Guangdong Yueyun Transportation Co., Ltd. Class H (3399) AI Stock Analysis

• Market Cap: HK$1.27B
• Dividend Yield: 6.23%
• Average Volume (3M): 311.60K
• Price to Earnings (P/E): 4.9
• Beta (1Y): 0.39
• Revenue Growth: -1.65%
• EPS Growth: 9.97%
• Country: HK
• Employees: 11,476
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): 0.19
• Shares Outstanding: 207,000,000
• 10 Day Avg. Volume: 522,950
• 30 Day Avg. Volume: 311,600
• PEG Ratio: 0.21
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 1.16
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: HK$2.00 ▲(25.79% Upside)

The overall stock score is primarily influenced by the company's strong valuation, with a low P/E ratio and high dividend yield suggesting potential undervaluation. However, financial performance concerns, including high leverage and cash flow management issues, weigh on the score. Technical indicators suggest limited upward momentum, further impacting the overall assessment.

Positive Factors

Improving ROE

An improving ROE indicates better efficiency in generating profits from shareholders' equity, enhancing investor confidence and long-term growth potential.

Stable Profit Margins

Stable profit margins suggest consistent operational performance, which is crucial for maintaining financial health and funding future growth initiatives.

Operational Efficiency

Improved EBIT margin reflects enhanced operational efficiency, which can lead to better cost management and increased profitability over the long term.

Negative Factors

High Leverage

High leverage poses financial risks, potentially limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Cash Flow Concerns

Lack of cash flow data raises concerns about liquidity and the ability to sustain operations, impacting long-term financial stability and growth prospects.

Declining EBITDA Margin

A declining EBITDA margin indicates reduced cash profitability, which could affect the company's ability to reinvest in its business and maintain competitive positioning.

Guangdong Yueyun Transportation Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Guangdong Yueyun Transportation Company Limited, an investment holding company, provides integrated transportation and logistics services in the People's Republic of China. The company offers road passenger transportation and auxiliary services, such as urban passenger, public, and cross-border transportation services, as well as passenger and freight station services. It also operates expressway service zones; and supplies construction materials. In addition, the company provides advertising, real estate leasing, property management, vehicle inspection and testing, and motor driver training services parts. Further, it offers material logistics, tourism, commercial, hotel, and business services. The company was formerly known as Guangdong Nan Yue Logistics Company Limited and changed its name to Guangdong Yueyun Transportation Company Limited in August 2013. Guangdong Yueyun Transportation Company Limited was founded in 1999 and is based in Hong Kong, Hong Kong. Guangdong Yueyun Transportation Company Limited is a subsidiary of Guangdong Provincial Communication Group Company Limited.

How the Company Makes Money

Guangdong Yueyun Transportation Co., Ltd. generates revenue primarily through its transportation and logistics services. Key revenue streams include charges for freight services, warehousing fees, and logistics management solutions provided to businesses. The company also benefits from partnerships with local and international firms, enhancing its service offerings and expanding its market reach. Additionally, its investment in technology to improve operational efficiency and customer service contributes positively to its earnings.

Guangdong Yueyun Transportation Co., Ltd. Class H Financial Statement Overview

Summary

The company shows moderate financial health with stable profit margins and improving ROE, but faces challenges with high leverage and cash flow management. The inconsistent revenue growth and declining EBITDA margin highlight potential operational concerns, while the high debt levels pose financial risks.

Income Statement

The company shows a moderate gross profit margin of 9.02% and a net profit margin of 3.28% in 2024, indicating stable profitability. Revenue growth has been inconsistent, with a slight decline of 0.37% from 2023 to 2024 following a strong increase in the previous year. The EBIT margin improved slightly to 4.30% in 2024, suggesting better operational efficiency. However, EBITDA margin has decreased from 17.56% in 2023 to 13.25% in 2024, highlighting reduced cash profitability.

Balance Sheet

The debt-to-equity ratio stands at 1.72 in 2024, reflecting a high level of leverage that may pose financial risks. The return on equity improved to 11.33% in 2024, indicating good shareholder returns. However, the equity ratio is relatively low at 23.91%, which may suggest a dependence on debt financing.

Cash Flow

The absence of reported free cash flow and operating cash flow in 2024 raises concerns about cash generation and liquidity. Historically, the company has shown fluctuating free cash flow growth, with a significant decline in operating cash flow to net income ratio from 4.97 in 2023. This indicates potential challenges in converting profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.30B	7.20B	7.23B	5.82B	6.27B	5.59B
Gross Profit	576.10M	649.38M	646.78M	181.57M	407.59M	264.90M
EBITDA	846.40M	954.18M	1.27B	575.70M	884.19M	963.54M
Net Income	240.48M	236.51M	201.89M	-150.42M	-220.31M	-229.19M
Balance Sheet
Total Assets	8.44B	8.72B	8.60B	9.22B	10.55B	11.05B
Cash, Cash Equivalents and Short-Term Investments	1.56B	1.44B	1.09B	965.28M	1.29B	1.26B
Total Debt	3.27B	3.59B	3.66B	4.26B	5.02B	4.95B
Total Liabilities	5.77B	6.12B	5.99B	6.73B	7.80B	7.90B
Stockholders Equity	2.17B	2.09B	1.91B	1.70B	1.86B	2.07B
Cash Flow
Free Cash Flow	572.36M	839.32M	858.95M	562.12M	399.37M	203.80M
Operating Cash Flow	964.17M	1.15B	1.00B	810.85M	906.38M	1.15B
Investing Cash Flow	-107.44M	-38.51M	-35.70M	63.27M	-422.25M	-773.75M
Financing Cash Flow	-799.57M	-776.30M	-827.99M	-1.18B	-470.91M	-287.76M

Guangdong Yueyun Transportation Co., Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.59
• 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:3399, the sentiment is Negative. The current price of 1.59 is below the 20-day moving average (MA) of 1.64, below the 50-day MA of 1.71, and below the 200-day MA of 1.63, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 36.34 is Neutral, neither overbought nor oversold. The STOCH value of 48.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3399.

Guangdong Yueyun Transportation Co., Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2490	66 Neutral	HK$2.66B	4.93	37.50%	8.25%	56.58%	1963.38%
3399	65 Neutral	HK$1.27B	4.90	11.51%	6.23%	-1.65%	9.97%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1442	60 Neutral	HK$681.12M	14.41	7.59%	―	13.85%	37.13%
2130	52 Neutral	HK$1.01B	34.43	5.39%	0.60%	29.11%	-49.03%
6123	45 Neutral	HK$426.35M	-7.50	-4.97%	2.25%	-35.13%	-11.52%
8292	40 Underperform	HK$458.29M	-72.03	-7.88%	―	9.79%	89.05%

Guangdong Yueyun Transportation Co., Ltd. Class H Corporate Events

Guangdong Yueyun Transportation Renews Key Agreements

Guangdong Yueyun Transportation Co., Ltd. has announced the renewal of two key agreements: the Tai Ping Interchange Master Agreement and the Information Systems Services Master Agreement. The renewals extend the terms of these agreements beyond their original expiration dates, with the Tai Ping Interchange agreement extended to June 2027 and the Information Systems Services agreement to December 2028. These transactions are categorized as continuing connected transactions under the Hong Kong Stock Exchange Listing Rules, subject to certain reporting and review requirements but exempt from independent shareholders’ approval.

Guangdong Yueyun Sells Majority Stake in Subsidiary for RMB134.6 Million

Guangdong Yueyun Transportation Co., Ltd. has announced a discloseable transaction involving the sale of its 59.694% equity interest in its subsidiary, Shaoguan Yueyun, to Xiake Zhixing for RMB134,610,300. This transaction will result in Guangdong Yueyun ceasing to hold any equity interest in Shaoguan Yueyun, and its financial results will no longer be consolidated into the company’s financial statements. The transaction, which is subject to reporting and announcement requirements under Chapter 14 of the Listing Rules, reflects strategic business decisions impacting the company’s operational focus and financial consolidation.

Guangdong Yueyun Transportation Co., Ltd. Announces Key Resolutions for Future Operations

Guangdong Yueyun Transportation Co., Ltd. has announced an extraordinary general meeting scheduled for December 18, 2025, to consider and approve significant resolutions related to its operations. The meeting will address the approval of proposed annual caps for subcontracting arrangements and the renewal of the Rescue Services Entrustment Master Agreement, which outlines financial commitments for the years 2026 through 2028. These resolutions are expected to impact the company’s operational strategies and financial planning, potentially influencing its market positioning and stakeholder relationships.

Guangdong Yueyun Renews Annual Caps for Connected Transactions

Guangdong Yueyun Transportation Co., Ltd. has announced the renewal of its annual caps for existing continuing connected transactions for a further three-year term, starting from January 1, 2026, to December 31, 2028. This renewal includes the extension of the Rescue Services Entrustment Master Agreement with GCGC, the company’s controlling shareholder. The transactions are subject to reporting, annual review, and Independent Shareholders’ approval due to the applicable percentage ratio exceeding 5%. An Extraordinary General Meeting (EGM) will be held for Independent Shareholders to approve these proposals, with GCGC and its associates abstaining from voting.

Guangdong Yueyun Transportation Co., Ltd. Announces Board Composition and Committee Roles

Guangdong Yueyun Transportation Co., Ltd. has announced the composition of its board of directors and the roles and functions of each member. This announcement includes the establishment of five board committees, which are expected to enhance the company’s governance and strategic planning, potentially impacting its operational efficiency and stakeholder confidence.

Guangdong Yueyun Transportation Co., Ltd. Announces Key Governance Changes at 2025 EGM

Guangdong Yueyun Transportation Co., Ltd. held its 2025 Second Extraordinary General Meeting on September 29, 2025, where several key resolutions were passed. These included the adoption of new Articles of Association, the appointment of directors for the ninth session of the board, and the abolition of the supervisory committee. The meeting’s outcomes are expected to streamline governance and potentially enhance operational efficiency, impacting the company’s strategic direction and stakeholder engagement.

Guangdong Yueyun Transportation Co., Ltd. Announces Key Governance Changes

Guangdong Yueyun Transportation Co., Ltd. has announced the convening of its 2025 Second Extraordinary General Meeting to discuss key resolutions, including the re-election and appointment of directors and the abolition of the Supervisory Committee. These changes are expected to impact the company’s governance structure and operational procedures, potentially influencing its strategic direction and stakeholder relationships.

Guangdong Yueyun Transportation Proposes Board Restructuring and Governance Enhancements

Guangdong Yueyun Transportation Co., Ltd. has announced a proposed re-election and appointment of directors for its ninth board session, alongside the abolition of its supervisory committee and amendments to its Articles of Association. The nomination committee has assessed the candidates’ diverse professional backgrounds and confirmed their compliance with regulatory requirements, aiming to enhance the board’s effectiveness and governance standards. The proposed changes are subject to shareholder approval at the upcoming extraordinary general meeting.