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China Overseas Grand Oceans Group Limited (HK:0081)
:0081

China Overseas Grand Oceans Group Limited (0081) AI Stock Analysis

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HK

China Overseas Grand Oceans Group Limited

(0081)

Rating:59Neutral
Price Target:
HK$2.00
▲(10.50%Upside)
The stock's overall score is primarily influenced by its mixed financial performance and high leverage, which pose potential risks. However, its undervaluation and stable technical indicators provide some upside potential. Investors should be cautious about cash flow challenges but may find value given the low P/E ratio and reasonable dividend yield.
Positive Factors
Funding
The company benefits from easy access to expertise in property development and cheaper funding due to its strong parentage.
Presales Performance
COGO's presales are outperforming peers despite market concerns, with a minimal decline compared to significant drops in other developers.
Valuation
COGO's current valuation at 0.18x FY25F PB is considered undervalued compared to its SOE counterparts, prompting a BUY recommendation.
Negative Factors
Development Margins
There is larger-than-expected pressure on development margins, affecting the company's financial performance.
Earnings Outlook
COGO's earnings outlook remains pressured due to expectations of weak revenue booking and low booking margins.
Market Performance
Physical market performance in tier 3 and 4 cities is weaker than expected, impacting overall business outcomes.

China Overseas Grand Oceans Group Limited (0081) vs. iShares MSCI Hong Kong ETF (EWH)

China Overseas Grand Oceans Group Limited Business Overview & Revenue Model

Company DescriptionChina Overseas Grand Oceans Group Limited, an investment holding company, invests in, develops, and leases real estate properties in the People's Republic of China. It operates through Property Investment and Development, Property Leasing, and Other segments. The Property Investment and Development segment constructs residential and commercial properties. The Property Leasing segment leases office units, commercial units, and hotel properties. The Other segment operates a hotel. It is also involved in fund raising activities; and provision of financing and investment, and property management services. The company was formerly known as Shell Electric Manufacturing (Holdings) Co. Ltd. and changed its name to China Overseas Grand Oceans Group Limited in March 2010. The company was founded in 1955 and is based in Hong Kong, Hong Kong.
How the Company Makes MoneyChina Overseas Grand Oceans Group Limited generates revenue primarily through its real estate development activities. The company earns money by developing and selling residential and commercial properties, which include apartments, offices, and retail spaces. Additionally, it generates income from property leasing and management services. The company benefits from strategic partnerships and collaborations with local governments and other real estate firms, enhancing its project development capabilities and expanding its market reach. The company's earnings are significantly influenced by China's real estate market dynamics, government policies, and economic conditions that impact property development and sales.

China Overseas Grand Oceans Group Limited Financial Statement Overview

Summary
China Overseas Grand Oceans Group Limited shows mixed financial performance. While operational efficiency is supported by stable EBIT and EBITDA margins, revenue and profit growth are inconsistent, and there are concerns about cash flow generation. The high debt levels suggest potential financial risk, but stable equity ratios offer some balance. Overall, the company faces challenges in growth and cash flow management amid a leveraged balance sheet.
Income Statement
55
Neutral
The company has experienced inconsistent revenue growth, with a decline in the most recent year. Gross profit margin has been decreasing, indicating potential cost management issues, and net profit margin has also declined significantly. However, EBIT and EBITDA margins have remained relatively stable, suggesting operational efficiency.
Balance Sheet
60
Neutral
The debt-to-equity ratio is relatively high, raising concerns about financial leverage. However, the equity ratio remains stable. Return on equity has been decreasing, indicating less efficient use of equity capital. The balance sheet reflects potential risks from high leverage, but equity stability provides some support.
Cash Flow
40
Negative
The company has faced challenges in generating positive free cash flow, with negative free cash flow in most of the recent years. Operating cash flow has also been inconsistent, and the operating cash flow to net income ratio is currently unavailable due to zero operating cash flow. This highlights concerns over cash flow management and sustainability.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue45.90B56.41B67.54B65.44B48.62B
Gross Profit4.52B6.31B10.31B15.50B13.48B
EBITDA2.34B4.30B7.34B10.29B9.68B
Net Income954.05M2.30B3.15B5.05B4.37B
Balance Sheet
Total Assets129.18B152.03B202.97B243.17B198.49B
Cash, Cash Equivalents and Short-Term Investments27.29B26.02B32.93B39.75B33.28B
Total Debt40.14B43.60B55.64B58.85B48.10B
Total Liabilities91.63B113.90B160.98B199.43B166.20B
Stockholders Equity31.40B31.30B33.62B35.14B28.61B
Cash Flow
Free Cash Flow9.02B9.07B-4.49B-3.74B-5.88B
Operating Cash Flow9.03B9.10B-4.49B-3.69B-5.86B
Investing Cash Flow187.07M-1.53B-867.97M1.17B-1.78B
Financing Cash Flow-7.55B-6.96B1.64B7.86B8.40B

China Overseas Grand Oceans Group Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.81
Price Trends
50DMA
1.68
Positive
100DMA
1.74
Positive
200DMA
1.77
Positive
Market Momentum
MACD
0.04
Negative
RSI
63.03
Neutral
STOCH
77.04
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0081, the sentiment is Positive. The current price of 1.81 is above the 20-day moving average (MA) of 1.71, above the 50-day MA of 1.68, and above the 200-day MA of 1.77, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 63.03 is Neutral, neither overbought nor oversold. The STOCH value of 77.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0081.

China Overseas Grand Oceans Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$6.99B18.83-1.16%6.86%4.65%-25.28%
59
Neutral
HK$6.51B6.303.05%7.65%-20.27%-59.83%
$740.00M-26.83%3.35%
$811.34M17.630.81%4.95%
$759.41M25.480.53%0.20%
$765.29M14.900.47%1.39%
$836.75M9.28-0.77%7.80%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0081
China Overseas Grand Oceans Group Limited
1.81
0.04
2.26%
BEIJF
Beijing North Star Company
0.08
-0.04
-33.33%
KWHAF
K Wah International Holdings
0.24
0.03
14.29%
PHKIF
Poly Property Group Co
0.17
>-0.01
-5.56%
SOLLF
Shui On Land
0.05
0.00
0.00%
TIACF
Tian An China Investments Co
0.49
-0.01
-2.00%

China Overseas Grand Oceans Group Limited Corporate Events

China Overseas Grand Oceans Reports June 2025 Operating Statistics
Jul 4, 2025

China Overseas Grand Oceans Group Limited reported its unaudited operating statistics for June 2025, revealing a slight decrease in property contracted sales by 0.9% year-on-year, while the contracted gross floor area (GFA) increased by 8.9%. For the first half of 2025, total property contracted sales saw a 12.7% decrease, with a corresponding 11.1% decrease in total contracted GFA. The company also acquired two new projects in Hefei, Anhui Province, contributing to a total new GFA acquisition of 1,328,263 square meters from January to June 2025, at a total land cost of RMB6,187,040,000. These developments indicate a strategic expansion in key regions, potentially impacting the company’s market positioning and future growth.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Strengthens Governance with New Appointment
Jun 27, 2025

China Overseas Grand Oceans Group Limited, a company incorporated in Hong Kong, has appointed Ms. Liu Ping, a current Non-executive Director, as an additional member of its Nomination Committee. This appointment, effective from June 27, 2025, is in response to the revised Corporate Governance Code and aims to enhance the diversity and corporate governance of the company.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Announces Board Composition and Roles
Jun 27, 2025

China Overseas Grand Oceans Group Limited has announced the composition of its board of directors and the roles within its board committees. This announcement outlines the leadership structure, which includes executive, non-executive, and independent non-executive directors, and highlights the company’s commitment to maintaining a robust governance framework. The clear delineation of roles and responsibilities within the board and its committees is expected to enhance the company’s operational efficiency and strategic decision-making, potentially impacting its market positioning and stakeholder confidence positively.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Updates Nomination Committee Terms
Jun 27, 2025

China Overseas Grand Oceans Group Limited has amended and adopted new terms of reference for its Nomination Committee, which is responsible for formulating and implementing the company’s nomination policy. The committee, consisting of at least three members, primarily independent non-executive directors, is tasked with reviewing the board’s structure, identifying qualified board candidates, assessing director independence, and supporting succession planning. These changes aim to enhance the company’s governance and align its board composition with corporate strategy, potentially impacting its strategic direction and stakeholder confidence.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Limited AGM Resolutions Approved
Jun 23, 2025

China Overseas Grand Oceans Group Limited announced that all resolutions proposed at its Annual General Meeting on June 23, 2025, were approved. These resolutions included the approval of financial statements, the declaration of a final dividend, the re-election of directors, and the authorization for the board to manage share buybacks and issuances. The successful passing of these resolutions reflects strong shareholder support and positions the company for continued strategic operations and governance.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Limited Approves Key Resolution at General Meeting
Jun 23, 2025

China Overseas Grand Oceans Group Limited announced that during their General Meeting held on June 23, 2025, a resolution was passed to approve the Renewal Engagement Agreement and the transactions it entails. The resolution received overwhelming support, with 99.99% of votes in favor. This decision reflects strong shareholder backing and could positively impact the company’s strategic operations and market positioning.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Reports Decline in May Sales but Expands Land Holdings
Jun 6, 2025

China Overseas Grand Oceans Group Limited reported a decline in property contracted sales for May 2025, with a year-on-year decrease of 21.1% in sales value and 20.0% in gross floor area. Despite the downturn, the company acquired three new projects in Nanning, Hefei, and Lanzhou, expanding its land bank by 563,337 square meters at a cost of RMB1,573,890,000. This strategic acquisition could potentially enhance the company’s future growth prospects and strengthen its market position.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.44 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Group Limited Announces General Meeting for Strategic Approvals
May 29, 2025

China Overseas Grand Oceans Group Limited has announced a general meeting scheduled for June 23, 2025, in Hong Kong. The meeting will address the approval and ratification of the Renewal Engagement Agreement and related transactions, as well as the authorization for directors to execute necessary documents. This announcement is significant for stakeholders as it outlines the company’s strategic plans and governance actions, potentially impacting its operational and financial trajectory.

The most recent analyst rating on (HK:0081) stock is a Buy with a HK$2.40 price target. To see the full list of analyst forecasts on China Overseas Grand Oceans Group Limited stock, see the HK:0081 Stock Forecast page.

China Overseas Grand Oceans Reports Decline in April Sales but Expands Land Portfolio
May 9, 2025

China Overseas Grand Oceans Group Limited reported a decrease in property contracted sales and gross floor area (GFA) for April 2025, with sales amounting to RMB2.624 billion and a GFA of 223,000 square meters, marking year-on-year declines of 18.1% and 14.6%, respectively. Despite these declines, the company acquired new projects in Yangzhou and Shaoxing, contributing to a total newly acquired GFA of 504,992 square meters from January to April 2025, at a total land cost of RMB2.982 billion. This strategic acquisition could potentially strengthen the company’s market presence and future growth prospects.

China Overseas Grand Oceans Renews Agreement with CSCECL for Construction Services
May 9, 2025

China Overseas Grand Oceans Group Limited has announced the renewal of its existing engagement agreement with China State Construction Engineering Corporation Limited (CSCECL) for construction-related services. The new agreement, effective from July 1, 2025, to June 30, 2028, allows CSCECL to continue participating in competitive tenders for the company’s projects in the PRC. This renewal is significant as CSCECL is a connected person of the company, and the transactions are subject to various regulatory requirements, including independent shareholder approval.

China Overseas Grand Oceans Group Limited Announces Annual General Meeting and Key Resolutions
Apr 24, 2025

China Overseas Grand Oceans Group Limited has announced its annual general meeting scheduled for June 23, 2025, in Hong Kong. Key agenda items include the consideration of audited financial statements, the declaration of a final dividend, the re-election of directors, and the authorization for the board to fix directors’ and auditors’ remuneration. Additionally, a resolution will be discussed to authorize the company to buy back shares, not exceeding 10% of the issued shares, which could impact the company’s stock market activities and shareholder value.

China Overseas Grand Oceans Group Reports Decline in Q1 2025 Financial Performance
Apr 23, 2025

In the first quarter of 2025, China Overseas Grand Oceans Group Limited reported a significant decline in financial performance, with a 22.8% drop in revenue and a 48.6% decrease in operating profit compared to the previous year. The company also experienced a decrease in contracted property sales by 12.5% in value and 15.9% in area sold. Despite these challenges, the company expanded its land holdings by acquiring four new parcels of land, adding to its extensive land bank. The company remains committed to prudent financial management and is closely monitoring external economic factors to maximize long-term shareholder returns.

China Overseas Grand Oceans Reports Decline in Sales Amid Strategic Land Acquisitions
Apr 7, 2025

In March 2025, China Overseas Grand Oceans Group Limited reported a significant decline in its property contracted sales and gross floor area (GFA) compared to the previous year, with a 24.1% and 24.9% decrease respectively. Despite this downturn, the company acquired new projects, including a notable acquisition in Hefei, Anhui Province, indicating a strategic focus on expanding its land holdings. These acquisitions, although costly, suggest an effort to strengthen the company’s market position amidst challenging sales figures.

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.Date of analysis: Jun 25, 2025