C&D Property Management Group Co., Ltd. (2156) AI Stock Analysis

• Market Cap: HK$4.07B
• Dividend Yield: 5.56%
• Average Volume (3M): 701.04K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.71
• Revenue Growth: -7.78%
• EPS Growth: -29.31%
• Country: HK
• Employees: 15,835
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.17
• Shares Outstanding: 1,408,264,000
• 10 Day Avg. Volume: 837,526
• 30 Day Avg. Volume: 701,042
• PEG Ratio: -0.33
• Price to Book (P/B): 1.79
• Price to Sales (P/S): 0.96
• P/FCF Ratio: 12.75
• 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: 71 Outperform
• Price Target: HK$3.50 ▲(29.63% Upside)

The company's strong financial performance, characterized by consistent revenue growth and a solid balance sheet, is the primary driver of the stock score. The valuation is attractive with a reasonable P/E ratio and a high dividend yield. However, technical indicators suggest a lack of momentum, which tempers the overall score.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic downturns.

Shareholder Support

Strong shareholder support, as evidenced by the approval of key resolutions, enhances the company's governance and operational flexibility, potentially boosting long-term strategic initiatives.

Profit Margin Sustainability

Consistent profit margins indicate effective cost management and pricing strategies, supporting long-term profitability and competitive positioning in the property management sector.

Negative Factors

Revenue Decline

A decline in revenue could signal challenges in market demand or competitive pressures, potentially impacting future growth and necessitating strategic adjustments.

Earnings Decline

A significant decline in earnings per share growth suggests potential operational challenges or market headwinds, which could affect investor confidence and long-term financial performance.

Cash Flow Data Absence

The absence of recent cash flow data hinders a full assessment of the company's cash generation ability, which is crucial for sustaining operations and funding growth initiatives.

C&D Property Management Group Co., Ltd. Business Overview & Revenue Model

Company Description

C&D Property Management Group Co. Limited, an investment holding company, provides property management services for residential and non-residential properties in the People's Republic of China. The company's property management services include greening, gardening and order maintenance for public areas, cleaning, security, parking management, repair and maintenance services for public facilities, etc. It also offers community value-added and synergy services comprising home living services, such as housekeeping and cleaning services, repair and maintenance services, and community group purchasing services; home beauty services; real estate brokerage and asset management services; value-added services for public areas, including leasing out public areas and advertising spots; elderly-care and health value-added services; and smart community services consisting of design and construction services of smart property management services and operation of mobile application. In addition, the company provides value-added services, including consultancy services to property developers and other non-property owners during the property development and construction stages; and reception, order maintenance, and cleaning services to property developers and other non-property owners. C&D Property Management Group Co. Limited was founded in 1995 and is headquartered in Xiamen, the People's Republic of China. C&D Property Management Group Co. Limited operates as a subsidiary of Well Land International Limited.

How the Company Makes Money

C&D Property Management Group Co., Ltd. generates revenue primarily through property management fees charged to property owners for overseeing the day-to-day operations of their real estate assets. Additionally, the company earns income from leasing commissions when properties are rented out, as well as maintenance fees for services rendered in upkeep and repairs. Significant partnerships with real estate developers and investment firms also contribute to its earnings by facilitating management contracts for newly developed properties. The company may further enhance its revenue through ancillary services, such as providing consultancy for property investments and marketing services, thereby diversifying its income streams.

C&D Property Management Group Co., Ltd. Financial Statement Overview

Summary

C&D Property Management Group Co., Ltd. exhibits strong financial health with consistent revenue growth and profitability. The company's low leverage and strong equity position provide stability. While the absence of recent cash flow data is a concern, historical performance suggests a resilient cash generation capability.

Income Statement

The company has demonstrated robust growth in revenue over the years, with a revenue growth of 55% from 2019 to 2020 and a steady increase thereafter. The gross profit margin has been consistently strong, with the latest year showing a margin of 28.1%. The net profit margin has improved over time, reaching 13.1% in the latest report. Despite a drop in revenue from 2023 to 2024, the company maintains healthy EBIT and EBITDA margins.

Balance Sheet

The balance sheet shows a strong equity position with a debt-to-equity ratio of 0.03, indicating low leverage. The return on equity has remained solid, reflecting efficient management of equity capital. The equity ratio stands at 45.5%, suggesting a stable financial structure. The company's assets have grown consistently, supported by an increase in cash reserves.

Cash Flow

The cash flow analysis reveals a strong free cash flow in previous years, although 2024 shows a decline to zero due to missing data. The operating cash flow to net income ratio was positive in previous periods, indicating good cash generation from operations. However, the absence of recent cash flow data limits a full assessment.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.51B	3.29B	3.57B	2.29B	1.56B	1.03B
Gross Profit	762.21M	706.75M	1.00B	537.00M	389.36M	251.68M
EBITDA	373.81M	343.02M	649.23M	249.44M	220.22M	117.72M
Net Income	348.71M	323.48M	467.35M	247.21M	159.37M	106.12M
Balance Sheet
Total Assets	4.10B	3.87B	3.80B	3.31B	2.61B	1.10B
Cash, Cash Equivalents and Short-Term Investments	2.86B	2.92B	2.98B	2.72B	2.27B	886.16M
Total Debt	48.06M	53.77M	62.39M	25.58M	15.95M	14.16M
Total Liabilities	2.24B	2.06B	1.97B	2.03B	1.58B	682.18M
Stockholders Equity	1.81B	1.76B	1.73B	1.25B	1.01B	403.80M
Cash Flow
Free Cash Flow	510.11M	247.57M	155.23M	478.61M	875.98M	278.82M
Operating Cash Flow	523.94M	265.15M	185.53M	495.75M	886.53M	286.69M
Investing Cash Flow	121.77M	66.97M	20.76M	5.91M	-3.50M	1.50B
Financing Cash Flow	-251.40M	-389.69M	42.99M	-59.98M	492.26M	-954.23M

C&D Property Management Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2156, the sentiment is Negative. The current price of 2.7 is below the 20-day moving average (MA) of 2.72, below the 50-day MA of 2.88, and below the 200-day MA of 2.75, indicating a bearish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 40.80 is Neutral, neither overbought nor oversold. The STOCH value of 70.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2156.

C&D Property Management Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1995	72 Outperform	HK$3.16B	6.87	8.42%	8.63%	2.83%	-6.65%
2156	71 Outperform	HK$4.07B	10.41	20.32%	5.56%	-7.78%	-29.31%
6626	70 Outperform	HK$3.70B	10.93	8.96%	6.87%	5.13%	-38.76%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
9666	61 Neutral	HK$4.10B	-11.36	-9.03%	―	-8.65%	73.33%
1516	53 Neutral	HK$4.55B	29.62	2.77%	10.83%	-1.14%	―
3319	45 Neutral	€3.61B	-2.58	-12.90%	4.39%	-10.06%	35.81%

C&D Property Management Group Co., Ltd. Corporate Events

C&D Property Management Delays Circular Dispatch

C&D Property Management Group Co., Ltd. announced a delay in the dispatch of a circular related to a Renewed Business Framework Agreement. The circular, initially expected by December 5, 2025, will now be sent by December 12, 2025, due to the need for additional time to finalize information. This delay may impact shareholders awaiting detailed information about the transaction.

C&D Property Management Group Enhances Governance with New Nomination Committee Terms

C&D Property Management Group Co., Ltd has outlined the terms of reference for its Nomination Committee, which was established by the board of directors in December 2020. The committee is responsible for ensuring compliance with Hong Kong’s Listing Rules and other regulatory requirements. The committee’s structure includes a majority of independent non-executive directors, and it emphasizes gender diversity by requiring at least one director of a different gender. This initiative is likely to enhance the company’s governance practices and strengthen its industry positioning by promoting transparency and diversity.

C&D Property Management Renews Business Framework Agreement

C&D Property Management Group Co., Ltd. has announced the renewal of its Business Framework Agreement with C&D Real Estate and C&D International. This agreement, effective from January 1, 2026, to December 31, 2028, involves continuing connected transactions under the Listing Rules. For C&D International, the transactions are subject to reporting and annual review requirements but exempt from independent shareholders’ approval. However, for C&D Property, the transactions exceed the 5% threshold, necessitating independent shareholders’ approval at an upcoming EGM. An Independent Board Committee and financial adviser will be appointed to guide shareholders, with a circular to be dispatched by December 5, 2025.