China Gas Holdings (CGHLY) AI Stock Analysis

• Market Cap: $5.55B
• Dividend Yield: 5.71%
• Average Volume (3M): 141.00
• Price to Earnings (P/E): 13.1
• Beta (1Y): 0.19
• Revenue Growth: -2.24%
• EPS Growth: 2.37%
• Country: US
• Employees: 70,000
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Gas
• EPS (TTM): 0.88
• Shares Outstanding: 217,926,120
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 141
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.24
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 1.09
• Enterprise Value/Ebitda: 1.48
• 1Y Price Target: $29.00
• Price Target Upside: 13.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: $29.00 ▲(13.24% Upside)

China Gas Holdings receives a score of 72.5, driven by a strong valuation and positive technical indicators. The company's stable profitability and attractive dividend yield are significant strengths. However, concerns about declining revenue growth and cash flow sustainability weigh on the overall score. Addressing these financial challenges could enhance future performance.

China Gas Holdings Business Overview & Revenue Model

Company Description

China Gas Holdings Limited operates as a gas operator and service provider in the People's Republic of China. The company invests in, constructs, operates, and maintains city and town gas pipeline infrastructure facilities, gas terminals, storage and transportation facilities, and gas logistics systems; transmits natural gas and liquefied petroleum gas (LPG) to residential, industrial, and commercial users; constructs and operates compressed natural gas/liquefied natural gas refilling stations; and develops technologies related to natural gas and LPG. It is also involved in the investment in petrochemical facilities of storage and transportation; producing and storing LPG and chemical products, as well as propane and butane; CBM business; exploration and production of coal bed methane; and gas station administration, management, and consultancy services. In addition, the company offers treasury, management, consultancy, and procurement services; and smart home products and gas insurance broker services, as well as gas heaters and kitchen appliances under the Gasbo brand. Further, it is involved in the development and investment in clean energy; wholesale and trading of natural gas and liquefied natural gas; sale of electricity; and provides gas meters, pressure regulators, corrugated pipes, gas alarms, and bottled gas. Additionally, the company engages in the wholesale and retail of household equipment, electric appliances, and kitchen appliances. As of March 31, 2022, it served 19,808 industrial and 297,664 commercial customers; and 43,095,245 residential customers, as well as operates 533 CNG/LNG refilling stations. The company was incorporated in 1995 and is headquartered in Wan Chai, Hong Kong.

How the Company Makes Money

China Gas Holdings generates revenue primarily through the distribution of natural gas to residential, commercial, and industrial customers. The company earns income from gas sales based on the volume of gas delivered and through fixed fees associated with its pipeline infrastructure. Additionally, CGHLY profits from the construction of gas pipelines and infrastructure projects, often under long-term contracts with local governments. Significant revenue streams also include sales of liquefied natural gas (LNG) and related services. Partnerships with municipal governments and collaborations with industrial clients play a crucial role in securing contracts and expanding its service reach, contributing to its overall earnings.

China Gas Holdings Financial Statement Overview

Summary

China Gas Holdings presents a mixed financial picture. The income statement reflects stable profitability but declining revenue growth, which could impact future performance. The balance sheet shows moderate leverage and stable equity management, though increasing debt levels pose a risk. The cash flow statement indicates challenges in cash generation, despite recent improvements in free cash flow. The company needs to address revenue growth and cash flow sustainability to enhance its financial health.

Income Statement

China Gas Holdings shows a mixed performance in its income statement. The company has experienced a decline in revenue growth over the past two years, with a negative growth rate in the most recent period. However, the company maintains stable gross and net profit margins, indicating efficient cost management. The EBIT and EBITDA margins have improved slightly, suggesting operational efficiency gains. Overall, the income statement reflects stability in profitability but highlights concerns regarding revenue growth.

Balance Sheet

The balance sheet of China Gas Holdings indicates a moderate level of financial stability. The debt-to-equity ratio has increased slightly, reflecting higher leverage, but remains within a manageable range. The equity ratio is stable, and the return on equity has shown a downward trend, which could be a concern for investors. Overall, the balance sheet suggests a balanced approach to leveraging and equity management, with some potential risks due to increasing debt levels.

Cash Flow

The cash flow statement reveals some challenges for China Gas Holdings. While the operating cash flow remains positive, the free cash flow has shown volatility, with recent improvements. The operating cash flow to net income ratio is relatively low, indicating potential issues in converting income into cash. The free cash flow to net income ratio has improved but remains below optimal levels. Overall, the cash flow statement highlights concerns about cash generation and sustainability.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	80.47B	79.26B	81.41B	91.99B	88.23B	69.98B
Gross Profit	11.44B	11.26B	11.30B	12.03B	15.74B	18.10B
EBITDA	8.37B	10.00B	8.50B	8.85B	12.39B	14.89B
Net Income	3.12B	3.25B	3.18B	4.29B	7.66B	10.48B
Balance Sheet
Total Assets	153.47B	148.22B	148.70B	157.29B	163.15B	140.72B
Cash, Cash Equivalents and Short-Term Investments	9.23B	8.89B	8.12B	10.72B	10.29B	9.26B
Total Debt	60.77B	60.42B	59.24B	61.39B	57.70B	50.70B
Total Liabilities	89.31B	87.49B	87.95B	92.50B	91.08B	80.86B
Stockholders Equity	57.12B	53.86B	53.93B	57.90B	63.58B	51.94B
Cash Flow
Free Cash Flow	1.46B	1.77B	5.28B	2.30B	-673.72M	-1.12B
Operating Cash Flow	7.46B	6.44B	11.34B	8.26B	8.34B	7.23B
Investing Cash Flow	-5.92B	-1.78B	-7.05B	-10.08B	-15.86B	-8.89B
Financing Cash Flow	-4.03B	-3.81B	-5.86B	2.95B	8.78B	2.57B

China Gas Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CGHLY, the sentiment is Positive. The current price of 25.61 is above the 20-day moving average (MA) of 25.04, above the 50-day MA of 25.04, and above the 200-day MA of 22.08, indicating a bullish trend. The MACD of 0.12 indicates Negative momentum. The RSI at 58.73 is Neutral, neither overbought nor oversold. The STOCH value of 96.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CGHLY.

China Gas Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NJR	75 Outperform	4.74B	11.53	13.17%	3.82%	21.88%	71.35%
CGHLY	73 Outperform	$5.55B	13.14	6.04%	5.71%	-2.24%	2.37%
SR	71 Outperform	4.50B	16.47	8.21%	4.12%	-6.65%	11.47%
OGS	68 Neutral	4.56B	18.13	7.78%	3.51%	13.43%	6.49%
SWX	67 Neutral	5.73B	29.64	5.27%	3.12%	-10.07%	5.98%
UGI	61 Neutral	7.32B	17.95	8.58%	4.38%	-0.52%	-39.42%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%