The Discounted Cash Flow (DCF) valuation of Chinese Energy Holdings Ltd (8009.HK) is 2.15 HKD. With the latest stock price at 0.45 HKD, the upside of Chinese Energy Holdings Ltd based on DCF is 377.3%.

Is 8009.HK a buy or a sell?

Based on the latest price of 0.45 HKD and our DCF valuation, Chinese Energy Holdings Ltd (8009.HK) is a buy. Buying 8009.HK stocks now will result in a potential gain of 377.3%.

	Range	Selected
WACC / Discount Rate	6.8% - 9.2%	8.0%
Long-term Growth Rate	0.0% - 1.0%	0.5%
Fair Price	1.81 - 2.36	2.15
Upside	303.0% - 423.7%	377.3%

0.45 HKD

Stock Price

2.15 HKD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

8009.HK DCF Valuation: Revenue & Expenses Forecast

(HKD in millions)		Projections

	03-2023	03-2024	03-2025	03-2026	03-2027	03-2028

Revenue	191	170	174	182	185	195
% Growth	42%	-11%	2%	5%	2%	5%

Cost of goods sold	(181)	(161)	(164)	(172)	(175)	(184)
% of Revenue	95%	95%	95%	95%	95%	95%

Selling, G&A expenses	(12)	(11)	(11)	(12)	(12)	(13)
% of Revenue	6%	6%	6%	6%	6%	6%

Research & Development	0	0	0	0	0	0
% of Revenue	0%	0%	0%	0%	0%	0%

Net interest & other expenses	2	2	2	2	2	2
% of Revenue	1%	1%	1%	1%	1%	1%

Tax expense	(0)	0	0	0	0	0
Tax rate	18%	22%	22%	22%	22%	22%

Net profit	(0)	(0)	(0)	(0)	(0)	(0)
% Margin	0%	0%	0%	0%	0%	0%