Swire Pacific (0019) AI Stock Analysis

• Market Cap: HK$86.86B
• Dividend Yield: 6.11%
• Average Volume (3M): 1.39M
• Price to Earnings (P/E): 22.5
• Beta (1Y): 0.49
• Revenue Growth: -13.56%
• EPS Growth: -84.68%
• Country: HK
• Employees: 87,000
• Sector: Industrials
• Sector Strength: 92
• Industry: Conglomerates
• EPS (TTM): 0.32
• Shares Outstanding: 778,988,000
• 10 Day Avg. Volume: 1,131,734
• 30 Day Avg. Volume: 1,392,301
• PEG Ratio: 0.61
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.71
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$71.04
• Price Target Upside: 3.33% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 67 Neutral
• Price Target: HK$73.00 ▲(6.18%Upside)

Swire Pacific's overall stock score reflects a stable financial and strategic position, with notable strengths in cash flow generation and strategic investments in key sectors. Valuation metrics provide some appeal with a solid dividend yield, although technical indicators suggest caution with a neutral to slightly bearish trend. The earnings call highlights both strategic achievements and challenges, impacting the overall sentiment towards the stock.

Swire Pacific Business Overview & Revenue Model

Company Description

Swire Pacific Limited engages in property, aviation, beverages, marine, and trading and industrial businesses in Hong Kong, Mainland China, rest of Asia, the United States, and internationally. The company's Property division develops, owns, and operates mixed-use properties. This division's property investment portfolio comprises office and retail premises, serviced apartments, other luxury residential accommodations, and commercial mixed-use developments; and trading portfolio consists of residential properties. It also owns and manages two hotels in Hong Kong and four hotels in Mainland China, as well as owns interests in the Mandarin Oriental hotel in the United States. The company's Aviation division provides flight catering and ramp, passenger and cargo services, and aircraft maintenance and modification services. As of December 31, 2021, it had a fleet of 234 aircraft. Its Beverages division owns rights to manufacture, market, and distribute refreshing soft drinks to consumers. The company's Trading & Industrial division retails and distributes footwear, apparel, and accessories through its 164 retail outlets; sells passenger cars, commercial vehicles, motorcycles, and scooters; operates a chain of 538 bakery stores; packages and sells sugar products under the Taikoo Sugar brand; and offers waste management services. The company was founded in 1816 and is based in Central, Hong Kong.

How the Company Makes Money

Swire Pacific generates revenue through its diverse business segments. The Property division earns income from the development, leasing, and management of commercial and residential properties, with key assets including office towers, shopping malls, and luxury apartments, mainly in Hong Kong and Mainland China. The Aviation segment, primarily through its investment in Cathay Pacific Airways, earns money from passenger and cargo air transport services. The Beverages division, as one of the largest Coca-Cola bottlers in Asia, generates revenue from the manufacturing, marketing, and distribution of beverages. The Marine Services division provides offshore support services to the energy industry, while the Trading & Industrial division is involved in a range of activities including the distribution of sports and lifestyle brands, and other industrial operations. Strategic partnerships and joint ventures, particularly in the aviation and property sectors, also significantly contribute to Swire Pacific's earnings.

Swire Pacific Financial Statement Overview

Summary

Swire Pacific's financial performance is mixed. The income statement shows strong gross profit margins but challenges in revenue growth and profitability. The balance sheet displays financial stability with solid equity and low leverage. Cash flow generation is robust, although free cash flow growth is slightly negative.

Income Statement

Swire Pacific's income statement reveals mixed performance. The gross profit margin for the latest year is approximately 37.16%, showing efficient cost management. However, the net profit margin is relatively low at 5.27%, indicating challenges in converting revenue to profit. The revenue growth rate from the previous year was negative at -13.55%, reflecting a decline in sales. EBIT and EBITDA margins are 5.17% and 17.83% respectively, indicating moderate operational efficiency.

Balance Sheet

The balance sheet shows a solid equity base with an equity ratio of 54.21%, suggesting financial stability. The debt-to-equity ratio is 0.39, which is relatively low, indicating manageable leverage. ROE stands at 1.67%, lower than desired, reflecting modest returns on equity investment.

Cash Flow

Swire Pacific's cash flow analysis shows a positive operating cash flow to net income ratio of 2.42, indicating strong cash generation from operations. Free cash flow to net income ratio is 1.40, reflecting a good conversion of profits into free cash flow. However, the free cash flow growth rate is slightly negative at -4.29%, which could signal potential challenges in sustaining cash flow generation.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	81.97B	94.82B	91.17B	90.80B	80.03B
Gross Profit	30.46B	35.15B	34.19B	35.28B	30.21B
EBITDA	14.62B	35.57B	16.07B	16.41B	8.55B
Net Income	4.32B	28.85B	6.27B	5.12B	-10.10B
Balance Sheet
Total Assets	476.56B	447.75B	434.77B	436.32B	433.11B
Cash, Cash Equivalents and Short-Term Investments	21.03B	14.08B	11.61B	22.89B	29.26B
Total Debt	99.47B	74.90B	73.29B	66.89B	73.32B
Total Liabilities	157.89B	122.98B	118.83B	112.15B	113.96B
Stockholders Equity	258.30B	268.13B	258.46B	266.95B	262.69B
Cash Flow
Free Cash Flow	6.05B	6.32B	4.73B	7.45B	8.46B
Operating Cash Flow	10.46B	9.92B	8.16B	11.66B	11.46B
Investing Cash Flow	-14.60B	13.03B	-17.54B	-6.34B	1.73B
Financing Cash Flow	12.62B	-21.73B	-1.40B	-12.34B	-5.69B

Swire Pacific Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0019, the sentiment is Positive. The current price of 68.75 is above the 20-day moving average (MA) of 68.31, above the 50-day MA of 68.13, and above the 200-day MA of 65.43, indicating a bullish trend. The MACD of 0.48 indicates Negative momentum. The RSI at 52.25 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0019.

Swire Pacific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0019	67 Neutral	HK$86.86B	22.48	1.64%	6.11%	-13.56%	-84.68%
Sector *	58 Neutral	HK$14.15B	4.41	-3.01%	7.30%	3.67%	-54.16%
BJINF		$5.18B	7.04		4.97%	―	―
CKHUF		$23.30B	10.62	3.16%	6.41%	―	―
FOSUF		$5.07B	43.65	-3.59%	2.89%	―	―
GULRF		$2.89B	5.73	6.40%	3.47%	―	―
0087	81 Outperform	HK$86.25B	3.81	1.64%	7.20%	-13.56%	-84.68%

Swire Pacific Corporate Events

Swire Pacific Updates Nomination Committee Terms

Swire Pacific Limited has updated the terms of reference for its Nomination Committee, effective from July 1, 2025. The committee, established in March 2022, is tasked with reviewing the board’s structure and composition, assessing director independence, and ensuring board diversity. This move aims to align the board’s capabilities with the company’s corporate strategy, potentially enhancing its governance and strategic direction.

The most recent analyst rating on (HK:0019) stock is a Hold with a HK$68.00 price target. To see the full list of analyst forecasts on Swire Pacific stock, see the HK:0019 Stock Forecast page.

Swire Pacific Sells Brickell City Centre Interests to Simon Property

Swire Pacific Limited, through its subsidiary Swire Properties, has completed a significant transaction involving the sale of its interests in Brickell City Centre to Simon Property. The transaction, valued at up to approximately US$548.7 million, includes retail, parking, and facilities interests. This move is part of Swire’s strategy to optimize its asset portfolio, potentially impacting its market positioning by reallocating resources to other strategic areas. The transaction is classified as a discloseable and connected transaction under Hong Kong’s Listing Rules, highlighting its importance to stakeholders.

The most recent analyst rating on (HK:0019) stock is a Hold with a HK$71.00 price target. To see the full list of analyst forecasts on Swire Pacific stock, see the HK:0019 Stock Forecast page.

Swire Pacific Schedules Board Meeting for Interim Results and Dividends

Swire Pacific Limited has announced a board meeting scheduled for August 7, 2025, to discuss the interim results for the first half of the year and consider the payment of interim dividends. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, while also adhering to regulatory requirements regarding securities trading by directors.

The most recent analyst rating on (HK:0019) stock is a Hold with a HK$71.00 price target. To see the full list of analyst forecasts on Swire Pacific stock, see the HK:0019 Stock Forecast page.

Swire Pacific Secures Shareholder Approval for Key Resolutions at AGM

Swire Pacific Limited held its Annual General Meeting on May 15, 2025, where all proposed resolutions were passed as ordinary resolutions. Key resolutions included the re-election of directors, reappointment of auditors, and granting of mandates for share buybacks and issuance. The approval of these resolutions reflects strong shareholder support and positions the company for continued strategic initiatives, potentially impacting its operational efficiency and market competitiveness.

The most recent analyst rating on (HK:0019) stock is a Hold with a HK$68.00 price target. To see the full list of analyst forecasts on Swire Pacific stock, see the HK:0019 Stock Forecast page.

Swire Pacific Announces Board and Committee Appointments

Swire Pacific Limited has announced the composition of its Board of Directors and the members of its key committees, including the Audit, Nomination, and Remuneration Committees. This announcement is crucial for stakeholders as it outlines the leadership structure and governance framework, which are essential for strategic decision-making and maintaining corporate oversight.

The most recent analyst rating on (HK:0019) stock is a Sell with a HK$59.90 price target. To see the full list of analyst forecasts on Swire Pacific stock, see the HK:0019 Stock Forecast page.

Swire Properties Reports Stable Q1 2025 Performance and Progress on Key Developments

Swire Properties Limited has released its quarterly operating statement for the first quarter of 2025, highlighting stable occupancy rates in its office and retail properties across Hong Kong, mainland China, and Miami. The report indicates a mixed performance in retail sales, with some locations experiencing growth while others saw a decline. The company is also progressing with several major development projects in mainland China, expected to complete between 2026 and 2027, which could enhance its market position and provide new opportunities for growth.

Swire Pacific Plans Spin-Off and Listing of Beverage Subsidiary on Thai Stock Exchange

Swire Pacific Limited has announced a proposed spin-off and separate listing of its subsidiary, Thainamthip Corporation Public Company Limited (TCPCL), on the Stock Exchange of Thailand. TCPCL, which is engaged in the non-alcoholic ready-to-drink beverage industry in Thailand and Laos, is expected to remain a non-wholly owned subsidiary of Swire Pacific post-listing. The spin-off is subject to regulatory approvals and market conditions, and it is not anticipated to be a notifiable transaction under Hong Kong’s Listing Rules.

Swire Pacific Announces Change of Registered Office

Swire Pacific Limited has announced a change in its registered office location to 31st Floor, One Pacific Place, 88 Queensway, Hong Kong, effective from May 16, 2025. This change is part of the company’s ongoing efforts to optimize its operational infrastructure, potentially enhancing its strategic positioning within the industry.