China Conch Venture Holdings (0586) AI Stock Analysis

• Market Cap: HK$18.03B
• Dividend Yield: 2.98%
• Average Volume (3M): 8.73M
• Price to Earnings (P/E): 7.9
• Beta (1Y): 1.22
• Revenue Growth: -23.47%
• EPS Growth: -18.26%
• Country: HK
• Employees: 6,607
• Sector: Industrials
• Sector Strength: 93
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 0.51
• Shares Outstanding: 1,792,041,000
• 10 Day Avg. Volume: 9,962,781
• 30 Day Avg. Volume: 8,732,261
• PEG Ratio: 0.61
• Price to Book (P/B): 0.33
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.02
• 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$9.97
• Price Target Upside: -0.90% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: HK$11.50 ▲(14.31%Upside)

China Conch Venture Holdings shows strong technical and valuation metrics, with the stock trading above key moving averages and a low P/E ratio complemented by a solid dividend yield. Despite these strengths, challenges in stabilizing revenue growth and enhancing cash flow sustainability impact the overall score. The absence of significant new corporate events or earnings call insights means these factors did not influence the score.

China Conch Venture Holdings Business Overview & Revenue Model

Company Description

China Conch Venture Holdings Limited, an investment holding company, provides various solutions for energy conservation and environmental protection in China, the rest of Asia, the Asia-Pacific, and South America. The company operates through Waste to Energy Project, Port Logistics Services, New Building Materials, and Investments segments. It manufactures and sells residual heat power generation, as well as offers vertical mill and related after-sales services. The company also provides port logistics services, including cargo handling, trans-shipment, and warehousing services; and alternative wall building materials, such as cellulose fiber cement sheets, and autoclaved and wood wool cement boards. In addition, it designs and constructs energy preservation and environmental protection projects; designs, sells, and installs energy preservation and environmental protection equipment; and offers construction design and engineering services. China Conch Venture Holdings Limited was incorporated in 2013 and is headquartered in Wuhu, China.

How the Company Makes Money

China Conch Venture Holdings makes money through a diversified revenue model focused on its core competencies in energy conservation and environmental protection. The company generates significant revenue from its waste-to-energy projects, where it converts municipal solid waste into electricity, providing an eco-friendly solution for waste management. Another key revenue stream is the residual heat power generation business, which utilizes waste heat from cement production and other industrial processes to generate electricity, improving energy efficiency. Additionally, the company earns from its environmental protection solutions, which include services and technologies designed to reduce pollution and enhance sustainability in industrial operations. Strategic partnerships with local governments and industries play a crucial role in expanding its market presence and securing long-term contracts, further solidifying its revenue base.

China Conch Venture Holdings Financial Statement Overview

Summary

Overall, China Conch Venture Holdings exhibits a mix of strengths and challenges across its financial statements. The income statement reflects robust margins but uneven revenue trends. The balance sheet is solid with a healthy equity base and manageable debt levels, though recent declines in ROE are noted. Cash flow performance shows improvement but remains an area of concern, especially in generating free cash flow.

Income Statement

The income statement shows mixed results. Gross profit margin is solid, indicating healthy production efficiency, but net profit margin has experienced volatility, dropping significantly in the most recent year. Revenue growth rate has been inconsistent, with a decline noted in the latest period. Despite these fluctuations, EBIT and EBITDA margins remain strong, demonstrating effective cost management.

Balance Sheet

The balance sheet presents a stable picture with a strong equity base. The debt-to-equity ratio is moderate, suggesting the company effectively manages its leverage. ROE has been high historically, although it has decreased recently. The equity ratio indicates a strong capital structure with a high percentage of assets financed by equity.

Cash Flow

Cash flow analysis indicates challenges, particularly with free cash flow, which has been negative in several periods but showed improvement in the latest year. The operating cash flow to net income ratio is healthy, indicating good cash conversion from earnings. However, the free cash flow to net income ratio highlights room for improvement in cash generation relative to profits.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.27B	8.02B	7.90B	6.68B	5.47B
Gross Profit	2.18B	2.18B	2.23B	1.65B	1.41B
EBITDA	2.60B	4.53B	2.58B	1.61B	1.43B
Net Income	2.02B	2.46B	3.85B	7.46B	7.62B
Balance Sheet
Total Assets	82.33B	80.46B	75.38B	68.92B	54.33B
Cash, Cash Equivalents and Short-Term Investments	2.78B	3.65B	5.57B	3.79B	4.17B
Total Debt	28.25B	27.06B	22.09B	13.75B	9.88B
Total Liabilities	33.15B	32.71B	28.21B	22.26B	14.35B
Stockholders Equity	47.71B	46.32B	44.86B	45.27B	38.56B
Cash Flow
Free Cash Flow	-801.87M	-3.37B	-3.55B	-4.89B	-3.55B
Operating Cash Flow	2.02B	1.99B	1.81B	1.31B	715.08M
Investing Cash Flow	-2.43B	-4.57B	-4.85B	-7.01B	-3.12B
Financing Cash Flow	-423.24M	1.38B	4.78B	5.52B	2.85B

China Conch Venture Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.06
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0586, the sentiment is Positive. The current price of 10.06 is above the 20-day moving average (MA) of 9.10, above the 50-day MA of 8.53, and above the 200-day MA of 7.19, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 69.10 is Neutral, neither overbought nor oversold. The STOCH value of 83.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0586.

China Conch Venture Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0586	78 Outperform	HK$18.03B	7.94	4.29%	2.98%	-23.47%	-18.26%
1330	74 Outperform	HK$10.42B	10.59	7.85%	4.23%	-9.43%	4.26%
Sector *	65 Neutral	$10.90B	15.41	5.26%	1.89%	3.11%	-26.85%
0687	64 Neutral	HK$828.04M	20.33	3.23%	20.32%	-11.11%	―
0895	47 Neutral	HK$5.31B	―	-20.47%	―	-16.08%	-0.19%

China Conch Venture Holdings Corporate Events

China Conch Venture Holdings Enhances Governance with Committee Terms

China Conch Venture Holdings Limited has announced the terms of reference for its Remuneration and Nomination Committee, which was established by a board resolution in 2013. The committee is composed of at least three members, with a majority being independent non-executive directors, and includes a requirement for gender diversity. This announcement underscores the company’s commitment to strong corporate governance and diversity, potentially enhancing its reputation and stakeholder trust.

China Conch Venture Holdings Passes All Resolutions at 2025 AGM

China Conch Venture Holdings Limited announced the successful passing of all proposed resolutions at its 2025 Annual General Meeting held on June 25, 2025. Key resolutions included the adoption of financial statements, declaration of a final dividend, re-election of directors, and the re-appointment of KPMG as auditors. The approval of these resolutions reflects strong shareholder support and positions the company for continued stability and growth in its operations.

China Conch Venture Revises FY2025 Cap and Signs New Services Agreement

China Conch Venture Holdings Limited announced revisions to its FY2025 Original Annual Cap and introduced a new framework technical and other services agreement with Conch New Material Group. These changes are driven by increased demand for goods and technical services, reflecting the company’s strategic efforts to enhance its operational capabilities and market position. The transactions are categorized as continuing connected transactions under the Listing Rules, subject to specific reporting and review requirements, but exempt from independent shareholders’ approval.

China Conch Venture Highlights Q1 2025 Results of Anhui Conch Cement

China Conch Venture Holdings Limited announced that Anhui Conch Cement Company Limited has published its unaudited quarterly results for the first quarter of 2025. The results are significant for China Conch Venture as a substantial portion of its profits in recent years have been derived from its equity interests in Conch Holdings, highlighting the importance of Conch Cement’s performance to its financial health.

China Conch Venture Holdings Announces 2025 AGM with Key Resolutions

China Conch Venture Holdings Limited has announced its 2025 Annual General Meeting (AGM) to be held on June 25, 2025, in Wuhu City, Anhui Province, China. The meeting will address several key resolutions, including the adoption of financial statements, declaration of a final dividend, re-election of directors, re-appointment of auditors, and granting mandates for share repurchase and issuance. These resolutions are expected to impact the company’s governance and financial strategies, potentially influencing shareholder value and market positioning.