China Oil & Gas Group (0603) AI Stock Analysis

• Market Cap: HK$774.86M
• Dividend Yield: N/A
• Average Volume (3M): 1.98M
• Price to Earnings (P/E): 4.5
• Beta (1Y): 0.29
• Revenue Growth: -4.71%
• EPS Growth: N/A
• Country: HK
• Employees: 4,814
• Sector: Energy
• Sector Strength: 42
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): -0.02
• Shares Outstanding: 5,636,803,700
• 10 Day Avg. Volume: 632,834
• 30 Day Avg. Volume: 1,980,284
• PEG Ratio: 0.03
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.25
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall score reflects a balanced view of financial performance, technical indicators, and valuation. The company's low P/E ratio suggests undervaluation, providing potential upside. The stable balance sheet partially offsets concerns about cash flow management. Technical analysis supports mild bullish momentum, adding a positive outlook.

China Oil & Gas Group Business Overview & Revenue Model

Company Description

China Oil & Gas Group (0603) is a prominent energy company based in China, primarily engaged in the exploration, production, and distribution of natural gas and oil. The company operates across various sectors, including natural gas pipeline construction and management, oil and gas field exploration, and the distribution of related products. It is committed to providing energy solutions that support the growing demand for cleaner and more sustainable energy sources in China.

How the Company Makes Money

China Oil & Gas Group generates revenue through multiple streams, primarily from the sales of natural gas and related products. The company operates an extensive pipeline network, facilitating the distribution of natural gas to residential, industrial, and commercial customers. Revenue is also derived from the construction and management of natural gas pipelines, which involve long-term contracts and partnerships with local governments and enterprises. Additionally, the company engages in oil and gas field exploration and production, contributing to its earnings through the sale of crude oil and other byproducts. Strategic partnerships with other energy companies and government entities further enhance its ability to secure and expand its market presence, thereby driving revenue growth.

China Oil & Gas Group Financial Statement Overview

Summary

China Oil & Gas Group shows a mixed financial performance with stable margins but fluctuating net income and cash flows. The balance sheet reflects moderate financial health with manageable debt. However, erratic cash flows and declining equity ratio highlight challenges in maintaining financial stability.

Income Statement

The company has shown fluctuating revenue with a recent decline from 2023 to 2024. Gross profit margin remains relatively stable. The net profit margin improved in 2024 after a negative margin in 2023, indicating recovery. Overall, EBIT and EBITDA margins are consistent but show some volatility, reflecting challenges in maintaining stable profitability.

Balance Sheet

The balance sheet indicates moderate financial health with a stable equity base. The debt-to-equity ratio is moderate, suggesting manageable leverage. However, equity ratio has been declining, indicating increased reliance on debt. Return on equity has been inconsistent, highlighting fluctuations in profitability relative to shareholder equity.

Cash Flow

Cash flows have been erratic, with operating cash flow turning to zero in 2024. Free cash flow showed positive growth in prior years but was not available in the latest year, indicating potential cash management issues. Historical data show adequate free cash flow generation relative to net income, but recent figures are concerning.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.66B	18.53B	17.42B	14.34B	10.43B
Gross Profit	2.18B	1.97B	2.24B	2.13B	1.65B
EBITDA	2.20B	1.84B	2.74B	2.92B	1.39B
Net Income	180.77M	-232.50M	730.14M	904.18M	28.76M
Balance Sheet
Total Assets	20.70B	20.84B	22.95B	22.65B	19.27B
Cash, Cash Equivalents and Short-Term Investments	4.35B	3.25B	3.95B	3.77B	3.76B
Total Debt	8.58B	7.81B	8.45B	8.79B	7.83B
Total Liabilities	13.48B	13.28B	13.97B	13.83B	11.92B
Stockholders Equity	3.66B	3.82B	4.97B	4.79B	3.78B
Cash Flow
Free Cash Flow	1.17B	682.87M	1.26B	324.29M	598.14M
Operating Cash Flow	1.98B	1.63B	2.76B	1.92B	1.62B
Investing Cash Flow	-1.38B	-1.40B	-994.19M	-2.84B	-1.89B
Financing Cash Flow	-53.18M	-1.41B	-1.01B	685.36M	528.08M

China Oil & Gas Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0603, the sentiment is Neutral. The current price of 0.16 is below the 20-day moving average (MA) of 0.16, above the 50-day MA of 0.15, and below the 200-day MA of 0.17, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 51.43 is Neutral, neither overbought nor oversold. The STOCH value of 63.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0603.

China Oil & Gas Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0603	69 Neutral	HK$774.86M	4.47	4.81%	―	-4.71%	―
2337	68 Neutral	HK$685.34M	9.32	13.86%	2.19%	3.42%	70.99%
Sector *	58 Neutral	HK$85.20B	3.65	-2.37%	4.79%	-4.67%	-40.97%
8270	50 Neutral	HK$111.28M	17.96	-25.40%	―	0.11%	-3203.23%
0332	33 Underperform	HK$157.09M	―	-2465.61%	―	-68.87%	-635.59%
0931	29 Underperform	HK$1.89B	―	-80.73%	―	174.10%	6.00%

China Oil & Gas Group Corporate Events

China Oil & Gas Group AGM Resolutions Passed

China Oil & Gas Group Limited announced that all resolutions proposed at its Annual General Meeting on May 30, 2025, were approved. Key resolutions included the re-election of directors, the authorization of directors to fix remuneration, the re-appointment of KPMG as auditor, and granting mandates for share issuance and repurchase. The successful passage of these resolutions reflects strong shareholder support and positions the company for continued operational and strategic initiatives.

China Oil & Gas Group Schedules Annual General Meeting for May 2025

China Oil & Gas Group Limited has announced its upcoming Annual General Meeting scheduled for May 30, 2025, in Zhuhai City, China. Key agenda items include the re-election of directors, re-appointment of KPMG as auditor, and the authorization for directors to manage share allotments. This meeting is significant for stakeholders as it addresses leadership continuity and strategic financial decisions that could impact the company’s market operations and shareholder value.