Dongyue Group Limited (0189) AI Stock Analysis

• Market Cap: HK$15.91B
• Dividend Yield: 8.17%
• Average Volume (3M): 10.31M
• Price to Earnings (P/E): 19.1
• Beta (1Y): 1.07
• Revenue Growth: -4.04%
• EPS Growth: 44.12%
• Country: HK
• Employees: 6,922
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Chemicals
• EPS (TTM): 0.51
• Shares Outstanding: 1,732,711,700
• 10 Day Avg. Volume: 14,576,432
• 30 Day Avg. Volume: 10,309,651
• PEG Ratio: 0.06
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.70
• 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$10.60
• Price Target Upside: 10.30% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 65 Neutral
• Price Target: HK$10.50 ▲(9.26%Upside)

The overall stock score reflects moderate financial performance with stable margins and strong equity but concerns about revenue growth and cash flow sustainability. Technical analysis shows a positive trend, though caution is needed due to potential overbought conditions. Valuation is fair, but the low dividend yield may not attract income-focused investors.

Dongyue Group Limited Business Overview & Revenue Model

Company Description

Dongyue Group Limited (0189) is a leading Chinese chemical company specializing in the production and sales of various fluorochemical products. Operating primarily in the sectors of chemical manufacturing and environmental protection, the company is renowned for its diverse portfolio that includes refrigerants, polymers, and organic silicone materials. Dongyue Group is committed to innovation and sustainability, focusing on providing high-quality, eco-friendly products to meet the evolving needs of its global clientele.

How the Company Makes Money

Dongyue Group Limited generates revenue through the manufacturing and sale of its chemical products. The company's primary revenue streams are derived from its fluorochemical segment, which includes the production of refrigerants used in air conditioning and refrigeration systems. Additionally, the company earns income from its polymer and organic silicone divisions, offering materials used in a wide range of industrial applications. Strategic partnerships and investments in R&D also play a crucial role in enhancing their product offerings and expanding market reach, thereby contributing to their earnings. The company benefits from strong demand in both domestic and international markets, leveraging its advanced production capabilities and extensive distribution networks to drive sales.

Dongyue Group Limited Financial Statement Overview

Summary

Dongyue Group Limited shows moderate financial health with stable margins and a strong equity position. However, declining revenues and the lack of cash flow data for 2024 highlight potential concerns in profitability and cash flow management. The company benefits from low leverage, but needs to address revenue growth and cash flow sustainability to enhance financial performance.

Income Statement

The company experienced a decline in total revenue from 2022 to 2024, showing negative growth of -29.2%. Gross profit margin for 2024 stands at 21.6%, which is moderate. Net profit margin for 2024 is 5.7%, indicating limited profitability. EBIT and EBITDA margins for 2024 are 8.4% and 16.7%, respectively, showing average operational efficiency. The decline in revenue and profitability is a concern, but margins remain relatively stable.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 57.8% in 2024, demonstrating stability. The debt-to-equity ratio is very low at 0.002, indicating minimal leverage and reduced financial risk. ROE for 2024 is 6.7%, which is modest. Overall, the balance sheet suggests financial stability with limited leverage.

Cash Flow

Cash flow metrics are unavailable for 2024, limiting analysis. However, the past trend shows negative free cash flow in 2023, which is a concern. The operating cash flow to net income ratio was strong in 2022, suggesting good conversion of earnings into cash, but the lack of data for 2024 raises concerns about cash flow sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.18B	14.49B	20.03B	15.84B	10.04B
Gross Profit	3.07B	2.44B	6.51B	5.22B	2.24B
EBITDA	2.37B	1.87B	4.62B	3.81B	1.58B
Net Income	810.80M	707.79M	3.86B	2.07B	772.17M
Balance Sheet
Total Assets	20.94B	21.95B	24.64B	21.60B	17.12B
Cash, Cash Equivalents and Short-Term Investments	2.75B	3.13B	5.45B	5.25B	4.43B
Total Debt	26.44M	32.05M	43.63M	664.26M	1.95B
Total Liabilities	3.47B	5.01B	6.15B	5.96B	6.59B
Stockholders Equity	12.11B	14.79B	16.08B	13.12B	8.54B
Cash Flow
Free Cash Flow	271.13M	-536.56M	1.24B	-43.38M	525.19M
Operating Cash Flow	2.07B	1.38B	5.08B	3.91B	2.26B
Investing Cash Flow	-1.50B	-2.63B	-2.91B	-4.09B	-1.96B
Financing Cash Flow	-648.37M	-1.51B	-1.96B	999.52M	1.03B

Dongyue Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0189, the sentiment is Positive. The current price of 9.61 is above the 20-day moving average (MA) of 9.46, above the 50-day MA of 9.11, and above the 200-day MA of 7.87, indicating a bullish trend. The MACD of 0.19 indicates Positive momentum. The RSI at 56.08 is Neutral, neither overbought nor oversold. The STOCH value of 21.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0189.

Dongyue Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6616	75 Outperform	HK$5.84B	22.22	7.43%	―	52.49%	27.79%
0746	73 Outperform	HK$3.10B	6.40	8.22%	62.63%	-2.46%	20.39%
1702	69 Neutral	HK$1.06B	11.51	4.75%	16.62%	-13.75%	-56.14%
0189	65 Neutral	HK$15.91B	19.09	6.03%	8.17%	-4.04%	44.12%
1907	54 Neutral	€11.00B	494.00	0.15%	1.38%	1.42%	-97.94%
2198	49 Neutral	HK$2.02B	3.39	11.49%	―	47.32%	492.76%
Sector *	44 Neutral	C$958.62M	-6.68	-13.31%	2.80%	17.55%	-32.28%

Dongyue Group Limited Corporate Events

Dongyue Group Limited Successfully Passes All Resolutions at AGM

Dongyue Group Limited held its Annual General Meeting on June 5, 2025, where all proposed resolutions were passed by the shareholders. Key resolutions included the adoption of financial statements, re-election of directors, authorization of directors’ remuneration, reappointment of auditors, and declaration of a final dividend. Additionally, mandates were granted to the directors for share allotment and repurchase, reflecting strong shareholder support for the company’s strategic decisions.

The most recent analyst rating on (HK:0189) stock is a Buy with a HK$9.89 price target. To see the full list of analyst forecasts on Dongyue Group Limited stock, see the HK:0189 Stock Forecast page.

Dongyue Group’s Subsidiary Reports Q1 2025 Financial Results

Dongyue Group Limited announced the quarterly results of its subsidiary, Shandong Dongyue Organosilicon Materials Co. Ltd., for the first quarter of 2025. The report, published on the Shenzhen Stock Exchange, reveals unaudited financials showing total assets of RMB 6,124,528, revenue of RMB 1,202,001, and a net profit of RMB 36,819. Stakeholders are advised to exercise caution as the results are based on internal management records and have not been audited.

Dongyue Group Limited Announces Annual General Meeting Details

Dongyue Group Limited has announced the details of its upcoming Annual General Meeting, scheduled for June 5, 2025, in Hong Kong. During the meeting, shareholders will discuss and vote on several key resolutions, including the adoption of the company’s audited financial statements for 2024, the re-election of directors, the authorization of directors’ remuneration, the re-appointment of auditors, and the declaration of a final dividend. Additionally, there will be a resolution to grant the directors the authority to issue additional shares, subject to certain conditions. This meeting is significant as it will address important governance and financial decisions that could impact the company’s strategic direction and shareholder value.

Dongyue Group Limited Reports Strong Profit Growth in 2024

Dongyue Group Limited announced its annual results for the year ended December 31, 2024, reporting a revenue of RMB 14,181 million, a slight decrease from the previous year. However, the company achieved a significant increase in gross profit and profit before taxation, indicating improved operational efficiency. The gross profit margin rose to 21.62% from 16.81%, and profit attributable to owners increased to RMB 811 million. The financial results reflect a strong performance in the chemical industry, with implications for enhanced shareholder value.

Dongyue Group Announces Final Dividend for 2024

Dongyue Group Limited announced a final ordinary cash dividend of HKD 0.1 per share for the financial year ending December 31, 2024. This dividend reflects the company’s ongoing commitment to returning value to its shareholders and may positively impact investor sentiment and the company’s market positioning.