Magic Empire Global Limited Class A Ordinary Shares (MEGL)

FairStock Score: 46/100 — MIXED

Key Financials

Current Price$0.76
Market Cap$6M
P/E Ratio-3.62
ROE-6.63%
Dividend Yield—%
SectorFinancial Services

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look first for a durable business and a margin of safety. Magic Empire Global is a Hong Kong corporate-finance advisory firm with just seven employees, offering IPO sponsorship and compliance advice. That can be a good fee-based niche, but it is cyclical and relationship-driven, and I see no evidence of a moat in the supplied numbers. At the 2026-10-13 close of $0.66, the market values the whole company at only $6.2 million. FairStock’s P/B is 0.22, so the shares change hands at a deep discount to book value, and debt is modest with D/E of 0.03. That is the classic Graham temptation. But the earnings picture is weak: FairStock computes a P/E of -3.14, ROE of -6.63%, ROCE of -6.34%, and a Piotroski F-score of only 2/9. The company is losing money, and with no revenue-growth or profit-growth figures in the data, I cannot judge consistency. The Lynch screen gives no category because there are zero years of filed results, far short of the three needed. Beta of 2.38 and a 52-week range of $0.60 to $1.64 signal high volatility. For a broker/advisory firm, I would want to see ROE recovering, stable book value, and low credit or underwriting risk. CET1, NIM, and combined ratio are not in the data and are not the right tools here. A discount to book can be real value or a warning that book value will shrink. Until profits appear, I treat it as speculative, not a high-quality compounder.

In plain English: Magic Empire Global is a tiny Hong Kong advisory firm that helps companies with stock-market listings and related financial paperwork. It is currently losing money and has only seven employees, so the business looks weak. The shares trade for much less than the value of its assets minus debts, but without steady profits that cheapness is not proven.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer