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Hong Leong Finance Limited (S41) Fair Value & Analysis

Financial Services · SG · Market cap 1.1B SGD

HL Hong Leong Finance Limited S41 · SG
Price2.49 SGD
Fair Value1.81 SGD
Upside-27.3%
Quality51/100
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Evidence: High Range 1.36 SGD – 2.27 SGD

Fair value as of: Jul 4, 2026

From 15 valuation models · updated yesterday

Share price −0.4% over the past month.

Price vs Fair Value (12 months)

2.70 SGD 2.45 SGD Fair Value 1.81 SGD Jul 2025 Jul 2026

12‑month range 2.45 SGD – 2.70 SGD · fair‑value band 1.36 SGD – 2.27 SGD · the 2.49 SGD price screens above the 1.81 SGD fair value. As of Jul 4, 2026.

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Analysis

Hong Leong Finance Limited (S41) currently trades at 2.49 SGD, while our model-based Fair Value estimate is 1.81 SGD — implying the stock looks roughly 27.3% overvalued today. We read business quality at 51/100 (solid quality), in the Financial Services 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: high).

Over the trailing twelve months, Hong Leong Finance Limited generated revenue of 188M SGD at a net margin of 33.4%. Revenue declined 23.3% year over year. It earns a return on equity of 3.0%. The stock trades on a trailing P/E of 17.8. Fundamentals as of Jul 4, 2026

Key figures & financial health

Revenue (TTM) 188M SGD
Revenue growth (YoY) -23.3%
Net margin 33.4%
Return on equity 3.0%
Free cash flow −190M SGD FY2025
P/E ratio 17.8
More key figures
Operating margin 41.7%
EPS (TTM) 0.1400 SGD
Dividend yield 3.6%
EPS growth (YoY) -40.9%

Figures from reported company fundamentals (EODHD) · as of Jul 4, 2026. TTM = trailing twelve months.

About the company

Hong Leong Finance Limited operates as a financial services company for consumer, and small and medium-sized enterprises (SMEs) markets in Singapore. The company offers a range of deposits and savings, which includes fixed deposit and saving accounts, saving accounts, and premium saver accounts, as well as silver 40 plus and golden 55 plus accounts; and business current accounts, fixed deposit and saving accounts, fixed saving accounts, and premium saver accounts. It also provides personal loans, including car and home loans, private property loan, mortgage equity, credit plus share loan, premium, and share financing, as well as HLF digital and safe deposit box personal services. In addition, the company offers corporate finance services, including corporate finance advisory services, such as capital restructuring, project and investment evaluation, financial advisory, mergers and acquisitions, independent financial advisory; and equity capital market and fund-raising services …

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hong Leong Finance Limited reported revenue of 183M SGD in FY2025 versus 189M SGD in FY2021, a compound −0.8%/yr. Reported net income was 62.7M SGD in FY2025, compounding −7.3%/yr from FY2021.

Revenue −0.8%/yr
FY21 189M SGD
FY22 259M SGD
FY23 212M SGD
FY24 233M SGD
FY25 183M SGD
Net income −7.3%/yr
FY21 84.8M SGD
FY22 131M SGD
FY23 93.4M SGD
FY24 104M SGD
FY25 62.7M SGD

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Frequently asked questions

Is Hong Leong Finance Limited (S41) undervalued?
As of Jul 4, 2026, our model estimates a fair value of 1.81 SGD versus a price of 2.49 SGD — about −27% (overvalued). Model-based estimate, not financial advice.
What is the fair value of S41?
Our model-based fair value for Hong Leong Finance Limited is 1.81 SGD (as of Jul 4, 2026), built from audited fundamentals. The current price is 2.49 SGD.
What is the quality score of S41?
Hong Leong Finance Limited has a Quality Score of 51/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Hong Leong Finance Limited (S41)?
Hong Leong Finance Limited reported trailing-twelve-month revenue of about 188M SGD (latest available figure, as of Jul 4, 2026).
What is the net profit margin of S41?
The net profit margin of Hong Leong Finance Limited is about 33.4%, meaning it keeps roughly 33.4% of revenue as net income. Based on the latest reported figures.
Does Hong Leong Finance Limited pay a dividend?
Hong Leong Finance Limited currently shows a dividend yield of about 3.59% relative to its recent price (as of Jul 4, 2026).

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.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.