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JX Energy Ltd. (HK:3395)
:3395
Hong Kong Market

JX Energy Ltd. (3395) AI Stock Analysis

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HK:3395

JX Energy Ltd.

(3395)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
HK$0.25
▼(-4.62% Downside)
JX Energy Ltd. faces significant financial challenges, with negative margins, high leverage, and liquidity issues being the most impactful factors. Technical analysis provides mixed signals, with a slight bearish bias. The valuation is concerning, with negative earnings and no dividend yield. Overall, the stock is in a precarious position, requiring substantial improvement in financial health to enhance its attractiveness.
Positive Factors
Strategic Partnerships
Strategic partnerships and government contracts enhance financial performance by allowing cost-sharing in exploration projects and access to new markets, providing a durable competitive advantage.
Comprehensive Business Model
The company's integrated business model across the energy value chain supports revenue diversification and resilience against sector volatility, strengthening its market position.
Sustainable Energy Practices
A commitment to sustainable energy practices positions JX Energy favorably in a transitioning global energy market, potentially attracting environmentally conscious investors and partners.
Negative Factors
Negative Margins
Persistent negative margins indicate that the company struggles to cover its costs, which can hinder long-term profitability and financial stability, requiring strategic improvements.
High Leverage
High leverage and negative equity pose significant financial risks, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.
Liquidity Issues
Ongoing liquidity issues reflect challenges in generating sufficient cash to meet obligations, which can constrain operational flexibility and necessitate urgent financial restructuring.

JX Energy Ltd. (3395) vs. iShares MSCI Hong Kong ETF (EWH)

JX Energy Ltd. Business Overview & Revenue Model

Company DescriptionJX Energy Ltd. (3395) is a leading company in the energy sector, primarily engaged in the exploration, production, and distribution of oil and gas resources. The company operates across various segments including upstream, midstream, and downstream activities, providing a comprehensive portfolio of services that encompass drilling, refining, and the sale of petroleum products. JX Energy is committed to sustainable energy practices while meeting the growing global demand for energy.
How the Company Makes MoneyJX Energy Ltd. generates revenue through multiple streams: primarily from the sale of crude oil and natural gas extracted during its exploration and production activities. The company also earns revenue from refining operations, where it processes crude oil into finished products such as gasoline, diesel, and jet fuel. Additionally, JX Energy benefits from transportation and storage services in its midstream operations, charging fees for the movement and storage of hydrocarbons. Strategic partnerships with other energy firms and government contracts also play a pivotal role in enhancing its financial performance, allowing for cost-sharing in exploration projects and access to new markets.

JX Energy Ltd. Financial Statement Overview

Summary
JX Energy Ltd. is facing substantial financial difficulties across all financial statement verticals. The company is struggling with profitability, high leverage, and cash flow challenges. These factors collectively indicate a need for strategic restructuring to improve financial health and stability.
Income Statement
15
Very Negative
JX Energy Ltd. has experienced significant challenges in its income statement. The company shows negative gross profit and net profit margins, indicating that it is not currently profitable. Although there is a positive revenue growth rate in the TTM period, the overall financial health is concerning due to consistent losses and negative EBIT and EBITDA margins.
Balance Sheet
20
Very Negative
The balance sheet reveals a precarious financial position with negative stockholders' equity, resulting in negative debt-to-equity ratios. This suggests high financial risk and potential solvency issues. The return on equity is positive but misleading due to negative equity, and the equity ratio is not favorable.
Cash Flow
25
Negative
Cash flow analysis shows negative operating and free cash flows, with a significant decline in free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow issues. However, the free cash flow to net income ratio is positive, suggesting some ability to cover net losses with free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue6.41M4.97M13.54M26.95M21.47M13.28M
Gross Profit-10.59M-10.09M-6.83M16.20M13.23M6.95M
EBITDA-13.61M-10.85M-13.25M5.85M4.95M-12.24M
Net Income-53.48M-20.27M-21.15M-4.34M-4.87M-35.75M
Balance Sheet
Total Assets111.97M25.89M35.51M52.40M52.98M44.67M
Cash, Cash Equivalents and Short-Term Investments343.73K211.49K363.31K333.23K587.93K1.07M
Total Debt255.04M16.27M16.07M19.87M27.80M28.31M
Total Liabilities290.91M47.35M41.01M43.72M47.97M39.51M
Stockholders Equity-178.94M-21.46M-5.50M8.68M5.01M5.16M
Cash Flow
Free Cash Flow-1.41M-3.30M323.72K1.58M-2.63M-4.78M
Operating Cash Flow-4.19M-2.74M4.10M13.28M2.26M-4.61M
Investing Cash Flow-3.99M1.33M-3.65M-11.69M-4.89M392.77K
Financing Cash Flow7.66M1.26M-416.51K-1.84M2.15M4.23M

JX Energy Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.26
Price Trends
50DMA
0.28
Negative
100DMA
0.32
Negative
200DMA
0.27
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
47.69
Neutral
STOCH
19.96
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3395, the sentiment is Negative. The current price of 0.26 is above the 20-day moving average (MA) of 0.24, below the 50-day MA of 0.28, and below the 200-day MA of 0.27, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 47.69 is Neutral, neither overbought nor oversold. The STOCH value of 19.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3395.

JX Energy Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
HK$1.01T7.1017.50%6.76%-9.81%-8.84%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
53
Neutral
HK$324.17M1.2022.21%-5.34%400.80%
45
Neutral
HK$106.92M-6.67-25.25%-0.55%-340.00%
41
Neutral
HK$153.70M-1.01-9.85%20.71%
40
Underperform
$1.15B-1.66-35.49%39.42%56.89%
39
Underperform
HK$98.03M-0.25-18.76%-76.89%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3395
JX Energy Ltd.
0.25
0.06
31.58%
HK:0451
GCL New Energy Holdings
0.74
0.27
55.79%
HK:0883
CNOOC Limited
20.60
3.06
17.43%
HK:1555
MIE Holdings Corp.
0.03
<0.01
26.09%
HK:2728
Jintai Energy Holdings Limited
0.02
>-0.01
-33.33%
HK:0353
Energy International Investments Holdings Ltd
0.30
-0.18
-37.50%

JX Energy Ltd. Corporate Events

JX Energy Ltd. Delays Circular Dispatch for Loan Capitalization
Nov 27, 2025

JX Energy Ltd. announced a delay in the dispatch of a circular related to a connected transaction involving loan capitalization and the issuance of new shares under a specific mandate. The circular, initially scheduled for release by November 28, 2025, will now be dispatched by December 31, 2025, due to the need for additional time to finalize certain information. This delay may impact the timeline for shareholder engagement and the execution of the related financial transactions.

JX Energy Ltd. Releases Unaudited Interim Financial Results for 2025
Nov 14, 2025

JX Energy Ltd. announced its unaudited financial results for the three and nine months ended September 30, 2025. The interim results, which have not been reviewed by an independent auditor, were prepared by the company’s management and approved by the Board of Directors. This announcement provides stakeholders with insights into the company’s financial performance and operational updates.

JX Energy Ltd. Extends Long Stop Date for Share Issuance
Nov 14, 2025

JX Energy Ltd. announced an extension of the Long Stop Date for the issuance of new shares under a general mandate as an exit payment. The new date is set for December 15, 2025, due to additional time needed to fulfill the Conditions Precedent. The company advises shareholders and potential investors to exercise caution when dealing with shares, as all other terms remain unchanged.

JX Energy Ltd. Announces Cashflow Strategies and New Power Project
Nov 6, 2025

JX Energy Ltd. has announced strategies to enhance short-term cash flow by hedging over 50% of its 2026 natural gas production at prices above C$3.00/GJ, with 40% already hedged at an average price of C$3.06/GJ. Additionally, the company has approved a new 4.7MW natural gas power project, which will allow it to generate electricity independently for external sale, enhancing the value of its natural gas production. The project is estimated to cost C$3.0 million and will be financed through equity financing, subject to further board and stock exchange approvals.

JX Energy Ltd. Schedules Board Meeting for Interim Results and Dividend Consideration
Nov 4, 2025

JX Energy Ltd. has announced a board meeting scheduled for November 13, 2025, in Calgary, Canada, to approve and publish the interim results for the nine months ending September 30, 2025. The meeting will also consider the recommendation for an interim dividend, which could impact shareholder returns and reflect the company’s financial health.

JX Energy Ltd. Announces Loan Capitalization Agreement with New Share Issuance
Nov 2, 2025

JX Energy Ltd. has entered into a Loan Capitalization Agreement with Jixing Energy and Mr. Liu, settling a shareholder’s loan and part of a debt by issuing 210 million new shares. This move, which involves a significant portion of the company’s share capital, is a connected transaction under the Listing Rules and requires approval from independent shareholders, with Mr. Liu abstaining from voting due to his material interest.

JX Energy Ltd. Issues New Shares for CFO Exit Package
Oct 31, 2025

JX Energy Ltd. announced the issuance of 1,987,925 new common shares as part of an exit package for Ms. Tara Suzanne Leray, the outgoing chief financial officer and joint company secretary. The shares, priced at HK$0.279 each, represent a 0.33% increase in the company’s issued share capital and were issued at a discount to the market price. This strategic decision reflects the company’s approach to managing executive transitions and its financial commitments, potentially impacting shareholder value and market perception.

JX Energy Ltd. Announces Board Composition and Roles
Oct 30, 2025

JX Energy Ltd. has announced the composition of its board of directors and their respective roles and functions. The board comprises executive directors Yongtan Liu and Binyou Dai, and independent non-executive directors Kit Man To, Zhanpeng Kong, and Jia Wei. The announcement also details the membership of the board committees, with Yongtan Liu, Kit Man To, and Jia Wei holding key positions in the Audit and Risk, Nomination, and Remuneration Committees respectively.

JX Energy Ltd. Announces Key Executive Leadership Changes
Oct 26, 2025

JX Energy Ltd. has announced significant changes in its executive leadership, with the resignation of CFO and joint company secretary Ms. Tara Suzanne Leray, and joint company secretary and authorized representative Ms. Chau Hing Ling, effective October 31, 2025. Ms. Jun Xiang and Ms. Suen Pui Chun Hannah have been appointed to succeed them, bringing extensive experience in financial management and corporate governance. These changes are expected to impact the company’s operations and strategic direction positively, as the new appointees bring a wealth of experience in the oil and gas sector and corporate services.

JX Energy Ltd. Announces New Share Issuance to Raise Capital
Oct 12, 2025

JX Energy Ltd. announced a proposed issue of new shares under a general mandate, agreeing to allot and issue 11,161,639 subscription shares at a price of HK$0.31 per share. This move is expected to raise approximately C$620,000 in gross proceeds, with the net proceeds intended for strategic purposes as outlined by the company. The subscription represents a slight dilution of the company’s share capital, but it is positioned to provide additional resources for its operations. The subscription price reflects a discount to recent trading prices, which could impact shareholder value and market perception.

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.Date of analysis: Dec 18, 2025