Tsingtao Brewery Co (0168) AI Stock Analysis

• Market Cap: HK$81.34B
• Dividend Yield: 4.7%
• Average Volume (3M): 2.67M
• Price to Earnings (P/E): 13.9
• Beta (1Y): 0.97
• Revenue Growth: 1.51%
• EPS Growth: 5.50%
• Country: HK
• Employees: 29,870
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Alcoholic
• EPS (TTM): 1.11
• Shares Outstanding: 655,069,150
• 10 Day Avg. Volume: 2,537,698
• 30 Day Avg. Volume: 2,674,522
• PEG Ratio: 8.72
• Price to Book (P/B): 2.50
• Price to Sales (P/S): 2.26
• P/FCF Ratio: 24.10
• 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$64.68
• Price Target Upside: 18.68% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 3.78
• Revenue Forecast (FY): HK$35.98B

• Rating: 75 Outperform
• Price Target: HK$58.00 ▲(6.42% Upside)

Tsingtao Brewery Co's strong financial performance, characterized by stable profitability and a robust balance sheet, is the most significant factor driving the stock score. The valuation is reasonable, with an attractive dividend yield. Technical analysis indicates neutral momentum, suggesting potential for future price stability.

Positive Factors

Strong Financial Health

A robust balance sheet with minimal debt and high equity indicates financial stability, reducing risk and enhancing the company's ability to invest in growth opportunities.

Cash Flow Generation

Strong cash flow generation supports ongoing operations and strategic investments, ensuring the company can capitalize on market opportunities and withstand economic fluctuations.

Brand Strength and Market Presence

A strong brand and extensive international presence provide competitive advantages, enabling the company to leverage its reputation for quality and expand market share globally.

Negative Factors

Revenue Growth Challenges

A decline in revenue growth may indicate market saturation or increased competition, potentially impacting future profitability and necessitating strategic adjustments.

Cash Management Variability

Inconsistent cash management could affect liquidity and financial flexibility, posing risks to funding operations and strategic initiatives in the long term.

Growth Momentum Concerns

Slowing growth momentum may reflect challenges in sustaining market expansion, requiring innovation or diversification to maintain competitive positioning.

Tsingtao Brewery Co Business Overview & Revenue Model

Company Description

Tsingtao Brewery Co., Ltd. is one of China's largest and most renowned breweries, established in 1903 and headquartered in Qingdao, Shandong province. The company primarily operates in the alcoholic beverage sector, specializing in the production and distribution of beer. Its core product is Tsingtao Beer, a premium lager that has gained international recognition. The company also produces a variety of other beers and beverages, catering to both domestic and international markets.

How the Company Makes Money

Tsingtao Brewery generates revenue primarily through the sale of its beer products. The company employs a multi-channel distribution strategy, selling its products through various retail outlets, including supermarkets, convenience stores, restaurants, and bars. Key revenue streams include domestic sales within China, which represent a significant portion of its earnings, as well as exports to international markets, where Tsingtao Beer is well-received. Additionally, Tsingtao Brewery engages in partnerships with distributors and retailers to expand its market reach and enhance brand visibility. The company also benefits from economies of scale in production and marketing, allowing it to maintain competitive pricing while maximizing profitability.

Tsingtao Brewery Co Financial Statement Overview

Summary

Tsingtao Brewery Co exhibits strong financial health with consistent revenue growth, stable profitability, and a robust balance sheet characterized by high equity and low debt. Despite a slight revenue decline in 2024, the company maintains healthy margins and cash flow generation.

Income Statement

Tsingtao Brewery Co exhibits strong financial health with consistent revenue growth from 2019 to 2023, peaking in 2023 before a slight decline in 2024. Gross and net profit margins have been stable, reflecting solid profitability. The EBIT and EBITDA margins are robust, indicating efficient operations. However, the year-over-year revenue decline from 2023 to 2024 suggests potential challenges in maintaining growth momentum.

Balance Sheet

The company's balance sheet is strong, characterized by high stockholders' equity and minimal debt, leading to a very low debt-to-equity ratio. Return on equity is healthy, showcasing effective use of equity capital. The equity ratio is solid, highlighting financial stability and low leverage risk. These factors indicate a well-capitalized company with low financial risk.

Cash Flow

Tsingtao Brewery Co has demonstrated substantial free cash flow generation, with significant growth in free cash flow from 2023 to 2024. The company maintains a strong operating cash flow to net income ratio, indicating efficient cash conversion. However, fluctuations in investing and financing cash flows suggest some variability in cash management strategies, which could impact future liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.37B	32.14B	33.94B	32.17B	30.17B	27.76B
Gross Profit	14.01B	12.93B	13.12B	11.85B	11.08B	11.22B
EBITDA	6.51B	7.09B	6.90B	6.10B	5.61B	4.40B
Net Income	4.76B	4.34B	4.27B	3.71B	3.16B	2.20B
Balance Sheet
Total Assets	56.17B	51.42B	49.26B	50.31B	46.56B	41.51B
Cash, Cash Equivalents and Short-Term Investments	23.09B	20.00B	24.79B	20.54B	17.38B	20.36B
Total Debt	439.26M	68.24M	63.39M	373.08M	406.99M	861.20M
Total Liabilities	20.98B	21.56B	21.00B	24.04B	22.77B	20.15B
Stockholders Equity	34.25B	29.06B	27.45B	25.49B	23.00B	20.62B
Cash Flow
Free Cash Flow	2.71B	3.01B	1.16B	3.10B	4.41B	3.66B
Operating Cash Flow	5.99B	5.15B	2.78B	4.88B	6.04B	4.95B
Investing Cash Flow	-4.90B	-7.42B	-3.46B	-2.20B	-10.25B	-1.49B
Financing Cash Flow	-3.37B	-2.98B	-2.87B	-1.68B	-1.61B	-356.09M

Tsingtao Brewery Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 54.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0168, the sentiment is Negative. The current price of 54.5 is above the 20-day moving average (MA) of 52.27, above the 50-day MA of 53.19, and above the 200-day MA of 52.61, indicating a bearish trend. The MACD of -0.75 indicates Positive momentum. The RSI at 37.71 is Neutral, neither overbought nor oversold. The STOCH value of 14.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0168.

Tsingtao Brewery Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0168	75 Outperform	HK$81.34B	13.89	14.80%	4.70%	1.51%	5.50%
1876	73 Outperform	HK$104.29B	22.57	5.74%	5.58%	-9.54%	-27.75%
0291	69 Neutral	HK$88.24B	14.11	16.77%	3.43%	-0.31%	10.85%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
0236	56 Neutral	HK$459.49M	-56.94	-1.15%	4.07%	2.77%	-110.76%

Tsingtao Brewery Co Corporate Events

Tsingtao Brewery Announces Repurchase and Cancellation of Restricted Shares

Tsingtao Brewery Company Limited announced the repurchase and cancellation of 1,667 Restricted A Shares due to a participant’s resignation, as part of its Restricted A Shares Incentive Plan. This move reflects the company’s adherence to its incentive plan’s provisions and will result in a slight adjustment to its shareholding structure, with no shares remaining under selling restrictions after the cancellation.

Tsingtao Brewery Reports Strong Q3 Profits Despite Revenue Dip

Tsingtao Brewery Company Limited has released its unaudited third quarterly report for 2025, showing a slight decrease in revenue by 0.17% compared to the same period last year, but an increase in total profit by 4.89%. The net profit attributable to shareholders rose by 1.62%, and the company saw a 7.82% increase in total equity attributable to shareholders, indicating a strong financial position despite a decrease in net cash flow from operating activities by 6.65%. These results reflect the company’s resilience and strategic positioning in the competitive brewing industry.

Tsingtao Brewery Terminates Acquisition of Jimo Yellow Wine

Tsingtao Brewery Company Limited announced the termination of its acquisition of the entire equity interest in Jimo Yellow Wine due to unmet conditions in the Transfer Agreement. This decision underscores the company’s commitment to adhering to contractual obligations and highlights the potential risks and uncertainties involved in such transactions, urging investors to exercise caution.

Tsingtao Brewery Schedules Board Meeting to Review Q3 Results

Tsingtao Brewery Company Limited has announced that its board of directors will meet on October 27, 2025, to review and approve the unaudited third quarterly results for the nine months ending September 30, 2025. This meeting is significant for stakeholders as it will provide insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor confidence.