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China Motor Bus Co. Ltd. (0026) AI Stock Analysis

HK:0026

China Motor Bus Co. Ltd.

(HKEX:0026)

Select Model
Rating:57Neutral
Price Target:HKD 59.00â–²(4.80% Upside)
Action:reiterated
Date:10/28/26

The score is anchored by strong financial resilience (debt-free balance sheet and positive cash generation), but is held back by weak and volatile profitability and a sharp revenue decline. Bearish technical conditions further pressure the near-term setup, while the high dividend yield provides partial support despite loss-making earnings (negative P/E).

Positive Factors
Debt-free balance sheetA debt-free balance sheet materially reduces financial strain and refinancing exposure, while preserving flexibility to manage property investments through market cycles. Stable equity and a conservative capital structure provide resilience and allow the company to fund priorities without relying heavily on external borrowing.
Negative Factors
Sharp revenue declineThe steep FY2026 revenue contraction weakens earnings visibility and makes recent operating performance difficult to extrapolate. For a property-focused company, an unstable revenue base can delay recovery in reported results and reduce confidence that high gross margins will translate into durable profits.

China Motor Bus Co. Ltd. (0026) vs. iShares MSCI Hong Kong ETF (EWH)

-2%0%3%5%8%10%13%15%18%HK:0026+1.03%EWH+7.37%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
HKD 2.55B
Dividend Yield
5.68%
Average Volume (3M)
3,375
Price to Earnings (P/E)
-21.2
Beta (1Y)
0.24
Revenue Growth
-17.86%
EPS Growth
34.84%
Country
Hong Kong
Employees
15
Sector
Real Estate
Sector Strength
65
Industry
Real Estate - Diversified

China Motor Bus Co. Ltd. Business Overview & Revenue Model

Company Description

China Motor Bus Company, Limited, along with its affiliated businesses, focuses on real estate development and investment projects situated in both Hong Kong and the United Kingdom. The company's activities span the full cycle of property management,...

China Motor Bus Co. Ltd. Financial Statement Overview

Summary

Financials are mixed: a very strong, debt-free balance sheet (high solvency and flexibility) and consistently positive operating/free cash flow support resilience, but profitability is a major weakness with volatile results, multiple net-loss years, and a sharp FY2026 revenue decline that reduces earnings visibility.

Income Statement

34Negative

Balance Sheet

82Very Positive

Cash Flow

76Positive
Financial statement breakdown
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue93.12M93.12M113.37M69.55M112.55M79.14M
Gross Profit77.77M77.77M101.96M62.24M102.23M69.37M
EBITDA-116.15M-116.15M76.22M34.04M78.46M46.43M
Net Income-120.17M-120.17M-184.50M-262.22M-155.24M72.35M
Balance Sheet
Total Assets6.60B6.60B6.90B7.30B7.70B7.96B
Cash, Cash Equivalents and Short-Term Investments1.42B1.42B1.45B1.39B1.47B1.49B
Total Debt000000
Total Liabilities86.43M86.43M94.69M99.13M96.64M94.93M
Stockholders Equity6.51B6.51B6.81B7.20B7.61B7.87B
Cash Flow
Free Cash Flow61.43M61.43M83.99M28.98M75.16M40.88M
Operating Cash Flow62.30M62.30M84.25M29.13M75.28M41.01M
Investing Cash Flow-82.29M-82.29M284.46M565.38M37.70M-189.04M
Financing Cash Flow-142.56M-142.56M-323.65M-144.61M-141.10M-143.51M

China Motor Bus Co. Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price56.30

Price Trends

50DMA58.05Negative
100DMA57.86Negative
200DMA57.50Negative

Market Momentum

MACD-0.44Positive
RSI21.26Positive
STOCH22.41Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0026, the sentiment is Negative. The current price of 56.30 is below the 20-day moving average (MA) of 57.42, below the 50-day MA of 58.05, and below the 200-day MA of 57.50, indicating a bearish trend. The MACD of -0.44 indicates Positive momentum. The RSI at 21.26 is Positive, neither overbought nor oversold. The STOCH value of 22.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0026.

China Motor Bus Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (65)

Financial Indicators

HK:0026 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *65Neutral$2.17B12.193.79%4.94%3.15%1.96%
HK:0194HK:019457NeutralHKD 1.51B-5.51-2.62%7.04%-15.98%32.15%
HK:0026HK:002657NeutralHKD 2.55B-21.25-1.83%5.68%-17.86%34.84%
HK:0131HK:013153NeutralHKD 786.48M7.531.75%4.15%166.73%―
HK:0051HK:005152NeutralHKD 4.25B-35.29-0.78%0.83%0.79%55.16%
HK:0216HK:021640UnderperformHKD 204.01M-0.43-6.78%―-17.26%16.31%
HK:0369HK:036939UnderperformHKD 2.26B-3.58-2.77%4.26%13.56%74.33%

* Real Estate Sector Average

Performance Comparison

-25%0%25%50%HK:0026HK:0194HK:0051HK:0216HK:0131HK:0369Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
HK:0026 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:0026China Motor Bus Co. Ltd.56.30-0.04-0.07%
HK:0194Liu Chong Hing Investment Limited3.98-0.13-3.21%
HK:0051Harbour Centre Development Limited6.001.7842.18%
HK:0216Chinney Investments, Limited0.37-0.25-40.32%
HK:0131Cheuk Nang (Holdings) Limited1.21-0.09-7.02%
HK:0369Wing Tai Properties Limited1.650.021.42%

China Motor Bus Co. Ltd. Corporate Events

China Motor Bus Calls 2026 AGM With Dividend Plan and Share Buyback Mandate

Oct 22, 2026

China Motor Bus Company, Limited has convened its eighty-eighth Ordinary Yearly Meeting for 27 November 2026 in Hong Kong, where shareholders will review the audited consolidated financial statements for the year ended 30 June 2026 and consider both...

China Motor Bus Narrows Loss and Ramps Up Headland Residences Pre-Sales

Sep 24, 2026

China Motor Bus reported operating profit of HK$52 million for the year to 30 June 2026, down from HK$77 million, as rental income and interest earnings declined following the disposal of an investment property. The audited loss attributable to share...

China Motor Bus Declares Final Cash Dividend for FY 2025/26

Sep 24, 2026

China Motor Bus Company, Limited has declared an ordinary final cash dividend of HKD 0.10 per share for the financial year ended 30 June 2026, subject to shareholder approval. The dividend will be paid in Hong Kong dollars, with an ex-dividend date o...

China Motor Bus Sets Board Meeting to Approve Annual Results and Consider Final Dividend

Sep 14, 2026

China Motor Bus Company, Limited has scheduled a board meeting for 24 September 2026 to review and approve the consolidated final results for the financial year ended 30 June 2026. The board will also consider a recommendation on the payment of a fin...

China Motor Bus Declares Second Interim Dividend of HKD 0.30 Per Share

Aug 28, 2026

China Motor Bus Company, Limited, a Hong Kong-listed former bus operator now focused on investment and asset management, continues to provide shareholders with income via cash dividends on its ordinary shares. The company maintains a diversified boar...

China Motor Bus Declares Second Interim Dividend for 2025/26

Aug 28, 2026

China Motor Bus Company, Limited has declared a second interim dividend of HK$0.30 per share for the financial year ended 30 June 2026, to be paid on 16 October 2026 to shareholders on the register at the close of business on 6 October 2026. The anno...

China Motor Bus Schedules Board Meeting to Consider Second Interim Dividend

Aug 18, 2026

China Motor Bus Company, Limited has scheduled a board meeting for Friday, 28 August 2026, to consider the payment of a second interim dividend for the financial year ended 30 June 2026. The move signals the company’s intention to potentially r...

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.

Date of analysis: Oct 28, 2026