tiprankstipranks
Trending News
More News >
CGN Mining Co Ltd (HK:1164)
:1164
Advertisement

CGN Mining Co (1164) AI Stock Analysis

Compare
11 Followers

Top Page

HK:1164

CGN Mining Co

(OTC:1164)

Rating:48Neutral
Price Target:
HK$2.00
▼(-9.50%Downside)
The stock is rated moderately low due to significant operational challenges reflected in declining profitability and cash flow issues. Technical analysis indicates bearish momentum, while high valuation metrics and low dividend yield provide limited upside potential. The lack of recent earnings call data leaves potential future guidance ambiguous.
Positive Factors
Earnings Growth
The new pricing mechanism for the off-take agreement with the parent company starting from 2026E will boost strong earnings growth.
Market Opportunities
The Trump Administration's plan to boost nuclear power installed capacity is seen as a potential catalyst to drive both the uranium price and the share price of CGN Mining.
Profit Growth
Excluding non-operational items, pretax profit from continuing operations in 2024 is expected to increase by HK$230-280mn YoY, indicating pretax profit growth of 41-50% YoY.
Negative Factors
Cost Increase
Kazakhstan’s mineral extraction tax rate will increase to 9% in 2025, likely pushing unit production costs higher.
Price Assumptions
Upcoming 15% dividend withholding tax and recent pullback of uranium price lead to a revision down of the 2025E/26E price assumption.
Tax Impact
CGN Mining reported a 2.8x YoY increase in income tax expenses in 1H24 due to a one-off dividend withholding tax payment mandated by changes in Kazakhstan’s tax policies.

CGN Mining Co (1164) vs. iShares MSCI Hong Kong ETF (EWH)

CGN Mining Co Business Overview & Revenue Model

Company DescriptionCGN Mining Company Limited engages in the development and trading of natural uranium resources to nuclear power plants. The company is also involved in property investment and leasing activities. It has operations in Hong Kong, the United States, the People's Republic of China, Canada, the United Kingdom, rest of Europe, and the Czech Republic. The company was founded in 1998 and is headquartered in Wan Chai, Hong Kong. CGN Mining Company Limited is a subsidiary of China Uranium Development Company Limited.
How the Company Makes MoneyCGN Mining Co generates revenue primarily through the trading and supply of natural uranium. The company sources uranium from mining operations and sells it to nuclear power plants and other entities within the nuclear energy sector. Its key revenue streams include long-term supply contracts and spot market sales of uranium. Significant partnerships with major nuclear power corporations and strategic investments in uranium mining projects enhance its earnings potential by ensuring a steady supply and demand balance. Additionally, CGN Mining Co benefits from its affiliation with China General Nuclear Power Corporation, which provides strategic support and access to a broad customer base in the nuclear energy industry.

CGN Mining Co Financial Statement Overview

Summary
The company faces significant financial challenges, with declining profitability margins and cash flow issues. Revenue growth is a positive sign, but negative profit margins and reduced cash flow highlight operational inefficiencies. Balance sheet stability provides some cushion, but declining return on equity and cash flow concerns point to underlying financial health issues.
Income Statement
45
Neutral
The company experienced inconsistent revenue growth, with an increase of 17.1% from 2023 to 2024, but a net loss in gross profit margin. Net profit margin dropped significantly from 6.7% in 2023 to 4.0% in 2024, indicating decreased profitability. Additionally, both EBIT and EBITDA margins turned negative in 2024, showing operational struggles.
Balance Sheet
65
Positive
The company has a moderate debt-to-equity ratio of 0.74 in 2024, which is relatively stable. The equity ratio improved to 50.0% in 2024, indicating a strong capital base. However, the return on equity decreased from 12.8% in 2023 to 8.7% in 2024, reflecting declining profitability.
Cash Flow
50
Neutral
Operating cash flow fell from 1.04 billion in 2023 to zero in 2024, indicating cash flow challenges. Free cash flow also decreased sharply, suggesting reduced financial flexibility. The absence of operating cash flow to net income and free cash flow to net income ratios highlights cash flow inefficiencies despite prior year's positive performance.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue8.62B7.36B3.65B3.86B2.86B
Gross Profit-66.12M131.93M148.03M88.28M202.77M
EBITDA-127.91M692.81M107.34M108.01M226.42M
Net Income341.98M497.10M514.91M178.50M155.22M
Balance Sheet
Total Assets7.84B6.75B6.87B6.35B4.19B
Cash, Cash Equivalents and Short-Term Investments1.15B1.02B52.39M81.29M1.17B
Total Debt2.92B1.76B2.40B3.03B1.96B
Total Liabilities3.92B2.87B3.52B4.19B2.16B
Stockholders Equity3.92B3.88B3.35B2.16B2.03B
Cash Flow
Free Cash Flow-903.41M1.04B463.74M242.30M-327.12M
Operating Cash Flow-903.36M1.04B464.33M242.69M-326.59M
Investing Cash Flow577.25M498.79M-592.00K-3.37B-524.00K
Financing Cash Flow471.39M-581.91M-481.74M2.03B823.73M

CGN Mining Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.21
Price Trends
50DMA
2.10
Positive
100DMA
1.78
Positive
200DMA
1.74
Positive
Market Momentum
MACD
0.02
Positive
RSI
48.36
Neutral
STOCH
13.92
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1164, the sentiment is Positive. The current price of 2.21 is below the 20-day moving average (MA) of 2.33, above the 50-day MA of 2.10, and above the 200-day MA of 1.74, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 48.36 is Neutral, neither overbought nor oversold. The STOCH value of 13.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1164.

CGN Mining Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
C$2.96B-1.55-3.48%6.54%3.13%-49.39%
48
Neutral
$16.80B46.2213.49%0.45%17.13%-31.19%
$7.52B8.167.81%5.44%
$3.61B89.470.58%1.35%
$4.51B16.337.73%
$16.27B5.3822.05%10.23%
€101.23B5.8519.25%0.42%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1164
CGN Mining Co
2.21
0.03
1.47%
CHOLF
China Oilfield Services
0.80
-0.04
-4.76%
SPTJF
Sinopec Shanghai Petrochemical Co
0.17
0.04
30.77%
YZCFF
Sinopec Oilfield Service
0.08
0.02
33.33%
YZCHF
Yankuang Energy Group Company Limited Class H
1.21
0.02
1.68%
DE:NC2B
CNOOC Limited
2.18
-0.18
-7.63%

CGN Mining Co Corporate Events

CGN Mining Exceeds Q2 Uranium Production Targets and Strengthens Trading Position
Jul 23, 2025

In the second quarter of 2025, CGN Mining Company Limited reported a natural uranium production of 695.6tU, exceeding its planned output by 10.3%. This production was primarily driven by its joint ventures in Kazakhstan, Semizbay-U and Ortalyk, which achieved completion rates of 97.3% and 116.5% respectively. The company also engaged in significant trading activities, holding 1,569tU of natural uranium and entering new contracts for procurement and sales, reflecting a robust market engagement. The operational data, however, is preliminary and subject to various influencing factors, indicating potential variability in future reports.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Delays Circular Distribution for Key Agreements
Jul 15, 2025

CGN Mining Co announced a delay in the distribution of a circular related to its New Sales Framework Agreement, New Financial Services Framework Agreement, and the Sales and Purchase Agreement of Natural Uranium. The circular, initially expected by July 15, 2025, will now be distributed by August 6, 2025, due to the need for additional time to finalize certain information. This delay may impact shareholders and stakeholders awaiting detailed information on these agreements.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Reports Impact on Uranium Sales Amid Market Fluctuations
Jul 7, 2025

CGN Mining Company Limited announced that its subsidiary, CGN Global Uranium Ltd, experienced significant negative impacts on gross profit due to fluctuations in the market price of natural uranium from January to June 2025. Despite these challenges, the company maintains stable operations in its uranium mines in Kazakhstan and continues to focus on market analysis and stability.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co. Announces Change in Share Registrar Office
Jul 3, 2025

CGN Mining Company Limited has announced a change in its Hong Kong branch share registrar and transfer office, effective from August 1, 2025. The new registrar will be Tricor Investor Services Limited, and all share transfer applications will be handled by them from this date. This change is part of the company’s operational adjustments, potentially impacting shareholders who need to update their records and manage share transfers through the new office.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co. Announces Board Changes
Jun 30, 2025

CGN Mining Company Limited, a company incorporated in the Cayman Islands, announced a change in its board composition. Ms. Dai Qijia has resigned from her position as an independent non-executive director and other committee roles due to personal career development. Concurrently, Mr. Wu Yingpeng has been appointed as an independent non-executive director, bringing his legal expertise to the board. These changes are expected to impact the company’s governance and strategic direction.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Announces Board Composition and Roles
Jun 30, 2025

CGN Mining Co has announced the composition of its board of directors, detailing the roles and functions of each member. The board includes executive, non-executive, and independent non-executive directors, with specific members assigned to various board committees such as Audit, Remuneration, Nomination, and Environmental, Social, and Governance. This announcement provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the leadership and oversight mechanisms in place.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.18 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Delays Circular Distribution for Key Agreements
Jun 23, 2025

CGN Mining Co announced a delay in the distribution of its circular related to several framework agreements, including the New Sales Framework Agreement, New Financial Services Framework Agreement, and the Sales and Purchase Agreement of Natural Uranium. The circular, initially expected to be distributed within 15 business days from the announcement date, will now be distributed on or before July 15, 2025, due to the need for additional time to finalize certain information. This delay may impact shareholder expectations and timelines for the company’s ongoing transactions.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Announces Successful Approval of AGM Resolutions
Jun 19, 2025

CGN Mining Co, a company incorporated in the Cayman Islands, announced that all resolutions proposed at its Annual General Meeting held on June 19, 2025, were approved by shareholders. The resolutions included the adoption of financial statements, declaration of a final cash dividend, re-election of directors, and authorization for the board to fix directors’ remuneration and appoint auditors. Additionally, shareholders granted the board mandates to issue new shares and repurchase shares, reflecting strong shareholder support for the company’s strategic initiatives.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Announces Senior Management Changes
Jun 19, 2025

CGN Mining Co has announced a change in its senior management, appointing Mr. Zhang Xueliang as a vice president. Mr. Zhang brings extensive experience from his previous roles in nuclear power research and management. This change is part of a strategic work arrangement, with Mr. Shan Xuequn and Mr. Zhou Rongsheng stepping down from their roles as assistant presidents. The board expressed gratitude for their contributions and welcomed Mr. Zhang to his new position, indicating a potential shift in company operations and strategy.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co Extends Uranium Sales and Financial Services Agreements
Jun 3, 2025

CGN Mining Co has entered into new framework agreements to continue its transactions related to the sale of natural uranium and financial services with its subsidiaries, extending these agreements for another three years starting January 2026. These agreements, which involve major transactions and connected transactions under the Hong Kong Listing Rules, require approval from independent shareholders and are subject to annual reporting and review requirements.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co’s Controlling Shareholder Reduces Stake
Jun 1, 2025

CGN Mining Company Limited announced a reduction in the long position of its controlling shareholder, CGNPC, from 57.01% to 56.43% following the disposal of shares by CGN Investment HK. Despite this reduction, CGNPC maintains confidence in the company and its subsidiary, China Uranium Development, which has retained its shares since 2011. The disposals were part of CGN Investment HK’s investment strategy, and none of the shares were acquired by connected persons of the company.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

CGN Mining Co. Announces 2025 AGM Agenda and Key Resolutions
May 27, 2025

CGN Mining Company Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 19, 2025, in Beijing. Key agenda items include the adoption of financial statements for the year ending December 31, 2024, the declaration of a final cash dividend of HK0.7 cents per share, and the re-election of several directors. Additionally, the company plans to re-appoint BDO Limited as auditors and authorize the board to fix their remuneration. The AGM will also consider resolutions to allow the directors to issue additional shares, subject to certain conditions.

The most recent analyst rating on (HK:1164) stock is a Buy with a HK$2.36 price target. To see the full list of analyst forecasts on CGN Mining Co stock, see the HK:1164 Stock Forecast page.

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: Jul 24, 2025