Xinyi Solar Holdings (0968) AI Stock Analysis

• Market Cap: $32.38B
• Dividend Yield: 1.3%
• Average Volume (3M): 91.84M
• Price to Earnings (P/E): 29.0
• Beta (1Y): 1.15
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 9,645
• Sector: Technology
• Sector Strength: 88
• Industry: Solar
• EPS (TTM): 0.09
• Shares Outstanding: 9,147,044,000
• 10 Day Avg. Volume: 109,086,387
• 30 Day Avg. Volume: 91,837,705
• PEG Ratio: -0.36
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 1.28
• P/FCF Ratio: -7.61
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 1.92
• Enterprise Value/Gross Profit: 18.06
• Enterprise Value/Ebitda: 11.84
• 1Y Price Target: $4.04
• Price Target Upside: 25.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: HK$3.00 ▼(-6.54% Downside)

The overall stock score is primarily influenced by financial performance, which shows strong revenue growth but declining profitability margins and cash flow volatility. Technical analysis indicates a bearish trend, and valuation metrics suggest moderate pricing with a low dividend yield. These factors combine to yield a moderate overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, positioning the company well for future expansion.

Market Position

Being a leader in solar glass manufacturing provides a competitive edge, ensuring steady demand from photovoltaic manufacturers globally.

Operational Resilience

A strong EBITDA margin suggests efficient operations and the ability to withstand cost pressures, supporting long-term profitability.

Negative Factors

Declining Profit Margins

Decreasing profit margins indicate rising costs or pricing pressures, which could affect future profitability if not addressed.

Increased Leverage

Higher leverage can increase financial risk and limit the company's ability to invest in growth opportunities without incurring more debt.

Cash Flow Volatility

Volatile cash flow suggests challenges in cash management, which could impact the company's ability to fund operations and growth sustainably.

Xinyi Solar Holdings Business Overview & Revenue Model

Company Description

Xinyi Solar Holdings Limited (stock code: 0968) is a leading solar energy company based in Hong Kong, primarily engaged in the manufacturing of solar glass and the development of solar power projects. The company operates in two main sectors: solar glass production and solar power generation. Xinyi Solar is recognized for its high-quality solar glass products, which are essential components in photovoltaic systems, as well as its investments in solar power plants that contribute to renewable energy generation.

How the Company Makes Money

Xinyi Solar generates revenue primarily through the sale of its solar glass products, which are supplied to photovoltaic manufacturers globally. The company benefits from economies of scale due to its large production capacity, allowing it to meet the growing demand for solar energy solutions. Additionally, Xinyi Solar earns income from its solar power generation segment, where it develops, operates, and sells electricity from solar power plants. The company also engages in strategic partnerships with other firms in the renewable energy sector to enhance its market reach and operational efficiency. Fluctuations in solar glass prices, government policies favoring renewable energy, and technological advancements in solar energy are significant factors influencing its revenue streams.

Xinyi Solar Holdings Financial Statement Overview

Summary

Xinyi Solar Holdings shows strong revenue growth, but profitability margins have declined due to cost pressures. The balance sheet remains stable, though leverage has increased. Cash flow volatility is a concern, indicating a need for better cash management.

Income Statement

Xinyi Solar Holdings has shown consistent revenue growth with a CAGR of approximately 15.2% over the past five years. Gross profit margin has decreased from 54.3% in 2020 to 31.5% in 2023, indicating increased cost pressures. Net profit margin also declined from 37% in 2020 to 15.7% in 2023. Nevertheless, the company maintains a healthy EBITDA margin reflecting operational resilience.

Balance Sheet

The company's debt-to-equity ratio has increased from 0.26 in 2020 to 0.36 in 2023, indicating higher leverage. Return on equity has decreased from 17.2% in 2020 to 13.1% in 2023. The equity ratio remains strong at 52.9% in 2023, suggesting a balanced asset structure.

Cash Flow

Free cash flow has been volatile, with a significant decline in 2021 and 2022. Operating cash flow to net income ratio was positive in 2020 but has faced challenges due to increased capital expenditures. The company needs to improve its cash management strategies to ensure sustainable growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.21B	21.92B	26.63B	20.54B	16.06B	12.32B
Gross Profit	2.26B	3.47B	7.09B	6.12B	7.52B	6.56B
EBITDA	3.44B	4.26B	7.78B	6.90B	7.85B	6.82B
Net Income	-137.07M	1.01B	4.19B	3.82B	4.92B	4.56B
Balance Sheet
Total Assets	58.70B	56.93B	60.43B	50.58B	49.07B	43.42B
Cash, Cash Equivalents and Short-Term Investments	3.08B	1.03B	2.88B	5.37B	7.89B	9.29B
Total Debt	14.16B	12.54B	11.51B	8.91B	8.85B	6.81B
Total Liabilities	23.25B	22.52B	22.57B	15.34B	12.96B	11.40B
Stockholders Equity	29.95B	29.05B	31.97B	29.75B	30.31B	26.52B
Cash Flow
Free Cash Flow	-1.50B	-3.69B	-4.10B	-723.25M	-1.15B	1.06B
Operating Cash Flow	1.78B	1.31B	5.79B	5.92B	3.79B	4.35B
Investing Cash Flow	-2.89B	-4.01B	-10.40B	-5.52B	-4.91B	-2.36B
Financing Cash Flow	1.42B	822.27M	2.19B	-1.99B	-805.82M	4.99B

Xinyi Solar Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.21
• 50DMA: Negative
• 100DMA: Negative
• 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:0968, the sentiment is Negative. The current price of 3.21 is below the 20-day moving average (MA) of 3.51, below the 50-day MA of 3.53, and above the 200-day MA of 3.08, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 38.65 is Neutral, neither overbought nor oversold. The STOCH value of 26.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0968.

Xinyi Solar Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
0968	55 Neutral	$32.38B	28.97	―	1.30%	―	―
1799	45 Neutral	HK$11.28B	-3.18	-9.60%	―	-32.90%	-152.00%
0750	42 Neutral	HK$612.62M	―	-1.39%	―	36.71%	8.15%
3800	38 Underperform	$40.88B	-6.62	-13.00%	―	-44.73%	-10.66%

Xinyi Solar Holdings Corporate Events

Xinyi Solar Announces Scrip Dividend Scheme for Interim Dividend

Xinyi Solar Holdings Limited has announced a Scrip Dividend Scheme for its interim dividend for the six months ending 30 June 2025. Shareholders have the option to receive the dividend in cash or new fully-paid shares, with the market value of the Scrip Shares set at 95% of the average closing price over a specified period. This scheme allows shareholders flexibility in their dividend options and could potentially increase the company’s share capital if shareholders opt for shares over cash.

The most recent analyst rating on (HK:0968) stock is a Buy with a HK$3.10 price target. To see the full list of analyst forecasts on Xinyi Solar Holdings stock, see the HK:0968 Stock Forecast page.

Xinyi Solar Announces Interim Dividend with Scrip Option

Xinyi Solar Holdings Limited has announced an interim cash dividend of HKD 0.042 per share for the six months ending June 30, 2025, with an option for shareholders to receive scrip shares at a conversion price of HKD 3.13. This announcement reflects the company’s ongoing commitment to delivering shareholder value and may influence its market positioning by offering flexibility in dividend options.

The most recent analyst rating on (HK:0968) stock is a Buy with a HK$3.10 price target. To see the full list of analyst forecasts on Xinyi Solar Holdings stock, see the HK:0968 Stock Forecast page.