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HK Equities · Finance research note

HKEX 8635 - Elephant Holdings Group Ltd.

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2. Company Fundamentals

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.) 431.43%
Risk / Std Dev (Ann.) 158.56%

Price Snapshot:

Metric Value
Last Price 0.385 HKD
Day Change 0.000 (+0.00%)

DuPont Model Analysis

The DuPont model decomposes return on equity (ROE) into three operating and capital-structure drivers:

ROE = Net Margin × Asset Turnover × Equity Multiplier

The comparison uses the latest two comparable annual periods available for the issuer, with reported statement amounts shown in HK$. Revenue and net income are income-statement flows; total assets and shareholders’ equity are year-end balance-sheet figures. This is a simplified year-end-balance DuPont comparison rather than an average-balance ROE calculation.

DuPont component Calculation FY2026 FY2025
Revenue Reported revenue HK$175.00M HK$17.94M
Net income Reported net income HK$5.80M HK$-19.46M
Total assets Year-end reported balance HK$160.50M HK$70.05M
Shareholders’ equity Year-end reported balance HK$101.75M HK$61.23M
Net margin Net income ÷ revenue 3.32% -108.51%
Asset turnover Revenue ÷ total assets 1.0903x 0.2561x
Equity multiplier Total assets ÷ shareholders’ equity 1.5774x 1.1441x
ROE Net margin × asset turnover × equity multiplier 5.70% -31.79%

Source: Yahoo Finance annual statements. Values are based on the two latest comparable annual periods returned by the source; fiscal period labels use the statement period-end year.

2.5 FCFF DCF Valuation

Data availability exception: A current public quote and complete reported-statement package could not be retrieved for this ticker at 2026-08-18 17:18:40.984182 UTC. No FCFF DCF, WACC, terminal-value calculation, or implied per-share value is published until the listing status and primary filing source are independently resolved.

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks not rated — current verified inputs unavailable
Lynch-inspired balance-and-growth checks not rated — current verified inputs unavailable

Research status: data exception recorded for follow-up. This is research and analysis only, not personalized financial advice.

2.7 Quantitative Factor Diagnostics

Model basis: Daily issuer USD excess returns are regressed in-sample using ordinary least squares on matching regional Fama–French factors. FF3 estimates market, size, and value loadings; FF5 adds profitability and investment. Coefficients are descriptive historical exposures, not predictions.

Estimation input Value
Regional factor set Asia Pacific ex Japan
Factor-return currency USD
Issuer-return basis USD adjusted total return
Estimation window 2025-08-20 to 2026-06-30
Aligned daily observations 210
Minimum observation requirement 120
Currency conversion for HK listings HKD adjusted close divided by daily USD/HKD close before simple daily return calculation

Fama–French Three-Factor and Five-Factor Results

Diagnostic FF3 FF5
Annualised alpha -26.22% -40.64%
Adjusted R² -0.01 0.08
Annualised residual volatility 99.36% 94.68%
Factor loading (t-statistic) FF3 FF5
Market excess return (Mkt-RF) -0.37 (-0.65) 0.58 (1.00)
Size (SMB) 0.93 (1.12) 3.36 (3.36)
Value (HML) -0.24 (-0.30) -1.31 (-1.57)
Profitability (RMW) NM -0.92 (-0.86)
Investment (CMA) NM 5.30 (4.42)

Definitions: Mkt-RF is the market return less the risk-free rate; SMB is small minus big; HML is high minus low book-to-market; RMW is robust minus weak profitability; CMA is conservative minus aggressive investment. Factor returns are sourced from the Kenneth R. French Data Library; issuer adjusted-return history is sourced from Yahoo Finance. For Hong Kong listings, adjusted HKD prices are converted into USD with daily USD/HKD closes before return calculation to match the USD regional factor basis. This is an in-sample historical regression; coefficients and t-statistics do not establish causation or predict future returns. This is research and analysis only, not personalized financial advice.

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