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Clp Holdings (CLPHY)
:CLPHY
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CLP Holdings
(OTC:CLPHY)
Rating:69Neutral
Price Target:
$9.00
▲(5.88%Upside)
CLP Holdings (CLPHY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$21.35B
Dividend Yield3.41%
Average Volume (3M)25.74K
Price to Earnings (P/E)14.2
Beta (1Y)0.21
Revenue Growth4.71%
EPS Growth77.16%
CountryUS
Employees7,069
SectorUtilities
Sector Strength74
IndustryRegulated Electric
Share Statistics
EPS (TTM)N/A
Shares Outstanding2,526,450,700
10 Day Avg. Volume0
30 Day Avg. Volume25,742
Financial Highlights & Ratios
PEG Ratio-1.17
Price to Book (P/B)1.31
Price to Sales (P/S)0.00
P/FCF Ratio-49.46
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
CLP Holdings Business Overview & Revenue Model
Company DescriptionCLP Holdings Limited, an investment holding company, engages in the generation, transmission, and distribution of electricity in Hong Kong, Mainland China, India, Southeast Asia, Taiwan, and Australia. The company generates electricity through coal, gas, nuclear, and renewable resources, such as wind, hydro, and solar. It serves 5.15 million retail customers in Hong Kong and Australia. The company is also involved in the provision of pumped storage services, and energy and infrastructure solutions; property investment activities; and retail of electricity and gas. It has generating capacity of 20,018 equity megawatts; and 16,834 kilometers of transmission and high voltage distribution lines. CLP Holdings Limited was founded in 1901 and is based in Hung Hom, Hong Kong.
How the Company Makes MoneyCLP Holdings makes money through a diversified revenue model primarily centered around its electricity generation, transmission, and distribution services. The company's key revenue streams include the sale of electricity to residential, commercial, and industrial customers across its operational regions, with a significant portion of revenue generated from regulated electricity markets in Hong Kong. CLP also invests in renewable energy projects, such as wind, solar, and hydroelectric power, contributing to its income through the sale of clean energy. Additionally, the company earns revenue from infrastructure investments and energy retailing services. Strategic partnerships and joint ventures in various energy projects further bolster its earnings, allowing for shared investment risks and enhanced market presence.
CLP Holdings Earnings Call Summary
Earnings Call Date:May 19, 2025
(Q4-2024)
| % Change Since: 1.43%|
Next Earnings Date:Aug 11, 2025
Earnings Call Sentiment Positive
The earnings call reflected a generally positive sentiment with strong financial growth and strategic progress in renewable energy projects, despite some operational challenges and competitive pressures in certain markets.Q4-2024 Updates
Positive Updates
Strong Financial Performance in 2024
Group's operating earnings before fair value movements increased by 8% year-on-year to nearly HKD11 billion. Total earnings rose significantly by 76% to HKD11.7 billion.
Increased Dividend
The Board recommended a fourth interim dividend of HKD1.26 per share, making the 2024 total dividend HKD3.15 per share, an increase of 1.6% from the prior year, providing a yield of 4.8%.
Expansion in Renewable Energy Projects
Construction of CLP China's largest wind and solar projects (300 MW each), the largest solar project in India (300 MW), and EnergyAustralia's largest battery (350 MW) were highlighted as significant achievements.
Operational Excellence
Hong Kong maintained network reliability at 99.999%, and Jhajjar thermal plant in India achieved record-level efficiency.
Strategic Review and Growth Momentum
Completed major gas infrastructure in Hong Kong, paving the way for coal phase-down; strategic review completed with a focus on delivering cleaner, more reliable energy and stable earnings.
Negative Updates
Slight Increase in Low-Impact Injuries
An increase in low-impact injuries was noted, largely due to more planned outages and construction activities.
Reduction in Customer Numbers in Australia
Competitive market conditions in Australia led to a reduction in customer numbers despite overall positive performance in EnergyAustralia.
Decreased Generation Capacity
The retirement of 3 coal units in Hong Kong and exits from Shandong Zhonghuan coal portfolio resulted in decreased generation capacity.
Challenges in Mainland China
Reduced contribution from Mainland China due to lower nuclear tariffs and higher costs, alongside lower generation at Daya Bay due to a planned outage.
Company Guidance
During the CLP's 2024 Annual Results Briefing, the company presented strong financial performance, highlighted by an 8% year-on-year increase in operating earnings before fair value movements, reaching nearly HKD11 billion. Total earnings significantly rose by 76% to HKD11.7 billion. The Board recommended a fourth interim dividend of HKD1.26 per share, bringing the total dividend for 2024 to HKD3.15 per share, an increase of 1.6% from the previous year. This provides a yield of 4.8% based on the share price at the end of December. The company maintained exceptional network reliability in Hong Kong at 99.999%, despite challenges from extreme weather. Operational achievements included the completion of major gas infrastructure in Hong Kong and record generation at the Yangjiang nuclear plant in China. With HKD11 billion in CapEx planned for 2024, CLP aims to advance noncarbon projects, including significant renewable energy developments in China and India. The strategic review completed by the company underpins its ambition to deliver cleaner, more reliable energy with stable earnings and dividend growth.CLP Holdings Financial Statement Overview
Summary
CLP Holdings has demonstrated a commendable performance with improved profitability and steady revenue growth. The company's financial stability is reinforced by a balanced capital structure and adequate cash flow generation. However, challenges remain in managing liabilities and ensuring consistent free cash flow.Income Statement
CLP Holdings has shown a solid revenue growth rate of 4.36% from 2023 to 2024, which is a positive indicator. The gross profit margin improved to 32.25% in 2024, indicating efficient cost management. EBIT and EBITDA margins have also improved to 16.38% and 29.42%, respectively, reflecting stronger operating performance. The net profit margin increased to 13.06%, showing enhanced profitability. However, the volatility in these metrics over the years, especially the sharp fluctuations in net income, suggests a need for more stability.75
Positive
Balance Sheet
The debt-to-equity ratio stands at 0.63 in 2024, indicating a moderate level of leverage. Return on equity improved to 11.41%, highlighting efficient use of equity to generate profits. The equity ratio of 44.52% suggests a balanced capital structure. Nonetheless, the overall liabilities have been increasing, which could pose a risk if not managed effectively.68
Positive
Cash Flow
Operating cash flow is robust at 23,140 million in 2024, and the free cash flow has shown positive growth after a dip in previous years. The operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. However, the free cash flow to net income ratio has fluctuated significantly, signaling potential volatility in cash flows.70
Positive
| Breakdown | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 90.96B | 87.17B | 100.66B | 83.96B | 79.59B |
| Gross Profit | 29.33B | 28.53B | 18.86B | 26.63B | 28.04B |
| EBITDA | 26.76B | 21.07B | 12.18B | 22.13B | 25.60B |
| Net Income | 11.88B | 6.79B | 1.49B | 8.63B | 11.59B |
Balance Sheet | |||||
| Total Assets | 233.71B | 229.05B | 236.03B | 239.81B | 234.23B |
| Cash, Cash Equivalents and Short-Term Investments | 4.98B | 5.19B | 4.25B | 7.96B | 11.17B |
| Total Debt | 65.30B | 57.72B | 59.45B | 58.43B | 54.57B |
| Total Liabilities | 123.59B | 116.67B | 120.33B | 113.10B | 108.26B |
| Stockholders Equity | 104.06B | 106.22B | 109.39B | 116.92B | 116.09B |
Cash Flow | |||||
| Free Cash Flow | 6.84B | 10.39B | -2.90B | 4.50B | 11.01B |
| Operating Cash Flow | 23.14B | 23.57B | 12.73B | 18.08B | 22.37B |
| Investing Cash Flow | -16.22B | -9.47B | -15.38B | -11.82B | -10.08B |
| Financing Cash Flow | -7.04B | -13.14B | -987.00M | -8.48B | -10.21B |
CLP Holdings Technical Analysis
Positive
8.50
Price Trends
8.44
Positive
8.26
Positive
8.26
Positive
Market Momentum
0.01
Negative
52.55
Neutral
83.75
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLPHY, the sentiment is Positive. The current price of 8.5 is above the 20-day moving average (MA) of 8.43, above the 50-day MA of 8.44, and above the 200-day MA of 8.26, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 52.55 is Neutral, neither overbought nor oversold. The STOCH value of 83.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CLPHY.
CLP Holdings Peers Comparison
Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $20.51B | 20.29 | 12.53% | 3.16% | 5.87% | 3.59% | |
72 Outperform | $23.04B | 21.24 | 8.69% | 4.46% | 7.92% | 1.54% | |
71 Outperform | $22.95B | 26.97 | 5.63% | 4.76% | 10.82% | ― | |
69 Neutral | $21.35B | 14.19 | 11.36% | 3.41% | 4.71% | 77.16% | |
67 Neutral | $19.40B | 7.15 | 17.93% | 6.51% | 5.36% | 209.92% | |
67 Neutral | $16.42B | 16.95 | 4.63% | 3.58% | 4.77% | 6.10% | |
66 Neutral | $23.69B | 24.41 | 9.22% | 2.42% | 4.76% | 4.08% |
* Utilities Sector Average
Performance Comparison
CLPHY
CLP Holdings
8.45
0.72
9.31%
CNP
Centerpoint Energy
36.37
6.21
20.59%
CMS
CMS Energy
69.01
11.28
19.54%
EIX
Edison International
50.97
-17.63
-25.70%
FE
FirstEnergy
39.90
3.18
8.66%
ES
Eversource Energy
63.36
9.27
17.14%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.