CGN Power Co (1816) AI Stock Analysis

• Market Cap: HK$198.90B
• Dividend Yield: 3.55%
• Average Volume (3M): 66.69M
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.27
• Revenue Growth: -1.16%
• EPS Growth: -14.97%
• Country: HK
• Employees: 20,453
• Sector: Utilities
• Sector Strength: 65
• Industry: Independent Power Producers
• EPS (TTM): 0.06
• Shares Outstanding: 11,163,625,000
• 10 Day Avg. Volume: 87,436,701
• 30 Day Avg. Volume: 66,688,277
• PEG Ratio: 0.00
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 1.56
• P/FCF Ratio: 7.37
• 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$3.57
• Price Target Upside: 13.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ―

CGN Power Co's strong financial performance is the primary driver of its stock score, supported by solid profitability and cash flow management. The valuation is reasonable with an attractive dividend yield, while technical analysis shows mixed signals. The absence of recent earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business operations, supporting long-term financial stability.

Cash Flow Management

Effective cash flow management ensures liquidity and financial flexibility, enabling the company to invest in growth opportunities and manage debt.

Profitability

Strong profitability margins reflect efficient operations and cost management, contributing to sustainable financial health.

Negative Factors

Earnings Per Share Decline

A decline in EPS growth can signal challenges in maintaining profitability, potentially impacting investor confidence and future earnings potential.

High Leverage

High leverage increases financial risk and interest obligations, which can strain cash flows and limit strategic flexibility in adverse conditions.

Free Cash Flow Decline

A decline in free cash flow growth may affect the company's ability to fund new projects or return capital to shareholders, impacting long-term growth prospects.

CGN Power Co Business Overview & Revenue Model

Company Description

CGN Power Co., Ltd. (stock code 1816) is a leading nuclear power producer in China, primarily engaged in the development, operation, and management of nuclear power plants. The company is a subsidiary of China General Nuclear Power Group (CGN), and it plays a crucial role in China's energy landscape by providing safe, reliable, and environmentally friendly electricity. CGN Power operates several nuclear facilities across the country, contributing significantly to the country's efforts in reducing carbon emissions and transitioning to clean energy sources.

How the Company Makes Money

CGN Power generates revenue primarily through the sale of electricity produced by its nuclear power plants. The company operates under a regulated pricing framework, which ensures a stable income stream as electricity prices are often set by government authorities. Key revenue streams include the sale of electricity to state-owned power grid operators, long-term power purchase agreements, and incentives for renewable energy generation. Additionally, CGN Power may benefit from government subsidies and support for nuclear energy development. The company's strategic partnerships with other energy firms and government entities also enhance its operational efficiency and market reach, further solidifying its financial performance.

CGN Power Co Financial Statement Overview

Summary

CGN Power Co presents a strong financial position with consistent revenue growth, solid profitability, and effective cash flow management. The financial statements reflect a stable and growing company, well-equipped to manage industry challenges and capitalize on opportunities.

Income Statement

CGN Power Co shows a robust financial performance with steady revenue growth from 2023 to 2024 at 5.15%. The gross profit margin remains solid at approximately 34%, and the net profit margin is stable at around 12.5%. The EBIT and EBITDA margins are strong, indicating efficient operations and profitability. Overall, the income statement reflects a healthy trajectory with consistent profitability and growth.

Balance Sheet

The company maintains a stable balance sheet with a debt-to-equity ratio of 1.67, reflecting moderate leverage. Return on equity (ROE) is around 9%, indicating decent profitability relative to shareholders' equity. The equity ratio stands at 28%, suggesting a balanced capital structure. While the company is well-capitalized, there is potential risk from high leverage which should be monitored.

Cash Flow

CGN Power Co demonstrates strong cash flow management with consistent free cash flow generation. The operating cash flow to net income ratio is approximately 3.52, indicating effective cash conversion. The free cash flow growth rate from 2023 to 2024 shows a slight decline of 2.78%, but overall, cash flow remains robust. The company exhibits a solid ability to generate cash, supporting its financial stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	86.37B	86.80B	82.55B	82.82B	80.68B	70.58B
Gross Profit	27.71B	29.41B	29.69B	27.54B	26.78B	25.54B
EBITDA	35.06B	37.76B	38.18B	33.87B	34.41B	34.16B
Net Income	9.66B	10.81B	10.72B	9.96B	9.76B	9.56B
Balance Sheet
Total Assets	436.77B	425.40B	415.25B	409.02B	399.99B	391.90B
Cash, Cash Equivalents and Short-Term Investments	20.36B	16.79B	15.58B	14.84B	15.83B	12.13B
Total Debt	209.67B	199.34B	207.29B	206.42B	210.49B	213.21B
Total Liabilities	263.05B	253.08B	249.95B	251.09B	249.08B	250.27B
Stockholders Equity	120.70B	119.44B	113.24B	107.03B	100.91B	95.27B
Cash Flow
Free Cash Flow	12.94B	18.35B	18.87B	19.53B	20.47B	16.65B
Operating Cash Flow	37.27B	38.02B	33.12B	31.37B	34.91B	30.15B
Investing Cash Flow	-24.62B	-20.17B	-12.51B	-14.38B	-14.57B	-11.76B
Financing Cash Flow	-12.28B	-17.97B	-19.09B	-20.90B	-17.49B	-24.37B

CGN Power Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.16
• 50DMA: Negative
• 100DMA: Negative
• 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:1816, the sentiment is Negative. The current price of 3.16 is above the 20-day moving average (MA) of 3.00, above the 50-day MA of 3.07, and above the 200-day MA of 2.79, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 42.47 is Neutral, neither overbought nor oversold. The STOCH value of 25.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1816.

CGN Power Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1071	73 Outperform	HK$64.28B	7.86	14.91%	5.62%	8.09%	24.77%
1816	73 Outperform	HK$198.90B	14.47	7.61%	3.55%	-1.16%	-14.97%
0836	73 Outperform	HK$91.17B	6.93	13.23%	5.96%	1.42%	-10.32%
0991	68 Neutral	HK$61.58B	8.32	20.65%	5.70%	-0.44%	333.39%
0916	67 Neutral	HK$106.32B	10.00	6.88%	5.38%	-9.28%	-7.71%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
0902	63 Neutral	HK$123.48B	10.00	8.00%	4.71%	-3.78%	34.93%

CGN Power Co Corporate Events

CGN Power Co. Initiates Construction of Zhaoyuan Unit 1

CGN Power Co., Ltd. has announced the commencement of full-scale construction of Zhaoyuan Unit 1, a nuclear reactor with a capacity of 1,214MW, set to begin on November 18, 2025. This development marks a significant step in the company’s expansion and utilization of HPR1000 nuclear power technology, potentially enhancing its market position and operational capabilities.

CGN Power Expands with Strategic Acquisition of Nuclear Subsidiaries

CGN Power Co., Ltd. has completed the acquisition of equity interests in four nuclear power companies, including Huizhou Nuclear Power and Zhanjiang Nuclear Power, making them subsidiaries. This strategic acquisition enhances CGN Power’s operational capacity and strengthens its position in the nuclear power sector, potentially benefiting stakeholders through increased market share and operational efficiencies.

CGN Power Co. Sets Up Remuneration Committee to Enhance Governance

CGN Power Co., Ltd. has established a remuneration committee under its board of directors to oversee and formulate remuneration policies for directors and senior management. This committee, comprising mainly independent directors, is tasked with setting assessment standards, reviewing remuneration mechanisms, and making recommendations on equity incentive plans and other relevant matters, thereby ensuring transparent and fair compensation practices within the company.

CGN Power Co. Strengthens Nuclear Safety Oversight with New Committee

CGN Power Co., Ltd. has established a Nuclear Safety Committee under its Board of Directors to enhance the oversight and reliability of its nuclear power operations. This committee, comprising directors from diverse backgrounds, is tasked with reviewing nuclear safety reports and trends, thereby providing strategic advice to the Board. The initiative underscores the company’s commitment to maintaining high safety standards and protecting shareholder interests.

CGN Power Co., Ltd. Releases Q3 2025 Financial Results

CGN Power Co., Ltd. has released its unaudited financial results for the third quarter of 2025, highlighting its performance for the nine months ending September 30, 2025. The report, prepared according to Chinese accounting standards, underscores the company’s commitment to transparency and accuracy in financial reporting, although it has not been audited. The announcement also notes recent acquisitions, including Huizhou Nuclear and Taishan No. 2 Nuclear Power, which are expected to impact the company’s operational capacity and market positioning.

CGN Power Co. Restructures Project Management for Lufeng Nuclear Units

CGN Power Co., Ltd. announced a change in the implementing entity for its Guangdong Lufeng Nuclear Power Station Unit 5 and Unit 6 Project. The company has established a new wholly-owned subsidiary, CGN Eastern Guangdong (Lufeng) Nuclear Co., Ltd., to take over the responsibilities from the previous entity, CGN Lufeng Nuclear Power Co., Ltd. This strategic move aims to better manage nuclear power projects at various phases within the same base, potentially enhancing operational efficiency and project management.

CGN Power Co. Strengthens Governance with New Audit and Risk Management Committee

CGN Power Co., Ltd. has established terms of reference for its Audit and Risk Management Committee, effective upon board approval on October 28, 2025. This committee, composed mainly of independent directors, is tasked with overseeing the company’s financial and operational integrity, ensuring compliance with domestic and international regulations, and safeguarding shareholder interests. The establishment of this committee reflects CGN Power’s commitment to robust corporate governance and risk management practices, potentially enhancing its credibility and stability in the energy market.

CGN Power Co. Enhances Governance with New Nomination Committee

CGN Power Co., Ltd. has established a nomination committee under its board of directors to enhance corporate governance. The committee is tasked with reviewing the board’s structure and diversity, recommending qualified candidates for directors and senior management, and ensuring compliance with relevant regulations. This move is expected to strengthen the company’s strategic alignment and operational efficiency.

CGN Power Co. Approves Key Resolutions at 2025 Shareholders’ Meetings

CGN Power Co., Ltd. announced the results of its 2025 First Extraordinary General Meeting and related shareholders’ meetings held on October 16, 2025, in Shenzhen. The meetings resulted in the approval of all proposed resolutions, including the abolishment of the Supervisory Committee and a significant transaction involving the acquisition of equity interests in four companies, which could impact the company’s strategic positioning and operational capabilities.

CGN Power Co. Reports Growth in Power Generation for 2025

CGN Power Co., Ltd. reported a year-on-year increase in total power generation and on-grid power generation for the period from January to September 2025, with figures reaching approximately 182,821.72 GWh and 172,178.69 GWh respectively. The company completed several refuelling outages and advanced construction work on new units, indicating a robust operational status and potential for future growth in the nuclear energy sector.

CGN Power Co. Schedules Board Meeting to Review Q3 Results

CGN Power Co., Ltd. has announced that its board of directors will convene on October 28, 2025, to review and approve the company’s third-quarter results for the period ending September 30, 2025. This meeting is significant as it will provide insights into the company’s financial performance and operational progress, potentially impacting its market positioning and stakeholder interests.

CGN Power Co. Announces 2025 H Shareholders’ Class Meeting

CGN Power Co., Ltd. has announced the convening of its 2025 second H Shareholders’ Class Meeting scheduled for October 16, 2025, in Shenzhen, China. The meeting will address special resolutions concerning amendments to the Articles of Association and the Procedural Rules of General Meetings, which could impact the governance and operational procedures of the company.

CGN Power Co. Announces Key Resolutions for 2025 EGM

CGN Power Co., Ltd. has announced the convening of its 2025 first extraordinary general meeting to discuss several key resolutions. These include the acquisition of equity interests in four companies, amendments to the Articles of Association, and changes to the procedural rules of the board and remuneration proposals. These decisions are poised to impact the company’s governance structure and operational strategies, potentially affecting its market positioning and stakeholder relations.

CGN Power Co. Delays Circular on Major Acquisition

CGN Power Co., Ltd. announced a delay in the publication of a circular related to its acquisition of equity interests in four nuclear power companies, including Huizhou Nuclear Power. The delay is due to the need for additional time to prepare and confirm relevant information, with the new expected publication date set on or before September 30, 2025. This acquisition and the revision of annual caps for technical support services are significant for the company’s operational expansion and market positioning.