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Wharf Real Estate Investment Co
(1997)
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Rating:58Neutral
Price Target:
HK$22.00
â–¼(-8.79% Downside)
Action:Reiterated
Date:04/14/26
The score is supported by a conservative balance sheet and consistently positive cash generation, but held back by weak/declining profitability (including a material 2025 loss) and bearish technical signals. A high dividend yield helps, though the negative P/E underscores earnings risk.
Positive Factors
Conservative balance sheet
Low leverage and declining debt provide durable financial flexibility in a cyclical property market. This reduces refinancing risk, supports funding for development or capital expenditure, and preserves credit capacity, making the firm more resilient to property cycles over the next several months.
Negative Factors
Volatile profitability and 2025 loss
Large swings into a material loss weaken earnings visibility and undermine confidence in recurring profitability. This volatility can impede sustained dividend policy, constrain reinvestment plans and complicate forecasting, reflecting sensitivity to valuation and cyclical market conditions.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Low leverage and declining debt provide durable financial flexibility in a cyclical property market. This reduces refinancing risk, supports funding for development or capital expenditure, and preserves credit capacity, making the firm more resilient to property cycles over the next several months.
Read all positive factors
Wharf Real Estate Investment Co (1997) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$69.35B
Dividend Yield5.04%
Average Volume (3M)4.00M
Price to Earnings (P/E)―
Beta (1Y)0.93
Revenue Growth-0.75%
EPS Growth-577.88%
CountryHK
Employees2,900
SectorReal Estate
Sector Strength53
IndustryReal Estate - Services
Share Statistics
EPS (TTM)-1.40
Shares Outstanding3,036,227,300
10 Day Avg. Volume3,626,616
30 Day Avg. Volume4,004,247
Financial Highlights & Ratios
PEG Ratio0.03
Price to Book (P/B)0.41
Price to Sales (P/S)5.82
P/FCF Ratio11.09
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
HK$32.67Price Target Upside35.43% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)2.17
Revenue Forecast (FY)HK$12.71B
Wharf Real Estate Investment Co Business Overview & Revenue Model
Company Description
Wharf Real Estate Investment Company Limited operates as an investment holding entity, specializing in the investment, development, ownership, and operation of real estate and hospitality assets. Its activities span Hong Kong, Mainland China, and ...
How the Company Makes Money
The company makes money primarily through returns generated from its real estate-related holdings and activities. Key revenue streams include (1) rental and leasing income from investment properties (recurring revenue driven by occupancy levels, l...
Wharf Real Estate Investment Co Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
78
Positive
Cash Flow
74
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 12.81B | 12.91B | 13.31B | 12.41B | 16.04B |
| Gross Profit | 10.03B | 10.34B | 10.68B | 9.65B | 10.38B |
| EBITDA | 9.57B | 9.94B | 10.24B | 9.12B | 9.21B |
| Net Income | -4.26B | 891.00M | 4.77B | -8.86B | 4.39B |
Balance Sheet | |||||
| Total Assets | 229.69B | 238.07B | 245.32B | 255.25B | 272.27B |
| Cash, Cash Equivalents and Short-Term Investments | 2.03B | 1.31B | 1.12B | 1.34B | 1.80B |
| Total Debt | 34.01B | 35.54B | 37.42B | 46.49B | 49.33B |
| Total Liabilities | 43.63B | 46.09B | 49.72B | 60.37B | 61.39B |
| Stockholders Equity | 181.71B | 187.82B | 191.41B | 190.36B | 206.11B |
Cash Flow | |||||
| Free Cash Flow | 6.73B | 6.30B | 5.82B | 6.65B | 7.77B |
| Operating Cash Flow | 6.77B | 6.34B | 5.87B | 6.69B | 7.97B |
| Investing Cash Flow | -61.00M | -174.00M | 7.17B | -2.16B | 199.00M |
| Financing Cash Flow | -6.01B | -5.96B | -13.25B | -4.90B | -8.66B |
Wharf Real Estate Investment Co Technical Analysis
Neutral
24.12
Price Trends
23.49
Negative
24.23
Negative
23.87
Negative
Market Momentum
-0.24
Negative
54.10
Neutral
71.70
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1997, the sentiment is Neutral. The current price of 24.12 is above the 20-day moving average (MA) of 22.03, above the 50-day MA of 23.49, and above the 200-day MA of 23.87, indicating a neutral trend. The MACD of -0.24 indicates Negative momentum. The RSI at 54.10 is Neutral, neither overbought nor oversold. The STOCH value of 71.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1997.
Wharf Real Estate Investment Co Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | HK$86.42B | 18.81 | 25.60% | 2.92% | 5.89% | 9.36% | |
73 Outperform | HK$7.05B | 10.40 | 3.35% | 5.29% | -9.69% | -9.25% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
65 Neutral | HK$36.94B | 19.34 | 1.35% | 5.92% | -11.49% | -20.93% | |
61 Neutral | HK$17.81B | 21.20 | 1.20% | 5.77% | 1.06% | 799.41% | |
58 Neutral | HK$69.35B | -16.22 | -2.32% | 5.04% | -0.75% | -577.88% | |
54 Neutral | HK$1.81B | -0.85 | -18.18% | 16.00% | -70.47% | 14.32% |
* Real Estate Sector Average
HK:1997
Wharf Real Estate Investment Co
22.84
1.50
7.02%
HK:0101
Hang Lung Properties
7.10
0.06
0.82%
HK:0014
Hysan Development Co
17.34
3.12
21.92%
HK:0071
Miramar Hotel & Investment Co
10.20
0.91
9.82%
HK:0878
Soundwill Holdings
6.39
0.48
8.05%
HK:1209
China Resources Mixc Lifestyle Services Ltd.
37.86
2.21
6.21%
Wharf Real Estate Investment Co Corporate Events
Wharf REIC Adds Veteran Executive Richard Tang as Independent Director
Jun 12, 2026
Wharf Real Estate Investment Company has appointed veteran businessman Richard Yat Sun Tang as an additional independent non-executive director, effective 2 July 2026. Tang, who chairs Richcom Company and King Fook Holdings and serves as an execut...
Wharf REIC Shareholders Approve All AGM Resolutions, Back Capital Mandates
May 12, 2026
Wharf Real Estate Investment Company Limited reported that all resolutions proposed at its 12 May 2026 annual general meeting were approved by shareholders via poll voting. Investors backed the adoption of the 2025 financial statements, re-electio...
Wharf Real Estate Sets Out Board and Committee Structure
May 12, 2026
Wharf Real Estate Investment Company Limited has outlined the composition of its board of directors, led by Chairman and Managing Director Stephen T. H. Ng and Vice Chairman and Executive Director Paul Y. C. Tsui, alongside a mix of executive and ...
Wharf REIC Sets May 2026 AGM to Seek Mandates on Share Buy-Back and Issuance
Apr 9, 2026
Wharf Real Estate Investment Company Limited has called its annual general meeting for 12 May 2026 in Hong Kong, where shareholders will review the financial statements and directors’ and auditor’s reports for the year ended 31 Decembe...
Wharf REIC Sets Final Deadline for Unclaimed 2019 Dividend Before Forfeiture
Mar 24, 2026
Wharf Real Estate Investment Company Limited has announced that any portion of its 2019 second interim dividend of HK$0.93 per share, declared on 5 March 2020 and remaining unclaimed on 24 April 2026, will be forfeited and revert to the company un...
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.