CHK Oil (0632) AI Stock Analysis

• Market Cap: HK$343.30M
• Dividend Yield: N/A
• Average Volume (3M): 10.36M
• Price to Earnings (P/E): ―
• Beta (1Y): 4.17
• Revenue Growth: -2.17%
• EPS Growth: 63.26%
• Country: HK
• Employees: 20
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.01
• Shares Outstanding: 869,353,700
• 10 Day Avg. Volume: 9,470,563
• 30 Day Avg. Volume: 10,364,427
• PEG Ratio: 0.37
• Price to Book (P/B): 2.00
• Price to Sales (P/S): 2.97
• P/FCF Ratio: 27.38
• 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 Sell
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: HK$0.50 ▲(25.00% Upside)

CHK Oil's overall stock score is primarily impacted by its poor financial performance, with persistent losses and negative cash flows. The technical analysis indicates weak momentum, further contributing to the low score. The valuation metrics are also unfavorable, with a negative P/E ratio and no dividend yield. These factors collectively suggest significant risks and challenges for the company.

CHK Oil Business Overview & Revenue Model

Company Description

CHK Oil (0632) is a prominent player in the oil and gas industry, focusing on exploration, production, and distribution of petroleum products. The company operates in various sectors, including upstream exploration and production, midstream transportation, and downstream refining and marketing. CHK Oil is committed to delivering high-quality energy solutions while adhering to environmental and safety standards.

How the Company Makes Money

CHK Oil generates revenue primarily through the sale of crude oil, natural gas, and refined petroleum products. The company has established key revenue streams from its upstream operations, which involve the exploration and extraction of oil and gas reserves. Additionally, revenue is derived from midstream activities, including the transportation and storage of hydrocarbons, and downstream operations focused on refining oil into various products such as gasoline, diesel, and lubricants. Strategic partnerships with other energy companies and service providers enhance its operational efficiency and market reach, further contributing to its earnings. The company also benefits from fluctuating oil prices, which can significantly impact its revenue based on market demand and supply dynamics.

CHK Oil Financial Statement Overview

Summary

CHK Oil faces significant financial difficulties, characterized by persistent losses, declining revenues, and negative cash flows. While the debt levels are manageable, the company struggles with profitability and cash generation, suggesting urgent need for operational improvements and strategic adjustments to stabilize its financial position.

Income Statement

CHK Oil's income statement shows considerable challenges with persistent losses and declining revenue over recent years. The gross profit margin is low, and the company has experienced significant EBIT and net income losses. Despite some improvement in EBITDA in 2024, overall profitability remains weak, with negative net profit margins indicating ongoing difficulties in operational efficiency.

Balance Sheet

The balance sheet reflects a mixed picture. The company maintains a relatively low debt-to-equity ratio, suggesting moderate leverage. However, the declining stockholders' equity and total assets indicate potential instability. The equity ratio is reasonable, but the erosion in equity and assets over time poses a risk to long-term financial health.

Cash Flow

CHK Oil's cash flow statements reveal critical issues, with consistently negative free cash flow, indicating operational cash outflows exceeding inflows. The lack of positive operating cash flow to net income and free cash flow to net income ratios further highlights liquidity challenges. In 2024, there was no reported operating or investing cash flow, signaling possible cash management concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	154.81M	153.13M	161.50M	355.28M	1.53B	736.76M
Gross Profit	2.30M	2.17M	1.51M	15.28M	95.81M	42.28M
EBITDA	35.35M	-11.23M	-57.10M	11.20M	192.00M	28.41M
Net Income	-20.20M	-21.48M	-49.55M	-1.19M	147.82M	8.72M
Balance Sheet
Total Assets	284.96M	284.96M	533.04M	553.50M	617.54M	542.62M
Cash, Cash Equivalents and Short-Term Investments	1.92M	13.51M	1.25M	15.15M	9.07M	27.95M
Total Debt	12.60M	15.79M	20.30M	4.63M	3.10M	2.68M
Total Liabilities	54.60M	56.31M	124.77M	92.84M	145.63M	224.47M
Stockholders Equity	229.35M	227.63M	407.26M	459.65M	470.89M	317.13M
Cash Flow
Free Cash Flow	-25.82M	16.60M	-28.75M	8.82M	-23.15M	-34.22M
Operating Cash Flow	-25.60M	16.82M	-28.66M	8.97M	-23.10M	-34.06M
Investing Cash Flow	-162.00K	-216.00K	-88.00K	-156.00K	237.00K	-151.00K
Financing Cash Flow	-1.08M	-4.32M	14.89M	-3.48M	199.00K	5.32M

CHK Oil Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0632, the sentiment is Negative. The current price of 0.4 is below the 20-day moving average (MA) of 0.41, below the 50-day MA of 0.42, and below the 200-day MA of 0.48, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 44.10 is Neutral, neither overbought nor oversold. The STOCH value of 43.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0632.

CHK Oil Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
0467	64 Neutral	HK$13.25B	10.16	9.73%	17.65%	8.65%	―
2012	41 Neutral	HK$197.12M	―	-126.50%	―	-76.62%	-2.66%
3395	41 Neutral	HK$187.89M	-1.33	―	―	-41.07%	22.63%
0632	39 Underperform	HK$343.30M	-16.67	-8.65%	―	-2.17%	63.26%
1555	39 Underperform	€108.17M	-0.27	―	―	-18.76%	-76.89%

CHK Oil Corporate Events

CHK Oil Limited Reports Interim Results for 2025

CHK Oil Limited announced its unaudited interim results for the first half of 2025, reporting a slight increase in revenue to HK$38,390,000 compared to the previous year. Despite this, the company experienced a loss for the period, with a total comprehensive loss of HK$8,544,000, which is an improvement from the previous year’s loss. The announcement highlights ongoing financial challenges but also indicates some progress in reducing losses.

CHK Oil Limited Announces Board Meeting to Review Interim Results

CHK Oil Limited has announced a board meeting scheduled for August 28, 2025, to discuss and approve the interim results for the first half of 2025 and consider the payment of an interim dividend. This meeting could have implications for the company’s financial performance and shareholder returns, potentially impacting its market positioning and stakeholder interests.

CHK Oil Limited Clarifies Typographical Error in Previous Announcement

CHK Oil Limited has announced a clarification regarding a typographical error in the Chinese version of a previous announcement. The error pertained to the designation of an independent non-executive director. The English version of the announcement remains unchanged. The company has also recently made changes to its management team, including the appointment of a new chief financial officer, executive director, and vice chairman of the board.

CHK Oil Limited Announces Key Leadership Appointments

CHK Oil Limited has announced significant changes in its leadership team, effective from August 1, 2025. Mr. Cheng Chun Shing has been appointed as the new Company Secretary, Authorized Representative, Process Agent, and Chief Financial Officer, bringing over 25 years of experience in accounting and corporate governance. Additionally, Ms. Wong Wai Sze has been appointed as an Executive Director and Vice Chairman of the Board, leveraging her extensive experience in capital markets and investment banking in Hong Kong and North America. These appointments are expected to strengthen the company’s financial management and strategic direction.