As of 2025-07-14, the Fair Value of Geely Automobile Holdings Ltd (175.HK) is 56.31 HKD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 17.58 HKD, the upside of Geely Automobile Holdings Ltd is 220.3%.

Is 175.HK a good investment?

With the market price of 17.58 HKD and our fair value calculation, Geely Automobile Holdings Ltd (175.HK) is a good investment. Investing in 175.HK stocks now will result in a potential gain of 220.3%.

17.58 HKD

Stock Price

56.31 HKD

Fair Price

FAIR VALUE CALCULATION

175.HK Fair Value

Peter Lynch's formula is:

175.HK Fair Value

= Earnings Growth Rate x TTM EPS

175.HK Fair Value

= 25 x 2.06 CNY

175.HK Fair Value

= 25 x 2.25 HKD

175.HK Fair Value

= 56.31

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

	Historical Earnings

	12-2020	12-2021	12-2022	12-2023	12-2024	5Y Avg
Net income	5,533.79	4,847.45	5,260.35	5,308.41	16,632.4	7,516
YoY growth	-32.4%	-12.4%	8.5%	0.9%	213.3%	35.6%

175.HK Fair Value - Peers Benchmarking

	Market Cap (mil)	EPS	Fair Value	Upside
a
Geely Automobile Holdings Ltd	177,275	2.1	56.31	220.3%
BYD Co Ltd	984,385	14.8	368.87	13.9%
Maruti Suzuki India Ltd	3,953,266	461.2	11,530.05	-8.3%
Mahindra and Mahindra Ltd	3,686,334	107.8	2,694.68	-12.3%
Great Wall Motor Co Ltd	185,485	1.3	32.76	51.2%
Chongqing Changan Automobile Co Ltd	126,702	0.8	18.95	48.3%
Isuzu Motors Ltd	1,372,475	188.3	4,707.73	144.7%
FAW Jiefang Group Co Ltd	34,506	0.1	1.69	-75.8%
Mitsubishi Motors Corp	598,505	28.1	140.32	-65.8%
Mazda Motor Corp	549,603	180.6	2,608.48	199.9%
Brilliance China Automotive Holdings Ltd	15,792	0.6	16.83	437.6%

175.HK Fair Value - Key Data

Market Cap (mil)	177,275
P/E	7.8x
Forward P/E	8.1x

EPS	2.06
Avg earnings growth rate	35.6%
TTM earnings	20,743

175.HK Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.