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Binhai Investment Co Ltd (HK:2886)
:2886
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Binhai Investment Co (2886) AI Stock Analysis

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HK:2886

Binhai Investment Co

(2886)

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Neutral 54 (OpenAI - Gpt-5.6Sol)
Rating:54Neutral
Price Target:
HK$1.00
▼(-8.26% Downside)
Action:Reiterated
Date:08/04/26
The score is held back primarily by weakening financial performance (sharp revenue decline, margin compression, and weaker free-cash-flow quality). Valuation provides meaningful support via a low P/E and high dividend yield, while technical indicators are broadly neutral and do not materially improve or worsen the outlook.
Positive Factors
Deleveraging
Lower debt and leverage improve the company’s financial resilience and provide greater flexibility for future capital allocation. The reduction in debt-to-equity, supported by relatively stable equity, can lessen balance-sheet pressure even while operating profitability remains challenged.
Negative Factors
Sharp Revenue Contraction
The acceleration in revenue decline signals substantial pressure on the company’s top line and weakens the foundation for sustained earnings growth. Continued contraction would reduce operating scale, limit investment capacity, and make recovery in profitability more dependent on cost control rather than business expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Deleveraging
Lower debt and leverage improve the company’s financial resilience and provide greater flexibility for future capital allocation. The reduction in debt-to-equity, supported by relatively stable equity, can lessen balance-sheet pressure even while operating profitability remains challenged.
Read all positive factors

Binhai Investment Co (2886) vs. iShares MSCI Hong Kong ETF (EWH)

Binhai Investment Co Business Overview & Revenue Model

Company Description
Binhai Investment Company Limited operates as an investment holding enterprise, primarily engaged in Hong Kong's energy sector. The company's core activities include establishing gas pipeline infrastructure, offering connection services, and distr...

Binhai Investment Co Financial Statement Overview

Summary
Weak operating trajectory: revenue fell sharply in 2025 (-48.5%) and margins compressed materially (gross margin down to ~9.3%, EBITDA margin to ~7.8%). Balance sheet is improving with lower leverage (debt-to-equity down to ~1.35), but ROE has moderated (~9.5%). Cash flow is a key risk: while operating cash flow is positive, free cash flow dropped to ~139M and cash conversion is weak (~23% of net income).
Income Statement
46
Neutral
Balance Sheet
57
Neutral
Cash Flow
44
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue5.61B5.61B6.20B6.41B6.10B4.84B
Gross Profit505.67M577.98M569.48M748.98M727.32M855.44M
EBITDA420.90M520.86M612.73M728.45M699.62M781.95M
Net Income213.60M206.15M199.78M256.61M325.83M399.66M
Balance Sheet
Total Assets7.42B7.40B7.75B8.59B8.57B8.18B
Cash, Cash Equivalents and Short-Term Investments226.21M184.07M385.00M935.40M845.25M742.18M
Total Debt3.30B2.94B3.34B3.92B3.93B3.15B
Total Liabilities4.96B5.02B5.45B6.27B6.28B5.86B
Stockholders Equity2.60B2.18B2.22B2.23B2.22B2.25B
Cash Flow
Free Cash Flow112.94M107.19M216.24M246.87M-285.59M-224.78M
Operating Cash Flow540.47M545.57M594.99M832.38M350.25M486.15M
Investing Cash Flow-436.23M-403.79M-213.40M-586.86M-802.42M-613.39M
Financing Cash Flow-265.34M-344.56M-780.61M-252.55M617.13M444.82M

Binhai Investment Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.09
Price Trends
50DMA
1.08
Positive
100DMA
1.08
Positive
200DMA
1.06
Positive
Market Momentum
MACD
0.02
Negative
RSI
73.56
Negative
STOCH
92.85
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2886, the sentiment is Positive. The current price of 1.09 is below the 20-day moving average (MA) of 1.10, above the 50-day MA of 1.08, and above the 200-day MA of 1.06, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 73.56 is Negative, neither overbought nor oversold. The STOCH value of 92.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2886.

Binhai Investment Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
HK$1.55B6.6210.22%37.80%33.31%
66
Neutral
$17.65B18.105.60%3.62%6.62%11.55%
57
Neutral
HK$1.07B6.4811.46%5.53%3.91%-15.37%
54
Neutral
HK$1.60B7.668.94%7.05%-0.33%4.98%
46
Neutral
HK$275.90M24.49-0.96%12.27%18.34%
45
Neutral
HK$841.24M10.285.34%4.04%8.89%-5.26%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2886
Binhai Investment Co
1.19
0.13
11.90%
HK:1265
Tianjin Jinran Public Utilities Co. Ltd. Class H
0.15
-0.06
-29.47%
HK:9908
JiaXing Gas Group Co. Ltd. Class H
7.80
0.18
2.40%
HK:1940
China Gas Industry Investment Holdings Co.Ltd.
1.27
0.61
94.62%
HK:6661
Huzhou Gas Co., Ltd. Class H
4.95
0.10
2.06%
HK:6828
Beijing Gas Blue Sky Holdings Ltd
0.04
-0.02
-28.85%

Binhai Investment Co Corporate Events

Binhai Investment Posts Double-Digit Interim Profit Growth on Higher Revenue
Aug 24, 2026
Binhai Investment Company Limited, a Bermuda-incorporated investment group listed in Hong Kong, operates in the utilities and infrastructure-related sector, generating recurring revenues from its portfolio in mainland China. The group maintains a ...
Binhai Investment Sets Board Meeting to Review Interim Results and Dividend
Aug 12, 2026
Binhai Investment Company Limited has scheduled a board meeting in Hong Kong on 24 August 2026 to review and approve its unaudited interim results for the six months ended 30 June 2026. The board will also consider declaring and paying an interim ...
Binhai Investment Launches First Distributed Solar Projects in Deqing County
Aug 10, 2026
Binhai Investment Company’s non-wholly-owned subsidiary, Deqing Qiyuan Intelligent Control Energy Service, has signed agreements with Baibiao Village’s collective economic organisation and Deqing Xinhehui Construction Development to in...
Binhai Investment Updates Bermuda Registered Office While Keeping Hong Kong Registrar Unchanged
Jul 14, 2026
Binhai Investment Company Limited has announced that, with effect from 3 August 2026, its registered office, principal share registrar and transfer agent in Bermuda, Conyers Corporate Services (Bermuda) Limited, will relocate to Richmond House, 12...
Binhai Investment Formalises Connected Natural Gas Pipeline Fee Arrangements
Jun 30, 2026
Binhai Investment Co. has entered a natural gas pipeline transportation settlement agreement involving its wholly owned subsidiary TEDA Clean Energy, its transmission branch, and non-wholly owned subsidiary TEDA Gas, to formalize the transmission ...
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 04, 2026