China Leon Inspection Holding (HKSE:01586) Piotroski F-Score: 3 (As of Aug. 13, 2026) — 50% Below Median

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HKSE:01586 China Leon Inspection Holding Ltd HKSE:01586
88 GF Score
Price HK$1.72
GF Value HK$2.22
Valuation Modestly Undervalued
! 6 Warning Signs
View Full Analysis

What is China Leon Inspection Holding Piotroski F-Score?

China Leon Inspection Holding HKSE:01586 88 Piotroski F-Score is 3 as of Aug. 13, 2026, which is 50% below its 10-year median of 6.00. GuruFocus rates HKSE:01586 with a GF Score™ of 88/100 and a GF Value™ of HK$2.22 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,058 Business Services companies, China Leon Inspection Holding ranks worse than 84.88% on this metric.

Warning Sign:

Piotroski F-Score of 3 is low, which usually implies poor business operation.

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

China Leon Inspection Holding has an F-score of 3. It is a bad or low score, which usually implies poor business operation.

The historical rank and industry rank for China Leon Inspection Holding's Piotroski F-Score or its related term are showing as below:

HKSE:01586' s Piotroski F-Score Range Over the Past 10 Years
Min: 3   Med: 6   Max: 8
Current: 3

During the past 13 years, the highest Piotroski F-Score of China Leon Inspection Holding was 8. The lowest was 3. And the median was 6.

China Leon Inspection Holding  (HKSE:01586) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


China Leon Inspection Holding Piotroski F-Score Related Terms


China Leon Inspection Holding Piotroski F-Score Historical Data

* Premium members only.

The historical data trend for China Leon Inspection Holding's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

China Leon Inspection Holding Piotroski F-Score Chart

China Leon Inspection Holding Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.00 6.00 7.00 5.00 3.00

China Leon Inspection Holding Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 0.00 5.00 0.00 3.00

HKSE:01586 vs CTAS, CPRT, GPN: Piotroski F-Score Comparison

For the Specialty Business Services subindustry, China Leon Inspection Holding's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


China Leon Inspection Holding Piotroski F-Score vs Business Services Industry

For the Business Services industry and Industrials sector, China Leon Inspection Holding's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where China Leon Inspection Holding's Piotroski F-Score falls into.


HKSE:01586
88GF Score
China Leon Inspection Holding Ltd HKSE:01586
Piotroski F-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Dec25) TTM:Last Year (Dec24) TTM:
Net Income was HK$39 Mil.
Cash Flow from Operations was HK$44 Mil.
Revenue was HK$1,341 Mil.
Gross Profit was HK$454 Mil.
Average Total Assets from the begining of this year (Dec24)
to the end of this year (Dec25) was (955.612 + 1021.863) / 2 = HK$988.7375 Mil.
Total Assets at the begining of this year (Dec24) was HK$956 Mil.
Long-Term Debt & Capital Lease Obligation was HK$71 Mil.
Total Current Assets was HK$626 Mil.
Total Current Liabilities was HK$329 Mil.
Net Income was HK$83 Mil.

Revenue was HK$1,263 Mil.
Gross Profit was HK$515 Mil.
Average Total Assets from the begining of last year (Dec23)
to the end of last year (Dec24) was (894.535 + 955.612) / 2 = HK$925.0735 Mil.
Total Assets at the begining of last year (Dec23) was HK$895 Mil.
Long-Term Debt & Capital Lease Obligation was HK$58 Mil.
Total Current Assets was HK$582 Mil.
Total Current Liabilities was HK$240 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

China Leon Inspection Holding's current Net Income (TTM) was 39. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

China Leon Inspection Holding's current Cash Flow from Operations (TTM) was 44. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Dec24)
=38.734/955.612
=0.04053319

ROA (Last Year)=Net Income/Total Assets (Dec23)
=82.725/894.535
=0.09247821

China Leon Inspection Holding's return on assets of this year was 0.04053319. China Leon Inspection Holding's return on assets of last year was 0.09247821. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

China Leon Inspection Holding's current Net Income (TTM) was 39. China Leon Inspection Holding's current Cash Flow from Operations (TTM) was 44. ==> 44 > 39 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Dec25)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec24 to Dec25
=70.799/988.7375
=0.07160546

Gearing (Last Year: Dec24)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec23 to Dec24
=57.721/925.0735
=0.06239612

China Leon Inspection Holding's gearing of this year was 0.07160546. China Leon Inspection Holding's gearing of last year was 0.06239612. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Dec25)=Total Current Assets/Total Current Liabilities
=626.207/328.79
=1.90458043

Current Ratio (Last Year: Dec24)=Total Current Assets/Total Current Liabilities
=582.125/239.851
=2.42702761

China Leon Inspection Holding's current ratio of this year was 1.90458043. China Leon Inspection Holding's current ratio of last year was 2.42702761. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

China Leon Inspection Holding's number of shares in issue this year was 593.566. China Leon Inspection Holding's number of shares in issue last year was 584.755. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=453.926/1341.205
=0.3384464

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=515.149/1263.129
=0.40783562

China Leon Inspection Holding's gross margin of this year was 0.3384464. China Leon Inspection Holding's gross margin of last year was 0.40783562. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Dec24)
=1341.205/955.612
=1.40350372

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Dec23)
=1263.129/894.535
=1.41205095

China Leon Inspection Holding's asset turnover of this year was 1.40350372. China Leon Inspection Holding's asset turnover of last year was 1.41205095. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+1+0+0+0+0+0
=3

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

China Leon Inspection Holding has an F-score of 3. It is a bad or low score, which usually implies poor business operation.

Frequently Asked Questions Learn more about Piotroski F-Score →
What does a Piotroski F-Score of 3 mean?
China Leon Inspection Holding (HKSE:01586) has a Piotroski F-Score of 3 as of Aug. 13, 2026. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on China Leon Inspection Holding and its competitors. This is 50% below median its historical median of 6.00. Over the past decade, China Leon Inspection Holding's Piotroski F-Score has ranged from 3.00 to 8.00. According to the industry distribution chart, China Leon Inspection Holding ranks #898 out of 1058 companies in the Business Services industry, placing it in the top 84.9%.
Is China Leon Inspection Holding's Piotroski F-Score too high?
China Leon Inspection Holding's current Piotroski F-Score of 3 is 50% below median its 10-year median of 6.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 8.00. The Business Services industry median Piotroski F-Score is 5.00. China Leon Inspection Holding's value of 3 is 40% below this industry median. Based on the distribution chart, China Leon Inspection Holding ranks #898 out of 1058 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, China Leon Inspection Holding has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Leon Inspection Holding's Piotroski F-Score compare to CTAS and CPRT?
According to the Business Services industry distribution chart, China Leon Inspection Holding ranks #898 out of 1058 companies for Piotroski F-Score. This places China Leon Inspection Holding in the lower half of its industry. The industry median Piotroski F-Score is 5.00. China Leon Inspection Holding's value of 3 is 40% below this benchmark. Historically, China Leon Inspection Holding's own Piotroski F-Score has ranged from 3.00 to 8.00 over the past decade. While the company's 10-year median is 6.00 vs. the industry median of 5.00, China Leon Inspection Holding has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Piotroski F-Score for a Business Services company?
The median Piotroski F-Score among Business Services companies is 5.00, based on 1,058 companies in the industry. Companies in the top quartile (top 25%) have a Piotroski F-Score significantly above this median, while those in the bottom quartile fall well below. However, Piotroski F-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China Leon Inspection Holding's current Piotroski F-Score of 3 is 40% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Piotroski F-Score mean?
A high Piotroski F-Score can signal that a stock is expensive relative to its fundamentals. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on China Leon Inspection Holding and its competitors. For the Business Services industry, the median Piotroski F-Score is 5.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Leon Inspection Holding's current Piotroski F-Score is 3, which is 50% below median its own 10-year median of 6.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Leon Inspection Holding stock overvalued right now?
Based on GuruFocus' analysis, China Leon Inspection Holding (HKSE:01586) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$2.22, compared to a current price of HK$1.72 — trading 22.5% below its estimated fair value. The current Piotroski F-Score is 3, which is 50% below median its 10-year median of 6.00 and 40% below the Business Services industry median of 5.00. China Leon Inspection Holding's overall GF Score™ is 88/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Piotroski F-Score calculated?
Piotroski F-Score is calculated from a company's financial statements. For China Leon Inspection Holding (HKSE:01586), the current Piotroski F-Score is 3 as of Aug. 13, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is China Leon Inspection Holding (HKSE:01586) Overvalued in 2026?

Based on GuruFocus' analysis, China Leon Inspection Holding stock appears to be undervalued. The current stock price of HK$1.72 is trading 22.5% below its estimated GF Value™ of HK$2.22. GuruFocus considers China Leon Inspection Holding to be Modestly Undervalued.

Key valuation signals for HKSE:01586:

  • Piotroski F-Score: 3 (50% below median its 10-year median of 6.00)
  • GF Value™: HK$2.22 vs. price of HK$1.72 (22.5% below fair value)
  • GF Score™: 88/100 with 6 warning signs
  • Industry Position: 40% below the Business Services median (#898 of 1058)

No single metric tells the full story. See the HKSE:01586 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Leon Inspection Holding Business Description

Address 5 Canton Road, Suite 1015, 10th floor, Ocean Centre, Tsim Sha Tsui, Kowloon, Harbour, HKG
China Leon Inspection Holding Ltd is a coal testing inspection services provider. The business scope of the company includes Testing services, Surveying services, and witnessing and Ancillary services. Testing services focus on the quality assurance of coal; Surveying services include a draft survey to determine or verify the coal quantity, and it also provide witnessing services by observing testing and inspection activities conducted by the counterparties of its customers to detect dishonesty or abnormality. Geographically, it generates the majority of its revenue from Greater China.
88GF Score

Get the complete analysis for HKSE:01586

Piotroski F-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$1.72
Price
HK$2.22
GF Value