JiaXing Gas Group Co. Ltd. Class H (9908) AI Stock Analysis

• Market Cap: HK$1.10B
• Dividend Yield: 6.77%
• Average Volume (3M): 51.57K
• Price to Earnings (P/E): 5.4
• Beta (1Y): 0.02
• Revenue Growth: 13.91%
• EPS Growth: -23.60%
• Country: HK
• Employees: 402
• Sector: Utilities
• Sector Strength: 72
• Industry: Regulated Gas
• EPS (TTM): 0.78
• Shares Outstanding: 37,844,500
• 10 Day Avg. Volume: 52,400
• 30 Day Avg. Volume: 51,566
• PEG Ratio: -0.41
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.80
• 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$8.50
• Price Target Upside: 6.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: HK$8.50 ▲(6.52%Upside)

The overall stock score for JiaXing Gas Group Co. Ltd. is primarily driven by its attractive valuation, suggesting it might be undervalued in the market. Positive technical indicators also contribute significantly. However, financial performance concerns, particularly in cash flow and increasing leverage, highlight potential risks.

JiaXing Gas Group Co. Ltd. Class H Business Overview & Revenue Model

Company Description

JiaXing Gas Group Co., Ltd. operates as a piped natural gas (PNG) operator in the People's Republic of China. The company sells PNG, liquefied natural gas (LNG), and liquefied petroleum gas (LPG) to residential and non-residential users; and provides construction and installation services for gas pipeline network and gas facilities. It also provides gas technology consulting services; constructs and operates new energy facilities, as well as LNG storage and transportation station; transports LNG and compressed natural gas; sells vapour and construction materials; and leases properties. The company serves customers in the Jiaxing port and urban areas. JiaXing Gas Group Co., Ltd. was formerly known as Jiaxing Coalgas Company Limited. The company was founded in 1985 and is headquartered in Jiaxing, the People's Republic of China.

How the Company Makes Money

JiaXing Gas Group Co. Ltd. makes money through the sale and distribution of natural gas. Its primary revenue streams include supplying natural gas to residential users, commercial enterprises, and industrial facilities. The company charges customers based on the volume of gas consumed, with pricing structures varying according to market conditions and regulatory frameworks. Additionally, JiaXing Gas Group may engage in infrastructure services, such as the construction and maintenance of gas pipelines, which can also contribute to its revenue. Partnerships with local governments and other energy companies might further enhance its market reach and operational efficiencies, thereby impacting its earnings positively.

JiaXing Gas Group Co. Ltd. Class H Financial Statement Overview

Summary

JiaXing Gas Group Co. Ltd. shows mixed financial performance. While revenue growth is strong, the decline in Net Profit Margin and weak cash flow position indicate potential risks. The balance sheet shows increased leverage, which could be risky despite a healthy equity ratio.

Income Statement

The company has demonstrated solid revenue growth with a notable increase from 2023 to 2024. Gross Profit Margin improved to 10.37% in 2024 from 8.98% in 2023, indicating better cost management. However, the Net Profit Margin decreased to 5.49% from 8.08%, suggesting increased expenses or lower pricing power. The EBIT Margin improved to 7.59%, indicating better operational efficiency, but the EBITDA Margin decreased slightly to 9.52% from 12.71%.

Balance Sheet

The Debt-to-Equity Ratio increased to 0.45 in 2024 from 0.34 in 2023, indicating higher leverage which could be risky. However, Return on Equity (ROE) was 16.59%, showing efficient use of equity. The Equity Ratio improved to 37.89%, reflecting a stronger equity base relative to assets.

Cash Flow

The Free Cash Flow Growth was negative, indicating challenges in generating additional free cash flow. The Operating Cash Flow to Net Income Ratio was zero, suggesting issues in converting profits to cash. Overall, the cash flow situation appears to be weak, with no operating or free cash flow reported for 2024.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.42B	2.96B	3.47B	1.99B	1.27B
Gross Profit	354.89M	265.56M	165.76M	237.67M	223.57M
EBITDA	325.74M	375.98M	179.34M	214.50M	198.49M
Net Income	187.62M	239.00M	69.34M	108.49M	92.52M
Balance Sheet
Total Assets	2.98B	2.65B	2.08B	1.97B	1.72B
Cash, Cash Equivalents and Short-Term Investments	302.88M	344.50M	294.56M	328.56M	353.05M
Total Debt	512.17M	350.65M	383.69M	401.12M	278.07M
Total Liabilities	1.80B	1.59B	1.20B	1.15B	960.59M
Stockholders Equity	1.13B	1.03B	841.68M	802.04M	735.66M
Cash Flow
Free Cash Flow	158.24M	107.26M	55.04M	64.05M	147.27M
Operating Cash Flow	316.97M	228.82M	151.11M	132.09M	177.98M
Investing Cash Flow	-199.33M	181.28M	-115.28M	-268.31M	-94.05M
Financing Cash Flow	-166.76M	73.02M	-73.80M	52.58M	195.24M

JiaXing Gas Group Co. Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.98
• 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:9908, the sentiment is Positive. The current price of 7.98 is above the 20-day moving average (MA) of 7.81, above the 50-day MA of 7.60, and above the 200-day MA of 7.26, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 62.53 is Neutral, neither overbought nor oversold. The STOCH value of 97.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9908.

JiaXing Gas Group Co. Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9908	74 Outperform	HK$1.10B	5.41	17.44%	6.77%	13.91%	-23.60%
2886	70 Neutral	HK$1.45B	7.20	8.97%	7.24%	-3.26%	-22.44%
1940	63 Neutral	HK$552.00M	4.09	8.26%	―	-13.51%	-0.59%
Sector *	61 Neutral	C$5.01B	-18.70	-18.56%	4.33%	11.65%	-69.08%
TL6	―	€40.31M	―	-3.25%	―	―	―
1600	60 Neutral	HK$3.22B	9.74	5.13%	4.84%	-1.30%	-38.13%
6828	54 Neutral	HK$1.16B	13.78	6.29%	―	-21.48%	-7.50%

JiaXing Gas Group Co. Ltd. Class H Corporate Events

JiaXing Gas Group’s AGM Resolutions Unanimously Approved

JiaXing Gas Group Co., Ltd. held its Annual General Meeting on June 6, 2025, where all proposed resolutions were unanimously approved. Key resolutions included the approval of financial reports for the year ended December 31, 2024, the distribution of a final dividend, and the re-appointment of Ernst & Young as the company’s auditor. The successful passage of these resolutions reflects strong shareholder support and positions the company for continued operational stability and growth.

JiaXing Gas Group Announces 2025 AGM to Discuss Key Financial Resolutions

JiaXing Gas Group Co., Ltd. has announced its upcoming annual general meeting (AGM) scheduled for June 6, 2025. The meeting will address several key resolutions, including the approval of the board’s and supervisors’ reports, the audited financial statements for 2024, and the final dividend distribution plan. Additionally, the re-appointment of Ernst & Young as the company’s auditor will be considered. This AGM is significant for stakeholders as it will determine the company’s financial strategies and governance for the upcoming year.