Here's What's Concerning About Dongguang Chemical's (HKG:1702) Returns On Capital
Jan 30
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Hong Kong (HSI) Chemicals Industry Analysis
UpdatedJan 31, 2026
DataAggregated Company Financials
Companies38
- 7D5.3%
- 3M22.9%
- 1Y51.4%
- YTD12.1%
Over the last 7 days, the Chemicals industry has risen 5.3%, driven by gains from Huabao International Holdings of 21%. In the last 12 months, the industry was up 51%. Earnings are forecast to grow by 45% annually.
Industry Valuation and Performance
Has the Hong Kong Chemicals Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 31 Jan 2026 | HK$189.5b | HK$324.7b | HK$10.7b | 10.5x | 17.7x | 0.6x |
| Mon, 29 Dec 2025 | HK$166.0b | HK$320.7b | HK$10.6b | 8.6x | 15.7x | 0.5x |
| Wed, 26 Nov 2025 | HK$157.7b | HK$317.2b | HK$10.5b | 9.3x | 15.1x | 0.5x |
| Fri, 24 Oct 2025 | HK$156.4b | HK$315.3b | HK$10.4b | 9.3x | 15x | 0.5x |
| Sun, 21 Sep 2025 | HK$161.4b | HK$319.2b | HK$10.4b | 8.1x | 15.5x | 0.5x |
| Tue, 19 Aug 2025 | HK$162.4b | HK$327.4b | HK$8.8b | 9.3x | 18.4x | 0.5x |
| Thu, 17 Jul 2025 | HK$152.0b | HK$328.7b | HK$8.7b | 9.7x | 17.4x | 0.5x |
| Sat, 14 Jun 2025 | HK$142.1b | HK$327.8b | HK$8.8b | 9.5x | 16.2x | 0.4x |
| Mon, 12 May 2025 | HK$130.0b | HK$321.9b | HK$8.6b | 9.1x | 15.2x | 0.4x |
| Wed, 09 Apr 2025 | HK$123.9b | HK$319.1b | HK$8.6b | 8.8x | 14.4x | 0.4x |
| Fri, 07 Mar 2025 | HK$130.2b | HK$329.4b | HK$8.6b | 9.4x | 15.2x | 0.4x |
| Sun, 02 Feb 2025 | HK$127.1b | HK$330.0b | HK$8.6b | 9.7x | 14.8x | 0.4x |
| Tue, 31 Dec 2024 | HK$128.6b | HK$326.6b | HK$8.5b | 9.5x | 15.1x | 0.4x |
| Thu, 28 Nov 2024 | HK$126.1b | HK$329.4b | HK$8.3b | 9.1x | 15.3x | 0.4x |
| Sat, 26 Oct 2024 | HK$127.9b | HK$334.0b | HK$8.4b | 9.2x | 15.3x | 0.4x |
| Mon, 23 Sep 2024 | HK$116.9b | HK$340.9b | HK$8.8b | 8.9x | 13.4x | 0.3x |
| Wed, 21 Aug 2024 | HK$117.4b | HK$326.7b | HK$10.2b | 9.4x | 11.5x | 0.4x |
| Fri, 19 Jul 2024 | HK$124.9b | HK$322.4b | HK$10.0b | 10.4x | 12.5x | 0.4x |
| Sun, 16 Jun 2024 | HK$129.4b | HK$320.8b | HK$10.1b | 9.7x | 12.9x | 0.4x |
| Tue, 14 May 2024 | HK$136.5b | HK$321.8b | HK$10.1b | 10.6x | 13.6x | 0.4x |
| Thu, 11 Apr 2024 | HK$119.8b | HK$323.6b | HK$10.1b | 8.9x | 11.8x | 0.4x |
| Sat, 09 Mar 2024 | HK$114.4b | HK$315.6b | HK$10.9b | 5.2x | 10.5x | 0.4x |
| Mon, 05 Feb 2024 | HK$108.5b | HK$318.9b | HK$11.3b | 5.7x | 9.6x | 0.3x |
| Wed, 03 Jan 2024 | HK$118.0b | HK$320.8b | HK$11.4b | 5.7x | 10.4x | 0.4x |
| Fri, 01 Dec 2023 | HK$115.2b | HK$318.4b | HK$11.3b | 5.1x | 10.2x | 0.4x |
| Sun, 29 Oct 2023 | HK$115.6b | HK$311.4b | HK$11.0b | 5.3x | 10.5x | 0.4x |
| Tue, 26 Sep 2023 | HK$119.2b | HK$297.9b | HK$9.0b | 5.7x | 13.2x | 0.4x |
| Thu, 24 Aug 2023 | HK$123.2b | HK$305.0b | HK$12.5b | 5.6x | 9.9x | 0.4x |
| Sat, 22 Jul 2023 | HK$131.6b | HK$311.7b | HK$13.0b | 5.1x | 10.1x | 0.4x |
| Mon, 19 Jun 2023 | HK$127.9b | HK$314.0b | HK$13.1b | 4.9x | 9.7x | 0.4x |
| Wed, 17 May 2023 | HK$142.9b | HK$321.2b | HK$13.5b | 5.2x | 10.6x | 0.4x |
| Fri, 14 Apr 2023 | HK$145.1b | HK$329.8b | HK$14.1b | 4.9x | 10.3x | 0.4x |
| Sun, 12 Mar 2023 | HK$148.2b | HK$341.8b | HK$15.2b | 5.4x | 9.8x | 0.4x |
| Tue, 07 Feb 2023 | HK$156.4b | HK$348.0b | HK$16.0b | 5.5x | 9.8x | 0.4x |
Price to Earnings Ratio
9.8x
Current Industry PE
- Investors are optimistic on the Hong Kong Chemicals industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 17.7x which is higher than its 3-year average PE of 13.1x.
- The industry is trading close to its 3-year average PS ratio of 0.42x.
Past Earnings Growth
- The earnings for companies in the Chemicals industry have declined 12% per year over the last three years,
- Revenues have also declined 2.3% per year.
- This means overall sales from these companies are declining and profits are subsequently falling as well.
Industry Trends
Which industries have driven the changes within the Hong Kong Materials industry?
| HK Market | 2.21% | |
| Materials | 2.06% | |
| Chemicals | 5.33% | |
| Industrial Gases | 31.67% | |
| Commodity Chemicals | 6.46% | |
| Specialty Chemicals | 6.15% | |
| Fertilizers and Agricultural Chemicals | 5.19% | |
| Diversified Chemicals | -0.63% | |
Industry PE
- Investors are most optimistic about the Specialty Chemicals industry which is trading above its 3-year average PE ratio of 26.9x.
- Analysts are expecting annual earnings growth of 31.8%, which is higher than its past year's earnings growth of 15.9% per year.
- Investors are most pessimistic about the Diversified Chemicals industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 4.8x.
Forecasted Growth
- Analysts are most optimistic on the Commodity Chemicals industry, expecting annual earnings growth of 99% over the next 5 years.
- This is better than its past earnings growth rate of 23% per year.
- In contrast, the Diversified Chemicals industry is expected to see its earnings grow by 3.8% per year 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 | |
|---|---|---|---|---|---|
| 336 Huabao International Holdings | HK$5.10 | 20.6% +HK$2.8b | 142.9% | PS4.3x | |
| 1907 China Risun Group | HK$2.75 | 18.5% +HK$1.8b | 1.1% | PS0.2x | |
| 1866 China XLX Fertiliser | HK$11.22 | 9.8% +HK$1.5b | 175.7% | PE10.6x | |
| 338 Sinopec Shanghai Petrochemical | HK$1.59 | 5.3% +HK$843.4m | 31.4% | PS0.2x | |
| 1940 China Gas Industry Investment Holdings | HK$1.58 | 31.7% +HK$456.0m | 203.8% | PE11x |
