Guangdong Investment Ltd
HKEX:270

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Guangdong Investment Ltd
HKEX:270
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Price: 8.24 HKD Market Closed
Market Cap: HK$53.9B

EV/IC

0.7
Current
56%
More Expensive
vs 3-y average of 0.5

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.7
=
Enterprise Value
HK$53B
/
Invested Capital
HK$74.4B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.7
=
Enterprise Value
HK$53B
/
Invested Capital
HK$74.4B

Valuation Scenarios

Guangdong Investment Ltd is trading above its 3-year average

If EV/IC returns to its 3-Year Average (0.5), the stock would be worth HK$5.28 (36% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-36%
Maximum Upside
No Upside Scenarios
Average Downside
25%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.7 HK$8.24
0%
3-Year Average 0.5 HK$5.28
-36%
5-Year Average 0.7 HK$7.29
-11%
Industry Average 0.6 HK$6.31
-23%
Country Average 0.5 HK$5.76
-30%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close

Market Distribution

In line with most companies in Hong Kong
Percentile
64rd
Based on 1 589 companies
64rd percentile
0.7
Low
0 — 0.3
Typical Range
0.3 — 0.9
High
0.9 —
Distribution Statistics
Hong Kong
Min 0
30th Percentile 0.3
Median 0.5
70th Percentile 0.9
Max 59 382.5

Guangdong Investment Ltd
Glance View

Market Cap
53.9B HKD
Industry
Utilities

Nestled in the bustling province of Guangdong, Guangdong Investment Ltd. (GDI) stands as a testament to strategic diversification and regional influence. Initially carving a niche for itself in water supply operations, GDI has built a robust foundation by ensuring that Hong Kong’s residents and businesses have reliable access to this essential resource. A cornerstone of its operations, the Dongshen Water Supply Project, has allowed the company to serve an indispensable role in providing about 70% of Hong Kong's raw water. This venture not only solidifies GDI’s standing in the utilities sector but also secures a long-term, stable revenue stream through government contracts and a sustainable pricing structure. Beyond its core water business, GDI has astutely expanded its portfolio into property investment and development, department stores, and hospitality ventures, capitalizing on the rapid economic growth within the region. By owning and managing prime commercial properties, the company has been able to leverage rising real estate values to boost its earnings. Meanwhile, its hospitality arm focuses on operating high-end hotels, attracting tourists and business travelers alike. Each of these ventures is interconnected, painting a picture of a strategic enterprise that profits from synergistic opportunities across several sectors, while maintaining a strong focus on regional infrastructure and community development. In this way, GDI not only ensures its own growth but also contributes significantly to the economic landscape of Guangdong and beyond.

Intrinsic Value
8.16 HKD
Overvaluation 1%
Intrinsic Value
Price HK$8.24
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