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Zhejiang Changan Renheng Technology Co., Ltd. Class H (HK:8139)
:8139
Hong Kong Market
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Zhejiang Changan Renheng Technology Co., Ltd. Class H (8139) AI Stock Analysis

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HK:8139

Zhejiang Changan Renheng Technology Co., Ltd. Class H

(8139)

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Neutral 46 (OpenAI - Gpt-5.6Sol)
Rating:46Neutral
Price Target:
HK$1.00
▼(-7.41% Downside)
Action:Reiterated
Date:09/07/26
The score is held down primarily by weaker financial quality—profitability slipping into a net loss, rising leverage, and persistently negative free cash flow. Technicals also remain soft with the stock trading below key moving averages, though oversold signals provide some offset. Valuation is a relative positive due to the very low P/E, but it is not enough to outweigh the financial and trend risks.
Positive Factors
Consistent Revenue Growth
Consistent top-line expansion indicates continued demand and market activity across several years rather than a single-period improvement. If maintained, this growth can support operating scale, broaden the company’s revenue base, and provide a foundation for restoring profitability as execution improves.
Negative Factors
Profitability Deterioration
The move from profitability into a net loss weakens earnings quality and reduces internally generated capital available for reinvestment. Persistent operating pressure could limit the benefit of revenue growth, while a negative margin leaves less protection against further cost increases or weaker demand.
Read all positive and negative factors
Positive Factors
Negative Factors
Consistent Revenue Growth
Consistent top-line expansion indicates continued demand and market activity across several years rather than a single-period improvement. If maintained, this growth can support operating scale, broaden the company’s revenue base, and provide a foundation for restoring profitability as execution improves.
Read all positive factors

Zhejiang Changan Renheng Technology Co., Ltd. Class H (8139) vs. iShares MSCI Hong Kong ETF (EWH)

Zhejiang Changan Renheng Technology Co., Ltd. Class H Business Overview & Revenue Model

Company Description
Zhejiang Chang'an Renheng Technology Co., Ltd., along with its subsidiaries, specializes in the development, manufacturing, and sale of advanced bentonite fine chemicals within the People's Republic of China. Their product range is extensive, feat...

Zhejiang Changan Renheng Technology Co., Ltd. Class H Financial Statement Overview

Summary
Revenue growth has been strong and consistent, but profitability deteriorated sharply into a small net loss in 2025. Leverage has increased materially (debt-to-equity rising to ~1.67), reducing balance-sheet flexibility, and free cash flow has been persistently negative and volatile—highlighting weaker earnings quality and higher funding risk.
Income Statement
52
Neutral
Balance Sheet
38
Negative
Cash Flow
34
Negative
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue207.44M194.86M162.28M150.82M144.40M
Gross Profit78.74M80.10M65.36M55.29M60.04M
EBITDA20.25M24.86M24.02M17.72M25.88M
Net Income-76.35K1.27M2.30M1.42M7.43M
Balance Sheet
Total Assets360.40M337.98M292.85M278.15M248.60M
Cash, Cash Equivalents and Short-Term Investments48.48M32.09M19.95M19.69M21.63M
Total Debt198.41M174.73M111.50M120.38M93.56M
Total Liabilities240.12M219.29M175.42M163.03M134.89M
Stockholders Equity118.68M118.69M117.43M115.13M113.71M
Cash Flow
Free Cash Flow-9.27M-25.81M7.54M-8.83M-1.56M
Operating Cash Flow15.66M7.85M35.08M14.81M12.83M
Investing Cash Flow-10.13M-41.18M-23.90M-23.52M-14.25M
Financing Cash Flow16.23M34.68M-15.71M19.82M-115.04K

Zhejiang Changan Renheng Technology Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.08
Price Trends
50DMA
1.17
Negative
100DMA
1.24
Negative
200DMA
1.30
Negative
Market Momentum
MACD
-0.03
Positive
RSI
42.55
Neutral
STOCH
7.84
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8139, the sentiment is Negative. The current price of 1.08 is below the 20-day moving average (MA) of 1.19, below the 50-day MA of 1.17, and below the 200-day MA of 1.30, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 42.55 is Neutral, neither overbought nor oversold. The STOCH value of 7.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8139.

Zhejiang Changan Renheng Technology Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
HK$3.57B6.398.77%7.82%2.52%2.16%
70
Outperform
HK$21.11B9.7112.67%2.40%7.79%48.48%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
60
Neutral
HK$5.01B5.4613.63%1.20%0.90%16.54%
51
Neutral
HK$913.55M15.612.08%2.87%16.60%-12.13%
46
Neutral
HK$66.77M2.3012.45%1.99%14.13%
42
Neutral
HK$316.26M-0.33214.56%1.56%-21.85%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:8139
Zhejiang Changan Renheng Technology Co., Ltd. Class H
1.07
-0.43
-28.67%
HK:0827
Ko Yo Chemical (Group) Limited
0.04
0.01
43.33%
HK:0609
Tiande Chemical Holdings Limited
1.04
-0.33
-24.25%
HK:0189
Dongyue Group Limited
12.51
0.73
6.23%
HK:2198
China Sanjiang Fine Chemicals Co., Ltd.
4.17
2.14
105.12%
HK:0746
Lee & Man Chemical Co. Ltd.
4.48
-0.39
-8.09%
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: Sep 07, 2026