China Resources Beverage (Holdings) Company Limited (2460) AI Stock Analysis

• Market Cap: HK$23.38B
• Dividend Yield: 6.3%
• Average Volume (3M): 4.85M
• Price to Earnings (P/E): 7.7
• Beta (1Y): 0.59
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 10,970
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 0.39
• Shares Outstanding: 2,398,196,500
• 10 Day Avg. Volume: 5,034,206
• 30 Day Avg. Volume: 4,847,892
• PEG Ratio: 0.36
• Price to Book (P/B): 2.02
• Price to Sales (P/S): 1.69
• P/FCF Ratio: -38.68
• 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$11.33
• Price Target Upside: 16.21% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.56
• Revenue Forecast (FY): HK$12.07B

• Rating: 70 Outperform
• Price Target: HK$11.00 ▲(12.82% Upside)
• Action: Reiterated Date: 07/29/25
• Date: Action: Reiterated 07/29/25

China Resources Beverage's strong financial performance is the primary driver of the overall score, supported by robust revenue and profit growth. Valuation metrics are favorable, with an attractive dividend yield. However, technical indicators suggest a bearish trend, which presents a risk to the stock's near-term performance.

Positive Factors

Very low leverage and strong equity base

Extremely low leverage and a high equity ratio provide durable financial flexibility, reducing refinancing and interest-rate risks. A 14.5% ROE indicates effective capital deployment, supporting capacity to invest in growth or sustain dividends over the medium term.

Consistent revenue and strong margins

Multi-year revenue growth combined with healthy gross and improving net margins indicates structural competitiveness in production, pricing and mix. These durable profitability metrics support sustainable cash generation and reinvestment capacity.

Broad retail and on-premise distribution footprint

A diversified omnichannel distribution model (wholesale, direct-to-retail, e-commerce, on-premise) reduces single-channel exposure and supports resilient sales across consumer segments, aiding durable market penetration and brand reach.

Negative Factors

Operating cash flow weakness vs. earnings

Operating cash flow falling short of net income and declining to $1.39bn signals weaker cash conversion. Over the medium term this can constrain funding for capex, dividends or debt repayment despite accounting profitability, reducing financial flexibility.

Negative free cash flow from high capex

Sustained negative free cash flow driven by heavy capex suggests the business is capital intensive or investing to defend/grow capacity. If persistent, it can pressure reserves and force external financing or reduce shareholder returns over the next several quarters.

Concentrated exposure to China beverage market

High geographic concentration in China leaves revenues tied to domestic economic cycles, regulatory shifts, and local competition. Limited international diversification increases vulnerability to country-specific demand or policy changes over the medium term.

China Resources Beverage (Holdings) Company Limited Business Overview & Revenue Model

Company Description

China Resources Beverage (Holdings) Co., Ltd. operates as an investment holding company, which engages in manufacturing and distribution of packaged drinking water and non-alcoholic beverages. The company was founded on July 4, 1995 and is headquartered in Shenzhen, China.

How the Company Makes Money

China Resources Beverage generates revenue through multiple key streams, primarily from the sale of its beverage products. The company’s revenue model is driven by the volume of products sold, which is supported by its established brand presence and strong market positioning. Key revenue streams include sales from its flagship beer brand, which is one of the top-selling beers in China, and its range of bottled water and tea products. Additionally, the company benefits from significant partnerships with distributors and retailers, enabling it to reach a wide customer base. Promotional activities and strategic marketing initiatives also contribute to increased sales and brand loyalty, further enhancing its earnings potential.

China Resources Beverage (Holdings) Company Limited Financial Statement Overview

Summary

China Resources Beverage demonstrates strong financial health with impressive revenue and profit growth. The balance sheet is robust with minimal leverage and solid equity. Although cash flow management shows areas for improvement, the overall financial position remains strong, supporting future growth potential.

Income Statement

The company has shown consistent revenue growth with a 19.3% increase from 2021 to 2024. Gross profit margin is healthy at around 47.3% for 2024, indicating efficient production operations. The net profit margin has improved to 12.1%, showcasing enhanced profitability. EBIT and EBITDA margins have also strengthened, reflecting robust operational performance.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.005, indicating minimal leverage and financial stability. The equity ratio stands at 60.5%, suggesting a solid equity base. Return on equity has improved to 14.5%, demonstrating efficient use of shareholder capital.

Cash Flow

Cash flow performance is mixed. Operating cash flow remains positive but has decreased to $1.39 billion in 2024. The free cash flow is negative due to high capital expenditures, which could indicate significant investments. The operating cash flow to net income ratio remains below 1, suggesting that net income is not fully translating into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.67B	13.52B	13.51B	12.62B	11.34B
Gross Profit	3.11B	6.40B	6.04B	5.26B	4.97B
EBITDA	1.54B	2.80B	2.38B	1.70B	1.48B
Net Income	864.80M	1.64B	1.33B	989.81M	858.14M
Balance Sheet
Total Assets	20.68B	18.69B	13.00B	10.60B	9.09B
Cash, Cash Equivalents and Short-Term Investments	12.39B	10.65B	4.37B	2.80B	1.89B
Total Debt	65.71M	56.68M	35.99M	27.55M	32.70M
Total Liabilities	9.23B	6.83B	5.63B	4.71B	4.50B
Stockholders Equity	10.87B	11.30B	6.90B	5.57B	4.58B
Cash Flow
Free Cash Flow	1.92B	-590.97M	-593.56M	-14.42M	512.51M
Operating Cash Flow	2.59B	1.39B	1.72B	844.93M	827.19M
Investing Cash Flow	-327.67M	-2.97B	-2.09B	1.22M	681.95M
Financing Cash Flow	4.19M	5.16B	-60.60M	-21.20M	-19.47M

China Resources Beverage (Holdings) Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2460, the sentiment is Negative. The current price of 9.75 is below the 20-day moving average (MA) of 10.28, below the 50-day MA of 10.26, and below the 200-day MA of 11.04, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 35.69 is Neutral, neither overbought nor oversold. The STOCH value of 31.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2460.

China Resources Beverage (Holdings) Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2460	70 Outperform	HK$23.38B	7.65	―	6.30%	―	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
6868	61 Neutral	HK$3.13B	18.24	6.78%	3.70%	-16.51%	-35.38%
1115	44 Neutral	HK$3.00B	8.63	-20.18%	―	-9.19%	-67.34%

China Resources Beverage (Holdings) Company Limited Corporate Events

China Resources Beverage Reshapes Top Leadership, Appoints Gao Li as Chairman

China Resources Beverage (Holdings) Company Limited announced a leadership reshuffle effective 14 January 2026, with executive director and board chairman Zhang Weitong stepping down from all his roles, including chairman of the nomination committee, authorised representative under Hong Kong listing rules, and process agent, citing work requirements and confirming no disagreement with the board. The company has appointed long-serving China Resources executive Gao Li as executive director, chairman of the board and chairman of the nomination committee, while executive director and president Li Shuqing has been named the new authorised representative; Gao, a former chief financial officer of the group with extensive cross-disciplinary management and finance experience within China Resources, is expected to provide continuity and financial discipline at the helm as the refreshed board composition takes effect without immediate indication of changes to shareholder interests or corporate strategy.

The most recent analyst rating on (HK:2460) stock is a Hold with a HK$10.75 price target. To see the full list of analyst forecasts on China Resources Beverage (Holdings) Company Limited stock, see the HK:2460 Stock Forecast page.

China Resources Beverage Discloses Board and Committee Composition

China Resources Beverage (Holdings) Company Limited has announced the current composition of its board of directors, detailing the mix of executive, non-executive and independent non-executive directors and specifying the leadership roles of Chairman Gao Li and President Li Shuqing. The company also disclosed the membership structure of its four key board committees—Audit, Nomination, Remuneration and Appraisal, and Strategy and Investment—highlighting which directors chair or serve on each, signaling an emphasis on defined governance responsibilities and oversight as it manages strategy, risk, and executive performance.

The most recent analyst rating on (HK:2460) stock is a Hold with a HK$10.75 price target. To see the full list of analyst forecasts on China Resources Beverage (Holdings) Company Limited stock, see the HK:2460 Stock Forecast page.

China Resources Beverage Announces New Framework Loan Agreements

China Resources Beverage (Holdings) Company Limited has entered into two Framework Loan Agreements with CRH and CRI, effective from 2026 to 2028. These agreements involve offshore and onshore loan arrangements, with specific terms regarding lenders, borrowers, and interest rates. The transactions are subject to certain reporting and review requirements under the Hong Kong Listing Rules but are exempt from independent shareholders’ approval due to the percentage ratios involved.

The most recent analyst rating on (HK:2460) stock is a Hold with a HK$10.75 price target. To see the full list of analyst forecasts on China Resources Beverage (Holdings) Company Limited stock, see the HK:2460 Stock Forecast page.

China Resources Beverage Announces Board and Committee Changes

China Resources Beverage (Holdings) Company Limited announced a change in its board of directors and committee compositions. Ms. CAO Yue has resigned from her roles due to other work arrangements, and Mr. WANG Te-kang, with over 34 years of industry experience, has been appointed as a non-executive director and chairman of the Strategy and Investment Committee. This change is expected to bring new leadership insights to the company, potentially impacting its strategic direction and market positioning.

The most recent analyst rating on (HK:2460) stock is a Hold with a HK$10.75 price target. To see the full list of analyst forecasts on China Resources Beverage (Holdings) Company Limited stock, see the HK:2460 Stock Forecast page.

China Resources Beverage Announces Board Composition and Committee Roles

China Resources Beverage (Holdings) Company Limited has announced the composition of its board of directors, which includes executive, non-executive, and independent non-executive directors. The company has also detailed the membership of its four board committees, highlighting the roles and functions of each director within these committees. This announcement provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the leadership dynamics and decision-making processes that may impact the company’s strategic direction and operational effectiveness.

The most recent analyst rating on (HK:2460) stock is a Hold with a HK$10.75 price target. To see the full list of analyst forecasts on China Resources Beverage (Holdings) Company Limited stock, see the HK:2460 Stock Forecast page.