Investors Met With Slowing Returns on Capital At Xinyi Energy Holdings (HKG:3868)
Jul 23
Hong Kong (HSI) Renewable Energy Industry Analysis
UpdatedJul 26, 2024
DataAggregated Company Financials
Companies23
- 7D-0.2%
- 3M13.5%
- 1Y22.7%
- YTD30.7%
Over the last 7 days, the Renewable Energy industry has risen 3.6%, driven by gains from CGN Power of 3.6%. This takes the industry's 12 month performance to a gain of 24%. Earnings are forecast to grow by 13% annually.
Industry Valuation and Performance
Has the Hong Kong Renewable Energy Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 26 Jul 2024 | HK$837.1b | HK$904.4b | HK$57.4b | 8.9x | 14.6x | 0.9x |
| Sun, 23 Jun 2024 | HK$833.8b | HK$900.6b | HK$57.8b | 10x | 14.4x | 0.9x |
| Tue, 21 May 2024 | HK$808.2b | HK$903.0b | HK$58.0b | 9.6x | 13.9x | 0.9x |
| Thu, 18 Apr 2024 | HK$806.9b | HK$903.5b | HK$53.1b | 8.8x | 15.2x | 0.9x |
| Sat, 16 Mar 2024 | HK$763.5b | HK$914.1b | HK$52.9b | 8.3x | 14.4x | 0.8x |
| Mon, 12 Feb 2024 | HK$710.5b | HK$918.3b | HK$53.1b | 8x | 13.4x | 0.8x |
| Wed, 10 Jan 2024 | HK$700.5b | HK$920.3b | HK$53.2b | 8.1x | 13.2x | 0.8x |
| Fri, 08 Dec 2023 | HK$655.2b | HK$919.4b | HK$53.2b | 7.5x | 12.3x | 0.7x |
| Sun, 05 Nov 2023 | HK$664.4b | HK$900.7b | HK$52.6b | 7.9x | 12.6x | 0.7x |
| Tue, 03 Oct 2023 | HK$679.9b | HK$903.5b | HK$41.3b | 8.4x | 16.5x | 0.8x |
| Thu, 31 Aug 2023 | HK$680.5b | HK$898.7b | HK$40.5b | 8x | 16.8x | 0.8x |
| Sat, 29 Jul 2023 | HK$728.8b | HK$900.2b | HK$36.3b | 8.1x | 20.1x | 0.8x |
| Mon, 26 Jun 2023 | HK$664.8b | HK$890.9b | HK$30.1b | 8.5x | 22.1x | 0.7x |
| Wed, 24 May 2023 | HK$712.7b | HK$904.6b | HK$30.4b | 9.3x | 23.4x | 0.8x |
| Fri, 21 Apr 2023 | HK$695.6b | HK$922.1b | HK$25.8b | 8.8x | 26.9x | 0.8x |
| Sun, 19 Mar 2023 | HK$699.0b | HK$897.3b | -HK$12,519,121,486.00 | 8.4x | -55.8x | 0.8x |
| Tue, 14 Feb 2023 | HK$697.3b | HK$900.9b | -HK$12,688,738,307.00 | 9x | -55x | 0.8x |
| Thu, 12 Jan 2023 | HK$678.8b | HK$903.2b | -HK$12,758,530,101.00 | 9x | -53.2x | 0.8x |
| Sat, 10 Dec 2022 | HK$620.6b | HK$878.9b | -HK$12,206,347,608.00 | 8.4x | -50.8x | 0.7x |
| Mon, 07 Nov 2022 | HK$590.3b | HK$862.7b | -HK$11,824,178,229.00 | 8.2x | -49.9x | 0.7x |
| Wed, 05 Oct 2022 | HK$613.7b | HK$836.4b | -HK$17,606,909,224.00 | 7.8x | -34.9x | 0.7x |
| Fri, 02 Sep 2022 | HK$704.9b | HK$859.6b | -HK$18,002,305,084.00 | 8.7x | -39.2x | 0.8x |
| Sun, 31 Jul 2022 | HK$683.6b | HK$854.4b | -HK$12,366,890,448.00 | 7.8x | -55.3x | 0.8x |
| Tue, 28 Jun 2022 | HK$715.8b | HK$860.3b | -HK$12,519,886,896.00 | 8.1x | -57.2x | 0.8x |
| Thu, 26 May 2022 | HK$722.6b | HK$864.3b | -HK$12,657,500,339.00 | 8.6x | -57.1x | 0.8x |
| Sat, 23 Apr 2022 | HK$718.4b | HK$863.9b | -HK$3,186,780,815.00 | 8.5x | -225.4x | 0.8x |
| Mon, 21 Mar 2022 | HK$745.7b | HK$847.9b | HK$24.7b | 8.9x | 30.2x | 0.9x |
| Wed, 16 Feb 2022 | HK$792.4b | HK$833.3b | HK$34.7b | 10.5x | 22.8x | 1x |
| Fri, 14 Jan 2022 | HK$817.9b | HK$832.4b | HK$34.7b | 10.6x | 23.6x | 1x |
| Sun, 12 Dec 2021 | HK$854.6b | HK$831.8b | HK$34.7b | 9.8x | 24.6x | 1x |
| Tue, 09 Nov 2021 | HK$756.6b | HK$827.1b | HK$34.6b | 9.9x | 21.9x | 0.9x |
| Thu, 07 Oct 2021 | HK$890.8b | HK$804.3b | HK$49.7b | 10.6x | 17.9x | 1.1x |
| Sat, 04 Sep 2021 | HK$770.2b | HK$801.4b | HK$48.8b | 11.3x | 15.8x | 1x |
| Mon, 02 Aug 2021 | HK$624.5b | HK$801.4b | HK$48.8b | 8.6x | 12.8x | 0.8x |
Price to Earnings Ratio
12.8x
Current Industry PE
- Investors are pessimistic on the Hong Kong Renewable Energy 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 14.7x which is higher than its 3-year average PE of -7.1x.
- The industry is trading close to its 3-year average PS ratio of 0.83x.
Past Earnings Growth
- The earnings for companies in the Renewable Energy industry have grown 5.4% per year over the last three years.
- Revenues for these companies have grown 3.9% 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 Utilities industry?
| HK Market | -3.89% | |
| Utilities | -0.45% | |
| Renewable Energy | -0.16% | |
| Independent Power Producers and Energy Traders | 0.84% | |
| Renewable Energy | -3.95% | |
Industry PE
- Investors are most optimistic about the Renewable Energy industry, which is trading close to its 3-year average PE ratio of 17.0x.
- Analysts are expecting annual earnings growth of 15.0%, which is higher than its past year's earnings growth of 2.2% per year.
- Investors are most pessimistic about the Independent Power Producers and Energy Traders industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 3.5x.
Forecasted Growth
- Analysts are most optimistic on the Renewable Energy industry, expecting annual earnings growth of 15% over the next 5 years.
- This is better than its past earnings growth rate of 2.2% per year.
- In contrast, the Independent Power Producers and Energy Traders industry is expected to see its earnings grow by 13% 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 | |
|---|---|---|---|---|---|
| 1816 CGN Power | HK$3.45 | 3.6% +HK$6.1b | 83.5% | PE14.9x | |
| 1071 Huadian Power International | HK$4.02 | 5.0% +HK$1.9b | 17.5% | PE9x | |
| 2380 China Power International Development | HK$3.75 | 2.2% +HK$989.6m | 23.8% | PE16.2x | |
| 1798 China Datang Corporation Renewable Power | HK$2.13 | 4.4% +HK$654.6m | -14.8% | PE6.6x | |
| 1811 CGN New Energy Holdings | HK$2.36 | 1.7% +HK$171.6m | 8.3% | PE4.8x |
