CGN Power Co., Ltd.

SHSC:1816 Stock Report

Market Cap: HK$205.0b

CGN Power Valuation

Is 1816 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1816 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1816 (HK$2.83) is trading below our estimate of fair value (HK$7.66)

Significantly Below Fair Value: 1816 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1816?

Key metric: As 1816 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1816. This is calculated by dividing 1816's market cap by their current earnings.
What is 1816's PE Ratio?
PE Ratio12.2x
EarningsCN¥11.01b
Market CapCN¥192.63b

Price to Earnings Ratio vs Peers

How does 1816's PE Ratio compare to its peers?

The above table shows the PE ratio for 1816 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average10.9x
902 Huaneng Power International
18.8x33.1%HK$101.9b
836 China Resources Power Holdings
7.1x12.2%HK$96.3b
1071 Huadian Power International
9.3x23.5%HK$59.1b
991 Datang International Power Generation
8.5xn/aHK$46.4b
1816 CGN Power
12.2x6.5%HK$205.0b

Price-To-Earnings vs Peers: 1816 is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the peer average (10.9x).

Price to Earnings Ratio vs Industry

How does 1816's PE Ratio compare vs other companies in the Asian Renewable Energy Industry?

13 CompaniesPrice / EarningsEstimated GrowthMarket Cap
1816 12.2xIndustry Avg. 15.1xNo. of Companies29PE01224364860+
13 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1816 is good value based on its Price-To-Earnings Ratio (12.2x) compared to the Asian Renewable Energy industry average (15.1x).

Price to Earnings Ratio vs Fair Ratio

What is 1816's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1816 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.2x
Fair PE Ratio9.7x

Price-To-Earnings vs Fair Ratio: 1816 is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the estimated Fair Price-To-Earnings Ratio (9.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1816 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$2.83
HK$3.43
+21.3%
20.1%HK$4.68HK$2.22n/a11
Dec ’25HK$2.58
HK$3.41
+32.3%
19.5%HK$4.68HK$2.22n/a12
Nov ’25HK$2.77
HK$3.48
+25.5%
18.9%HK$4.68HK$2.22n/a11
Oct ’25HK$3.00
HK$3.48
+15.8%
18.5%HK$4.60HK$2.32n/a11
Sep ’25HK$3.18
HK$3.54
+11.2%
15.8%HK$4.60HK$2.60n/a11
Aug ’25HK$3.28
HK$3.25
-1.0%
21.1%HK$4.60HK$2.10n/a12
Jul ’25HK$3.44
HK$3.10
-9.9%
17.6%HK$3.90HK$2.10n/a12
Jun ’25HK$2.99
HK$2.96
-1.1%
16.9%HK$3.90HK$2.10n/a12
May ’25HK$2.63
HK$2.79
+5.9%
13.1%HK$3.27HK$2.10n/a11
Apr ’25HK$2.32
HK$2.43
+4.9%
13.1%HK$3.07HK$1.81n/a11
Mar ’25HK$2.36
HK$2.38
+0.7%
9.8%HK$2.60HK$1.81n/a12
Feb ’25HK$2.19
HK$2.38
+8.5%
9.8%HK$2.60HK$1.81n/a12
Jan ’25HK$2.04
HK$2.34
+14.8%
8.2%HK$2.60HK$1.83n/a12
Dec ’24HK$1.87
HK$2.34
+25.2%
8.9%HK$2.60HK$1.79HK$2.5811
Nov ’24HK$1.88
HK$2.34
+24.4%
8.6%HK$2.60HK$1.79HK$2.7712
Oct ’24HK$2.03
HK$2.34
+15.2%
8.6%HK$2.60HK$1.79HK$3.0012
Sep ’24HK$1.96
HK$2.34
+19.3%
8.6%HK$2.60HK$1.79HK$3.1812
Aug ’24HK$1.94
HK$2.27
+16.8%
11.9%HK$2.60HK$1.60HK$3.2812
Jul ’24HK$1.89
HK$2.28
+20.7%
12.4%HK$2.60HK$1.60HK$3.4412
Jun ’24HK$1.89
HK$2.28
+20.7%
12.4%HK$2.60HK$1.60HK$2.9912
May ’24HK$2.07
HK$2.20
+6.2%
13.4%HK$2.60HK$1.60HK$2.6312
Apr ’24HK$1.88
HK$2.22
+18.3%
12.6%HK$2.60HK$1.60HK$2.3211
Mar ’24HK$1.78
HK$2.24
+25.6%
12.7%HK$2.60HK$1.70HK$2.3610
Feb ’24HK$1.86
HK$2.24
+20.2%
12.7%HK$2.60HK$1.70HK$2.1910
Jan ’24HK$1.86
HK$2.25
+20.8%
13.0%HK$2.60HK$1.70HK$2.0410
Dec ’23HK$1.82
HK$2.25
+23.4%
13.0%HK$2.60HK$1.70HK$1.8710

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/23 17:50
End of Day Share Price 2024/12/23 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

CGN Power Co., Ltd. is covered by 47 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sung-yan ChanABCI Securities Company Limited
King Chuen NgABCI Securities Company Limited
Ephrem RaviBarclays