CK Infrastructure Holdings (1038) AI Stock Analysis

• Market Cap: $121.82B
• Dividend Yield: 4.89%
• Average Volume (3M): 1.52M
• Price to Earnings (P/E): 15.8
• Beta (1Y): 0.12
• Revenue Growth: -10.67%
• EPS Growth: 0.65%
• Country: HK
• Employees: 2,358
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 1.73
• Shares Outstanding: 2,519,610,800
• 10 Day Avg. Volume: 1,472,255
• 30 Day Avg. Volume: 1,519,384
• PEG Ratio: 19.07
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 29.14
• P/FCF Ratio: 91.57
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 30.72
• Enterprise Value/Gross Profit: 115.07
• Enterprise Value/Ebitda: 16.35
• 1Y Price Target: $61.71
• Price Target Upside: 16.54% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: HK$57.00 ▲(7.65% Upside)

CK Infrastructure Holdings scores well due to its strong financial stability and attractive valuation. However, technical indicators suggest a neutral to slightly bearish short-term trend, and declining revenue and cash flow metrics highlight potential growth and liquidity challenges.

Positive Factors

Financial Stability

A strong equity position and declining debt levels enhance CK Infrastructure's financial stability, ensuring long-term resilience and flexibility in capital management.

Profitability

Stable profitability and strong net profit margins indicate CK Infrastructure's efficient operations and ability to generate consistent earnings, supporting long-term business sustainability.

Revenue Model

Long-term contracts and regulatory frameworks ensure steady cash flows, underpinning CK Infrastructure's robust revenue model and financial predictability over time.

Negative Factors

Revenue Decline

A declining revenue trend over recent years suggests potential growth challenges, which could impact CK Infrastructure's ability to expand its market presence and increase shareholder value.

Cash Flow Constraints

Decreasing operating and free cash flow trends may constrain CK Infrastructure's operational flexibility, limiting its capacity to invest in growth opportunities and manage financial obligations.

Revenue Growth Challenges

Declining revenue and cash flow metrics highlight growth and liquidity challenges, potentially affecting CK Infrastructure's ability to sustain operations and invest in future growth.

CK Infrastructure Holdings Business Overview & Revenue Model

Company Description

CK Infrastructure Holdings Limited, an infrastructure company, develops, invests in, operates, and commercializes infrastructure businesses in Hong Kong, Mainland China, the United Kingdom, Continental Europe, Australia, New Zealand, Canada, and the United States. The company invests in energy infrastructure, transportation infrastructure, water infrastructure, waste management, waste-to-energy, household infrastructure, and infrastructure related businesses. It is also involved in the production and laying of asphalt; manufacture, distribution, and sale of cement; property investment and project management activities; and investment in securities, as well as provision of waste management services. The company was formerly known as Cheung Kong Infrastructure Holdings Limited and changed its name to CK Infrastructure Holdings Limited in May 2017. The company was incorporated in 1996 and is headquartered in Central, Hong Kong. CK Infrastructure Holdings Limited is a subsidiary of Hutchison Infrastructure Holdings Limited.

How the Company Makes Money

CK Infrastructure generates revenue through a variety of key streams, primarily by investing in and managing a portfolio of infrastructure assets that provide essential services. The company earns income from regulated utility operations, including electricity and gas distribution, as well as from tolls and usage fees in transportation sectors. Significant revenue also comes from waste management services. The company often partners with government bodies and other private entities to secure long-term contracts, ensuring a steady cash flow. Additionally, CK Infrastructure benefits from its strategic investments in overseas markets, which diversify its revenue sources and mitigate risks associated with domestic fluctuations.

CK Infrastructure Holdings Financial Statement Overview

Summary

CK Infrastructure Holdings demonstrates solid profitability and financial stability, supported by strong margins and a robust equity base. However, declining revenue and cash flow metrics suggest potential growth and liquidity challenges.

Income Statement

The income statement shows stable profitability with a strong net profit margin above typical industry standards, largely driven by robust gross profit and EBIT margins. However, the revenue has declined over the last three years, indicating potential growth challenges.

Balance Sheet

The balance sheet reflects a strong equity position with a high equity ratio and a declining trend in debt levels, enhancing financial stability. The debt-to-equity ratio is healthy, demonstrating prudent leverage management.

Cash Flow

The cash flow statement reveals a decreasing trend in operating cash flow and free cash flow over recent years, which could constrain operational flexibility. Nevertheless, free cash flow remains positive, indicating an ability to cover operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.11B	4.99B	5.99B	6.62B	7.05B	7.18B
Gross Profit	1.36B	2.66B	1.73B	3.53B	2.42B	3.17B
EBITDA	9.60B	9.94B	9.86B	9.28B	8.94B	3.84B
Net Income	8.15B	8.12B	8.03B	7.75B	7.51B	7.32B
Balance Sheet
Total Assets	164.62B	157.84B	165.87B	165.87B	163.00B	167.41B
Cash, Cash Equivalents and Short-Term Investments	4.72B	8.11B	13.08B	18.05B	8.09B	13.48B
Total Debt	20.71B	19.54B	24.23B	38.45B	40.12B	47.63B
Total Liabilities	29.39B	26.59B	32.60B	46.37B	47.04B	55.85B
Stockholders Equity	135.16B	131.16B	133.18B	119.39B	115.83B	111.44B
Cash Flow
Free Cash Flow	1.55B	1.59B	3.50B	6.64B	7.47B	8.15B
Operating Cash Flow	1.91B	1.97B	3.85B	7.12B	7.83B	8.36B
Investing Cash Flow	3.66B	3.18B	2.41B	14.87B	-1.04B	7.00B
Financing Cash Flow	-10.03B	-10.12B	-11.22B	-6.19B	-12.19B	-7.62B

CK Infrastructure Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 52.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1038, the sentiment is Positive. The current price of 52.95 is above the 20-day moving average (MA) of 51.76, above the 50-day MA of 51.88, and above the 200-day MA of 50.67, indicating a bullish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 60.41 is Neutral, neither overbought nor oversold. The STOCH value of 83.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1038.

CK Infrastructure Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0836	73 Outperform	$98.16B	7.46	13.23%	5.43%	1.42%	-10.32%
1038	72 Outperform	$121.82B	15.76	6.64%	4.89%	-10.67%	0.65%
2638	69 Neutral	$53.81B	17.00	6.56%	5.23%	2.58%	1.42%
0002	68 Neutral	HK$171.04B	14.98	10.96%	4.78%	2.02%	51.27%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
0003	65 Neutral	$135.66B	24.07	9.86%	4.64%	0.36%	2.55%
0006	62 Neutral	$106.66B	17.33	7.05%	5.53%	-24.63%	1.74%

CK Infrastructure Holdings Corporate Events

CK Infrastructure Reports Steady Growth Amid Global Challenges

CK Infrastructure Holdings Limited reported a steady performance for the first half of 2025, with a profit attributable to shareholders of HK$4,348 million, marking a 1% year-on-year increase. The company declared an interim dividend of HK$0.73 per share, a 1.4% increase from the previous year. The UK portfolio showed significant growth, particularly in the gas distribution networks and UK Power Networks, while the Australian portfolio faced challenges due to currency fluctuations and expiring contracts. The company’s strong financial position enables it to pursue growth opportunities despite global economic uncertainties.

CK Infrastructure Holdings Reports Stable Interim Results for 2025

CK Infrastructure Holdings Limited (CKI) is a Bermuda-incorporated company operating in the infrastructure sector, with a diverse portfolio spanning energy, transportation, and water services across multiple regions including the UK, Australia, and Canada.

CK Infrastructure Holdings Reports Steady Growth Amid Global Challenges

CK Infrastructure Holdings Limited reported a steady performance in the first half of 2025, despite global economic challenges. The company achieved a 1% year-on-year increase in profit attributable to shareholders, amounting to HK$4,348 million, and declared a 1.4% growth in interim dividends. Notable growth was seen in the UK infrastructure portfolio, with significant contributions from Northumbrian Water and UK Power Networks. Conversely, the Australian portfolio faced an 8% decline in profit contribution due to currency fluctuations and contract expirations. The company’s financial position remains robust, with a strong cash reserve and low net debt ratio, enabling it to pursue further growth opportunities.

The most recent analyst rating on (HK:1038) stock is a Buy with a HK$62.00 price target. To see the full list of analyst forecasts on CK Infrastructure Holdings stock, see the HK:1038 Stock Forecast page.

CK Infrastructure Holdings Schedules Board Meeting for Interim Results

CK Infrastructure Holdings Limited has announced a board meeting scheduled for August 13, 2025, in Hong Kong. The meeting will address the approval of the interim results for the first half of 2025 and consider the payment of an interim dividend, which could impact the company’s financial strategy and shareholder returns.

The most recent analyst rating on (HK:1038) stock is a Hold with a HK$49.00 price target. To see the full list of analyst forecasts on CK Infrastructure Holdings stock, see the HK:1038 Stock Forecast page.