Executive Summary
Huaneng Power International, Inc., through its subsidiaries, generates and sells electricity and heat to the regional or provincial grid companies in the People’s Republic of China, Singapore, and Pakistan. More Details
Rewards
Risk Analysis
Snowflake Analysis
Fair value second-rate dividend payer.
Share Price & News
How has Huaneng Power International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 902's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-3.0%
902
-0.2%
HK Renewable Energy
1.2%
HK Market
1 Year Return
-21.6%
902
-12.6%
HK Renewable Energy
2.3%
HK Market
Return vs Industry: 902 underperformed the Hong Kong Renewable Energy industry which returned -12.6% over the past year.
Return vs Market: 902 underperformed the Hong Kong Market which returned 2.3% over the past year.
Shareholder returns
| 902 | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.0% | -0.2% | 1.2% |
| 30 Day | -1.7% | 4.2% | 7.0% |
| 90 Day | -11.4% | 1.3% | 3.6% |
| 1 Year | -17.3%-21.6% | -7.9%-12.6% | 6.6%2.3% |
| 3 Year | -37.7%-43.7% | -30.7%-38.3% | -4.7%-15.1% |
| 5 Year | -54.3%-65.1% | -45.9%-55.9% | 19.1%-1.1% |
Price Volatility Vs. Market
How volatile is Huaneng Power International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Returns On Capital At Huaneng Power International (HKG:902) Paint An Interesting Picture1 month ago | Simply Wall St
Is Huaneng Power International (HKG:902) A Risky Investment?1 month ago | Simply Wall St
Huaneng Power International, Inc. (HKG:902) Not Flying Under The RadarValuation
Is Huaneng 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: 902 (HK$2.94) is trading below our estimate of fair value (HK$31.17)
Significantly Below Fair Value: 902 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 902 is poor value based on its PE Ratio (16.3x) compared to the HK Renewable Energy industry average (7.7x).
PE vs Market: 902 is poor value based on its PE Ratio (16.3x) compared to the Hong Kong market (11.1x).
Price to Earnings Growth Ratio
PEG Ratio: 902 is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: 902 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 Huaneng Power International forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
13.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 902's forecast earnings growth (13.9% per year) is above the savings rate (1.6%).
Earnings vs Market: 902's earnings (13.9% per year) are forecast to grow slower than the Hong Kong market (22.2% per year).
High Growth Earnings: 902's earnings are forecast to grow, but not significantly.
Revenue vs Market: 902's revenue (2.7% per year) is forecast to grow slower than the Hong Kong market (13.3% per year).
High Growth Revenue: 902's revenue (2.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 902's Return on Equity is forecast to be low in 3 years time (7.6%).
Next Steps
Past Performance
How has Huaneng Power International performed over the past 5 years?
-49.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 902 has a large one-off loss of CN¥4.3B impacting its June 30 2020 financial results.
Growing Profit Margin: 902's current net profit margins (1.4%) are lower than last year (1.5%).
Past Earnings Growth Analysis
Earnings Trend: 902's earnings have declined by 49.8% per year over the past 5 years.
Accelerating Growth: 902's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 902 had negative earnings growth (-3.7%) over the past year, making it difficult to compare to the Renewable Energy industry average (9.1%).
Return on Equity
High ROE: 902's Return on Equity (3.4%) is considered low.
Next Steps
Financial Health
How is Huaneng Power International's financial position?
Financial Position Analysis
Short Term Liabilities: 902's short term assets (CN¥65.9B) do not cover its short term liabilities (CN¥136.1B).
Long Term Liabilities: 902's short term assets (CN¥65.9B) do not cover its long term liabilities (CN¥151.6B).
Debt to Equity History and Analysis
Debt Level: 902's debt to equity ratio (170%) is considered high.
Reducing Debt: 902's debt to equity ratio has reduced from 199.4% to 170% over the past 5 years.
Debt Coverage: 902's debt is not well covered by operating cash flow (15.6%).
Interest Coverage: 902's interest payments on its debt are not well covered by EBIT (2.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Huaneng Power International current dividend yield, its reliability and sustainability?
5.32%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 902's dividend (5.32%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.24%).
High Dividend: 902's dividend (5.32%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.77%).
Stability and Growth of Payments
Stable Dividend: 902's dividend payments have been volatile in the past 10 years.
Growing Dividend: 902's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (86.7%), 902's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 902's dividends in 3 years are forecast to be covered by earnings (56.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.8yrs
Average management tenure
CEO
Ping Zhao (58 yo)
0.58
Tenure
CN¥894,000
Compensation
Mr. Ping Zhao serves as Executive Director at Huaneng Power International, Inc. since June 16, 2020. Mr. Zhao serves as President at Huaneng Power International, Inc. since March 5, 2020 and served as its ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 0.58yr | CN¥1.03m | no data | |
| President & Executive Director | 0.58yr | CN¥894.00k | no data | |
| Chief Accountant | 4.75yrs | CN¥894.00k | no data | |
| Head of the Discipline Inspection Group & VP | no data | CN¥894.00k | no data | |
| VP & Company Secretary | 3.42yrs | CN¥808.00k | no data | |
| Chief Engineer | 0.75yr | no data | no data | |
| Chief Economist | 0.75yr | no data | no data | |
| Executive officer | no data | no data | no data | |
| Executive officer | no data | no data | no data |
0.8yrs
Average Tenure
57yo
Average Age
Experienced Management: 902's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 0.58yr | CN¥1.03m | no data | |
| President & Executive Director | 0.58yr | CN¥894.00k | no data | |
| Non-Executive Director | 12.17yrs | no data | no data | |
| Independent Non-Executive Director | 0.33yr | CN¥37.00k | no data | |
| Independent Non-Executive Director | 3.33yrs | CN¥300.00k | no data | |
| Non-Executive Director | 8.67yrs | no data | no data | |
| Chairman of the Supervisory Committee | 0.33yr | CN¥764.00k | no data | |
| Non-Executive Director | 6.08yrs | no data | no data | |
| Vice Chairman of the Supervisory Committee | 6.08yrs | CN¥65.00k | no data | |
| Independent Non-executive Director | 4.33yrs | CN¥300.00k | no data | |
| Independent Non-Executive Director | 3.33yrs | CN¥300.00k | no data | |
| Non Executive Director | 3.33yrs | no data | no data |
3.3yrs
Average Tenure
57.5yo
Average Age
Experienced Board: 902's board of directors are considered experienced (3.3 years average tenure).
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
Huaneng Power International, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Huaneng Power International, Inc.
- Ticker: 902
- Exchange: SEHK
- Founded: 1994
- Industry: Independent Power Producers and Energy Traders
- Sector: Utilities
- Market Cap: HK$77.041b
- Shares outstanding: 15.70b
- Website: https://www.hpi.com.cn
Number of Employees
Location
- Huaneng Power International, Inc.
- Huaneng Building
- 6 Fuxingmennei Street
- Beijing
- 100031
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| HNP | NYSE (New York Stock Exchange) | SPON ADR H SHS | US | USD | Oct 1994 | |
| HUP | DB (Deutsche Boerse AG) | SPON ADR H SHS | DE | EUR | Oct 1994 | |
| K3FD | SGX (Singapore Exchange) | SPON ADR H SHS | SG | USD | Oct 1994 | |
| HUNG.F | OTCPK (Pink Sheets LLC) | Yes | Foreign Shares-Foreign Listed | US | USD | Jan 1998 |
| HUP1 | DB (Deutsche Boerse AG) | Yes | Foreign Shares-Foreign Listed | DE | EUR | Jan 1998 |
| 902 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Jan 1998 |
| 902 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Jan 1998 |
| 902 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Jan 1998 |
| 600011 | SHSE (Shanghai Stock Exchange) | Domestic Shares | CN | CNY | Dec 2001 | |
| 600011 | XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect) | Domestic Shares | CN | CNY | Dec 2001 |
Biography
Huaneng Power International, Inc., through its subsidiaries, generates and sells electricity and heat to the regional or provincial grid companies in the People’s Republic of China, Singapore, and Pakistan ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/25 12:41 |
| End of Day Share Price | 2020/10/23 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.