United Strength Power Holdings Ltd. (2337) AI Stock Analysis

• Market Cap: HK$696.57M
• Dividend Yield: 2.15%
• Average Volume (3M): 559.47K
• Price to Earnings (P/E): 19.1
• Beta (1Y): 0.26
• Revenue Growth: -13.08%
• EPS Growth: -43.83%
• Country: HK
• Employees: 1,375
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): -0.02
• Shares Outstanding: 374,502,000
• 10 Day Avg. Volume: 525,100
• 30 Day Avg. Volume: 559,466
• PEG Ratio: 0.12
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 0.07
• P/FCF Ratio: 145.44
• 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$2.00
• Price Target Upside: 7.53% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 55 Neutral
• Price Target: HK$2.00 ▲(7.53% Upside)

The overall stock score is driven by mixed financial performance, with strong free cash flow growth offset by declining revenue and low profitability margins. Technical analysis indicates a neutral trend, and valuation metrics suggest fair pricing with a moderate dividend yield. The absence of earnings call data and corporate events limits further insights.

United Strength Power Holdings Ltd. Business Overview & Revenue Model

Company Description

United Strength Power Holdings Limited, an investment holding company, operates vehicle natural gas refueling stations in the People's Republic of China. The company sells refined oil, compressed natural gas, liquefied petroleum gas (LPG), and liquefied natural gas (LNG). It also trades in LPG, LNG, and related chemical products; and provides petroleum and gas transportation services. As of December 31, 2021, the company operated 94 refueling stations in Northeastern China. It also develops energy technology. United Strength Power Holdings Limited was founded in 1997 and is headquartered in Changchun, the People's Republic of China. United Strength Power Holdings Limited is a subsidiary of Golden Truth Holdings Limited.

How the Company Makes Money

United Strength Power Holdings Ltd. generates revenue primarily through the sale of natural gas, which includes providing compressed natural gas (CNG) and liquefied natural gas (LNG) to a variety of customers, including industrial, commercial, and residential clients. The company also earns income from its network of gas stations that cater to vehicles running on natural gas. Additionally, strategic partnerships and supply agreements with key energy providers and governmental bodies contribute to its revenue streams, ensuring a steady supply and distribution of natural gas products.

United Strength Power Holdings Ltd. Financial Statement Overview

Summary

The company faces challenges with declining revenue and low profitability margins, which are partially offset by strong free cash flow growth. High leverage poses a risk, but there is a reasonable ability to convert earnings into cash. Financial health is mixed, needing improvement in revenue growth and margin expansion.

Income Statement

The income statement shows declining revenue with a negative growth rate of -5.16% in the TTM period, indicating challenges in maintaining sales momentum. Margins are relatively low, with a gross profit margin of 5.44% and a net profit margin of 0.48%, reflecting pressure on profitability. The EBIT and EBITDA margins are modest at 1.06% and 1.40%, respectively, suggesting limited operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.85, indicating significant leverage which could pose financial risks. The return on equity (ROE) is moderate at 6.71%, showing average profitability relative to equity. The equity ratio stands at 20.08%, suggesting a moderate level of equity financing relative to total assets.

Cash Flow

Cash flow analysis shows a strong free cash flow growth rate of 93.89% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is 0.07, and the free cash flow to net income ratio is 0.90, suggesting a healthy conversion of earnings into cash flow, although operating cash flow coverage is relatively low.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.97B	7.72B	7.35B	6.09B	5.83B	3.48B
Gross Profit	379.12M	439.85M	422.26M	393.10M	612.72M	470.29M
EBITDA	97.55M	149.87M	170.16M	150.61M	369.79M	271.07M
Net Income	33.54M	67.79M	39.49M	16.53M	176.62M	123.28M
Balance Sheet
Total Assets	2.43B	1.88B	1.91B	1.56B	1.54B	1.27B
Cash, Cash Equivalents and Short-Term Investments	83.21M	70.28M	46.52M	138.65M	101.77M	138.62M
Total Debt	902.54M	757.91M	692.42M	650.89M	684.47M	604.29M
Total Liabilities	1.91B	1.33B	1.40B	1.09B	1.10B	988.03M
Stockholders Equity	488.94M	510.67M	469.50M	428.68M	411.80M	253.60M
Cash Flow
Free Cash Flow	116.63M	3.68M	-13.42M	81.39M	39.22M	138.80M
Operating Cash Flow	128.88M	18.88M	34.80M	93.52M	63.01M	182.41M
Investing Cash Flow	-5.13M	-7.13M	-41.77M	-11.18M	-13.27M	-42.32M
Financing Cash Flow	-110.45M	12.07M	-6.92M	-76.25M	-107.29M	-91.44M

United Strength Power Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.86
• 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:2337, the sentiment is Positive. The current price of 1.86 is above the 20-day moving average (MA) of 1.71, above the 50-day MA of 1.74, and above the 200-day MA of 1.67, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 65.68 is Neutral, neither overbought nor oversold. The STOCH value of 80.08 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2337.

United Strength Power Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
0603	62 Neutral	$642.56M	4.63	4.05%	―	-12.48%	―
2337	55 Neutral	HK$696.57M	19.10	7.01%	2.15%	-13.08%	-43.83%
0931	52 Neutral	HK$3.23B	―	-80.73%	―	57.62%	32.20%
8270	48 Neutral	HK$99.56M	17.96	-31.34%	―	-29.86%	-791.02%
2728	45 Neutral	HK$138.11M	17.33	-25.25%	―	-0.55%	-340.00%
0332	41 Neutral	HK$137.46M	―	-2465.61%	―	-83.92%	-1032.60%

United Strength Power Holdings Ltd. Corporate Events

United Strength Power Holdings Reports Revenue Decline and Loss in H1 2025

United Strength Power Holdings Ltd. reported a 20% decrease in revenue for the first half of 2025, amounting to approximately RMB3,082.0 million, compared to the same period in 2024. The company also experienced a loss attributable to equity shareholders of approximately RMB7.3 million, a significant decline from the RMB27.0 million profit recorded in the previous year. This downturn reflects challenges in the company’s operational performance and may impact its market positioning and stakeholder confidence.

The most recent analyst rating on (HK:2337) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on United Strength Power Holdings Ltd. stock, see the HK:2337 Stock Forecast page.

United Strength Power Holdings Issues Profit Warning Amid Market Shifts

United Strength Power Holdings Limited has issued a profit warning for the first half of 2025, anticipating a net loss between RMB5.0 million and RMB7.0 million, compared to a net profit of RMB27.9 million in the same period of 2024. This downturn is attributed to a decrease in sales volume and gross profit margin of petroleum products, driven by reduced market demand as more customers transition to new energy vehicles and a decline in average selling prices.

United Strength Power Holdings Schedules Board Meeting for Interim Results

United Strength Power Holdings Limited has announced that its board of directors will hold a meeting on August 27, 2025, to discuss and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the payment of an interim dividend, if applicable. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting investor confidence and market perception.

United Strength Power Holdings Secures Unanimous Shareholder Support at AGM

United Strength Power Holdings Limited announced that all resolutions proposed at their Annual General Meeting held on June 19, 2025, were approved by shareholders. These resolutions included the adoption of financial statements, declaration of a final dividend, re-election of directors, re-appointment of auditors, and authorization for directors to issue additional shares. The unanimous approval of these resolutions reflects strong shareholder support and positions the company for continued stability and potential growth.