Wellchange Holdings Co Ltd

WCT
About the company

Wellchange Holdings Company Limited, through its subsidiaries, operates as an enterprise software solution services provider in Hong Kong. The company provides tailor-made software solutions, cloud-based software-as-a-service (SaaS) solutions, and white-labelled software design and development services. The company also operates MR.

Country: ChinaPrice: $2.86Market Cap: $7.7M

Investment snapshot

6%positive consensus
Scored 1d ago

Positive

1

BUY / PASS

Neutral / negative

1 / 14

NEUTRAL / FAIL

Median fair value

$39.85

+1293.4% vs price

Models with upside

1 / 17

Positive margin of safety

Strongest signal

10 of 12 pass — Buffett and Marks object

Key risk

No clean pass — all 13 investors flag at least one valuation criterion

Framework analysis

VerdictMeaning
BUYPositive purchase signal: the framework's buy requirements are met.
PASSThe company clears the framework's checklist or screen, but the framework does not produce a buy signal. For valuation frameworks this often means margin of safety is missing, insufficient, or unavailable; some screen-only frameworks have no intrinsic-value BUY state.
NEUTRALNeither a positive nor negative conclusion. It does not mean to hold an existing position.
FAILThe company does not clear the framework's requirements.
RankedRanked strategies do not use PASS: selected cohort is BUY, outside the cohort is FAIL, and unranked is NEUTRAL.

Current investor scores use trailing 12-month flows and the latest balance sheet where supported. Multi-year and EPS tests retain annual history; each framework shows its financial basis below. Intrinsic values use annual financials.

MetricGraham

Defensive Value

Buffett

Quality Compounder

Lynch

GARP

Greenblatt

Magic Formula

Piotroski

F-Score

Dreman

Contrarian Value

Munger

Quality Focus

Pabrai

Dhandho Framework

Akre

Three-Legged Stool

Marks

Risk-Aware Value

Ackman

Activist Value

Templeton

Global Bargain Hunter

Sleep

Scale Economies Shared

Asness

Systematic Factors

Neff

Low-P/E Total Return

Schloss

Asset-Value Discipline

O'Shaughnessy

Systematic Factor Composite

VerdictFAILFAILFAILFAIL · Rank #2985 (Top 96.4%)FAILFAILPASSFAILFAILFAILFAILFAILFAILFAILFAILFAILNEUTRAL
Score
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Intrinsic Value (annual)N/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A
Margin of SafetyN/AN/AN/AN/AN/AN/AN/AN/A+92.8%N/AN/AN/AN/AN/AN/AN/AN/A
Financial Basis

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Market data at 2026-11-01

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Qualitative assessment · Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Qualitative assessment · Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Market data at 2026-11-01

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Price history 2025-01-01–2026-11-01

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Price history 2025-01-01–2026-11-01

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Annual history · FY 2025 · Price history 2025-01-01–2026-11-01

Latest source filing: 2026-05-14

Score computed: 2026-11-14

Where It Passes

  • Debt & Leverage83% pass✓ 13✗ 2▾

    10 of 12 pass — Buffett and Marks object

    LT Debt vs Net Current AssetsLT Debt $0.4M vs NCA $4.5M
    ✓GrahamLT Debt <= Net Current Assets
    Debt/Equity & Interest CoverageD/E: 0.04, IC: -508.5x
    ✗BuffettD/E < 0.5 AND Interest Coverage > 5x
    Total Debt / Equity0.04
    ✓Lynch< 0.33
    Cash - Long-term Debt$2.4M
    ✓LynchPositive preferred
    LT Debt / Total Assets Change6.48% -> 3.05%
    ✓PiotroskiDecreased YoY
    Current Assets / Current Liabilities4.59
    ✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)
    Total Debt / Shareholders' Equity0.04
    ✓Dreman< 0.8✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00x
    Debt Levels0.04
    ✓MungerDebt/Equity < 0.5✓AkreDebt/Equity < 0.3
    Interest Coverage & Debt/EBITDAIC=-508.5x, D/EBITDA=N/A
    ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x
    Total Debt / Shareholders Equity0.04
    ✓Ackman<= 1.0
    Negative debt-to-equity (higher means less debt)-0.0373; #905/4210 (top 21.5%)
    ✓AsnessTop 30% of eligible cross-section

Where It Falls Short

  • Valuation0% pass✓ 6✗ 22▾

    No clean pass — all 13 investors flag at least one valuation criterion

    Price / 3-yr avg EPS
    ✗Graham<= 15x
    Price-to-Book Ratio0.4x
    ✓Graham<= 1.5x
    P/E x P/B
    ✗Graham<= 22.5
    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    EBIT / Enterprise Value-119.7%
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=-119.7%, ROC=-365.3%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    Price / EPS
    ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)
    Price / (CFO / Shares)N/A (negative CFPS)
    ✗Dreman< 8x
    Price / Book Value per Share0.4x
    ✓Dreman< 1.2x✓Templeton< 1.5x✓SchlossP/B <= 0.80x (app cutoff)
    Valuation ReasonablenessOE Yield=-164.6%
    ✗MungerP/E < 25 or Owner Earnings Yield > 5%
    P/E or FCF Yield
    ✗PabraiP/E < 15 or FCF Yield > 10%
    P/B or P/E vs. Historical AverageP/B=0.4x
    ✓MarksP/E < 15 or P/B < 2.0
    Discount to Intrinsic ValueN/A (negative normalized EPS)
    ✗Marks>= 20% below intrinsic value
    Price / FCF per Share
    ✗Ackman<= 25
    Price vs. Trailing Low920% of trailing low ($0.31)
    ✗Templeton<= 120% of trailing low (certified split-adjusted live window)
    Net income / market capitalization-95.43%; #5372/6340 (top 84.7%)
    ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
    Positive book equity / market capitalization+1.4531; #955/6449 (top 14.8%)
    ✓AsnessTop 30% of eligible cross-section
    Price / Diluted EPS
    ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)
    (EPS CAGR % + Dividend Yield %) / P/E
    ✗Neff> 0.7 (Neff's published traditional edge)
    Price / Tangible Book Value per Share1.19x
    ✗SchlossP/TBV <= 1.00x (app cutoff)
    Book Value per Share Change
    ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)
    Revenue / market capitalization+0.1757; #3898/5247 (top 74.3%)
    ✗OshaughnessyTop 10% of eligible cross-section
    (Operating cash flow - capex) / market capitalization
    ✗OshaughnessyTop 10% of eligible cross-section
    Trailing six-month price return through the evaluation date+5.93%; #2094/6202 (top 33.8%)
    ✗OshaughnessyTop 10% of eligible cross-section
  • Growth0% pass✓ 1✗ 12▾

    No clean pass — all 8 investors flag at least one growth criterion

    EPS Growth (3-yr avg, 10-yr window)
    ✗Graham>= 33% growth
    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    Inventory Growth vs Revenue GrowthN/A (no inventory)
    ✓LynchInventory growth < Revenue growth
    EPS Growth Direction$0.04 (2022) -> $-4.73 (2025)
    ✗DremanPositive over recent years
    EPS CAGR
    ✗Dreman> 5% annualized
    Positive Net Income Frequency2/4 years positive
    ✗MarksPositive net income in >= 7 of last 10 years
    3yr Median Revenue Growth-7.3%
    ✗Ackman>= 5%
    Positive EPS Growth Frequency1/3 years with positive EPS growth
    ✗AckmanPositive EPS growth in >= 3 of last 5 years
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Revenue growth vs. gross and operating margin trendgross margin 78.0% -> 42.7%, operating margin 47.5% -> -469.1%
    ✗SleepRevenue rising; gross margin flat or falling; operating margin holding
    5-year Revenue CAGR
    ✗SleepCAGR > 7%
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
  • Profitability6% pass✓ 4✗ 31▾

    15 of 16 flag WCT's profitability — Graham, Buffett, Lynch +12 more

    Positive EPS (10 years)2/5 years positive
    ✗GrahamPositive EPS every year for 10 years
    EPS Growth (3-yr avg, 10-yr window)
    ✗Graham>= 33% growth
    Net Income Positive (10+ years)2/5 years positive
    ✗BuffettPositive every year for 10+ years
    ROE (up to 5-year arithmetic mean)17.2%
    ✓Buffett> 15% arithmetic mean (app rule)
    Operating Margin (10-yr trend)-469.1% (latest)
    ✗BuffettStable or rising over 10 years
    Free Cash Flow Proxy$1.0M
    ✓BuffettPositive and growing
    Earnings Variance (10-yr CoV)
    ✗BuffettCoV < 0.3
    Retained Earnings Effectiveness
    ✗Buffett$1 retained -> > $1 market value created
    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    ROE-65.7%
    ✗Lynch> 15%
    EBIT / Enterprise Value-119.7%
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=-119.7%, ROC=-365.3%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    Net Income / Total Assets-53.77%
    ✗PiotroskiROA > 0
    ROA Change YoY-6.45% -> -53.77% (delta: -47.33%)
    ✗PiotroskiCurrent ROA > Prior ROA
    (CFO / Total Assets) vs ROACFO/Assets=-46.39%, ROA=-53.77%
    ✓PiotroskiCFO/Assets > ROA
    Gross Margin Change YoY70.0% -> 42.7%
    ✗PiotroskiImproved YoY
    Pre-Tax Income / Revenue-471.6%
    ✗Dreman>= 8%
    Net Income / Shareholders' Equity-65.7%
    ✗Dreman> 12%
    Margin of SafetyP/B=0.4x
    ✓PabraiP/B < 1.5 or P/E < 15
    Return on Equity-9.2% (3-yr avg)
    ✗AkreROE > 20% (3-year avg)
    Discount to Intrinsic ValueN/A (negative normalized EPS)
    ✗Marks>= 20% below intrinsic value
    Positive Net Income Frequency2/4 years positive
    ✗MarksPositive net income in >= 7 of last 10 years
    Operating Income / Revenue-469.1%
    ✗Ackman>= 15%
    Net Income / Shareholders Equity-65.7%
    ✗Ackman>= 15%
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Operating Margin Trend47.5% (2023) -> -469.1% (2025)
    ✗TempletonNon-negative operating-margin trend over 3 years
    Revenue growth vs. gross and operating margin trendgross margin 78.0% -> 42.7%, operating margin 47.5% -> -469.1%
    ✗SleepRevenue rising; gross margin flat or falling; operating margin holding
    Net income / market capitalization-95.43%; #5372/6340 (top 84.7%)
    ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
    Gross profit / total assets+4.22%; #3144/3702 (top 84.9%)
    ✗AsnessTop 30% of eligible cross-section
    Net income / positive book equity-65.67%; #4366/5226 (top 83.5%)
    ✗AsnessTop 30% of eligible cross-section
    Negative 5-year standard deviation of ROA-0.3369; #4675/5884 (top 79.5%)
    ✗AsnessTop 30% of eligible cross-section
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
    Positive Diluted-EPS Years
    ✗Schloss>= 70% positive over 5-10 observed years (app rule)
  • Verdicts6% pass✓ 1✗ 15▾

    Split decision: 14 FAIL · 1 PASS · 1 NEUTRAL

    Overall verdict
    ✗GrahamFAIL (3/9)✗BuffettFAIL (2/9)✗LynchFAIL (3/7)✗GreenblattRank #2985✗PiotroskiFAIL (F-Score 3)✗DremanFAIL (3/11)✓MungerPASS (2/4)✗PabraiFAIL (1/3)✗AkreFAIL (1/6)✗MarksFAIL (2/5)✗AckmanFAIL (1/9)✗TempletonFAIL (3/8)✗SleepFAIL (1/6)✗AsnessFAIL (Rank #2193/2370 (Top 92.5%))✗NeffFAIL (0/6)✗SchlossFAIL (3/7)•OshaughnessyNEUTRAL (Not ranked)
  • Cash Flow20% pass✓ 3✗ 9▾

    8 of 10 flag WCT's cash flow — Lynch, Piotroski, Dreman +5 more

    Free Cash Flow Proxy$1.0M
    ✓BuffettPositive and growing
    FCF Positive and Growing$0.8M
    ✗LynchPositive and growing
    Operating Cash Flow$-6.3M
    ✗PiotroskiCFO > 0
    (CFO / Total Assets) vs ROACFO/Assets=-46.39%, ROA=-53.77%
    ✓PiotroskiCFO/Assets > ROA
    Price / (CFO / Shares)N/A (negative CFPS)
    ✗Dreman< 8x
    P/E or FCF Yield
    ✗PabraiP/E < 15 or FCF Yield > 10%
    FCF Positive2/2 years FCF positive
    ✓MarksPositive FCF in majority of recent years
    (OCF - CapEx) / Market Cap
    ✗Ackman>= 4%
    Price / FCF per Share
    ✗Ackman<= 25
    Positive Operating Cash Flow frequency2/4 years positive
    ✗SleepPositive OCF in >= 70% of available years
    Operating Cash Flow - Capital Expenditures
    ✗Neff> $0 (app proxy for a strong fundamental case)
    (Operating cash flow - capex) / market capitalization
    ✗OshaughnessyTop 10% of eligible cross-section
  • Efficiency25% pass✓ 3✗ 8▾

    6 of 8 flag WCT's efficiency — Buffett, Greenblatt, Piotroski +3 more

    Current Ratio4.59
    ✓Graham>= 2.0
    ROIC (3-5 yr avg)-8.8%
    ✗Buffett> 10%
    ROIC - WACC-18.8%
    ✗BuffettPositive (WACC = 10%)
    EBIT / (NWC + Net Fixed Assets)-365.3%
    ✗Greenblatt> 25%
    Current Ratio Change YoY1.04 -> 4.59
    ✓PiotroskiIncreased YoY
    Revenue / Total Assets Change YoY0.34x -> 0.10x
    ✗PiotroskiImproved YoY
    Current Assets / Current Liabilities4.59
    ✓Dreman> 1.5
    Return on Invested Capital-43.2%
    ✗Munger> 15%
    ROIC (high and growing)FY2023: ROIC=37.5%; FY2024: ROIC=-6.7%; FY2025: ROIC=-43.2%
    ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each
    Reinvestment Rate x ROICN/A (non-positive net income)
    ✗AkreReinvestment Rate * ROIC > 10%
    ROIC (5-year)1/3 years above 12% (latest -43.2%)
    ✗SleepROIC > 12% in a majority of years

Business & financials

Financial snapshot: annual FY 2025. Current investor scores may use newer quarterly data.

Company Profile

Industry: Business Services
Size: Micro Cap($7.7M)
Revenue: $1.3M-41.6% YoY
Net Income: $7.3M-1596.9% YoY

Financial Snapshot

Operating Margin-469.1%
Return on Equity-65.7%
Debt / Equity0.04
Current Ratio4.59
EPS (Diluted)$-4.73+20.5% 1y

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Shareholder Return

Fiscal 2025

Share retirement not available for this company.

Buybacks
—
Dividends
—

What drove EPS

A buyback raises earnings per share without the company earning more. This splits each year's change into the two.

FY23
20.5% = 20.1% + 0.3%
Earnings Fewer shares More shares

Share count is the denominator the filer used for diluted EPS, recovered as net income ÷ EPS — not the balance-sheet count, which is a point-in-time figure and would put the timing difference into this split. Years with a loss are omitted: a smaller share count makes a loss per share larger, so the decomposition inverts.

Company Financials

Latest TTM and quarters alongside annual years

TTM sums four consecutive quarters and uses the latest quarter-end balances. Quarter columns show three-month results; annual columns show full-year totals. Growth compares the same period a year earlier. EPS is not added for TTM; full-year ratios are blank for quarters.

MetricFY 2025
Sources
  • 20-F · 2026-05-14
FY 2024
Sources
  • 20-F · 2025-05-16
FY 2023
Sources
  • 20-F · 2025-05-16
FY 2022
Sources
  • 20-F · 2025-05-16
FY 2021
Sources
  • 20-F · 2025-05-16
Market Cap$7.7Mcurrent$2.1Best.$8.7Best.----
Revenue$1.3M↓42%$2.3M↓7%$2.5M↑49%$1.7M--
Operating Income-$6.3M↓1285%-$456.6K↓139%$1.2M↑26%$939.0K--
Net Income-$7.3M↓1597%-$431.5K↓146%$937.6K↑20%$780.6K--
EPS (Diluted)$-4.73↓22443%$-0.02↓145%$0.05↑21%$0.04--
Gross Margin42.7%↓39%70.0%↓10%78.0%↓1%78.9%—
Operating Margin-469.1%↓2272%-19.8%↓142%47.5%↓15%56.2%—
ROE-65.7%↓648%-8.8%↓119%47.0%↓51%96.1%—
Total Debt$415.9K↓4%$434.0K↓13%$496.5K----
Shareholders' Equity$11.2M↑127%$4.9M↑146%$2.0M↑146%$812.0K↑2643%$29.6K
Current Ratio4.59↑340%1.04↑40%0.75——
Debt / Equity0.04↓58%0.09↓64%0.25——
Operating Cash Flow-$6.3M↓1899%-$316.1K↓140%$797.2K↓32%$1.2M--
Free Cash Flow----$796.4K↓24%$1.0M--

Score history

Historical Score Timeline

Industry peers

Industry Peers

Similar companies in Business Services

WCT vs Peers — Financial Grading

Revenue$1.3MBottom 25%
Net Income$7.3MMedian
ROE-65.7%Bottom 25%
D/E0.04Top 25%
Op. Margin-469.1%Bottom 25%
Curr. Ratio4.59Top 25%
CompanyMarket CapPriceRevenueNet IncomeROED/EOp. MarginCurr. RatioGrahamBuffettLynchGreenblattPiotroskiDreman
AUTOMATIC DATA PROCESSING INCADP$122.3B$309.93$21.9B$4.4B73.2%0.8224.2%1.054/95/93/70/3F-Score 65/11
ELECTRONIC ARTS INC.EA$52.9B$209.70$7.5B$887.0M13.1%0.2215.4%1.051/94/94/70/3F-Score 66/11
Rubrik, Inc.RBRK$22.6B$109.88$1.3B$348.8M67.1%—-26.2%1.691/90/92/70/3F-Score 62/11
AECOMACM$9.1B$70.50$16.1B$561.8M22.5%1.096.4%1.141/93/93/71/3F-Score 82/11
COMMVAULT SYSTEMS INCCVLT$6.2B$152.07$1.2B$70.7M942.8%—6.3%1.951/92/94/70/3F-Score 66/11
WPP plcWPP$6.0B$27.79$18.2B$289.5M-8.5%1.942.8%0.891/92/91/70/3F-Score 32/11
VARONIS SYSTEMS INCVRNS$5.6B$48.94$623.5M$129.3M-21.6%0.76-23.5%1.971/90/91/70/3F-Score 51/11
ROBERT HALF INC.RHI$4.3B$42.00$5.4B$133.0M10.4%—1.4%1.532/95/91/70/3F-Score 52/11