The accumulation of cadmium (Cd) in agricultural soils presents a significant threat to crop safety, emphasizing the critical necessity for effective monitoring and management of soil Cd levels. Despite technological advancements, accurately monitoring soil Cd concentrations using satellite hyperspectral technology remains challenging, particularly in efficiently extracting spectral information. In this study, a total of 304 soil samples were collected from agricultural soils surrounding a tungsten mine located in the Xiancha River basin, Jiangxi Province, Southern China. Leveraging hyperspectral data from the ZY1-02D satellite, this research developed a comprehensive framework that evaluates the predictive accuracy of nine spectral transformations across four modeling approaches to estimate soil Cd concentrations. The spectral transformation methods included four logarithmic and reciprocal transformations, two derivative transformations, and three baseline correction and normalization transformations. The four models utilized for predicting soil Cd were partial least squares regression (PLSR), support vector machine (SVM), bidirectional recurrent neural networks (BRNN), and random forest (RF). The results indicated that these spectral transformations markedly enhanced the absorption and reflection features of the spectral curves, accentuating key peaks and troughs. Compared to the original spectral curves, the correlation analysis between the transformed spectra and soil Cd content showed a notable improvement, particularly with derivative transformations. The combination of the first derivative (FD) transformation with the RF model yielded the highest accuracy (R2 = 0.61, RMSE = 0.37 mg/kg, MAE = 0.21 mg/kg). Furthermore, the RF model in multiple spectral transformations exhibited higher suitability for modeling soil Cd content compared to other models. Overall, this research highlights the substantial applicative potential of the ZY1-02D satellite hyperspectral data for detecting soil heavy metals and provides a framework that integrates optimal spectral transformations and modeling techniques to estimate soil Cd contents.