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Orient Overseas (International) Limited (HK:0316)
:0316
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Orient Overseas (International) (0316) AI Stock Analysis

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HK

Orient Overseas (International)

(OTC:0316)

Rating:81Outperform
Price Target:
HK$158.00
▲(17.12%Upside)
Orient Overseas (International) is well-positioned with strong financial performance and attractive valuation metrics, including a low P/E ratio and high dividend yield. Despite some volatility in revenue and asset management, the stock's technical indicators support a positive market outlook, although caution is advised due to the potential overbought condition indicated by the RSI.

Orient Overseas (International) (0316) vs. iShares MSCI Hong Kong ETF (EWH)

Orient Overseas (International) Business Overview & Revenue Model

Company DescriptionOrient Overseas (International) Limited, an investment holding company, provides container transport and logistics services in Asia, Europe, Australia, North America, and internationally. The company offers supply-chain management and distribution services; and containerised shipping services in various trade lanes comprising Trans-Pacific, Trans-Atlantic, Asia/Europe, Asia/Australia, and Intra-Asia trades. It is also involved in equipment owning and leasing, container depot and warehousing, portfolio investment, terminal operating, ship owning, cargo consolidation and forwarding, liner and freight agency, property owning, and ship management businesses; providing corporate and trucking services; and operating vessels. In addition, the company offers AI and blockchain digital data on network applications, and platform design services, as well as technology and consulting services. The company is based in Wan Chai, Hong Kong. Orient Overseas (International) Limited is a subsidiary of Faulkner Global Holdings Limited.
How the Company Makes MoneyOOIL generates revenue primarily through its container shipping operations, which involve the transportation of goods in standardized containers across international waters. Key revenue streams include freight charges for shipping services, which are influenced by factors such as shipping routes, container capacity, and fuel costs. The company also earns income from demurrage and detention fees, levied when customers exceed the agreed-upon time for using containers. Additionally, OOIL provides value-added logistics services, including supply chain management and integrated transportation solutions, which contribute to its earnings. Strategic partnerships and alliances with other shipping lines enhance its service network and operational efficiency, further supporting its revenue model.

Orient Overseas (International) Financial Statement Overview

Summary
Orient Overseas (International) demonstrates impressive financial health with strong profitability and robust cash flow performance. The company has low leverage and a high equity ratio, providing financial stability. However, there is some volatility in revenue and asset management that requires monitoring.
Income Statement
85
Very Positive
The income statement shows strong profitability with a significant increase in total revenue from the previous year, marking a revenue growth rate of approximately 28.29%. Gross profit margin stands at 26.36%, and the net profit margin is an impressive 24.08%, indicating efficient cost management and strong earnings. Additionally, EBIT and EBITDA margins are robust at 24.53% and 28.58% respectively, reflecting strong operational efficiency. However, the recent revenue decline from 2022 to 2023 suggests some volatility in revenue streams.
Balance Sheet
80
Positive
The balance sheet is strong with a debt-to-equity ratio of 0.10, indicating low leverage and financial stability. The equity ratio is healthy at 74.55%, showing a solid equity base relative to total assets. Return on equity (ROE) is high at 19.46%, demonstrating effective use of equity to generate profits. Despite these strengths, a declining trend in total assets and equity from 2022 to 2023 may indicate challenges in asset management.
Cash Flow
78
Positive
The cash flow statement reveals strong operational cash flow, with an operating cash flow to net income ratio of 1.25, indicating effective cash generation relative to net income. The free cash flow to net income ratio is 0.76, suggesting positive cash availability after capital expenditures. The free cash flow growth rate is significant at approximately 356.25%, showcasing improved cash management. Nonetheless, fluctuations in investing and financing cash flows may indicate variability in cash flow stability.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue10.70B8.34B19.82B16.83B8.19B
Gross Profit2.82B1.16B10.42B8.18B1.59B
EBITDA3.06B2.26B10.95B7.97B1.46B
Net Income2.58B1.37B9.97B7.13B902.72M
Balance Sheet
Total Assets17.77B15.61B20.04B15.85B10.64B
Cash, Cash Equivalents and Short-Term Investments7.92B6.74B11.26B7.27B3.21B
Total Debt1.37B1.44B2.08B2.69B3.07B
Total Liabilities4.52B4.40B6.60B6.18B5.00B
Stockholders Equity13.25B11.21B13.44B9.67B5.64B
Cash Flow
Free Cash Flow1.95B-760.89M10.73B8.32B1.54B
Operating Cash Flow3.21B617.20M11.25B8.90B1.90B
Investing Cash Flow2.51B-4.64B1.42B-1.98B-588.82M
Financing Cash Flow-1.20B-4.29B-7.12B-4.37B-2.20B

Orient Overseas (International) Technical Analysis

Technical Analysis Sentiment
Positive
Last Price134.90
Price Trends
50DMA
131.38
Positive
100DMA
116.48
Positive
200DMA
108.17
Positive
Market Momentum
MACD
1.00
Positive
RSI
50.96
Neutral
STOCH
33.75
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0316, the sentiment is Positive. The current price of 134.9 is above the 20-day moving average (MA) of 134.40, above the 50-day MA of 131.38, and above the 200-day MA of 108.17, indicating a neutral trend. The MACD of 1.00 indicates Positive momentum. The RSI at 50.96 is Neutral, neither overbought nor oversold. The STOCH value of 33.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0316.

Orient Overseas (International) Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$88.75B4.4121.08%15.40%27.79%87.52%
65
Neutral
$10.81B15.255.26%1.93%3.11%-26.99%
$32.12B3.7424.28%15.88%
$8.00B7.207.67%9.41%
$6.08B8.389.73%5.76%
$2.72B7.815.64%5.21%
DE7S8
€7.09B7.1246.88%11.69%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0316
Orient Overseas (International)
133.50
36.49
37.61%
CICOF
COSCO SHIPPING Holdings Co
1.60
0.11
7.38%
CMHHF
China Merchants Port Holdings Co
1.74
0.33
23.40%
CSDXF
COSCO SHIPPING Energy Transportation Co
0.82
-0.25
-23.36%
CSPKF
COSCO SHIPPING Ports
0.68
0.10
17.24%
DE:7S8
SITC International Holdings Co., Ltd.
2.56
0.69
36.90%

Orient Overseas (International) Corporate Events

Orient Overseas Reports Mixed Q2 2025 Results Amid Revenue Decline
Jul 11, 2025

Orient Overseas (International) Limited reported a 6.5% decrease in liner revenue for the second quarter of 2025 compared to the same period in 2024, despite a 4.4% increase in total liftings and a 7.5% rise in loadable capacity. The overall average revenue per TEU fell by 10.4%, reflecting challenges in maintaining revenue growth amidst increased capacity and liftings. For the first half of 2025, the company saw a 4.4% increase in liner revenue and a 6.8% rise in total liftings, although the average revenue per TEU decreased by 2.2%. These results indicate a mixed performance with growth in operational metrics but declining revenue per unit, suggesting competitive pressures and pricing challenges in the market.

The most recent analyst rating on (HK:0316) stock is a Sell with a HK$89.00 price target. To see the full list of analyst forecasts on Orient Overseas (International) stock, see the HK:0316 Stock Forecast page.

Orient Overseas Issues Supplemental Announcement on 2024 Annual Report
Jul 9, 2025

Orient Overseas (International) Limited has issued a supplemental announcement regarding its 2024 Annual Report, specifically addressing significant related party transactions. The company clarified that while some terminal charges with related parties did not constitute connected transactions, other transactions with COSCO SHIPPING Group and related entities were connected transactions, complying with disclosure requirements under the Listing Rules. This announcement does not alter any other information in the 2024 Annual Report.

The most recent analyst rating on (HK:0316) stock is a Buy with a HK$166.00 price target. To see the full list of analyst forecasts on Orient Overseas (International) stock, see the HK:0316 Stock Forecast page.

Orient Overseas Updates Final Dividend with Currency Options
Jun 4, 2025

Orient Overseas (International) Limited has announced an updated final dividend for the year ending December 31, 2024. Shareholders will receive a dividend of USD 1.32 per share, with options to receive the payment in Hong Kong dollars or Chinese yuan at specified exchange rates. This update provides clarity on the currency options available for the dividend payment, potentially impacting shareholder decisions and reflecting the company’s commitment to offering flexible financial options.

The most recent analyst rating on (HK:0316) stock is a Buy with a HK$152.00 price target. To see the full list of analyst forecasts on Orient Overseas (International) stock, see the HK:0316 Stock Forecast page.

Orient Overseas (International) Limited AGM Approves Key Resolutions
May 27, 2025

At the Annual General Meeting held on May 27, 2025, Orient Overseas (International) Limited successfully passed all proposed resolutions through shareholder voting. Key resolutions included the adoption of financial statements, declaration of a final dividend, re-election of directors, and granting mandates for share issuance and repurchase. This outcome reflects strong shareholder support and positions the company for continued operational stability and strategic flexibility.

The most recent analyst rating on (HK:0316) stock is a Buy with a HK$175.00 price target. To see the full list of analyst forecasts on Orient Overseas (International) stock, see the HK:0316 Stock Forecast page.

Orient Overseas (International) Limited Approves New Vessel Construction
May 27, 2025

Orient Overseas (International) Limited announced the approval of a resolution at its Special General Meeting held on May 27, 2025, regarding the construction of fourteen new vessels. The resolution was overwhelmingly supported by independent shareholders, with 99.999996% voting in favor. This development is expected to enhance the company’s operational capacity and strengthen its position in the global shipping industry.

The most recent analyst rating on (HK:0316) stock is a Buy with a HK$175.00 price target. To see the full list of analyst forecasts on Orient Overseas (International) stock, see the HK:0316 Stock Forecast page.

Orient Overseas Announces Special General Meeting for Shipbuilding Transaction Approval
May 7, 2025

Orient Overseas (International) Limited has announced a Special General Meeting (SGM) to be held on May 27, 2025, to approve a significant Shipbuilding Transaction. This meeting will allow shareholders to vote on the transaction, which is a strategic move likely to impact the company’s operational capabilities and market positioning in the shipping industry.

Orient Overseas (International) Limited Issues Supplemental AGM Notice
May 2, 2025

Orient Overseas (International) Limited has issued a supplemental notice for its Annual General Meeting (AGM) scheduled on May 27, 2025, in Hong Kong. The notice includes an additional resolution to re-elect Mr. CHEN Hong as a Director. All other details from the original notice remain unchanged, ensuring continuity in the AGM’s agenda and proceedings.

Orient Overseas Appoints New Independent Director to Strengthen Strategic Committees
May 2, 2025

Orient Overseas (International) Limited has announced the appointment of Mr. CHEN Hong as an Independent Non-Executive Director, effective from May 9, 2025. Mr. Chen will also join the company’s Risk Committee, Strategic Development Committee, and Sustainability Committee. His extensive experience in the automotive industry and his roles in various leadership positions are expected to contribute significantly to the company’s strategic initiatives and governance. This appointment underscores the company’s commitment to enhancing its strategic development and sustainability efforts.

Orient Overseas Announces New Board Composition
May 2, 2025

Orient Overseas (International) Limited has announced a new composition of its Board of Directors, effective from May 9, 2025. The board includes a mix of executive, non-executive, and independent non-executive directors, reflecting a broad range of expertise and leadership to guide the company’s strategic direction. This restructuring is expected to enhance the company’s governance and operational oversight, potentially impacting its market positioning and stakeholder relations positively.

Orient Overseas Announces Major Vessel Construction Deal
Apr 29, 2025

Orient Overseas (International) Limited has announced a major transaction involving the construction of fourteen vessels with Nantong and Dalian, subsidiaries connected to COSCO SHIPPING. The transaction, valued at approximately US$3,080 million, is classified as a major and connected transaction under Hong Kong’s Listing Rules, requiring independent shareholder approval. The company plans to finance up to 60% of the contract price through external debt, with the remainder funded internally. The vessels are expected to be delivered between 2028 and 2029, with specific terms for payment and penalties for delays or technical non-conformance.

Orient Overseas (International) Limited Announces 2025 AGM Agenda
Apr 29, 2025

Orient Overseas (International) Limited has announced its upcoming annual general meeting, scheduled for May 27, 2025, in Hong Kong. Key agenda items include the adoption of financial statements, declaration of a final dividend for 2024, re-election of directors, and the appointment of SHINEWING (HK) CPA Limited as the auditor. The meeting will also consider granting the board general mandates to issue and purchase company shares, which could impact the company’s operational flexibility and shareholder value.

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 05, 2025