SEHK:1071

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Huadian Power International

Executive Summary

Huadian Power International Corporation Limited, together with its subsidiaries, engages in the generation and sale of electricity and heat to power grid companies in the People’s Republic of China. More Details


Snowflake Analysis

Very undervalued established dividend payer.

Share Price & News

How has Huadian Power International's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1071's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.5%

1071

-1.1%

HK Renewable Energy

-1.6%

HK Market


1 Year Return

-30.9%

1071

-14.2%

HK Renewable Energy

-1.3%

HK Market

Return vs Industry: 1071 underperformed the Hong Kong Renewable Energy industry which returned -15% over the past year.

Return vs Market: 1071 underperformed the Hong Kong Market which returned -2.3% over the past year.


Shareholder returns

1071IndustryMarket
7 Day-1.5%-1.1%-1.6%
30 Day-8.3%-4.0%-5.1%
90 Day-10.0%0.6%-2.5%
1 Year-25.8%-30.9%-9.6%-14.2%2.7%-1.3%
3 Year-28.8%-35.8%-30.2%-37.8%-10.2%-20.0%
5 Year-61.8%-69.9%-52.6%-61.3%11.4%-7.6%

Price Volatility Vs. Market

How volatile is Huadian Power International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Huadian Power International undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1071 (HK$1.99) is trading below our estimate of fair value (HK$19.31)

Significantly Below Fair Value: 1071 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1071 is good value based on its PE Ratio (5.1x) compared to the HK Renewable Energy industry average (7.2x).

PE vs Market: 1071 is good value based on its PE Ratio (5.1x) compared to the Hong Kong market (11.1x).


Price to Earnings Growth Ratio

PEG Ratio: 1071 is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: 1071 is good value based on its PB Ratio (0.3x) compared to the HK Renewable Energy industry average (0.5x).


Next Steps

Future Growth

How is Huadian Power International forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

8.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1071's forecast earnings growth (8.6% per year) is above the savings rate (1.6%).

Earnings vs Market: 1071's earnings (8.6% per year) are forecast to grow slower than the Hong Kong market (22.4% per year).

High Growth Earnings: 1071's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1071's revenue (2.1% per year) is forecast to grow slower than the Hong Kong market (13.2% per year).

High Growth Revenue: 1071's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1071's Return on Equity is forecast to be low in 3 years time (7%).


Next Steps

Past Performance

How has Huadian Power International performed over the past 5 years?

-26.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1071 has high quality earnings.

Growing Profit Margin: 1071's current net profit margins (4.5%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: 1071's earnings have declined by 26.3% per year over the past 5 years.

Accelerating Growth: 1071's earnings growth over the past year (72.3%) exceeds its 5-year average (-26.3% per year).

Earnings vs Industry: 1071 earnings growth over the past year (72.3%) exceeded the Renewable Energy industry 9.1%.


Return on Equity

High ROE: 1071's Return on Equity (6.2%) is considered low.


Next Steps

Financial Health

How is Huadian Power International's financial position?


Financial Position Analysis

Short Term Liabilities: 1071's short term assets (CN¥25.4B) do not cover its short term liabilities (CN¥57.1B).

Long Term Liabilities: 1071's short term assets (CN¥25.4B) do not cover its long term liabilities (CN¥82.8B).


Debt to Equity History and Analysis

Debt Level: 1071's debt to equity ratio (120.5%) is considered high.

Reducing Debt: 1071's debt to equity ratio has reduced from 258.5% to 120.5% over the past 5 years.

Debt Coverage: 1071's debt is well covered by operating cash flow (22.2%).

Interest Coverage: 1071's interest payments on its debt are not well covered by EBIT (2.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Huadian Power International current dividend yield, its reliability and sustainability?

8.37%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1071's dividend (8.34%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.31%).

High Dividend: 1071's dividend (8.34%) is in the top 25% of dividend payers in the Hong Kong market (7.03%)


Stability and Growth of Payments

Stable Dividend: 1071's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1071's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.7%), 1071's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1071's dividends in 3 years are forecast to be well covered by earnings (45.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.9yrs

Average management tenure


CEO

Xiaoqian Luo (58 yo)

0.33

Tenure

CN¥713,900

Compensation

Mr. Xiaoqian Luo has been Executive Director at Huadian Power International Corporation Limited since June 30, 2020 and served as its Deputy General Manager since April 08, 2011 until August 29, 2014. Mr. ...


Leadership Team

NamePositionTenureCompensationOwnership
Wang Xuxiang
Executive Chairman1.5yrsCN¥125.00kno data
Rong Feng
CFO & Executive Director0.33yrCN¥790.70kno data
Bin Chen
Deputy GM & General Counselno dataCN¥800.10kno data
Guoquan Peng
Deputy General Manager13yrsCN¥808.00kno data
Gelin Zhang
Secretary0.83yrCN¥121.70kno data
Xiaoqian Luo
GM & Executive Director0.33yrCN¥713.90kno data
Huiping Wang
Head of Accounting Departmentno datano datano data

1.9yrs

Average Tenure

52yo

Average Age

Experienced Management: 1071's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Wang Xuxiang
Executive Chairman1.5yrsCN¥125.00kno data
Rong Feng
CFO & Executive Director0.33yrCN¥790.70kno data
Xiaoqian Luo
GM & Executive Director0.33yrCN¥713.90kno data
Xingyu Peng
Non-Executive Director0.33yrno datano data
Wei Gou
Non-Executive Director6.75yrsno data0.00010%
CN¥ 36.5k
Dashu Wang
Independent Non-Executive Director5.42yrsCN¥109.00kno data
Wenlong Zong
Independent Non-Executive Director5.42yrsCN¥109.00kno data
Wei Chen
Chairman of the Supervisory Committee2yrsno datano data
Shoumin Ni
Non-Executive Vice Chairmanno datano datano data
Xiaobo Wang
Non-Executive Director2yrsno datano data
Bin Hao
Non-Executive Director0.33yrno datano data
Zhenping Feng
Independent Non-Executive Director0.33yrno datano data

1.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 1071's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Huadian Power International Corporation Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Huadian Power International Corporation Limited
  • Ticker: 1071
  • Exchange: SEHK
  • Founded: 1994
  • Industry: Independent Power Producers and Energy Traders
  • Sector: Utilities
  • Market Cap: HK$36.512b
  • Shares outstanding: 9.86b
  • Website: https://www.hdpi.com.cn

Number of Employees


Location

  • Huadian Power International Corporation Limited
  • No. 2 Xuanwumennei Street
  • Xicheng District
  • Beijing
  • Beijing Province
  • 100031
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HPIF.FOTCPK (Pink Sheets LLC)YesForeign Shares-Foreign ListedUSUSDJul 1999
1071SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDJul 1999
SHXDB (Deutsche Boerse AG)YesForeign Shares-Foreign ListedDEEURJul 1999
1071SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDJul 1999
1071SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDJul 1999
600027SHSE (Shanghai Stock Exchange)Domestic SharesCNCNYFeb 2005
600027XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)Domestic SharesCNCNYFeb 2005
HPIF.YOTCPK (Pink Sheets LLC)ADRUSUSDDec 2008

Biography

Huadian Power International Corporation Limited, together with its subsidiaries, engages in the generation and sale of electricity and heat to power grid companies in the People’s Republic of China. The co ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/01 12:35
End of Day Share Price2020/09/30 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.