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China Carbon Neutral Development Group Limited (1372) AI Stock Analysis

HK:1372

China Carbon Neutral Development Group Limited

(HKEX:1372)

Select Model
Rating:41Neutral
Price Target:HKD 1.00â–¼(-3.85% Downside)
Action:reiterated
Date:01/27/26

The score is primarily weighed down by weak financial quality (loss-making operations, high leverage, and negative operating/free cash flow) despite strong revenue growth. Technicals also remain bearish with the stock below major moving averages and negative MACD. Valuation is constrained by a negative P/E and no stated dividend yield.

Positive Factors
Strong revenue growthSustained high top-line growth indicates robust demand for the company's carbon reduction projects and supports scale advantages in project development. Over 2-6 months this can translate into a larger project pipeline, higher recurring carbon-credit sales, and improved bargaining power with partners.
Negative Factors
Negative profitabilityPersistent negative net profit and EBIT margins indicate structural issues converting revenue into earnings. Over months this erodes retained earnings, limits reinvestment capacity, and hinders the company's ability to build reserve buffers or fund project expansion without external financing.

China Carbon Neutral Development Group Limited (1372) vs. iShares MSCI Hong Kong ETF (EWH)

-40%-30%-20%-10%0%10%20%30%40%HK:1372-25.71%EWH+7.37%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
HKD 1.02B
Dividend Yield
―
Average Volume (3M)
1.13M
Price to Earnings (P/E)
-5.8
Beta (1Y)
0.84
Revenue Growth
10.01%
EPS Growth
-1258.08%
Country
Hong Kong
Employees
292
Sector
Industrials
Sector Strength
63
Industry
Engineering & Construction

China Carbon Neutral Development Group Limited Business Overview & Revenue Model

Company Description

Operating as an investment holding entity, China Carbon Neutral Development Group Limited primarily focuses on the civil engineering and construction industry across both Hong Kong and Mainland China. Its extensive services encompass general civil en...

How the Company Makes Money

China Carbon Neutral Development Group Limited generates revenue primarily through the development and management of carbon reduction projects, including wind and solar energy installations. The company earns income from selling carbon credits genera...

China Carbon Neutral Development Group Limited Financial Statement Overview

Summary

Despite very strong revenue growth (84.36%), profitability is weak with negative net profit and EBIT margins. The balance sheet shows high leverage (high debt-to-equity) and negative ROE, and cash flows are strained with negative operating cash flow and negative free cash flow growth.

Income Statement

45Neutral

Balance Sheet

30Negative

Cash Flow

25Negative
Financial statement breakdown
BreakdownTTMJun 2025Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue637.42M623.73M639.39M709.31M468.01M478.32M
Gross Profit44.80M41.50M37.63M42.51M35.93M8.10M
EBITDA-30.63M31.47M-28.42M-136.49M353.46M374.90M
Net Income-185.39M44.47M-88.56M-197.47M267.65M302.03M
Balance Sheet
Total Assets596.45M538.53M364.26M314.54M484.82M255.82M
Cash, Cash Equivalents and Short-Term Investments176.45M135.64M139.99M77.61M282.15M49.75M
Total Debt179.36M220.70M175.79M219.04M255.46M450.75M
Total Liabilities385.93M496.88M369.08M364.31M397.76M934.75M
Stockholders Equity213.99M46.44M2.18M-49.15M86.87M-678.93M
Cash Flow
Free Cash Flow-93.14M08.19M129.58M-91.40M2.65M
Operating Cash Flow-84.33M08.50M133.26M-88.20M2.77M
Investing Cash Flow9.54M0-29.97M-3.90M-24.30M-122.00K
Financing Cash Flow133.05M062.52M-139.23M151.67M-16.99M

China Carbon Neutral Development Group Limited Technical Analysis

Technical Analysis SentimentNegative
Last Price1.04

Price Trends

50DMA1.21Negative
100DMA1.14Negative
200DMA1.14Negative

Market Momentum

MACD-0.04Negative
RSI41.53Neutral
STOCH79.54Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1372, the sentiment is Negative. The current price of 1.04 is below the 20-day moving average (MA) of 1.07, below the 50-day MA of 1.21, and below the 200-day MA of 1.14, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 41.53 is Neutral, neither overbought nor oversold. The STOCH value of 79.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1372.

China Carbon Neutral Development Group Limited Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

HK:1372 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
HK:2386HK:238653NeutralHKD 23.66B12.894.87%7.00%14.07%-35.89%
HK:2236HK:223651NeutralHKD 1.75B16.363.16%―-14.03%-62.71%
HK:3996HK:399643NeutralHKD 104.28B18.174.43%3.81%-0.79%-32.91%
HK:0871HK:087142NeutralHKD 75.19M-0.56-1098.54%―-9.52%62.63%
HK:1372HK:137241NeutralHKD 1.02B-5.77-142.37%―10.01%-1258.08%
HK:1855HK:185540UnderperformHKD 107.25M-4.05-3.28%―-16.86%-167.83%

* Industrials Sector Average

Performance Comparison

-50%0%50%HK:1372HK:3996HK:0871HK:2386HK:1855HK:2236Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
HK:1372 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:1372China Carbon Neutral Development Group Limited1.04-0.21-16.80%
HK:3996China Energy Engineering Corp. Ltd. Class H0.94-0.19-16.96%
HK:0871China Dredging Environment Protection Holdings Limited0.05-0.01-16.67%
HK:2386SINOPEC Engineering (Group) Co., Ltd. Class H5.38-1.64-23.35%
HK:1855Zonqing Environmental Limited0.13-2.41-94.88%
HK:2236Wison Engineering Services Co., Ltd.0.430.0410.26%

China Carbon Neutral Development Group Limited Corporate Events

China Carbon Neutral Development Raises HK$77 Million in Share Subscription to Bolster Carbon-Neutral Strategy

Jul 27, 2026

China Carbon Neutral Development Group Limited has moved to shore up its finances and support its carbon-neutral business strategy through a fresh share subscription. The Hong Kong-listed group, active in battery cascading utilization and broader low...

China Carbon Neutral Plans Majority Stake in AI Rail-Tech Firm Shanghai Mingxiao

Jul 27, 2026

China Carbon Neutral Development Group Limited has signed a letter of intent to acquire a controlling stake of more than 51 percent in Shanghai Mingxiao Information Technology Development, an AI-driven smart transportation and energy platform provide...

China Carbon Neutral Development Investor Raises Stake as Public Float Maintained

Jun 23, 2026

China Carbon Neutral Development Group Limited reported that substantial shareholder Mr. Sha Tao increased his stake by purchasing 109,000 shares on the open market at an average price of about HK$0.90 per share. Following the transaction, his holdin...

China Carbon Neutral Development Raises HK$77 Million via Share Subscription

Jun 17, 2026

China Carbon Neutral Development Group Limited has completed the subscription of 96,592,000 new shares at HK$0.80 each under its general mandate, increasing its total issued shares to 977,478,712 and slightly diluting existing substantial shareholder...

China Carbon Neutral Development Channels New Share Proceeds Into Lithium Battery Recycling Expansion

Jun 9, 2026

China Carbon Neutral Development Group plans to raise net proceeds of about HK$77.27 million from new share subscriptions, allocating roughly half to general working capital and half to debt repayment, while also detailing how remaining funds from a...

China Carbon Neutral Development Investor Raises Stake, Board Affirms Public Float

May 27, 2026

China Carbon Neutral Development Group Limited reported that substantial shareholder Mr. Sha Tao purchased 151,000 shares on the open market at an average price of about HK$0.890 per share, increasing his stake to approximately 162.3 million shares,...

China Carbon Neutral Development Grants Options Equal to 7.3% of Share Capital

May 14, 2026

China Carbon Neutral Development Group Limited has granted share options to 24 eligible participants, including directors and employees, under its share option scheme adopted in January 2026. The options cover 64,290,000 ordinary shares, representing...

China Carbon Neutral Development Group to Raise Equity via Discounted Share Subscriptions

May 13, 2026

China Carbon Neutral Development Group has entered into three subscription agreements with independent investors for a total of 96,592,000 new shares at HK$0.80 per share, representing about 10.97% of its existing share capital. The new shares, to be...

China Carbon Neutral Development Holder Sha Tao Lifts Stake to 24.02%

May 6, 2026

China Carbon Neutral Development Group Limited has disclosed that substantial shareholder Sha Tao increased his stake in the company by purchasing 550,000 shares on the open market at an average price of HK$0.975 per share. Following this transaction...

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: Jan 27, 2026