and connection project, as well as emergency and cable fault repair services. In addition, it is involved in the designing, installation, and maintenance of solar PV systems, as well as provides annual maintenance services of solar PV systems. Further, it leases machinery; and engages in the trading of construction materials. The company was founded in 2005 and is headquartered in Tsuen Wan, Hong Kong. Wing Lee Development Construction Holdings Limited operates as a subsidiary of Wing Lee Green Development Limited.

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

Revenue & earnings trend

FY2022 – FY2025 · reported fiscal years

Wing Lee Dvlp Constr Hldg Ltd reported revenue of HK$717M in FY2025 versus HK$520M in FY2022, a compound +11.3%/yr. Reported net income was HK$55.5M in FY2025, compounding −2.1%/yr from FY2022.

Growth Quality 57/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
HK$717M
Latest YoY
+36.2%
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.
+11.3%
Revenue +11.3%/yr
FY22 HK$520M
FY23 HK$361M
FY24 HK$526M
FY25 HK$717M
Net income −2.1%/yr
FY22 HK$59.1M
FY23 HK$40.6M
FY24 HK$76.9M
FY25 HK$55.5M

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Cite: Fair Value Calculator (2026). "Wing Lee Dvlp Constr Hldg Ltd Fair Value". https://www.fairvalue-calculator.com/stock/9639

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.

Quality Score 46 · Below median
Fair Value upside +19% · Above median
Return on equity (TTM) 14% · Above median
Return on assets 6% · Top 25%
Net margin (TTM) 7% · Above median
Operating margin (TTM) 10% · Above median
Revenue growth -37% · Bottom 25%
Dividend yield (TTM) 2.5% · Above median
Debt / equity 0.01× · Lower than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 47.0× · Pricier than 75% of peers
P/B 2.67× · Pricier than median
P/S (TTM) 1.65× · Pricier than 75% of peers
EV/EBITDA 12.1× · 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.

VALUE 59 · sector 14
FUTURE 0 · sector 15
PAST 56 · sector 26
HEALTH 99 · sector 94
DIVIDEND 50 · sector 43

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

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹4,020 ₹1,994 -50%
Samsung C&T Corporation 028260 357,500 KRW 261,411 KRW -27%
Hyundai Engineering & Construction Co 000720 113,700 KRW 61,453 KRW -46%
Samsung E&A Co 028050 49,300 KRW 43,624 KRW -12%
Rail Vikas Nigam Limited RVNL ₹230.00 ₹48.92 -79%
Daewoo Engineering & Construction Co 047040 18,400 KRW 6,507 KRW -65%
KEPCO Engineering & Construction Company 052690 99,800 KRW 19,346 KRW -81%
GS Engineering & Construction Corporation 006360 35,200 KRW 23,135 KRW -34%
DL E&C Co 375500 73,500 KRW 148,433 KRW +102%
KEPCO Plant Service & Engineering Co 051600 46,350 KRW 43,924 KRW -5%

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Frequently asked questions

Is Wing Lee Dvlp Constr Hldg Ltd (9639) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$1.16 versus a price of HK$0.9750, about +19% (undervalued).
What is the fair value of 9639?
Our model-based fair value for Wing Lee Dvlp Constr Hldg Ltd is HK$1.16 (as of Aug 13, 2026), built from audited fundamentals. The current price is HK$0.9750.
What is the quality score of 9639?
Wing Lee Dvlp Constr Hldg Ltd 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 Wing Lee Dvlp Constr Hldg Ltd (9639)?
Wing Lee Dvlp Constr Hldg Ltd reported trailing-twelve-month revenue of about HK$568M (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 9639?
The net profit margin of Wing Lee Dvlp Constr Hldg Ltd is about 6.5%, meaning it keeps roughly 6.5% of revenue as net income. 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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