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Chengdu Expressway Co., Ltd. Class H (1785) AI Stock Analysis

HK:1785

Chengdu Expressway Co., Ltd. Class H

(HKEX:1785)

Select Model
Rating:71Outperform
Price Target:HKD 2.00â–²(2.04% Upside)
Action:reiterated
Date:08/29/26

Attractive valuation with low P/E and high dividend yield leads the score, reinforced by stable financial performance in profitability and leverage. Positive technical momentum provides additional support, offset by free cash flow concerns.

Positive Factors
Sustained ProfitabilitySolid gross and net margins indicate that the toll-road operating model remains profitable despite weaker revenue. Maintaining meaningful margins can support resilience and fund operations through normal traffic or investment fluctuations.
Negative Factors
Sharp Revenue ContractionA steep TTM revenue decline signals materially weaker business activity or changed operating conditions. If sustained, it could reduce fixed-cost absorption, constrain earnings growth and weaken the company’s ability to fund infrastructure needs.

Chengdu Expressway Co., Ltd. Class H (1785) vs. iShares MSCI Hong Kong ETF (EWH)

-2%0%3%5%8%10%13%15%18%HK:1785+4.14%EWH+7.37%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
HKD 3.25B
Dividend Yield
7.12%
Average Volume (3M)
27.43K
Price to Earnings (P/E)
5.1
Beta (1Y)
0.26
Revenue Growth
1.69%
EPS Growth
15.41%
Country
Hong Kong
Employees
2,529
Sector
Industrials
Sector Strength
63
Industry
Industrial - Infrastructure Operations

Chengdu Expressway Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Chengdu Expressway Co., Ltd. is primarily involved in the construction, operation, and upkeep of highway infrastructure within China's Sichuan province, specifically in the Chengdu region. Its operations are divided into two main divisions: Expresswa...

How the Company Makes Money

The company primarily makes money through expressway toll revenue collected from vehicles using the expressways it operates. This includes charges typically based on vehicle classification and distance traveled, and it is generally the main cash-gene...

Chengdu Expressway Co., Ltd. Class H Financial Statement Overview

Summary

Solid profitability with stable margins and moderate leverage on the balance sheet provide a stable foundation, though negative free cash flow from high capital expenditures and recent revenue declines pose risks.

Income Statement

68Positive

Balance Sheet

70Positive

Cash Flow

42Neutral
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.85B2.84B2.92B2.89B2.60B2.70B
Gross Profit1.06B1.02B1.08B1.04B871.07M1.02B
EBITDA795.45M1.16B1.21B1.31B1.12B1.31B
Net Income545.05M538.09M519.52M618.77M490.15M614.65M
Balance Sheet
Total Assets10.94B10.46B9.04B9.25B9.13B9.16B
Cash, Cash Equivalents and Short-Term Investments1.98B2.20B1.91B2.26B1.89B1.89B
Total Debt3.89B3.56B2.55B2.75B2.95B3.10B
Total Liabilities4.71B4.47B3.45B3.95B4.21B4.56B
Stockholders Equity5.23B4.98B4.59B4.35B4.02B3.70B
Cash Flow
Free Cash Flow-734.54M-383.50M303.77M987.66M661.34M746.94M
Operating Cash Flow848.88M732.59M806.01M1.11B850.37M814.38M
Investing Cash Flow-1.92B-1.60B-463.31M-75.23M-265.63M-37.03M
Financing Cash Flow758.61M671.65M-699.98M-592.50M-570.78M-608.88M

Chengdu Expressway Co., Ltd. Class H Technical Analysis

Technical Analysis SentimentPositive
Last Price1.96

Price Trends

50DMA1.98Negative
100DMA1.96Negative
200DMA1.94Positive

Market Momentum

MACD-0.01Negative
RSI49.96Neutral
STOCH72.70Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1785, the sentiment is Positive. The current price of 1.96 is above the 20-day moving average (MA) of 1.95, below the 50-day MA of 1.98, and above the 200-day MA of 1.94, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 49.96 is Neutral, neither overbought nor oversold. The STOCH value of 72.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1785.

Chengdu Expressway Co., Ltd. Class H Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

HK:1785 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
HK:0995HK:099577OutperformHKD 34.68B14.3016.49%4.54%-17.37%6.37%
HK:1785HK:178571OutperformHKD 3.25B5.0910.80%7.12%1.69%15.41%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
HK:0177HK:017762NeutralHKD 75.88B15.0310.81%5.00%7.60%4.14%
HK:0107HK:010760NeutralHKD 20.88B12.807.99%6.94%7.83%-2.71%
HK:1576HK:157659NeutralHKD 3.34B7.647.21%8.26%-52.79%-10.61%
HK:0548HK:054856NeutralHKD 22.85B17.675.07%4.23%-0.39%9.97%

* Industrials Sector Average

Performance Comparison

0%20%HK:1785HK:0995HK:0177HK:0107HK:0548HK:1576Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
HK:1785 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:1785Chengdu Expressway Co., Ltd. Class H1.960.084.14%
HK:0995Anhui Expressway Company Class H16.714.3334.93%
HK:0177Jiangsu Expressway Co Class H11.192.0522.46%
HK:0107Sichuan Expressway Co Class H4.90-0.11-2.29%
HK:0548Shenzhen Expressway Co Class H6.63-0.41-5.87%
HK:1576Qilu Expressway Co., Ltd. Class H1.670.021.15%

Chengdu Expressway Co., Ltd. Class H Corporate Events

Chengdu Expressway to Publish Unaudited 2026 Interim Results Report by End-September

Aug 27, 2026

Chengdu Expressway Co., Ltd., a Hong Kong-listed joint stock company based in Chengdu, operates in the transport infrastructure industry with a portfolio centered on expressway investment, construction, operation, and management. The group provides t...

Chengdu Expressway Reshapes Board as Veteran Non-Executive Director Retires

Aug 27, 2026

Chengdu Expressway Co., Ltd. announced that non-executive director Ms. Wu Haiyan has resigned from the board with immediate effect due to retirement, stepping down from her roles on the audit and risk management, nomination and remuneration and evalu...

Chengdu Expressway Clarifies Board Composition and Committee Structure

Aug 27, 2026

Chengdu Expressway Co., Ltd. has announced the current composition of its board, led by executive director and chairman Mr. Ding Dapan, alongside executive director Mr. Pan Xin, non-executive director Mr. Jiang Xinliang, and independent non-executive...

Chengdu Expressway Sets August Board Meeting to Review Interim Results and Dividend

Aug 12, 2026

Chengdu Expressway Co., Ltd., a PRC-based toll road operator listed in Hong Kong, focuses on the development and operation of expressway infrastructure around Chengdu to facilitate regional transport and commerce. Its board includes executive, non-ex...

Chengdu Expressway Details Tender Process for YZ Section Precast Components

Aug 4, 2026

Chengdu Expressway Co., Ltd. has detailed the procurement process for precast concrete components for the YZ bidding section of the Chengwenqiong Expressway project, underscoring its role in highway infrastructure development in Sichuan. The company,...

Chengdu Expressway Sets Out Board Structure and Committee Roles

Jul 28, 2026

Chengdu Expressway Co., Ltd. announced the current composition of its board of directors, comprising executive, non-executive and independent non-executive members led by chairman Ding Dapan. The disclosure clarifies governance roles and delineates t...

Chengdu Expressway Reshapes Top Leadership as Chairman Retires

Jul 28, 2026

Chengdu Expressway Co., Ltd. announced the retirement and resignation of executive director and board chairman Yang Tan, who leaves all positions with no reported disagreements and is credited by the board for advancing the company’s high-quali...

Chengdu Expressway Advances Chengwenqiong Expansion with RMB234 Million Component Contract

Jul 15, 2026

Chengdu Expressway Co., Ltd. has advanced its Chengwenqiong Expressway Expansion Project with a key procurement contract awarded by its subsidiary, Chengwenqiong Expressway Company, to Chengdu Chengtou Urban Construction. The deal follows a completed...

Chengdu Expressway Moves to Convert 20% of Share Capital Into Hong Kong-Listed H Shares

Jun 12, 2026

Chengdu Expressway Co., Ltd. has approved a plan to convert 331,220,400 unlisted domestic shares, representing 20% of its total share capital and currently held by Chengdu Communications Investment Transportation Construction and Management Group Co....

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: Aug 29, 2026