Improving Leverage (low Debt-to-equity)A 0.31 debt-to-equity ratio materially lowers financial risk and increases balance sheet flexibility. Over 2-6 months this supports funding for inventory, store expansion or marketing without heavy refinancing, reduces interest burden sensitivity, and strengthens resilience through luxury demand cycles.

Strong Free Cash Flow Growth And ConversionSustained 29% free cash flow growth and a 1.0 FCF-to-net-income ratio indicate high cash quality. This durable cash generation enables capex, working capital coverage, debt reduction or shareholder returns over time, and provides a buffer against cyclical luxury spending downturns.

Consistent Revenue Growth TrendSteady revenue expansion reflects persistent customer demand and distribution strength across retail and wholesale channels. Over months this supports scale benefits, predictable planning for inventory and design cycles, and underpins opportunities to gradually improve margins if cost controls persist.

Bears Say

Extremely Low Net Profit MarginA 0.37% net margin is structurally weak for a consumer luxury player and limits retained earnings and reinvestment capacity. Over the medium term it reduces tolerance for raw material cost swings, compression from promotional activity, and constrains ability to build durable shareholder returns.

Very Low Return On EquityROE around 0.5% signals the company is not effectively converting equity into profit. Persistently low ROE can deter capital providers, limit access to cheaper equity funding, and reflect structural inefficiencies that impair long-term competitiveness in the luxury jewellery market.

Modest Operational (EBIT/EBITDA) MarginsModest operating margins indicate constrained ability to scale profitability through operations. Over months this limits free cash expansion and the company’s cushion versus input cost inflation, making it harder to invest in brand, retail footprint or product innovation without squeezing returns.

8537 FAQ

What was Chong Fai Jewellery Group Holdings Company Limited’s price range in the past 12 months?

Chong Fai Jewellery Group Holdings Company Limited lowest stock price was HK$0.11 and its highest was HK$0.34 in the past 12 months.

What is Chong Fai Jewellery Group Holdings Company Limited’s market cap?

Chong Fai Jewellery Group Holdings Company Limited’s market cap is HK$90.00M.

When is Chong Fai Jewellery Group Holdings Company Limited’s upcoming earnings report date?

Chong Fai Jewellery Group Holdings Company Limited’s upcoming earnings report date is Jun 19, 2026 which is in 114 days.

How were Chong Fai Jewellery Group Holdings Company Limited’s earnings last quarter?

Chong Fai Jewellery Group Holdings Company Limited released its earnings results on Nov 28, 2025. The company reported HK$0.012 earnings per share for the quarter, beating the consensus estimate of N/A by HK$0.012.

Is Chong Fai Jewellery Group Holdings Company Limited overvalued?

According to Wall Street analysts Chong Fai Jewellery Group Holdings Company Limited’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Chong Fai Jewellery Group Holdings Company Limited pay dividends?

Chong Fai Jewellery Group Holdings Company Limited does not currently pay dividends.

What is Chong Fai Jewellery Group Holdings Company Limited’s EPS estimate?

Chong Fai Jewellery Group Holdings Company Limited’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Chong Fai Jewellery Group Holdings Company Limited have?

Chong Fai Jewellery Group Holdings Company Limited has 360,000,000 shares outstanding.

What happened to Chong Fai Jewellery Group Holdings Company Limited’s price movement after its last earnings report?

Chong Fai Jewellery Group Holdings Company Limited reported an EPS of HK$0.012 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went same 0%.

Which hedge fund is a major shareholder of Chong Fai Jewellery Group Holdings Company Limited?

Currently, no hedge funds are holding shares in HK:8537

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Chong Fai Jewellery Group Holdings Company Limited Stock Smart Score

Outperform

Technicals

Fundamentals

Return on Equity

3.66%

Trailing 12-Months

Asset Growth

18.60%

Trailing 12-Months

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Company Description

Chong Fai Jewellery Group Holdings Company Limited

Chong Fai Jewellery Group Holdings Company Limited, an investment holding company, designs, produces, markets, retails, and distributes jewelry products in Hong Kong. It offers gem-set and gold jewelry products. The company also engages in the wholesale of its jewelry products to other jewelry retailers; and the trading of recycled gold products. It sells its products through a network of eight retail stores under the Chong Fai Jewellery brand name located in Kowloon and the New Territories. The company was formerly known as Dominate Group Holdings Company Limited and changed its name to Chong Fai Jewellery Group Holdings Company Limited in March 2020. Chong Fai Jewellery Group Holdings Company Limited was founded in 1997 and is headquartered in Hung Hom, Hong Kong. Chong Fai Jewellery Group Holdings Company Limited is a subsidiary of Mythe Group Holdings Company.