China Coal Energy Company Limited's (HKG:1898) Price Is Right But Growth Is Lacking

Simply Wall St.11-15

When close to half the companies in Hong Kong have price-to-earnings ratios (or "P/E's") above 10x, you may consider China Coal Energy Company Limited (HKG:1898) as an attractive investment with its ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2483197073?lang=en_US&edition=fundamental","thumbnail":"https://images.simplywall.st/asset/industry/2052001-choice1-main-header/1585186931882","is_english":true,"pubTime":"2024-11-15 09:56","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2483197073","market":"sg","top_or_hot":-1,"title":"China Coal Energy Company Limited's (HKG:1898) Price Is Right But Growth Is Lacking","media":"Simply Wall St.","content":"<div>\n<p>When close to half the companies in Hong Kong have price-to-earnings ratios (or \"P/E's\") above 10x, you may consider China Coal Energy Company Limited (HKG:1898) as an attractive investment with its ...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/energy/hkg-1898/china-coal-energy-shares/news/china-coal-energy-company-limiteds-hkg1898-price-is-right-bu-1\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>China Coal Energy Company Limited's (HKG:1898) Price Is Right But Growth Is Lacking</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nChina Coal Energy Company Limited's (HKG:1898) Price Is Right But Growth Is Lacking\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-15 09:56 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/hk/energy/hkg-1898/china-coal-energy-shares/news/china-coal-energy-company-limiteds-hkg1898-price-is-right-bu-1><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>When close to half the companies in Hong Kong have price-to-earnings ratios (or \"P/E's\") above 10x, you may consider China Coal Energy Company Limited (HKG:1898) as an attractive investment with its ...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/energy/hkg-1898/china-coal-energy-shares/news/china-coal-energy-company-limiteds-hkg1898-price-is-right-bu-1\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK1594","symbol_name":"碳中和概念股","start_time":0,"source_url":"https://simplywall.st/stocks/hk/energy/hkg-1898/china-coal-energy-shares/news/china-coal-energy-company-limiteds-hkg1898-price-is-right-bu-1","article_id":"2483197073","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/2052001-choice1-main-header/1585186931882"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2483197073","pubTimestamp":1731635794,"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"When close to half the companies in Hong Kong have price-to-earnings ratios (or \"P/E's\") above 10x, you may consider...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK1594":"碳中和概念股","01898":"中煤能源","BK1538":"煤炭股","BK1178":"煤与消费用燃料"},"translate_title":"中煤能源股份有限公司（HKG：1898）价格合适但缺乏增长","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"01898":1},"content_text":"When close to half the companies in Hong Kong have price-to-earnings ratios (or \"P/E's\") above 10x, you may consider China Coal Energy Company Limited (HKG:1898) as an attractive investment with its 6.6x P/E ratio.  However, the P/E might be low for a reason and it requires further investigation to determine if it's justified.     China Coal Energy could be doing better as its earnings have been going backwards lately while most other companies have been seeing positive earnings growth.   It seems that many are expecting the dour earnings performance to persist, which has repressed the P/E.  If this is the case, then existing shareholders will probably struggle to get excited about the future direction of the share price.     View our latest analysis for China Coal Energy SEHK:1898 Price to Earnings Ratio vs Industry November 15th 2024 Keen to find out how analysts think China Coal Energy's future stacks up against the industry? In that case, our free report is a great place to start.  What Are Growth Metrics Telling Us About The Low P/E?   In order to justify its P/E ratio, China Coal Energy would need to produce sluggish growth that's trailing the market.   If we review the last year of earnings, the company posted a result that saw barely any deviation from a year ago.   Fortunately, a few good years before that means that it was still able to grow EPS by 22% in total over the last three years.  Therefore, it's fair to say that earnings growth has been inconsistent recently for the company.     Turning to the outlook, the next year should generate growth of 7.1%  as estimated by the eight analysts watching the company.  With the market predicted to deliver 23% growth , the company is positioned for a weaker earnings result.  In light of this, it's understandable that China Coal Energy's P/E sits below the majority of other companies.  It seems most investors are expecting to see limited future growth and are only willing to pay a reduced amount for the stock.    The Key Takeaway  We'd say the price-to-earnings ratio's power isn't primarily as a valuation instrument but rather to gauge current investor sentiment and future expectations.  As we suspected, our examination of China Coal Energy's analyst forecasts revealed that its inferior earnings outlook is contributing to its low P/E.  At this stage investors feel the potential for an improvement in earnings isn't great enough to justify a higher P/E ratio.  It's hard to see the share price rising strongly in the near future under these circumstances.      It's always necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with China Coal Energy, and understanding  should be part of your investment process.   If these risks are making you reconsider your opinion on China Coal Energy, explore our interactive list of high quality stocks to get an idea of what else is out there. New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2483197073"}