The Returns On Capital At Canggang Railway (HKG:2169) Don't Inspire Confidence
Jun 20
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Hong Kong (HSI) Transportation Industry Analysis
UpdatedJun 21, 2025
DataAggregated Company Financials
Companies14
- 7D-2.1%
- 3M2.9%
- 1Y9.4%
- YTD1.6%
Over the last 7 days, the Transportation industry has dropped 2.1%, driven by a pullback from MTR of 3.0%. Meanwhile, Canggang Railway actually outperformed within the industry, gaining 8.6% in the last week. Over the past 12 months, the industry was up 6.7%. Looking forward, earnings are expected to remain mostly flat in the next few years.
Industry Valuation and Performance
Has the Hong Kong Transportation Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 21 Jun 2025 | HK$220.6b | HK$123.0b | HK$18.7b | 14.4x | 11.8x | 1.8x |
| Mon, 19 May 2025 | HK$223.1b | HK$122.3b | HK$18.7b | 14.9x | 12x | 1.8x |
| Wed, 16 Apr 2025 | HK$205.4b | HK$120.9b | HK$18.7b | 16x | 11x | 1.7x |
| Fri, 14 Mar 2025 | HK$211.4b | HK$118.4b | HK$20.1b | 13x | 10.5x | 1.8x |
| Sun, 09 Feb 2025 | HK$198.7b | HK$116.9b | HK$14.0b | 15.7x | 14.2x | 1.7x |
| Tue, 07 Jan 2025 | HK$210.0b | HK$116.6b | HK$14.0b | 13.9x | 15x | 1.8x |
| Thu, 05 Dec 2024 | HK$219.9b | HK$117.0b | HK$14.0b | 14.1x | 15.7x | 1.9x |
| Sat, 02 Nov 2024 | HK$225.3b | HK$117.1b | HK$14.0b | 13.7x | 16.1x | 1.9x |
| Mon, 30 Sep 2024 | HK$235.5b | HK$117.5b | HK$14.3b | 13.1x | 16.5x | 2x |
| Wed, 28 Aug 2024 | HK$220.2b | HK$116.2b | HK$12.5b | 15.2x | 17.6x | 1.9x |
| Fri, 26 Jul 2024 | HK$209.0b | HK$112.8b | HK$10.5b | 17.4x | 19.9x | 1.9x |
| Sun, 23 Jun 2024 | HK$197.3b | HK$112.1b | HK$10.4b | 13x | 19x | 1.8x |
| Tue, 21 May 2024 | HK$227.4b | HK$110.5b | HK$10.0b | 16.6x | 22.7x | 2.1x |
| Thu, 18 Apr 2024 | HK$187.9b | HK$110.2b | HK$9.9b | 13.2x | 19x | 1.7x |
| Sat, 16 Mar 2024 | HK$196.0b | HK$106.9b | HK$8.1b | 23.2x | 24.1x | 1.8x |
| Mon, 12 Feb 2024 | HK$196.3b | HK$102.5b | HK$9.6b | 21.6x | 20.4x | 1.9x |
| Wed, 10 Jan 2024 | HK$216.4b | HK$102.6b | HK$9.6b | 22.8x | 22.5x | 2.1x |
| Fri, 08 Dec 2023 | HK$216.9b | HK$102.6b | HK$9.6b | 22.6x | 22.6x | 2.1x |
| Sun, 05 Nov 2023 | HK$237.3b | HK$101.4b | HK$9.6b | 20.4x | 24.7x | 2.3x |
| Tue, 03 Oct 2023 | HK$241.1b | HK$100.3b | HK$9.0b | 19.3x | 26.8x | 2.4x |
| Thu, 31 Aug 2023 | HK$252.5b | HK$99.9b | HK$8.6b | 19.5x | 29.3x | 2.5x |
| Sat, 29 Jul 2023 | HK$273.0b | HK$93.1b | HK$8.4b | 20.1x | 32.4x | 2.9x |
| Mon, 26 Jun 2023 | HK$271.3b | HK$93.0b | HK$8.4b | 27.8x | 32.1x | 2.9x |
| Wed, 24 May 2023 | HK$282.4b | HK$93.7b | HK$8.4b | 28.4x | 33.6x | 3x |
| Fri, 21 Apr 2023 | HK$275.0b | HK$93.4b | HK$7.5b | 25.5x | 36.9x | 2.9x |
| Sun, 19 Mar 2023 | HK$267.6b | HK$87.1b | HK$8.0b | 30.6x | 33.5x | 3.1x |
| Tue, 14 Feb 2023 | HK$292.5b | HK$94.4b | HK$10.6b | 22.2x | 27.6x | 3.1x |
| Thu, 12 Jan 2023 | HK$290.4b | HK$94.6b | HK$10.6b | 22.1x | 27.4x | 3.1x |
| Sat, 10 Dec 2022 | HK$272.4b | HK$93.3b | HK$10.6b | 20.7x | 25.7x | 2.9x |
| Mon, 07 Nov 2022 | HK$241.7b | HK$92.4b | HK$10.6b | 12.7x | 22.9x | 2.6x |
| Wed, 05 Oct 2022 | HK$247.3b | HK$92.3b | HK$10.5b | 13.5x | 23.5x | 2.7x |
| Fri, 02 Sep 2022 | HK$276.0b | HK$93.9b | HK$10.6b | 16x | 26x | 2.9x |
| Sun, 31 Jul 2022 | HK$289.2b | HK$95.8b | HK$6.3b | 16.9x | 45.8x | 3x |
| Tue, 28 Jun 2022 | HK$286.4b | HK$92.4b | HK$6.0b | 22.6x | 48x | 3.1x |
Price to Earnings Ratio
48x
Current Industry PE
- Investors are pessimistic on the Hong Kong Transportation industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 11.7x which is lower than its 3-year average PE of 23.6x.
- The 3-year average PS ratio of 2.3x is higher than the industry's current PS ratio of 1.8x.
Past Earnings Growth
- The earnings for companies in the Transportation industry have grown 46% per year over the last three years.
- Revenues for these companies have grown 10.0% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Hong Kong Industrials industry?
| HK Market | -1.75% | |
| Industrials | -1.49% | |
| Transportation | -2.07% | |
| Trucking | -0.12% | |
| Cargo Ground Transportation | -0.51% | |
| Railroads | -2.27% | |
Industry PE
- Investors are most optimistic about the Cargo Ground Transportation industry even though it's trading below its 3-year average PE ratio of 17.6x.
- Analysts are expecting annual earnings growth of 19.5%, which is lower than the prior year's growth of 24.6% per year.
- Investors are most pessimistic about the Railroads industry, which is trading below its 3-year average of 22.9x.
Forecasted Growth
- Analysts are most optimistic on the Cargo Ground Transportation industry, expecting annual earnings growth of 19% over the next 5 years.
- However this is lower than its past earnings growth rate of 25% per year.
- In contrast, the Railroads industry is expected to see its earnings growth to stay flat over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 2169 Canggang Railway | HK$1.90 | 8.6% +HK$597.7m | 106.5% | PE122.6x | |
| 2418 Deewin Tianxia | HK$1.97 | 6.5% +HK$261.8m | 19.4% | PE25.7x | |
| 306 Kwoon Chung Bus Holdings | HK$1.79 | 27.9% +HK$185.9m | 5.9% | PE25.9x | |
| 525 Guangshen Railway | HK$1.89 | 0.5% +HK$70.8m | -12.9% | PE12.5x | |
| 2559 Dida | HK$1.19 | 0.8% +HK$10.2m | n/a | PE1.1x |
