China Coal Energy Co (1898) AI Stock Analysis

• Market Cap: HK$171.98B
• Dividend Yield: 4.54%
• Average Volume (3M): 18.81M
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.41
• Revenue Growth: -3.42%
• EPS Growth: -18.73%
• Country: HK
• Employees: 46,452
• Sector: Energy
• Sector Strength: 52
• Industry: Coal
• EPS (TTM): 0.40
• Shares Outstanding: 4,106,663,000
• 10 Day Avg. Volume: 17,323,776
• 30 Day Avg. Volume: 18,809,211
• PEG Ratio: -0.94
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 7.20
• 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$11.21
• Price Target Upside: 0.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): 1.34
• Revenue Forecast (FY): HK$181.68B

• Rating: 64 Neutral
• Price Target: HK$11.50 ▲(3.60% Upside)

China Coal Energy Co's stock score is primarily influenced by its solid valuation, with a low P/E ratio and attractive dividend yield. However, financial performance concerns, particularly in revenue and cash flow, and weak technical indicators weigh down the overall score.

China Coal Energy Co Business Overview & Revenue Model

Company Description

China Coal Energy Co., Ltd. (stock code: 1898) is one of the largest coal producers in China, primarily engaged in the exploration, mining, and sales of coal, as well as the production of coal-related products. The company operates in various segments, including coal production, coal chemical products, and power generation, positioning itself as a key player in the energy sector. With extensive mining operations across several provinces in China, China Coal Energy is also involved in the development of coal-to-liquid (CTL) and coal-to-gas (CTG) technologies, contributing to its diversified portfolio.

How the Company Makes Money

China Coal Energy generates revenue primarily through the sale of coal, which constitutes the bulk of its earnings. The company benefits from high demand for coal in China, driven by the country's heavy reliance on coal for electricity generation and industrial use. Additional revenue streams include the production and sale of coal chemical products, such as methanol and urea, which are used in various industries, including agriculture and manufacturing. The company also earns income from its power generation segment, which leverages its coal resources to produce electricity. Significant partnerships with other energy companies and government entities, along with strategic investments in technology for cleaner coal utilization, further enhance its revenue potential.

China Coal Energy Co Financial Statement Overview

Summary

China Coal Energy Co demonstrates operational efficiency with solid profit margins and a stable balance sheet. However, challenges include declining revenue growth and significant reductions in free cash flow, impacting future financial flexibility. Moderate leverage and decent return on equity provide some stability.

Income Statement

The income statement shows a decline in revenue growth, with a negative growth rate of -6.67% in the TTM period. However, the company maintains a solid gross profit margin of 23.94% and a net profit margin of 10.09%. The EBIT and EBITDA margins are healthy at 15.34% and 21.37%, respectively, indicating operational efficiency despite revenue challenges.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.43, indicating moderate leverage. The return on equity is 11.26%, showing decent profitability for shareholders. The equity ratio stands at 43.57%, suggesting a strong equity base relative to total assets.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth at -56.31% in the TTM period, which is a concern. The operating cash flow to net income ratio is 1.65, indicating good cash generation relative to net income. However, the free cash flow to net income ratio is lower at 0.17, reflecting reduced cash available after capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	161.59B	181.91B	192.97B	220.58B	239.83B	140.96B
Gross Profit	30.19B	37.92B	48.25B	55.42B	42.27B	24.53B
EBITDA	32.35B	43.30B	44.30B	51.14B	40.51B	25.64B
Net Income	16.07B	18.16B	19.53B	18.26B	13.74B	5.91B
Balance Sheet
Total Assets	356.79B	357.79B	349.36B	340.11B	321.74B	281.69B
Cash, Cash Equivalents and Short-Term Investments	68.92B	76.78B	91.54B	91.03B	72.92B	35.95B
Total Debt	66.44B	64.39B	73.52B	85.66B	97.33B	95.59B
Total Liabilities	160.75B	165.77B	166.58B	175.05B	179.34B	157.83B
Stockholders Equity	155.51B	151.71B	144.12B	130.76B	113.79B	102.00B
Cash Flow
Free Cash Flow	4.65B	16.07B	25.39B	33.88B	37.68B	12.32B
Operating Cash Flow	26.55B	34.14B	42.97B	43.63B	48.11B	22.63B
Investing Cash Flow	-25.75B	-12.05B	-15.06B	-22.05B	-25.38B	-14.24B
Financing Cash Flow	-19.54B	-23.88B	-26.30B	-22.69B	-6.70B	-5.47B

China Coal Energy Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.10
• 50DMA: Negative
• 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:1898, the sentiment is Positive. The current price of 11.1 is above the 20-day moving average (MA) of 10.46, above the 50-day MA of 10.87, and above the 200-day MA of 9.22, indicating a neutral trend. The MACD of -0.20 indicates Positive momentum. The RSI at 44.97 is Neutral, neither overbought nor oversold. The STOCH value of 36.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1898.

China Coal Energy Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1277	81 Outperform	HK$11.13B	6.52	19.63%	9.85%	-2.79%	-39.45%
0639	79 Outperform	HK$14.76B	13.63	6.64%	9.38%	-5.78%	-29.52%
1088	78 Outperform	$861.60B	13.28	―	9.16%	-13.87%	-15.41%
1171	72 Outperform	$126.33B	7.99	―	7.96%	0.80%	-35.81%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
1898	64 Neutral	HK$171.98B	8.45	10.99%	4.54%	-3.42%	-18.73%
0975	58 Neutral	HK$11.01B	17.28	6.76%	―	-20.50%	-64.45%

China Coal Energy Co Corporate Events

China Coal Energy Reports Mixed Operational Data for October 2025

China Coal Energy Company Limited reported its major productive and operational data for October 2025, highlighting a slight increase in the production volume of commercial coal by 0.9% compared to October 2024, while sales volume saw a decline of 12.8%. The company also experienced mixed results in its coal chemical operations, with notable increases in the production of polyethylene and polypropylene, but declines in sales volumes. The production of urea and methanol showed a decrease in volume but an increase in sales, while ammonium nitrate production saw a modest rise. The coal mining equipment sector faced a significant decrease in production value by 19.4%. These figures reflect the company’s operational adjustments amid changing market conditions and external factors, impacting its industry positioning and stakeholder interests.

China Coal Energy Announces Executive Leadership Change

China Coal Energy Company Limited announced the resignation of Mr. Zhao Rongzhe from his roles as executive director and president due to retirement. His departure marks the end of a tenure characterized by significant contributions to the company’s development, particularly in strategic and environmental areas. The board expressed gratitude for his diligent service, indicating a smooth transition without any disagreements or issues affecting stakeholders.

China Coal Energy Co Announces Board Composition and Committee Roles

China Coal Energy Co has announced the composition of its board of directors and the roles of its members. The board has established five committees, each chaired by different directors, to oversee various strategic, investment, nomination, audit, risk management, remuneration, assessment, and safety, health, and environmental protection functions. This structured governance approach aims to enhance operational efficiency and ensure comprehensive oversight across all areas of the company’s operations.

China Coal Energy Reports Decline in Q3 2025 Revenue and Profits

In its third quarterly report for 2025, China Coal Energy reported a decline in operational revenue and profits compared to the previous year, with operational revenue down by 23.8% and total profit decreasing by 10.7% for the reporting period. Despite these declines, the company saw a slight increase in total assets and owners’ equity, indicating some resilience in its financial structure. The report highlights challenges in the coal industry, reflecting broader market conditions and potential impacts on stakeholders.

China Coal Energy Co Expands Stake in New Energy Company

China Coal Energy Co, through its subsidiary Pingshuo Group, has announced the acquisition of a 30% equity interest in New Energy Company from Pingshuo Development Company for RMB114,930,000. This strategic move will make New Energy Company a wholly-owned subsidiary of China Coal Energy Co, potentially enhancing its capabilities and market positioning in the new energy sector.

China Coal Energy Announces Q3 2025 Results Briefing

China Coal Energy Company Limited announced it will release its third-quarter 2025 financial results on October 27, 2025, followed by a results briefing on October 28, 2025. The briefing aims to provide investors with a comprehensive understanding of the company’s performance and operations, facilitating interaction through various platforms. This initiative reflects the company’s commitment to transparency and stakeholder engagement.

China Coal Energy Reports Mixed September 2025 Operational Data

In September 2025, China Coal Energy Company Limited reported a decline in the production and sales volumes of commercial coal compared to the previous year, with sales dropping by 20.1%. However, the company saw significant increases in the production and sales of urea and methanol, indicating a shift in operational focus or market demand. Despite the fluctuations in coal operations, the production value of coal mining equipment showed a slight increase, suggesting resilience in this segment. These changes reflect the company’s adaptability to varying market conditions and potential strategic shifts in its operations.

China Coal Energy Schedules Board Meeting to Review Quarterly Results

China Coal Energy Company Limited has announced that its board of directors will meet on October 27, 2025, to review and approve the company’s quarterly financial results for the nine months ending September 30, 2025. This meeting is significant as it will provide insights into the company’s financial health and operational performance, potentially impacting its market positioning and stakeholder interests.

China Coal Energy Reports Mixed Operational Results for August 2025

In August 2025, China Coal Energy Company Limited reported a decline in both production and sales volumes of commercial coal compared to the previous year, with a notable decrease of 12.8% in sales volume. However, the company saw significant increases in the production and sales of urea and methanol, indicating a potential strategic shift or diversification in its operations. These changes reflect the company’s adaptation to varying market conditions and external factors, which could have implications for its stakeholders and market positioning.