CITIC Resources Holdings (1205) AI Stock Analysis

• Market Cap: HK$3.10B
• Dividend Yield: 6.58%
• Average Volume (3M): 11.10M
• Price to Earnings (P/E): 5.4
• Beta (1Y): 0.72
• Revenue Growth: 148.27%
• EPS Growth: 3.85%
• Country: HK
• Employees: 193
• Sector: Basic Materials
• Sector Strength: 75
• Industry: Industrial Materials
• EPS (TTM): 0.03
• Shares Outstanding: 7,857,727,000
• 10 Day Avg. Volume: 4,016,468
• 30 Day Avg. Volume: 11,098,065
• PEG Ratio: 0.11
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.88
• 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$0.47
• Price Target Upside: 17.73% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: HK$0.50 ▲(25.00%Upside)

CITIC Resources Holdings is supported by its strong financial position, with notable strengths in valuation and technical analysis. The stock's low P/E ratio and high dividend yield make it appealing for value and income investors. However, potential risks from increasing liabilities and cash flow inconsistencies warrant caution.

CITIC Resources Holdings Business Overview & Revenue Model

Company Description

CITIC Resources Holdings Limited (1205) is a diversified natural resources company engaged in the exploration, development, and production of oil, coal, and other mineral resources. With its headquarters in Hong Kong, CITIC Resources operates primarily in China and other parts of Asia, focusing on the energy and metals sectors. Its core products include crude oil, coal, and various base metals, and the company leverages its resources and strategic partnerships to supply these commodities to global markets.

How the Company Makes Money

CITIC Resources Holdings makes money through a diversified revenue model centered around the extraction and sale of energy and mineral resources. The company generates revenue primarily from the production and sale of crude oil and coal. It operates oilfields in China and other regions, selling crude oil to refineries and other industrial customers. In addition to oil, CITIC Resources produces and trades coal, capitalizing on its mining operations. The company also engages in the trading of base metals, leveraging its network and expertise in the commodities market. Strategic partnerships and joint ventures enhance its operational capabilities and market access, contributing significantly to its earnings. Furthermore, CITIC Resources benefits from its affiliation with the CITIC Group, which provides financial stability and access to broader markets.

CITIC Resources Holdings Financial Statement Overview

Summary

CITIC Resources Holdings shows strong revenue growth and profitability, with effective cost management. However, increasing liabilities and underwhelming cash flow management present potential risks. The income statement and balance sheet reflect positive trends, but cash flow uncertainties suggest the need for improved liquidity management.

Income Statement

CITIC Resources Holdings has demonstrated a solid improvement in its income statement metrics. The gross profit margin improved from 2023 to 2024, indicating efficient cost management. However, the revenue growth rate between 2023 and 2024 was substantial, suggesting strong top-line growth. The net profit margin and EBIT margin are both healthy, reflecting good overall profitability. Nevertheless, the EBITDA margin has slightly decreased, which may indicate some operational efficiency issues.

Balance Sheet

The balance sheet shows a stable financial position with a healthy equity ratio, indicating that the company is well-capitalized. The debt-to-equity ratio is manageable, but the company should be cautious of its debt levels to prevent potential risks. Return on Equity (ROE) is strong, reflecting effective use of shareholders' equity. However, the total liabilities have increased over time, which could pose a risk if not managed properly.

Cash Flow

Cash flow analysis reveals some concerns. The free cash flow has been inconsistent, with fluctuations over the years. Although the operating cash flow is usually positive, the absence of data for 2024 is a concern. The free cash flow to net income ratio is absent for 2024, making it difficult to assess the cash-generating efficiency. Overall, cash flow management appears to need improvement.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.50B	3.83B	5.87B	4.35B	2.85B
Gross Profit	730.52M	1.00B	1.81B	1.19B	121.90M
EBITDA	776.99M	1.32B	2.08B	1.43B	224.42M
Net Income	572.58M	551.80M	1.34B	1.10B	-363.85M
Balance Sheet
Total Assets	12.67B	11.62B	12.44B	12.70B	12.28B
Cash, Cash Equivalents and Short-Term Investments	2.03B	1.48B	2.13B	1.93B	2.36B
Total Debt	2.01B	1.83B	2.64B	3.73B	4.90B
Total Liabilities	4.46B	3.78B	4.67B	5.78B	6.51B
Stockholders Equity	8.08B	7.76B	7.75B	6.94B	5.81B
Cash Flow
Free Cash Flow	385.29M	742.25M	1.74B	731.52M	-256.78M
Operating Cash Flow	783.13M	1.15B	2.25B	1.17B	124.20M
Investing Cash Flow	-513.77M	82.52M	-1.06B	-1.07B	774.81M
Financing Cash Flow	-80.51M	-1.45B	-1.46B	-1.16B	-217.79M

CITIC Resources Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.40
• 50DMA: Positive
• 100DMA: Positive
• 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:1205, the sentiment is Positive. The current price of 0.4 is above the 20-day moving average (MA) of 0.40, above the 50-day MA of 0.37, and above the 200-day MA of 0.35, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 55.37 is Neutral, neither overbought nor oversold. The STOCH value of 56.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1205.

CITIC Resources Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2245	78 Outperform	HK$17.95B	9.06	17.83%	3.39%	36.51%	66.77%
3993	78 Outperform	HK$186.48B	10.17	22.95%	3.51%	12.14%	53.33%
3939	76 Outperform	HK$31.97B	41.44	25.55%	1.63%	40.22%	46.48%
1205	72 Outperform	HK$3.10B	5.42	7.21%	6.58%	148.27%	3.85%
Sector *	58 Neutral	HK$16.37B	4.50	-5.52%	4.91%	-3.57%	-61.41%
9696	56 Neutral	HK$58.88B	―	-8.74%	4.91%	-59.41%	-169.49%
1091	44 Neutral	HK$1.17B	―	-26.13%	―	-22.90%	-1231.02%

CITIC Resources Holdings Corporate Events

CITIC Resources Holdings Enters IT Services Agreement with CITIC Digital Technology

CITIC Resources Holdings has entered into an IT Services Framework Agreement with CITIC Digital Technology, a wholly-owned subsidiary of CITIC Group, to provide information technology services to the company from June 25, 2025, to December 31, 2027. This agreement, classified as a continuing connected transaction under Hong Kong’s Listing Rules, does not require independent shareholders’ approval due to the transaction’s percentage ratio, but it is subject to reporting, announcement, and annual review requirements.

CITIC Resources Issues Profit Warning Amidst Commodity Price Drop

CITIC Resources Holdings Limited has issued a profit warning, indicating a significant decrease in expected profits for the first half of 2025. The anticipated drop, ranging from 48% to 66%, is attributed to lower commodity prices and the cessation of equity interest in Alumina Limited. Stakeholders are advised to exercise caution, as the final results are yet to be audited and will be released by the end of August 2025.

CITIC Resources Holdings Announces Successful AGM Outcomes

CITIC Resources Holdings Limited announced that all proposed resolutions were passed at its annual general meeting held on June 13, 2025. Key resolutions included the approval of the audited financial statements, the declaration of a final dividend of HK2.60 cents per share, the re-election of directors, and the appointment of KPMG as the new auditor. The decisions reflect strong shareholder support and are expected to positively impact the company’s governance and financial strategies.

CITIC Resources Holdings Announces AGM and Key Resolutions

CITIC Resources Holdings Limited has announced its upcoming annual general meeting scheduled for June 13, 2025. Key agenda items include the consideration of audited financial statements, approval of a final dividend, re-election of directors, and the appointment of KPMG as the new auditor. Additionally, the company seeks approval for a share repurchase plan, which could impact shareholder value and market perception.