China Resources Gas’ 2016 Results Underpinned by Robust Volume Growth; Shares Remain Undervalued
Narrow-moat China Resources Gas’, or CRG’s, 2016 net profit of CNY 3.29 billion was within our expectations, and we leave our earnings forecasts unchanged. Despite flat revenue, earnings rose 16% year over year, as a larger percentage cut in city-gate gas costs versus the tariff cut lifted the gross margin. After rolling forward our valuation model, we raise our fair value estimate to HKD 31.00 from HKD 27.50. We think CRG remains undervalued at the current price level.CRG benefited from a reco...
China Resources Gas Group is an investment holding company. Co. operates a gas utilities group in China that is principally engaged in downstream city gas distribution business including piped natural gas distribution and natural gas filling stations operations. Co. and its subsidiaries' operating segments are as follows: sale and distribution of gas fuel and related products; which is engaged in the sale of natural gas and liquefied petroleum gas for residential, commercial and industrial use; and Gas connection, which engaged in the construction of gas pipelines networks under gas connection contracts.
Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.
Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.
We have operations in 27 countries.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.