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

• Market Cap: HK$13.32B
• Dividend Yield: 8.18%
• Average Volume (3M): 16.67M
• Price to Earnings (P/E): 7.8
• Beta (1Y): 0.19
• Revenue Growth: -2.79%
• EPS Growth: -39.45%
• Country: HK
• Employees: 2,520
• Sector: Energy
• Sector Strength: 52
• Industry: Coal
• EPS (TTM): 0.07
• Shares Outstanding: 8,430,000,000
• 10 Day Avg. Volume: 22,064,441
• 30 Day Avg. Volume: 16,669,548
• PEG Ratio: 0.00
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 1.79
• P/FCF Ratio: 5.35
• 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 Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 81 Outperform
• Price Target: HK$2.00 ▲(25.79% Upside)

Kinetic Mines & Energy Ltd. scores highly due to its strong financial performance and attractive valuation. The stock's positive technical indicators further support its potential. However, the increase in liabilities and reinvestment activities should be monitored to maintain financial health.

Positive Factors

Cash Generation Ability

Strong free cash flow growth indicates effective cash generation, providing the company with the flexibility to invest in growth opportunities and manage debt.

Profitability

Solid profit margins and revenue growth reflect effective cost management and operational efficiency, supporting sustainable profitability.

Balance Sheet Health

A strong equity base and prudent financial leverage enhance financial stability, enabling the company to withstand market fluctuations.

Negative Factors

Revenue Growth Volatility

Revenue volatility can impact predictability and planning, posing challenges in maintaining consistent growth and financial performance.

Increasing Liabilities

Rising liabilities may strain financial resources, potentially affecting liquidity and increasing financial risk if not carefully managed.

Negative Investing Cash Flows

Substantial reinvestment activities, while potentially beneficial long-term, may reduce short-term liquidity, affecting operational flexibility.

Kinetic Mines & Energy Ltd. Business Overview & Revenue Model

Company Description

Kinetic Mines & Energy Ltd. (1277) is a Hong Kong-based company primarily engaged in the exploration and development of mining resources and energy-related projects. The company operates in the mining sector, focusing on the extraction of minerals and metals, and is involved in energy generation, particularly in renewable energy initiatives. Kinetic Mines & Energy aims to leverage its expertise in resource management to contribute to sustainable energy solutions while maximizing shareholder value.

How the Company Makes Money

Kinetic Mines & Energy Ltd. generates revenue through multiple streams, primarily from the sale of extracted minerals and metals to industrial clients and manufacturers. The company capitalizes on the high demand for raw materials in various sectors, including construction and manufacturing. Additionally, Kinetic Mines & Energy has entered into strategic partnerships with other firms for joint ventures in mining projects, which not only diversifies its income sources but also reduces operational risks. The company may also earn revenue through energy generation, particularly from renewable sources, which can provide a steady income stream through power sales. Factors contributing to its earnings include commodity price fluctuations, operational efficiency, and the demand for sustainable energy solutions in the market.

Kinetic Mines & Energy Ltd. Financial Statement Overview

Summary

Kinetic Mines & Energy Ltd. demonstrates strong financial performance with robust profit margins and efficient cash conversion. The company shows solid revenue growth and operational efficiency, though it faces potential risks from market volatility and increasing liabilities.

Income Statement

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

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

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.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.61B	5.66B	4.75B	6.16B	5.58B	2.96B
Gross Profit	2.75B	3.12B	2.80B	4.02B	3.60B	1.28B
EBITDA	2.30B	3.00B	2.68B	3.82B	3.56B	1.36B
Net Income	1.58B	2.11B	2.08B	2.66B	2.47B	814.80M
Balance Sheet
Total Assets	14.39B	12.99B	10.94B	9.49B	6.04B	3.67B
Cash, Cash Equivalents and Short-Term Investments	601.91M	964.35M	954.74M	742.76M	2.66B	1.34B
Total Debt	902.63M	955.88M	1.31B	978.44M	277.96M	210.41M
Total Liabilities	6.15B	4.72B	3.52B	3.18B	1.47B	912.93M
Stockholders Equity	8.18B	8.23B	7.37B	6.33B	4.58B	2.76B
Cash Flow
Free Cash Flow	1.14B	1.90B	1.22B	787.50M	-1.27B	1.11B
Operating Cash Flow	1.30B	2.35B	1.71B	3.09B	3.03B	1.20B
Investing Cash Flow	-424.99M	-818.88M	-903.88M	-4.28B	-873.80M	-540.80M
Financing Cash Flow	-589.90M	-1.63B	-620.77M	-649.88M	-641.01M	-275.20M

Kinetic Mines & Energy Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1277, the sentiment is Neutral. The current price of 1.59 is below the 20-day moving average (MA) of 1.67, above the 50-day MA of 1.47, and above the 200-day MA of 1.21, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 48.43 is Neutral, neither overbought nor oversold. The STOCH value of 5.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1277.

Kinetic Mines & Energy Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1277	81 Outperform	HK$13.32B	7.81	19.63%	8.18%	-2.79%	-39.45%
0639	79 Outperform	HK$15.63B	14.43	6.64%	8.79%	-5.78%	-29.52%
1733	73 Outperform	€2.43B	8.83	3.21%	21.38%	-23.72%	-86.69%
2798	69 Neutral	€1.60B	7.95	6.31%	4.13%	-26.28%	-69.55%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
0975	58 Neutral	$10.28B	16.19	6.76%	―	-20.50%	-64.45%
0866	45 Neutral	HK$7.38B	20.21	81.71%	1.43%	-20.71%	209.68%

Kinetic Mines & Energy Ltd. Corporate Events

Kinetic Development Group Expands Stake in MC Mining and Advances Makhado Project

Kinetic Development Group Limited has announced the successful completion of the first to fifth tranches of its share subscription in MC Mining, now holding approximately 40.13% of the enlarged issued share capital. The Makhado Project, MC Mining’s flagship coal development in South Africa, is progressing well with key infrastructure expected to be completed by December 2025, positioning the company for coal output and joint commissioning by January 2026. This strategic move is seen as a significant opportunity for Kinetic to expand its stake to 51% and participate in the growth of a high-quality mining asset.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.

Kinetic Development Group Announces Interim Dividend for 2025

Kinetic Development Group Limited has announced an interim dividend for the six months ending June 30, 2025, with a declared dividend of HKD 0.015 per share. The payment will be distributed in four phases, starting on November 10, 2025, and ending on February 27, 2026, reflecting the company’s commitment to returning value to its shareholders.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.

Kinetic Development Group Announces Interim Dividend for 2025

Kinetic Development Group Limited has announced an interim ordinary dividend of HKD 0.015 per share for the six months ending June 30, 2025. The dividend will be paid in four phases, with the first two payments scheduled for November and December 2025, and the remaining payments in January and February 2026. This announcement reflects the company’s ongoing commitment to returning value to its shareholders.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.

Kinetic Development Group Announces Interim Dividend for 2025

Kinetic Development Group Limited has announced an interim dividend for the six months ending June 30, 2025. The dividend, amounting to HKD 0.01 per share, will be distributed in four phases, with payments scheduled on or before November 10, 2025, December 19, 2025, January 30, 2026, and February 27, 2026. This announcement reflects the company’s ongoing commitment to returning value to its shareholders.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.

Kinetic Development Group Announces Interim Dividend for 2025

Kinetic Development Group Limited has announced an interim cash dividend for the six months ending 30 June 2025, declaring a dividend of HKD 0.01 per share. The dividend will be paid in four phases, with the final payment scheduled for 27 February 2026. This announcement reflects the company’s ongoing commitment to providing returns to its shareholders.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.

Kinetic Mines & Energy Ltd. Reports Decline in H1 2025 Financial Performance

Kinetic Mines & Energy Ltd. reported a decline in its financial performance for the first half of 2025 compared to the same period in 2024. The company’s revenue slightly decreased by 0.9%, with a significant drop in the coal mining segment by 7.1%. Gross profit fell by 24.3%, and net profit margin decreased by 20.7 percentage points. Despite these declines, the company increased its interim dividend per share from HKD4.0 cents to HKD5.0 cents, indicating a commitment to returning value to shareholders.

The most recent analyst rating on (HK:1277) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kinetic Mines & Energy Ltd. stock, see the HK:1277 Stock Forecast page.