Beijing Urban Construction Design & Development Grp Co., Ltd Class H (1599) AI Stock Analysis

• Market Cap: HK$1.94B
• Dividend Yield: 8.17%
• Average Volume (3M): 536.10K
• Price to Earnings (P/E): 3.5
• Beta (1Y): 0.71
• Revenue Growth: -17.82%
• EPS Growth: -41.82%
• Country: HK
• Employees: 4,739
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.20
• Shares Outstanding: 387,936,980
• 10 Day Avg. Volume: 351,500
• 30 Day Avg. Volume: 536,100
• PEG Ratio: -0.09
• Price to Book (P/B): 0.26
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 3.40
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: HK$1.50 ▲(10.29% Upside)

The stock's valuation is its strongest aspect, with a low P/E ratio and high dividend yield. However, financial performance concerns, particularly in profitability and cash flow, and neutral technical indicators moderate the overall score.

Beijing Urban Construction Design & Development Grp Co., Ltd Class H Business Overview & Revenue Model

Company Description

Beijing Urban Construction Design & Development Group Co., Limited, together with its subsidiaries, provides infrastructure construction services in China and internationally. It operates through two segments, Design, Survey, and Consultancy; and Construction Contracting. The company offers designing, surveying and mapping, monitoring, and consulting services for engineering of urban rail transit, industrial and civil construction, and municipal engineering projects; and construction contracting services for urban rail transit and the service concession arrangements under the build-operate-transfer arrangements. It also provides engineering consulting, monitoring, and testing services; rail transit engineering consulting services; technical consulting and technical services; advisory services; and investment management services. In addition, the company is involved in property management activities; and construction project investment, construction, and operation maintenance activities, as well as railway operation management activities. The company was formerly known as Beijing Urban Construction Design & Research Institute Co., Ltd. and changed its name to Beijing Urban Construction Design & Development Group Co., Limited in October 2013. Beijing Urban Construction Design & Development Group Co., Limited was founded in 1958 and is based in Wanchai, Hong Kong.

How the Company Makes Money

The company generates revenue through several key streams, including contracts for construction projects, design services, and real estate sales. It typically enters into contracts with government agencies and private sector clients for large-scale infrastructure projects, which provide a steady income flow. Additionally, the company profits from developing and selling residential and commercial properties, capitalizing on China's ongoing urbanization. Significant partnerships with local governments and private developers also enhance its project pipeline and revenue potential. Furthermore, the company may engage in joint ventures to share risks and expand its reach in new markets.

Beijing Urban Construction Design & Development Grp Co., Ltd Class H Financial Statement Overview

Summary

The company shows stable equity and manageable debt levels, but declining profitability and cash flow challenges pose risks. The need for strategic adjustments is evident to improve revenue growth and cash flow stability.

Income Statement

The company has shown moderate revenue growth over the years, but recent figures indicate a decline. Gross profit margins have been consistent, which is positive. However, there is a noticeable decline in net profit margin and EBIT margin, reflecting a drop in profitability recently. This suggests potential challenges in managing costs or pricing pressures.

Balance Sheet

The balance sheet shows a stable equity position with a moderate debt-to-equity ratio, indicating manageable leverage. Return on equity has declined, reflecting reduced profitability. The equity ratio is solid, suggesting good asset financing through equity rather than excessive debt, which is a positive factor for stability.

Cash Flow

Operating cash flow has been volatile, with recent periods showing negative free cash flow, indicating strain in cash generation. The lack of free cash flow growth and a zero operating cash flow to net income ratio in the latest period raise concerns about cash management and liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.06B	8.66B	10.36B	10.43B	10.26B	9.45B
Gross Profit	1.43B	1.56B	1.89B	1.84B	1.87B	1.73B
EBITDA	536.56M	577.01M	1.55B	395.15M	685.41M	702.26M
Net Income	383.13M	516.91M	872.85M	959.16M	920.64M	786.53M
Balance Sheet
Total Assets	23.65B	24.54B	24.85B	23.94B	24.67B	21.06B
Cash, Cash Equivalents and Short-Term Investments	1.93B	3.04B	3.31B	4.24B	4.15B	3.53B
Total Debt	6.66B	6.62B	6.91B	6.90B	7.20B	5.53B
Total Liabilities	15.61B	16.61B	17.22B	16.95B	18.25B	15.31B
Stockholders Equity	7.80B	7.70B	7.40B	6.80B	6.15B	5.45B
Cash Flow
Free Cash Flow	330.54M	584.47M	-163.74M	951.53M	233.50M	604.27M
Operating Cash Flow	365.15M	683.88M	328.60M	1.15B	383.74M	734.99M
Investing Cash Flow	-125.79M	-188.99M	-616.25M	-323.43M	-703.87M	-942.48M
Financing Cash Flow	-623.53M	-763.87M	-644.04M	-853.37M	1.02B	-127.39M

Beijing Urban Construction Design & Development Grp Co., Ltd Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.36
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1599, the sentiment is Positive. The current price of 1.36 is below the 20-day moving average (MA) of 1.40, below the 50-day MA of 1.42, and below the 200-day MA of 1.36, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 59.94 is Neutral, neither overbought nor oversold. The STOCH value of 84.49 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1599.

Beijing Urban Construction Design & Development Grp Co., Ltd Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1627	―	HK$1.46B	6.39	13.63%	8.22%	44.58%	11.62%
1599	―	HK$1.94B	3.46	―	8.17%	-17.82%	-41.82%
2355	―	€2.11B	11.09	1.40%	3.12%	-27.65%	-68.36%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1727	―	HK$792.62M	4.96	2.36%	―	-25.79%	-18.64%
1499	―	HK$1.42B	-91.38	-10.00%	―	25.70%	61.33%

Beijing Urban Construction Design & Development Grp Co., Ltd Class H Corporate Events

Beijing Urban Construction Renews Key Agreements with BUCG

Beijing Urban Construction Design & Development Group Co., Ltd has renewed its Integrated Services Framework Agreement and Property and Land Leasing Framework Agreement with its controlling shareholder, BUCG, for three more years starting January 2026. These agreements, which are significant due to BUCG’s 42.34% stake in the company, are subject to Hong Kong Listing Rules, requiring reporting, announcement, and independent shareholder approval due to the high applicable percentage ratios of the transactions.

The most recent analyst rating on (HK:1599) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Beijing Urban Construction Design & Development Grp Co., Ltd Class H stock, see the HK:1599 Stock Forecast page.

Beijing Urban Construction Wins Major Project Bids Worth RMB3,175 Million

Beijing Urban Construction Design & Development Group Co., Ltd announced that it has secured major project bids totaling approximately RMB3,175 million for the third quarter of 2025. The projects span various segments, with RMB250 million in the survey, design, and consultancy segment, and RMB2,925 million in the construction general contracting segment. This achievement underscores the company’s robust market positioning and its capability to secure significant contracts, potentially enhancing its operational scope and stakeholder value.

The most recent analyst rating on (HK:1599) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Beijing Urban Construction Design & Development Grp Co., Ltd Class H stock, see the HK:1599 Stock Forecast page.

Beijing Urban Construction Design & Development Announces 2025 Interim Results

Beijing Urban Construction Design & Development Group Co., Limited announced its unaudited interim results for the first half of 2025, showing compliance with the Hong Kong Stock Exchange’s requirements. The results, which have been reviewed by the company’s audit committee, will be available online in September 2025, providing stakeholders with insights into the company’s financial standing and operational performance during this period.

The most recent analyst rating on (HK:1599) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Beijing Urban Construction Design & Development Grp Co., Ltd Class H stock, see the HK:1599 Stock Forecast page.

Beijing Urban Construction Design & Development Group Announces Board Meeting for Interim Results

Beijing Urban Construction Design & Development Group Co., Limited has announced a board meeting scheduled for 28 August 2025 to consider and approve the unaudited interim results for the first half of 2025. This meeting is significant as it will provide insights into the company’s financial performance and operational progress, impacting stakeholders’ perspectives and potentially influencing market positioning.

Beijing Urban Construction Issues Profit Warning Amid Industry Challenges

Beijing Urban Construction Design & Development Group Co., Ltd has issued a profit warning for the first half of 2025, anticipating a significant decrease in both revenue and net profit compared to the same period in 2024. The company attributes this decline to a lower conversion rate of new rail construction projects due to macroeconomic conditions, policy adjustments affecting the urban rail transit industry, and reduced construction revenue following the completion of a major project. The financial results are still being finalized and may be subject to adjustments.