Dongyue Group Limited (0189) AI Stock Analysis

• Market Cap: HK$17.42B
• Dividend Yield: 0.95%
• Average Volume (3M): 16.36M
• Price to Earnings (P/E): 20.9
• Beta (1Y): 1.06
• 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: 21,014,823
• 30 Day Avg. Volume: 16,358,327
• PEG Ratio: 0.63
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -504.03
• 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$10.50
• Price Target Upside: -0.19% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: HK$12.00 ▲(14.07%Upside)

The stock of Dongyue Group Limited scores moderately due to strong technical momentum and positive market trends, despite facing challenges with financial performance and valuation. Financial stability is supported by a strong equity position and low leverage, but declining revenues and lack of cash flow data pose risks. The valuation suggests a potential overvaluation, limiting attractiveness at the current price.

Dongyue Group Limited Business Overview & Revenue Model

Company Description

Dongyue Group Limited, an investment holding company, manufactures, distributes, and sells polymers, organic silicone, refrigerants, dichloromethane, polyvinyl chloride (PVC), liquid alkali, and other products in the People's Republic of China. The company operates through Polymers; Refrigerants; Organic Silicone; Dichloromethane, PVC and Liquid Alkali; Property Development; and Other Operations segments. It offers fluoride fine chemicals, chloride methyl chlorine and alkali, and fluoride salt and acid products, as well as polytetrafluoroethylene, methane chloride, anhydrous fluoride, fluorite, silicon rubber, fluoropolymer, ammonium bifluoride, hydrofluoric acid, and bromine products. The company also engages in the development of residential properties; sale of chemical products; and provision of sewage disposal and environmental monitoring services. It also operates in Japan, South Korea, India, Singapore, Thailand, the United Arab Emirates, Pakistan, Malaysia, Kuwait, Saudi Arabia, Indonesia, Israel, the Philippines, Vietnam, Turkey, and internationally. The company was founded in 1987 and is headquartered in Zibo, the People's Republic of China.

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

Moderate financial health with stable margins and strong equity position. However, declining revenues and 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.

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: 10.52
• 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 10.52 is above the 20-day moving average (MA) of 10.07, above the 50-day MA of 9.49, and above the 200-day MA of 8.17, indicating a bullish trend. The MACD of 0.23 indicates Positive momentum. The RSI at 59.01 is Neutral, neither overbought nor oversold. The STOCH value of 28.65 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
0746	77 Outperform	HK$3.56B	7.39	8.22%	6.94%	-2.46%	20.39%
0189	68 Neutral	HK$17.42B	20.90	6.03%	0.95%	-4.04%	44.12%
Sector *	57 Neutral	£2.54B	5.05	-9.48%	4.22%	5.28%	-6.27%
45Y	―	€1.23B	426.67	0.15%	1.35%	―	―
6616	76 Outperform	HK$7.09B	26.93	7.43%	―	52.49%	27.79%
1702	69 Neutral	HK$1.06B	11.51	4.75%	2.12%	-13.75%	-56.14%
2198	56 Neutral	HK$2.05B	3.47	11.49%	―	47.32%	492.76%

Dongyue Group Limited Corporate Events

Dongyue Group Limited Expects Significant Profit Surge

Dongyue Group Limited has announced a significant expected increase in net profit for the six months ending June 2025, attributed mainly to a rise in refrigerant product prices. This positive profit alert suggests a 150% increase compared to the same period in the previous year, signaling strong performance and potential growth opportunities for stakeholders.

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 Associated Company Seeks IPO on Shanghai’s STAR Market

Dongyue Group Limited announced that its associated company, Shandong Dongyue Future Hydrogen Energy Materials Co., Ltd., has submitted an application for an initial public offering on the Science and Technology Innovation Board of the Shanghai Stock Exchange. This move could potentially enhance the company’s market presence and influence in the hydrogen energy materials sector, although the approval process remains uncertain.

The most recent analyst rating on (HK:0189) stock is a Buy with a HK$10.60 price target. To see the full list of analyst forecasts on Dongyue Group Limited stock, see the HK:0189 Stock Forecast page.

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.