Investment Rating - The report assigns a "Buy" rating to China Coal Energy Company, with a target price of HKD 17.81 based on a 12x PE for 2026 [3]. Core Insights - China Coal Energy Company has participated in the state-owned Zhanxin Fund, investing CNY 1 billion (approximately HKD 1.00 billion) to acquire a 1.96% stake in the fund, aimed at promoting strategic industries and enhancing its industrial cooperation ecosystem [1]. - The company is set to acquire a 30% equity stake in a new energy company for CNY 115 million (approximately HKD 115 million), which will become a wholly-owned subsidiary post-acquisition [1]. - The company’s coal mining projects are progressing well, with expected production by the end of 2026, indicating a solid foundation for future growth [2]. Financial Forecasts - The projected net profits for China Coal Energy Company are CNY 16.24 billion, CNY 17.90 billion, and CNY 19.04 billion for the years 2025, 2026, and 2027 respectively, reflecting a recovery in profitability [3]. - Revenue forecasts show a decline in 2025 to CNY 156.84 billion, followed by a slight recovery in subsequent years [4]. - The earnings per share (EPS) is expected to be CNY 1.22 in 2025, increasing to CNY 1.44 by 2027 [4]. Comparable Company Valuation - The report compares China Coal Energy Company with peers, noting that its PE ratio is lower than the industry average, suggesting potential undervaluation [5].
中煤能源（01898）：参与出资央企战新基金，收购新能源公司30%股权