China Renewable Energy Investment (0987) AI Stock Analysis

• Market Cap: HK$330.81M
• Dividend Yield: 3.76%
• Average Volume (3M): 488.27K
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.43
• Revenue Growth: 15.92%
• EPS Growth: N/A
• Country: HK
• Employees: 93
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 0.01
• Shares Outstanding: 2,506,157,500
• 10 Day Avg. Volume: 495,653
• 30 Day Avg. Volume: 488,272
• PEG Ratio: -0.57
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 1.68
• P/FCF Ratio: 4.20
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The stock's overall score is driven by a strong valuation, offset by mixed financial performance and bearish technical indicators. The attractive P/E ratio and dividend yield are positive, but liquidity concerns and negative momentum weigh on the score.

China Renewable Energy Investment Business Overview & Revenue Model

Company Description

China Renewable Energy Investment Limited, an investment holding company, engages in the renewable energy business in the People's Republic of China. As of December 31, 2021, the company operated eight wind farms and one distributed solar project with the power generating capacity of 738 megawatts in Hebei, Heilongjiang, Gansu, Inner Mongolia, Henan, and Zhejiang provinces. It also offers human resources management services. The company was formerly known as Hong Kong Energy (Holdings) Limited and changed its name to China Renewable Energy Investment Limited in June 2011. The company was incorporated in 2002 and is headquartered in Tsim Sha Tsui, Hong Kong. China Renewable Energy Investment Limited is a subsidiary of HKC (Holdings) Limited.

How the Company Makes Money

China Renewable Energy Investment makes money through the generation and sale of electricity derived from its portfolio of renewable energy projects. The primary revenue stream for the company is the sale of electricity to the national grid, which is facilitated through long-term power purchase agreements (PPAs) with utilities and government entities. Additionally, the company may receive government subsidies and incentives aimed at promoting renewable energy development, which can further enhance its profitability. Strategic partnerships with other energy companies and involvement in joint ventures for the development of new projects also contribute to its earnings by expanding its capacity and market reach.

China Renewable Energy Investment Financial Statement Overview

Summary

The company's financial performance is mixed. While the balance sheet is strong with low leverage, declining revenue and profitability, along with cash flow volatility, raise concerns about overall financial health.

Income Statement

The company shows fluctuating revenue trends with a decline in recent years. Gross profit margin has decreased, and net profit margin has been volatile, reflecting inconsistent profitability. EBIT and EBITDA margins have been under pressure, indicating challenges in operational efficiency.

Balance Sheet

The balance sheet is relatively strong with a high equity ratio, indicating financial stability. Debt-to-equity ratio has improved, showing reduced leverage. However, the return on equity is inconsistent, which may signal concerns about shareholder returns.

Cash Flow

Cash flow analysis reveals significant volatility. Operating cash flow has been unstable, and free cash flow growth rate is concerning, indicating potential liquidity issues. The company needs to improve cash generation to support operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	135.85M	163.06M	181.34M	197.18M	250.25M	206.12M
Gross Profit	38.89M	32.95M	52.15M	64.67M	112.10M	77.13M
EBITDA	96.04M	109.11M	97.31M	125.25M	198.80M	180.71M
Net Income	21.05M	16.48M	23.28M	31.11M	113.35M	86.15M
Balance Sheet
Total Assets	2.18B	2.13B	2.25B	2.62B	2.91B	2.90B
Cash, Cash Equivalents and Short-Term Investments	244.41M	232.17M	164.29M	232.41M	197.18M	190.41M
Total Debt	218.39M	227.63M	287.80M	605.90M	754.48M	871.63M
Total Liabilities	300.11M	309.53M	377.23M	704.26M	864.74M	990.94M
Stockholders Equity	1.89B	1.83B	1.88B	1.92B	2.05B	1.91B
Cash Flow
Free Cash Flow	109.85M	64.98M	115.56M	174.72M	165.70M	-84.74M
Operating Cash Flow	116.14M	71.69M	132.19M	182.99M	183.42M	83.47M
Investing Cash Flow	-6.29M	80.81M	157.29M	54.19M	95.92M	-168.20M
Financing Cash Flow	-42.51M	-81.04M	-353.49M	-164.90M	-192.24M	-34.97M

China Renewable Energy Investment Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0987, the sentiment is Negative. The current price of 0.13 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.15, and above the 200-day MA of 0.12, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 18.66 is Positive, neither overbought nor oversold. The STOCH value of 5.88 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0987.

China Renewable Energy Investment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8326	74 Outperform	HK$207.36M	2.47	23.45%	―	34.44%	83.60%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
0987	60 Neutral	HK$330.81M	8.86	2.00%	3.76%	15.92%	―
0090	59 Neutral	HK$678.73M	17.27	4.04%	0.97%	16.01%	-53.67%
0295	45 Neutral	HK$284.32M	―	―	―	―	―
0451	40 Underperform	$1.15B	―	-35.49%	―	39.42%	56.89%
1165	39 Underperform	$116.89M	―	―	―	-21.67%	-18.64%

China Renewable Energy Investment Corporate Events

China Renewable Energy Investment Limited Reports Strong Interim Results for 2025

China Renewable Energy Investment Limited announced its interim results for the six months ended June 30, 2025. The company reported a significant increase in revenue and profit, with revenue rising to HK$94,176,000 and profit for the period reaching HK$30,945,000. This marks a substantial improvement from the previous year, reflecting strong operational performance and effective cost management. The results indicate a positive trajectory for the company, enhancing its position in the renewable energy sector and potentially benefiting stakeholders through increased profitability and market competitiveness.

China Renewable Energy Investment Projects Over 190% Profit Surge in H1 2025

China Renewable Energy Investment Limited has announced a significant improvement in its financial performance, with an expected over 190% increase in unaudited consolidated net profit for the first half of 2025 compared to the same period in 2024. This increase is primarily attributed to improved wind resources, which have positively impacted the company’s operations and market positioning. Stakeholders are advised to exercise caution and await the finalized 2025 Interim Results, expected by the end of August 2025.

China Renewable Energy Investment Schedules Board Meeting for Interim Results

China Renewable Energy Investment Limited has announced a board meeting scheduled for August 28, 2025, to approve the unaudited interim results for the first half of the year and consider an interim dividend. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its market positioning and investor relations.