CLP Holdings Limited (HK:0002)
:0002
Top Page
CLP Holdings
(0002)
Select Model
Select Model
Rating:72Outperform
Price Target:
HK$82.00
â–˛(19.71% Upside)
Action:UpgradedDate:03/26/26
The score is driven primarily by solid financial performance for a regulated utility (restored profitability and manageable leverage), tempered by margin compression and capex-driven free-cash-flow volatility. Valuation is a clear positive (low P/E and strong dividend yield). Technical indicators are neutral-to-soft near term, and the earnings call was balanced—supportive cash flow/dividend and disciplined growth plans, but notable headwinds in China and EnergyAustralia.
Positive Factors
Regulated Hong Kong earnings stability
CLP's Hong Kong regulated business provides a stable, large earnings base with recurring tariff mechanisms and strong reliability. Consistent core earnings and completed smart‑meter rollout support predictable demand data, regulatory cash recovery and durable dividend capacity over the medium term.
Negative Factors
Margin and free cash flow volatility
CLP's earnings quality is tempered by margin swings and capex‑driven FCF variability. Large, lumpy investment cycles and occasional negative free cash flow reduce surplus cash for discretionary uses and increase reliance on financing during heavy build phases, pressuring long‑run flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Regulated Hong Kong earnings stability
CLP's Hong Kong regulated business provides a stable, large earnings base with recurring tariff mechanisms and strong reliability. Consistent core earnings and completed smart‑meter rollout support predictable demand data, regulatory cash recovery and durable dividend capacity over the medium term.
Read all positive factors
CLP Holdings (0002) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$188.22B
Dividend Yield4.54%
Average Volume (3M)4.16M
Price to Earnings (P/E)16.5
Beta (1Y)0.14
Revenue Growth2.02%
EPS Growth51.27%
CountryHK
Employees7,069
SectorUtilities
Sector Strength65
IndustryRegulated Electric
Share Statistics
EPS (TTM)1.92
Shares Outstanding2,526,450,700
10 Day Avg. Volume4,295,647
30 Day Avg. Volume4,164,030
Financial Highlights & Ratios
PEG Ratio-1.50
Price to Book (P/B)1.63
Price to Sales (P/S)2.00
P/FCF Ratio23.06
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
HK$77.11Price Target Upside12.56% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)4.46
Revenue Forecast (FY)HK$89.44B
CLP Holdings Business Overview & Revenue Model
Company Description
CLP Holdings Limited (stock code: 0002) is one of the largest investor-owned power businesses in Asia, with a diversified portfolio that includes electricity generation, transmission, and distribution. Established in 1901 and headquartered in Hong...
How the Company Makes Money
CLP Holdings makes money primarily by generating and supplying electricity and earning returns from a mix of regulated utility operations and non-regulated power and energy investments.
1) Regulated electricity supply (Hong Kong)
- CLP’s largest ...
CLP Holdings Earnings Call Summary
Earnings Call Date:Feb 26, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 18, 2026
Earnings Call Sentiment Neutral
The call presented a mixed picture: strong financial resilience and operational performance in Hong Kong, stable EBITDAF, robust free cash flow, and continued progress on low‑carbon projects supported dividend growth and credit ratings. These positives were offset by meaningful challenges — weaker results in the Chinese Mainland (low wind resources and curtailment), one‑off impairments and provisions on coal assets, and a weak EnergyAustralia retail performance compounded by transformation and tax one‑offs. Management emphasized disciplined, value‑led growth, capital discipline and partnerships to mitigate funding needs and execution risks.Positive Updates
Stable group EBITDAF and operating earnings
EBITDAF was stable year‑on‑year at HKD 25.7 billion; operating earnings before fair value movements decreased marginally by ~2% to about HKD 10.6–10.7 billion, showing underlying resilience.
Negative Updates
Reported earnings and comparability items decreased
Total reported earnings were down ~11% year‑on‑year (reported numbers cited between HKD 11.5 billion and adjusted ~HKD 10.5 billion depending on adjustments), driven by fair value movements and several one‑off items that reduced comparability.
Read all updates
Q4-2025 Updates
Positive
Negative
Stable group EBITDAF and operating earnings
EBITDAF was stable year‑on‑year at HKD 25.7 billion; operating earnings before fair value movements decreased marginally by ~2% to about HKD 10.6–10.7 billion, showing underlying resilience.
Read all positive updates
Company Guidance
The call set out clear near‑ and medium‑term guidance anchored by disciplined, value‑driven growth: Hong Kong will execute a HKD 52.9 billion five‑year development plan while SoC capital expenditure is expected at roughly HKD 10–11 billion per year; China renewable ambition was trimmed from 6 GW to 5 GW by 2030 (adding ~0.5 GW in 2025) with ~1 GW of tariff‑secured projects (10–12 year tenors) and a plan to tap onshore financing/clean‑energy fund from 2026 (first RMB 1 billion drawdown expected), using project finance at ~70–80% LTV and conservatively assuming ~50% average debt for returns; India’s Apraava targets ~9 GW of non‑carbon capacity by 2030 (about 1 GW p.a.), has ~2 GW underway, 18 projects won and >2.5 million smart meters installed (another 7.2 million to roll out), and will complete the Jhajjar sale in Q1 to free capital; EnergyAustralia is prioritizing >1 GW of new batteries/pumped hydro in the next three years (and up to ~3 GW flexible capacity by 2030), with Wooreen on track for 2027, a customer platform and enterprise transformation targeted by 2028, and Yallourn retirement planned for mid‑2028; financial priorities include remaining investment‑grade ratings, a steady‑and‑growing dividend policy (FY2025 total dividend HKD 3.20/share, +1.6%), and strict IRR hurdles (double‑digit in China, high single‑digit in Australia).CLP Holdings Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
74
Positive
Cash Flow
66
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 88.02B | 90.96B | 87.17B | 100.66B | 83.96B |
| Gross Profit | 13.33B | 29.33B | 28.53B | 18.86B | 26.63B |
| EBITDA | 23.05B | 24.23B | 21.07B | 14.19B | 21.52B |
| Net Income | 10.67B | 11.88B | 6.79B | 1.06B | 8.63B |
Balance Sheet | |||||
| Total Assets | 238.64B | 233.71B | 229.05B | 236.03B | 239.81B |
| Cash, Cash Equivalents and Short-Term Investments | 3.93B | 4.98B | 5.19B | 4.29B | 8.26B |
| Total Debt | 65.86B | 66.14B | 59.33B | 61.03B | 63.27B |
| Total Liabilities | 125.09B | 123.59B | 116.67B | 124.22B | 116.99B |
| Stockholders Equity | 107.61B | 104.06B | 106.22B | 109.39B | 116.92B |
Cash Flow | |||||
| Free Cash Flow | 7.62B | 6.84B | 10.39B | -5.03B | 3.02B |
| Operating Cash Flow | 24.38B | 23.14B | 23.57B | 10.19B | 16.30B |
| Investing Cash Flow | -14.33B | -16.22B | -9.47B | -15.38B | -11.79B |
| Financing Cash Flow | -11.22B | -7.04B | -13.14B | -987.00M | -8.48B |
CLP Holdings Technical Analysis
Positive
68.50
Price Trends
73.54
Positive
70.61
Positive
67.26
Positive
Market Momentum
0.12
Negative
57.51
Neutral
81.94
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0002, the sentiment is Positive. The current price of 68.5 is below the 20-day moving average (MA) of 73.37, below the 50-day MA of 73.54, and above the 200-day MA of 67.26, indicating a bullish trend. The MACD of 0.12 indicates Negative momentum. The RSI at 57.51 is Neutral, neither overbought nor oversold. The STOCH value of 81.94 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0002.
CLP Holdings Peers Comparison
UnderperformOutperform
Sector (66)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | HK$188.22B | 16.48 | 9.82% | 4.54% | 2.02% | 51.27% | |
69 Neutral | HK$57.52B | 18.09 | 5.56% | 5.08% | 2.58% | 1.42% | |
68 Neutral | HK$96.86B | 6.06 | 12.76% | 5.89% | 1.42% | -10.32% | |
66 Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% | |
64 Neutral | HK$132.86B | 23.00 | 9.73% | 4.94% | 0.36% | 2.55% | |
62 Neutral | HK$241.44B | 13.97 | 7.98% | 3.50% | -1.16% | -14.97% | |
62 Neutral | HK$133.62B | 18.85 | 6.94% | 5.15% | -24.63% | 1.74% |
* Utilities Sector Average
HK:0002
CLP Holdings
74.50
13.57
22.28%
HK:1816
CGN Power Co
3.52
1.28
57.35%
HK:0836
China Resources Power Holdings Co
18.71
2.21
13.40%
HK:0006
Power Assets Holdings
62.70
17.52
38.78%
HK:2638
HK Electric Investments & HK Electric Investments
6.51
1.41
27.57%
HK:0003
Hong Kong & China Gas Co
7.12
0.92
14.86%
CLP Holdings Corporate Events
CLP Holdings Sets 2026 Hybrid AGM and Seeks Limited Share Issue Mandate
Mar 25, 2026
CLP Holdings has called its 28th annual general meeting for 8 May 2026, to be held in a hybrid format combining a physical gathering at Kai Tak Stadium’s Celebration Hall and an online live webcast, giving shareholders flexibility to attend ...
CLP Holdings Revamps Board with Director Retirement and New Appointment
Feb 27, 2026
CLP Holdings has announced that independent non-executive director Christina Gaw will retire from the board and the Sustainability Committee at the conclusion of its 2026 annual general meeting, after serving two full terms since joining in 2020 a...
CLP Holdings Strengthens Board and Committee Oversight With New Appointments
Feb 27, 2026
CLP Holdings has refreshed its board composition, appointing Peter Wilhelm Hubert Brien as an independent non-executive director and member of the Audit Risk, Finance General, and Sustainability committees, and naming Chan Bernard Charnwut to th...
CLP Holdings Strengthens Governance With Updated Audit & Risk Committee Mandate
Feb 27, 2026
CLP Holdings has outlined the updated responsibilities and structure of its Audit Risk Committee, a board-level body tasked with overseeing internal controls, accounting principles, risk management and ethical practices across the group. The comm...
CLP Holdings Clarifies Finance & General Committee’s Oversight Role
Feb 27, 2026
CLP Holdings has detailed the remit of its Finance General Committee, a board-appointed body responsible for overseeing the group’s financial operations, capital structure and major corporate transactions. The committee reviews implementati...
CLP Strengthens Sustainability Committee Mandate to Sharpen ESG Oversight
Feb 27, 2026
CLP Holdings has updated the terms of reference for its Group Sustainability Committee, strengthening its oversight of sustainability strategy, risk management, and disclosure across the organisation. The committee is mandated to guide the group t...
CLP tightens Nomination Committee mandate to bolster board governance
Feb 27, 2026
CLP Holdings has updated the terms of reference for its Nomination Committee, effective 1 January 2025, reinforcing its governance framework around board composition and director appointments. The committee is empowered to use external agencies, i...
CLP Holdings Schedules Webcast Briefing on 2025 Annual Results
Feb 26, 2026
CLP Holdings has announced that its management will host an analyst briefing via webcast to discuss the company’s annual results for the year ended 31 December 2025. The session, scheduled for the afternoon of 26 February 2026, is aimed at i...
CLP Holdings Declares Fourth Interim Dividend for 2025
Feb 26, 2026
CLP Holdings has declared a fourth interim ordinary dividend of HK$1.31 per share for the financial year ended 31 December 2025, reinforcing its practice of providing regular cash returns to shareholders. The dividend will be paid on 24 March 2026...
CLP Holdings Delivers Resilient 2025 Results and Accelerates Low-Carbon Expansion
Feb 26, 2026
CLP Holdings reported resilient 2025 results, with operating earnings before fair value movements slipping 2.4% to HK$10.69 billion and total earnings down 10.8% to HK$10.47 billion, mainly due to weaker performance in Australia and lower contribu...
CLP Holdings Sets February Board Meeting to Approve 2025 Results and Consider Fourth Interim Dividend
Feb 6, 2026
CLP Holdings has scheduled a board meeting for 26 February 2026 to review and approve the company’s annual results for the year ended 31 December 2025 and to consider declaring a fourth interim dividend for 2025. The planned meeting signals ...
CLP Holdings Updates Connected Power Sales Deals with China Southern Power Grid
Jan 1, 2026
CLP Holdings has renewed and entered into a series of power purchase agreements and related electricity sale arrangements with China Southern Power Grid Group (CSG Group) in 2025, including contracts for existing projects, a new Sandu wind project...
CLP Tightens Audit & Risk Committee Mandate to Bolster Governance and Oversight
Dec 31, 2025
CLP Holdings has updated the terms of reference for its Audit Risk Committee as of 31 December 2025, reinforcing the committee’s mandate to oversee internal controls, financial and non-financial reporting practices, audit scope, and complia...
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.