MTR (0066) AI Stock Analysis

• Market Cap: $166.29B
• Dividend Yield: 4.9%
• Average Volume (3M): 7.17M
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.61
• Revenue Growth: -0.99%
• EPS Growth: 80.58%
• Country: HK
• Employees: 31,822
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): 1.44
• Shares Outstanding: 6,224,823,000
• 10 Day Avg. Volume: 5,279,299
• 30 Day Avg. Volume: 7,165,603
• 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: 1.47
• Enterprise Value/Revenue: 4.09
• Enterprise Value/Gross Profit: 12.42
• Enterprise Value/Ebitda: 9.06
• 1Y Price Target: $29.63
• Price Target Upside: 10.82% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 78 Outperform
• Price Target: HK$30.00 ▲(12.19% Upside)

MTR's strong financial performance, highlighted by robust revenue and profit growth, is the primary driver of its score. The stock's attractive valuation further boosts its appeal. However, technical indicators suggest bearish momentum, which tempers the overall score.

Positive Factors

Negative Factors

MTR Business Overview & Revenue Model

Company Description

MTR Corporation Limited designs, constructs, operates, maintains, and invests in railways in Hong Kong, Australia, Mainland China, Macao, Sweden, and the United Kingdom. It operates through Hong Kong Transport Operations; Hong Kong Station Commercial Businesses; Hong Kong Property Rental and Management Businesses; Hong Kong Property Development; Mainland China and International Railway, Property Rental and Management Businesses; Mainland China Property Development; and Other Businesses segments. The company offers domestic and cross-boundary railway services, airport express, and a light rail and bus feeder system. It operates 266.3 kilometers of rail network; and 98 stations. The company also provides intercity railway services; leases advertising, office, retail, and car parking spaces at railway stations; offers telecommunication and bandwidth services in railway premises; provides estate management services; and invests in, develops, manages, and leases properties, including shopping malls and offices. In addition, it is involved in the construction, operation, and maintenance of mass transit railway systems. Further, it operates Octopus, a contactless smartcard common payment system; and provides railway consultancy and project management services, as well as offers railway management, engineering, and technology training services. Additionally, the company administers the operation of MTR academy; and provides station management, financing, technical support, and mobile and fixed telecommunication network and related services. It also operates cable car system and a theme village. MTR Corporation Limited was founded in 1975 and is headquartered in Kowloon Bay, Hong Kong.

How the Company Makes Money

MTR Corporation makes money through several key revenue streams. The primary source is fare revenue from its rail transport services, which includes the operation of the MTR system in Hong Kong. The company also generates significant income from property development and management, with projects often located above or near its stations, creating integrated communities. Additionally, MTR earns from station commercial businesses such as advertising, retail, and leasing. Internationally, the company receives revenue from operating rail systems and providing consultancy and project management services. Partnerships with local governments and private enterprises in different regions also contribute to its earnings.

MTR Financial Statement Overview

Summary

MTR shows strong revenue and profit growth with efficient operations. The balance sheet is robust, with manageable leverage and strong equity. However, negative free cash flow due to high capital expenditures indicates cash flow management challenges.

Income Statement

MTR has demonstrated strong revenue growth, with an 8.5% increase from 2023 to 2024. The gross profit margin improved significantly, reflecting enhanced operational efficiency. The net profit margin also more than doubled, indicating strong profitability. EBIT and EBITDA margins are healthy, showing robust core operations.

Balance Sheet

The company maintains a stable balance sheet with a debt-to-equity ratio of 0.42, indicating a conservative use of leverage. ROE improved to 8.5%, showing increased efficiency in generating profits from equity. The equity ratio of 50.5% suggests a solid financial position with reasonable equity financing.

Cash Flow

Free cash flow improved but remains negative, highlighting ongoing capital expenditures. Operating cash flow covers net income well, suggesting strong cash generation from operations. However, free cash flow to net income is less favorable, indicating potential cash management challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.01B	56.98B	47.81B	47.20B	42.54B
Gross Profit	13.71B	10.91B	2.47B	3.03B	95.00M
EBITDA	27.06B	11.56B	17.90B	17.80B	2.71B
Net Income	15.77B	7.78B	9.83B	9.55B	-4.81B
Balance Sheet
Total Assets	367.50B	346.43B	327.08B	292.08B	290.57B
Cash, Cash Equivalents and Short-Term Investments	27.89B	22.38B	16.37B	21.20B	21.22B
Total Debt	77.68B	59.63B	58.13B	54.13B	60.79B
Total Liabilities	181.37B	167.57B	147.17B	112.05B	113.59B
Stockholders Equity	185.63B	178.34B	179.29B	179.71B	176.79B
Cash Flow
Free Cash Flow	-925.00M	-1.14B	-12.53B	-1.17B	-5.35B
Operating Cash Flow	18.49B	11.20B	6.76B	7.47B	772.00M
Investing Cash Flow	-20.27B	-7.72B	-1.99B	5.97B	-675.00M
Financing Cash Flow	8.50B	1.87B	-4.57B	-14.53B	2.84B

MTR Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 26.74
• 50DMA: Negative
• 100DMA: Negative
• 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:0066, the sentiment is Positive. The current price of 26.74 is above the 20-day moving average (MA) of 26.56, below the 50-day MA of 27.10, and above the 200-day MA of 25.82, indicating a neutral trend. The MACD of -0.11 indicates Negative momentum. The RSI at 49.53 is Neutral, neither overbought nor oversold. The STOCH value of 76.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0066.

MTR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0066	78 Outperform	$166.29B	9.49	9.59%	4.90%	-0.99%	80.58%
3898	75 Outperform	57.03B	13.01	8.92%	1.23%	13.89%	13.27%
0525	69 Neutral	23.94B	17.82	3.91%	3.09%	0.00%	0.00%
0062	69 Neutral	5.51B	20.87	1.12%	7.63%	2.87%	-35.74%
3969	64 Neutral	57.20B	9.56	0.00%	5.26%	-5.29%	7.98%
2169	48 Neutral	4.80B	76.33	7.25%	0.55%	-14.80%	11.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

MTR Corporate Events

MTR Corporation Declares Interim Dividend for 2025

MTR Corporation Limited has announced an interim dividend of HKD 0.42 per share for the six months ending 30 June 2025. This announcement reflects the company’s financial performance and commitment to returning value to its shareholders. The dividend will be paid on 16 September 2025, with the ex-dividend date set for 27 August 2025. This move is likely to reinforce MTR’s position in the market and maintain investor confidence.

The most recent analyst rating on (HK:0066) stock is a Hold with a HK$29.00 price target. To see the full list of analyst forecasts on MTR stock, see the HK:0066 Stock Forecast page.

MTR Corporation Reports Mixed First Half 2025 Results with Strong Property Gains

MTR Corporation Limited reported its unaudited results for the first half of 2025, showing a decline in total revenue by 6.5% compared to the previous year. Despite a decrease in profit from recurrent businesses, the company saw a substantial increase in profit from property development, primarily due to successful projects in Hong Kong. The company’s net profit attributable to shareholders rose by 27.5%. MTR continues to expand its operations with ongoing projects in Hong Kong, Mainland China, and internationally, and remains optimistic about future growth, supported by recent successful financial issuances.

The most recent analyst rating on (HK:0066) stock is a Hold with a HK$29.00 price target. To see the full list of analyst forecasts on MTR stock, see the HK:0066 Stock Forecast page.

MTR Corporation Schedules Board Meeting to Review Interim Results

MTR Corporation Limited has announced that its Board of Directors will meet on August 14, 2025, to approve the unaudited financial results for the first half of the year and consider the declaration of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, impacting its operational strategies and market positioning.

The most recent analyst rating on (HK:0066) stock is a Buy with a HK$30.00 price target. To see the full list of analyst forecasts on MTR stock, see the HK:0066 Stock Forecast page.

MTR Corporation Initiates Northern Link Project Phase 1

MTR Corporation Limited has entered into a project agreement with the Hong Kong Government for the first phase of the Northern Link Project, which involves the financing, design, and construction of part of the NOL Main Line and the detailed planning of the NOL Spur Line. This strategic move is expected to strengthen MTR’s position in the transportation sector by enhancing connectivity and infrastructure, with the project slated for completion by 2034. The agreement marks a significant step in the company’s long-term development plans, although future agreements are needed to ensure commercial viability and stakeholder benefits.

The most recent analyst rating on (HK:0066) stock is a Sell with a HK$19.00 price target. To see the full list of analyst forecasts on MTR stock, see the HK:0066 Stock Forecast page.