tiprankstipranks
Trending News
More News >
Kinetic Mines & Energy Ltd. (HK:1277)
:1277
Hong Kong Market
Advertisement

Kinetic Mines & Energy Ltd. (1277) AI Stock Analysis

Compare
1 Followers

Top Page

HK:1277

Kinetic Mines & Energy Ltd.

(1277)

Rating:76Outperform
Price Target:
HK$1.50
▲(23.97% Upside)
Kinetic Mines & Energy Ltd. scores well due to its strong financial performance and attractive valuation, with a low P/E ratio and high dividend yield. However, technical indicators suggest potential short-term weakness, which slightly offsets the overall score.

Kinetic Mines & Energy Ltd. (1277) vs. iShares MSCI Hong Kong ETF (EWH)

Kinetic Mines & Energy Ltd. Business Overview & Revenue Model

Company DescriptionKinetic Development Group Limited, an investment holding company, engages in the extraction and sale of coal products in the People's Republic of China. The company focuses on the development of its Dafanpu Coal Mine with a concession area of approximately 9.6 square kilometers located in Zhunge'er Banner, Ordos City, Inner Mongolia, China. It also engages in the coal production, trading, washing, loading, and transportation activities; and sale of mineral products. In addition, the company is involved in the breeding, production, and selling of breeding stock; and production and sale of wine and fruit wine, as well as grape planting activities. The company was formerly known as Kinetic Mines and Energy Limited. Kinetic Development Group Limited was incorporated in 2010 and is headquartered in Ordos City, China.
How the Company Makes MoneyKinetic Mines & Energy Ltd. generates revenue through the exploration, extraction, and sale of thermal coal. The company's primary revenue stream is from the sale of coal to power plants and industrial users who require coal as a key input for energy generation and manufacturing processes. The company owns and operates coal mines, and it engages in the trading of coal, thereby earning revenue from both direct sales and trade transactions. Key factors contributing to its earnings include market demand for coal, coal prices, and operational efficiency in mining activities. Kinetic Mines & Energy may also benefit from strategic partnerships or long-term supply contracts with power generation companies and industrial users, ensuring a steady demand for its coal products.

Kinetic Mines & Energy Ltd. Financial Statement Overview

Summary
Kinetic Mines & Energy Ltd. demonstrates strong financial performance with robust profitability and efficient cash conversion. The company shows solid revenue growth and margins, supported by a healthy equity base. However, the increase in total liabilities and negative investing cash flows suggest potential areas for caution.
Income Statement
85
Very Positive
Kinetic Mines & Energy Ltd. demonstrates a robust financial performance with strong gross and net profit margins, reflecting effective cost management. The revenue growth has been commendable, particularly from 2023 to 2024, indicating a positive trajectory. EBIT and EBITDA margins are solid, showcasing operational efficiency. However, fluctuations in revenue over the years suggest some exposure to market volatility.
Balance Sheet
78
Positive
The company's balance sheet shows a healthy equity base with a reasonable debt-to-equity ratio, indicating prudent financial leverage. The equity ratio is strong, reflecting a solid financial foundation. However, the increase in total liabilities over the years could pose potential risks if not managed properly, though the return on equity remains robust.
Cash Flow
80
Positive
Kinetic Mines & Energy Ltd. has maintained strong free cash flow, with a significant growth rate observed from 2023 to 2024. The operating cash flow to net income ratio is favorable, indicating efficient cash generation relative to profit. The company also shows good free cash flow to net income ratios, highlighting its ability to convert earnings into cash effectively. However, negative investing cash flows suggest significant reinvestment, which could impact liquidity if not balanced.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue4.74B5.66B4.75B6.16B5.58B2.96B
Gross Profit2.76B3.12B2.80B4.02B3.60B1.28B
EBITDA2.66B3.00B2.68B3.82B3.56B1.36B
Net Income2.07B2.11B2.08B2.66B2.47B814.80M
Balance Sheet
Total Assets10.94B12.99B10.94B9.49B6.04B3.67B
Cash, Cash Equivalents and Short-Term Investments954.74M964.35M954.74M742.76M2.66B1.34B
Total Debt1.31B955.88M1.31B978.44M277.96M210.41M
Total Liabilities3.52B4.72B3.52B3.18B1.47B912.93M
Stockholders Equity7.37B8.23B7.37B6.33B4.58B2.76B
Cash Flow
Free Cash Flow1.22B1.90B1.22B787.50M-1.27B1.11B
Operating Cash Flow1.71B2.35B1.71B3.09B3.03B1.20B
Investing Cash Flow-903.88M-818.88M-903.88M-4.28B-873.80M-540.80M
Financing Cash Flow-620.77M-1.63B-620.77M-649.88M-641.01M-275.20M

Kinetic Mines & Energy Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.21
Price Trends
50DMA
1.21
Negative
100DMA
1.18
Positive
200DMA
1.21
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
41.38
Neutral
STOCH
16.67
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1277, the sentiment is Negative. The current price of 1.21 is below the 20-day moving average (MA) of 1.28, below the 50-day MA of 1.21, and above the 200-day MA of 1.21, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 41.38 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1277.

Kinetic Mines & Energy Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
HK$10.03B4.3827.12%14.17%17.89%0.63%
44
Neutral
C$925.18M-8.84-0.23%2.69%24.65%-41.54%
$1.12B4.8419.62%
€143.52M2.4214.62%
€283.63M2.2910.58%
70
Outperform
HK$14.92B9.669.12%10.06%-14.16%-19.38%
58
Neutral
HK$5.86B10.7087.02%1.79%-26.23%147.99%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1277
Kinetic Mines & Energy Ltd.
1.19
0.15
14.42%
MOGLF
Mongolian Mining
1.07
0.07
7.00%
DE:PEZ
Perennial Energy Holdings Ltd.
0.08
-0.03
-27.27%
DE:WWY1
E-Commodities Holdings Limited
0.10
-0.04
-28.57%
HK:0639
Shougang Fushan Resources Group Limited
2.93
0.47
19.11%
HK:0866
China Qinfa Group Ltd.
2.31
1.54
200.00%

Kinetic Mines & Energy Ltd. Corporate Events

Kinetic Development Group Schedules Board Meeting for Interim Results
Aug 8, 2025

Kinetic Development Group Limited has announced that its board of directors will meet on August 20, 2025, to review and approve the interim results for the six months ending June 30, 2025. The meeting will also consider the declaration of an interim dividend, which could have implications for shareholders and the company’s financial strategy.

Kinetic Development Group Issues Profit Warning Amid Market Volatility
Aug 5, 2025

Kinetic Development Group Limited has issued a profit warning, indicating that its net profit after tax for the first half of 2025 is expected to decrease by 50% to 55% compared to the same period in 2024. This decline is primarily due to a significant drop in coal prices, leading to an estimated 40% to 45% reduction in profit from its coal mining segment, and losses in other developing business segments. The announcement underscores the impact of market volatility on the company’s operations and highlights challenges faced in its evolving business areas.

Kinetic Development Extends Loan Repayment Date in Connected Transaction
Jun 30, 2025

Kinetic Development Group Limited, through its subsidiary Guizhou Mining, is involved in a connected transaction with Guizhou Energy, a company indirectly held by a substantial shareholder of Kinetic. The company has announced a Second Supplemental Agreement to extend the repayment date of a RMB200 million loan to Guizhou Energy from June 2025 to June 2027. This extension is part of a connected transaction under Hong Kong’s Listing Rules, which requires announcement and reporting but is exempt from circular and independent shareholders’ approval.

Kinetic Development Group Delays Circular Dispatch for Changlin Acquisition
Jun 30, 2025

Kinetic Development Group Limited has announced a delay in the dispatch of a circular related to its acquisition of a 75% equity interest in Changlin. The circular, which was initially expected to be distributed by June 2025, will now be postponed to on or before June 2027 due to additional time needed for restructuring and finalizing necessary information and reports.

Kinetic Development Group Delays Final Dividend Payment
Jun 2, 2025

Kinetic Development Group Limited has announced a delay in the payment of its final dividend for the year ended 31 December 2024. Originally scheduled for a single payment, the dividend will now be distributed in three installments due to the need for additional time to transfer funds from domestic to overseas accounts. Despite the delay, the dividend will still be payable to shareholders listed on the record date, maintaining the original dividend amount per share.

Kinetic Development Group Announces Phased Dividend Payment
Jun 2, 2025

Kinetic Development Group Limited has announced a final ordinary dividend of HKD 0.015 per share for the financial year ending December 31, 2024. The dividend will be paid in three phases due to the need for additional time to transfer funds internationally, with payments scheduled for June 13, July 31, and August 29, 2025. This decision reflects the company’s operational adjustments to manage financial logistics effectively.

Kinetic Development Group Announces Phased Dividend Payment
Jun 2, 2025

Kinetic Development Group Limited has announced an update regarding the payment of its final dividend for the year ended December 31, 2024. The company will distribute the dividend of HKD 0.045 per share in three phases due to the need for additional time to transfer funds from domestic to overseas accounts. The payments will be made on June 13, July 31, and August 29, 2025. This phased approach to dividend distribution may impact shareholders’ cash flow expectations and reflects the company’s operational adjustments in managing its financial resources.

Kinetic Development Group Announces Phased Dividend Payment
Jun 2, 2025

Kinetic Development Group Limited has announced an update regarding its final cash dividend for the year ended December 31, 2024. The company will distribute a final dividend of HKD 0.015 per share, approved at the annual general meeting on May 20, 2025. Due to the need for additional time to transfer funds from domestic to overseas accounts, the dividend will be paid in three installments on June 13, July 31, and August 29, 2025. This phased payment approach reflects the company’s operational adjustments to manage its financial obligations effectively.

Kinetic Development Group Secures Shareholder Approval for Key Resolutions
May 20, 2025

Kinetic Development Group Limited announced the successful approval of all resolutions at its annual general meeting held on May 20, 2025. The resolutions included receiving and considering financial statements, declaring a final dividend, re-electing directors, authorizing director remuneration, re-appointing KPMG as auditor, and approving mandates for share issuance and repurchase. These approvals reflect shareholder confidence in the company’s governance and strategic direction.

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: Aug 14, 2025