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Power Assets Holdings
(0006)
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Rating:64Neutral
Price Target:
HK$62.00
â–²(3.33% Upside)
Action:Reiterated
Date:08/06/26
The score is primarily supported by a very strong, low-leverage balance sheet, but is held back by weaker and choppier cash flow (notably the sharp 2025 free-cash-flow decline) and volatile revenue/earnings quality signals in 2025. Technicals are neutral and valuation is mixed, with a solid dividend yield offset by a mid-range P/E.
Positive Factors
Low-leverage balance sheet
Extremely low leverage provides durable financial flexibility. With debt-to-equity near 0.03–0.04, interest burden is minimal and the company can fund capex, support dividends or opportunistic investments, and absorb shocks without near-term refinancing risk.
Negative Factors
2025 revenue drop & margin anomaly
A sharp 22% sales decline and an anomalous 0% reported gross margin in 2025 raise questions about earnings quality and comparability. Material swings like this reduce near-term visibility on sustainable profitability and weaken confidence in recurring distributable earnings.
Read all positive and negative factors
Positive Factors
Negative Factors
Low-leverage balance sheet
Extremely low leverage provides durable financial flexibility. With debt-to-equity near 0.03–0.04, interest burden is minimal and the company can fund capex, support dividends or opportunistic investments, and absorb shocks without near-term refinancing risk.
Read all positive factors
Power Assets Holdings (0006) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$130.32B
Dividend Yield4.61%
Average Volume (3M)2.80M
Price to Earnings (P/E)7.3
Beta (1Y)<0.01
Revenue Growth-12.24%
EPS Growth190.79%
CountryHK
Employees16
SectorUtilities
Sector Strength65
IndustryIndependent Power Producers
Share Statistics
EPS (TTM)8.40
Shares Outstanding2,131,105,200
10 Day Avg. Volume3,108,885
30 Day Avg. Volume2,804,956
Financial Highlights & Ratios
PEG Ratio9.00
Price to Book (P/B)1.30
Price to Sales (P/S)152.44
P/FCF Ratio133.10
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
HK$72.34Price Target Upside20.56% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
EPS Forecast (FY)2.87
Revenue Forecast (FY)HK$699.82M
Power Assets Holdings Business Overview & Revenue Model
Company Description
Power Assets Holdings Limited operates as an investment holding company primarily engaged in the generation, transmission, and distribution of electricity across Hong Kong, the United Kingdom, Australia, Mainland China, and other international reg...
How the Company Makes Money
Power Assets makes money primarily through returns from its utility investments, especially its stake in Hongkong Electric (HKE). The key revenue and earnings drivers are: (1) Electricity supply operations via HKE: HKE earns revenue by selling ele...
Power Assets Holdings Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
88
Very Positive
Cash Flow
49
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 717.00M | 771.00M | 6.77B | 1.29B | 1.26B | 1.28B |
| Gross Profit | 383.00M | 419.00M | 6.35B | 1.29B | 1.26B | 1.17B |
| EBITDA | 441.50M | 478.00M | 6.52B | 1.14B | 1.17B | 1.49B |
| Net Income | 17.90B | 6.24B | 6.12B | 6.00B | 5.65B | 6.14B |
Balance Sheet | ||||||
| Total Assets | 109.65B | 98.33B | 94.08B | 95.70B | 94.53B | 94.30B |
| Cash, Cash Equivalents and Short-Term Investments | 45.27B | 2.53B | 2.73B | 4.20B | 5.89B | 4.61B |
| Total Debt | 2.77B | 3.32B | 2.51B | 3.10B | 3.24B | 3.44B |
| Total Liabilities | 6.52B | 7.60B | 7.00B | 6.95B | 7.67B | 7.54B |
| Stockholders Equity | 103.13B | 90.72B | 87.08B | 88.75B | 86.86B | 86.77B |
Cash Flow | ||||||
| Free Cash Flow | 5.53B | 883.00M | 941.00M | 1.14B | 771.00M | 939.00M |
| Operating Cash Flow | 5.53B | 884.00M | 941.00M | 1.14B | 772.00M | 939.00M |
| Investing Cash Flow | 17.51B | 3.88B | 5.69B | 4.61B | 4.01B | 5.93B |
| Financing Cash Flow | -7.19B | -5.36B | -6.35B | -6.19B | -6.14B | -6.02B |
Power Assets Holdings Peers Comparison
UnderperformOutperform
Sector (66)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | HK$56.20B | 18.04 | 6.85% | 5.07% | 3.69% | -0.45% | |
69 Neutral | HK$200.47B | 18.30 | 10.14% | 4.08% | -1.91% | -5.03% | |
66 Neutral | HK$97.38B | 7.34 | 11.72% | 5.81% | 2.19% | 1.10% | |
66 Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% | |
64 Neutral | HK$130.32B | 7.29 | 18.47% | 4.61% | -12.24% | 190.79% | |
63 Neutral | HK$158.12B | 6.64 | 17.92% | 3.97% | -9.36% | 208.75% | |
59 Neutral | HK$136.22B | 20.51 | 10.65% | 4.87% | 1.53% | 12.95% |
* Utilities Sector Average
HK:0006
Power Assets Holdings
61.20
12.02
24.43%
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28.26%
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24.61%
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China Resources Power Holdings Co
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HK:2638
HK Electric Investments & HK Electric Investments
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8.12%
HK:0003
Hong Kong & China Gas Co
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6.21%
Power Assets Holdings Corporate Events
Power Assets Sets August Board Meeting to Review Interim Results and Dividend
Jul 30, 2026
Power Assets Holdings Limited has scheduled a board meeting for 12 August 2026 in Hong Kong to review its interim financial results for the six months ended 30 June 2026. The board will also consider the declaration of an interim dividend, signali...
Power Assets shareholders back all AGM resolutions and HK$2.04 final dividend
May 20, 2026
Power Assets Holdings reported that all resolutions at its 20 May 2026 annual general meeting were approved by shareholders, including adoption of the 2025 audited financial statements and a final dividend of HK$2.04 per share. Investors also endo...
Power Assets Recapitalises CK William JV With A$233.75 Million Share Subscription
May 8, 2026
Power Assets Holdings said a subsidiary will subscribe for 123,705 new shares in Australian joint venture CK William for about A$233.75 million, alongside related parties CKA and CKI, which will take up proportional allotments of 247,410 shares ea...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.