Want to see HK:2722 full AI Analyst Report?
Top Page
Chongqing Machinery & Electric Co. Ltd. Class H
(2722)
Select Model
Select Model
Rating:58Neutral
Price Target:
HK$2.00
▲(2.56% Upside)
Action:Reiterated
Date:06/24/26
The score is anchored by moderate financial performance (improving cash flow but very thin operating margins and higher leverage). Technicals are a key drag due to a broad downtrend and negative momentum. Valuation provides meaningful support with a low P/E and solid dividend yield.
Positive Factors
Steady Revenue Growth
Steady revenue growth through 2025, including a solid latest-year uptick, indicates continuing demand for the company’s machinery and electrical equipment. This provides a durable base for production utilization and future cash generation across industrial and infrastructure markets.
Negative Factors
Extremely Thin Operating Margin
An operating margin below 1% leaves very little room to absorb cost increases, weaker product mix, or execution pressure. Such limited core profitability can constrain reinvestment and make future earnings more sensitive to relatively small changes in revenue or expenses.
Read all positive and negative factors
Positive Factors
Negative Factors
Steady Revenue Growth
Steady revenue growth through 2025, including a solid latest-year uptick, indicates continuing demand for the company’s machinery and electrical equipment. This provides a durable base for production utilization and future cash generation across industrial and infrastructure markets.
Read all positive factors
Chongqing Machinery & Electric Co. Ltd. Class H (2722) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$6.61B
Dividend Yield7.66%
Average Volume (3M)7.76M
Price to Earnings (P/E)5.9
Beta (1Y)1.20
Revenue Growth19.90%
EPS Growth67.16%
CountryHK
Employees6,056
SectorIndustrials
Sector Strength72
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)0.26
Shares Outstanding1,100,187,500
10 Day Avg. Volume4,792,153
30 Day Avg. Volume7,755,346
Financial Highlights & Ratios
PEG Ratio0.10
Price to Book (P/B)0.67
Price to Sales (P/S)0.59
P/FCF Ratio7.77
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.29
Revenue Forecast (FY)HK$11.20B
Chongqing Machinery & Electric Co. Ltd. Class H Business Overview & Revenue Model
Company Description
Chongqing Machinery & Electric Co., Ltd. (CME) specializes in the design, manufacture, and distribution of a broad spectrum of products, focusing on clean energy solutions and advanced smart manufacturing equipment. The company's extensive portfol...
How the Company Makes Money
The company primarily makes money by selling machinery and electrical equipment to customers, recognizing revenue from delivered products and completed orders. It may also earn revenue from related services such as installation, commissioning, mai...
Chongqing Machinery & Electric Co. Ltd. Class H Financial Statement Overview
Summary
Income Statement
54
Neutral
Balance Sheet
58
Neutral
Cash Flow
63
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.79B | 10.04B | 8.92B | 8.06B | 7.21B | 7.41B |
| Gross Profit | 1.53B | 1.54B | 1.35B | 1.51B | 1.37B | 1.49B |
| EBITDA | 333.22M | 312.01M | 394.12M | 526.78M | 525.89M | 543.76M |
| Net Income | 925.39M | 763.92M | 431.28M | 303.63M | 310.30M | 296.51M |
Balance Sheet | ||||||
| Total Assets | 21.79B | 19.96B | 17.62B | 17.49B | 17.22B | 16.74B |
| Cash, Cash Equivalents and Short-Term Investments | 4.56B | 3.17B | 3.32B | 2.65B | 2.70B | 2.18B |
| Total Debt | 3.80B | 5.80B | 2.41B | 4.39B | 2.97B | 2.94B |
| Total Liabilities | 11.88B | 10.65B | 9.03B | 9.25B | 9.20B | 8.92B |
| Stockholders Equity | 9.41B | 8.81B | 8.07B | 7.71B | 7.56B | 7.35B |
Cash Flow | ||||||
| Free Cash Flow | 961.92M | 765.32M | 515.68M | -50.80M | 238.45M | 261.58M |
| Operating Cash Flow | 1.17B | 987.95M | 718.30M | 145.76M | 310.20M | 383.75M |
| Investing Cash Flow | 126.47M | -166.33M | 47.80M | 235.32M | 438.25M | 541.66M |
| Financing Cash Flow | -944.97M | -476.32M | -846.11M | -366.54M | -348.01M | -416.20M |
Chongqing Machinery & Electric Co. Ltd. Class H Technical Analysis
Negative
1.95
Price Trends
1.95
Negative
2.35
Negative
2.35
Negative
Market Momentum
-0.06
Positive
36.49
Neutral
34.76
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2722, the sentiment is Negative. The current price of 1.95 is above the 20-day moving average (MA) of 1.90, below the 50-day MA of 1.95, and below the 200-day MA of 2.35, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 36.49 is Neutral, neither overbought nor oversold. The STOCH value of 34.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2722.
Chongqing Machinery & Electric Co. Ltd. Class H Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
63 Neutral | HK$33.30B | 8.59 | 18.09% | 2.73% | 13.48% | 55.89% | |
58 Neutral | HK$6.61B | 5.90 | 10.15% | 8.52% | 19.90% | 67.16% | |
54 Neutral | HK$112.14B | 18.46 | 10.15% | 3.09% | 10.07% | 40.67% | |
51 Neutral | HK$1.67B | 3.79 | 4.42% | 4.52% | -18.58% | ― | |
50 Neutral | HK$104.54B | 75.32 | 0.60% | 0.55% | 16.39% | 46.43% | |
44 Neutral | HK$4.57B | -45.10 | -12.38% | ― | -2.05% | -2047.92% |
* Industrials Sector Average
HK:2722
Chongqing Machinery & Electric Co. Ltd. Class H
1.80
-0.02
-0.94%
HK:0658
China High Speed Transmission Equipment Group Co
1.02
-0.48
-32.00%
HK:1072
Dongfang Electric
19.66
3.13
18.95%
HK:2727
Shanghai Electric Group Company
3.00
-0.48
-13.67%
HK:1133
Harbin Electric Co. Ltd. Class H
14.89
5.35
56.00%
HK:0187
Beijing Jingcheng Machinery Electric Co Ltd Class H
2.74
-1.98
-41.95%
Chongqing Machinery & Electric Co. Ltd. Class H Corporate Events
Chongqing Machinery & Electric Subsidiary Files for Bankruptcy Liquidation
Aug 28, 2026
Chongqing Machinery Electric has disclosed that its wholly owned subsidiary, Chongqing Industrial Enabling Innovation Center Co., Ltd., has applied to the Fifth Intermediate People’s Court of Chongqing for bankruptcy liquidation after faili...
Chongqing Machinery & Electric outlines profit-focused strategy and wind blade growth
Aug 25, 2026
Chongqing Machinery Electric Co. Ltd., a PRC-based equipment manufacturer listed in Hong Kong, operates as a first-class equipment group focused on upgrading existing operations and expanding scale. Its principal businesses span traditional machi...
CQME Profit Jumps 31% as Interim Dividend Doubles
Aug 20, 2026
Chongqing Machinery Electric Co., Ltd. reported interim revenue of RMB5.40 billion for the six months ended 30 June 2026, up 15.9% year-on-year, with gross profit rising 2.0% to RMB764.4 million. Profit attributable to shareholders surged 31.1% t...
Chongqing Machinery & Electric Declares Interim Dividend for 2026 H-Shareholders
Aug 20, 2026
Chongqing Machinery Electric Co., Ltd. has declared an interim ordinary cash dividend of RMB 0.02 per share for the six months ended 30 June 2026, for the financial year ending 31 December 2026. The dividend is tied to the company’s H-share...
Chongqing Machinery & Electric forecasts 30% rise in first-half 2026 profit
Aug 11, 2026
Chongqing Machinery Electric Co., Ltd. expects its net profit attributable to shareholders for the first half of 2026 to rise by about 30% year on year, based on unaudited management accounts. The improvement is driven by better profitability in ...
Chongqing Machinery & Electric Sets August Board Meeting To Review Interim Results
Aug 5, 2026
Chongqing Machinery Electric Co., Ltd. has scheduled a board meeting in Chongqing on 20 August 2026 to review and approve its interim results for the six months ended 30 June 2026. The board will also consider a profit appropriation proposal, if ...
Chongqing Machinery & Electric shareholders approve RMB270 million capital injection at EGM
Jul 23, 2026
Chongqing Machinery Electric Co., Ltd. reported that shareholders approved all resolutions at its extraordinary general meeting held on 23 July 2026, including a connected transaction involving a capital increase in Chongqing Chengfei New Materia...
Chongqing Machinery & Electric Calls EGM on Capital Injection and Articles Amendments
Jul 8, 2026
Chongqing Machinery Electric Co., Ltd. has called an Extraordinary General Meeting for 23 July 2026 in Chongqing to seek shareholder approval for a significant capital increase into Chongqing Chengfei New Materials Co., Ltd. by its parent company...
Chongqing Machinery & Electric to Adopt Hong Kong Reporting Standards and Amend Articles
Jul 8, 2026
Chongqing Machinery Electric Co., Ltd. plans to shift its financial reporting framework from PRC Accounting Standards for Business Enterprises to Hong Kong Financial Reporting Standards, reflecting a rising share of overseas investors and cross-b...
Chongqing Machinery & Electric Sets July Extraordinary General Meeting and H-Share Book Closure
Jul 6, 2026
Chongqing Machinery Electric Co., Ltd. has announced plans to convene an extraordinary general meeting in Hong Kong on 23 July 2026, aimed at securing shareholder approval on forthcoming resolutions. The move underscores the company’s ongoi...
Chongqing Machinery & Electric to Trim GRIPM Stake for Capital Reallocation
Jun 29, 2026
Chongqing Machinery Electric Co., Ltd. has approved a plan to reduce part of its shareholding in GRIPM Advanced Materials Co., Ltd., a company listed on the STAR Market in Shanghai. The move is intended to optimize the firm’s capital struct...
Chongqing Machinery & Electric Wins Strong Shareholder Backing at 2026 AGM
Jun 25, 2026
Chongqing Machinery Electric Co. Ltd. reported that shareholders approved all resolutions at its annual general meeting held on 25 June 2026, covering the 2025 board report, audited financial statements, final accounts, profit appropriation, and ...
Chongqing Machinery & Electric Sets Final 2025 Dividend and Tax Terms
Jun 25, 2026
Chongqing Machinery Electric Co., Ltd., a Hong Kong-listed machinery and electrical equipment producer, serves industrial customers in China and overseas through its portfolio of mechanical and power-related products.The company has declared a fi...
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.