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China Gas Holdings (CGHOF) fair value: what the stock is really worth

As of Oct 2, 2026: fair value of China Gas Holdings $1.27, price $0.70, upside +81.4%, quality 51 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.

  1. Fair value above price? Yes
  2. Good quality? Yes
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Utilities · US · ISIN BMG2109G1033

CG China Gas Holdings logo Some data Sep 24, 2026

China Gas Holdings

CGHOF · US

Clearly undervaluedStrong Fair Value upside, but quality is only moderate.

✓Fair value $1.27 · Strongly undervalued (+81.4%)
!Quality 51/100
!Weak Growth (revenue 5y +5.9 %/yr)
!Thin margins · 3.6% net margin (TTM)
✓Moderate debt · generates free cash flow
!Narrow moat 37/100
!Evidence only medium, so the estimate is less certain
!The models disagree: range $0.5600 to $2.68

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

Price vs Fair Value

$2.93 $0.6900 Fair Value $1.27 Jun 2015 Oct 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 24, 2026.

How to read this chart

60‑month range $0.6900 – $2.93 · fair‑value band $0.5600 – $2.68 · the $0.7000 price screens below the $1.27 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 24, 2026.

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Company profile

China Gas Holdings Limited, an investment holding company, operates as an energy supplier and service provider in the People's Republic of China. It operates through Sales of Natural Gas; Gas Connection; Engineering Design and Construction; Sales of Liquefied Petroleum Gas (LPG); Value-Added Services; Other Businesses; and Zhongyu Energy segments.

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China Gas Holdings Limited, an investment holding company, operates as an energy supplier and service provider in the People's Republic of China. It operates through Sales of Natural Gas; Gas Connection; Engineering Design and Construction; Sales of Liquefied Petroleum Gas (LPG); Value-Added Services; Other Businesses; and Zhongyu Energy segments. The company invests in, constructs, and operates city and town gas pipelines, gas terminals, storage and transportation facilities, and gas logistics systems; delivers natural gas and LPG to residential, industrial, and commercial users; builds and operates compressed natural gas/liquefied natural gas fueling stations for vehicles; and develops technologies related to natural gas and LPG. It is also involved in the investment in petrochemical facilities of storage and transportation; producing, storing, and selling of LPG and chemical products, as well as propane and butane; CBM business; exploration and production of coal bed methane; and gas station administration services. In addition, the company offers treasury, management, consultancy, and procurement services; and engages in wholesale and retail of household equipment, electric appliances, kitchen appliances, and others. Further, it is involved in the development and investment in clean energy; wholesale and trading of natural gas and liquefied natural gas; and sale of electricity, as well as invests in construction of city gas pipeline network, petrochemical, and natural gas projects. Additionally, the company engages in the distribution of heating; securities investment; software development and consulting; and provision of construction services, as well as rental and inspection services for safety production. China Gas Holdings Limited was incorporated in 1995 and is headquartered in Wan Chai, Hong Kong.

Stock analysis

China Gas Holdings (CGHOF) currently trades at $0.7000, while our model-based Fair Value estimate is $1.27, implying the stock looks roughly 44.9% undervalued today.

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Valuation

Bull case: the Growth Earnings group reads highest at a median of $2.06 per share, and 24 of the 26 models we run sit above the $0.7000 price.

Bear case: the Economic Profit group reads lowest at $0.5600, and 2 of the 26 models stay below the price. Evidence for this calculation is medium.

Scenario range: $0.5600 (bear) to $2.68 (bull), the price of $0.7000 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.

Quality & growth

The Quality Score stands at 51/100 (solid quality), in the Utilities sector.

Weak Growth: Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.

China Gas Holdings reported revenue of HK$79.3B in FY2025 versus HK$70.0B in FY2021, a compound +3.2%/yr. Reported net income was HK$3.3B in FY2025, compounding −25.4%/yr from FY2021.

Key figures

Market cap $6.3B · P/E ratio 10.0 · P/S ratio 0.41 · EPS (TTM) $0.0700 · Net margin 4.1% · Return on equity 5.8% · Return on assets (EBIT) 5.4% · Operating margin 8.7%.

Competitive moat

Our AI-assisted moat analysis scores the competitive advantage at 41 out of 100 (medium confidence).

What moves the price

For context, the median of 10 Utilities peers we cover trades at 2% fair-value upside, at 81%, CGHOF screens cheaper than that median.

Fair Value models

Bear $0.5600 Fair Value $1.27 Bull $2.68
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds. Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Highest evidence
Residual Income $0.9900 $1.03 $1.10 74
EPV $0.3800 $0.5600 $0.7100 73
ROIC Compounder $0.3800 $0.5600 $0.7100 69
All 26 models by family
DCF Models
FCF DCF $0.4700 $1.17 $3.22 67
Owner Earnings $0.3700 $1.68 $4.33 64
5Y Revenue Exit $0.6100 $1.79 $4.14 63
5Y EBITDA Exit $0.7600 $2.10 $4.60 66
5Y P/E Exit $0.3500 $1.49 $2.98 62
10Y Revenue Exit $0.5100 $2.01 $3.58 60
10Y EBITDA Exit $0.6700 $2.29 $5.37 59
10Y P/E Exit $0.3800 $1.51 $3.48 55
Earnings-Based
Graham-Dodd $0.5200 $3.61 $5.06 61
Lynch FV $1.15 $1.64 $2.13 59
PEG = 1.0 $1.15 $1.64 $2.13 55
EPV $0.3800 $0.5600 $0.7100 73
Dividend Discount
Gordon GGM $0.5400 $1.08 $1.64 64
DDM Multi-Stage $0.5400 $0.9300 $1.14 65
Multiples
P/E Multiple $1.03 $1.37 $1.71 63
P/S Multiple $0.9700 $1.29 $1.62 58
P/B Multiple $0.9700 $1.29 $1.62 55
EV/EBIT $0.9100 $1.44 $1.98 64
EV/EBITDA $0.9000 $1.43 $1.97 66
EV/Revenue $0.6000 $1.16 $1.72 51
Asset-Based
NCAV (Graham) $0.6300 $0.8400 $1.26 54
Growth DCF
Growth DCF $0.4100 $1.35 $3.14 68
Rev-Margin DCF $0.6100 $2.03 $4.20 64
Economic Profit
Residual Income $0.9900 $1.03 $1.10 74
ROIC Compounder $0.3800 $0.5600 $0.7100 69
Growth Earnings
Growth-Adj P/E $1.44 $2.06 $2.68 65

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Quality Score breakdown

Overall quality 51/100

Of which business quality 47 · Market factors (momentum, volatility) 12

Profitability 27
Margins and returns on capital today
Quality Growth 45
Are margins and returns improving?
Cashflow 40
Earnings quality: real cash, not paper profit
Fin. Strength 26
Balance sheet, leverage, solvency risk
Investment 93
Disciplined investing over empire-building
Low Volatility 31
Calm price path (market factor)
Momentum 7
Price trend over the last 3–12 months (market factor)
52W Momentum 1
Distance to the 52-week high (market factor)
Net Issuance 85
Share count: buybacks or dilution?

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Revenue & earnings trend

Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card. 40/100
Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.
Revenue growth 1 year
−2.6%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−3.5%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.9%
Start year 2020 (pandemic). Over 10 years: +9.6% a year
Revenue growth 23 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+52.5%
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−19.3%
Earnings growth per share plus dividend.
Earnings per share, growth per year−19.3%
Dividend (yield on the price)0.0%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−19.3% vs 1.6%, slowing
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.21% → 8%
Start year 2020 (pandemic)

Growth Forecast

A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+25.3%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
0.0%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in HKD, Hong Kong: IMF forecast 2.1% a year to 2030, 1.8% from 2016 to 2025) that is about +22.7% a year for the price and −2.1% for the forecasts.
Forecast 2026 (sales)−0.4%
Forecast 2027 (sales)−0.4%
Projected 2028 (sales)−0.1%
Projected 2029 (sales)+0.2%
Projected 2030 (sales)+0.5%

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Earlier news

News mood ⓘNews mood, the average tone of recent news (13 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation. Neutral
Recent news coverage is roughly neutral, about typical for how stocks are covered.

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Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Utilities - Regulated Gas stocks, each showing price versus our Fair Value estimate.

Stock Price Fair Value vs Fair Value
Naturgy Energy Group NTGY €29.10 €32.79 +13%
Atmos Energy Corporation ATO $156.38 $77.00 −51%
Uniper SE UN0 €45.25 €45.97 +2%
NiSource Inc NI $39.50 $19.90 −50%
The Hong Kong and China Gas Company 0003 HK$7.08 HK$4.79 −32%
GAIL (India) Limited GAIL ₹172.70 ₹132.97 −23%
Italgas S.p.A IG €8.35 €9.19 +10%
ENN Natural Gas Co 600803 ¥18.54 ¥36.99 +100%
UGI Corporation UGI $36.24 $32.74 −10%
ENN Energy Holdings 2688 HK$48.76 HK$107.85 +121%

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Cite: Fair Value Calculator (2026). "China Gas Holdings Fair Value". https://www.fairvalue-calculator.com/stock/CGHOF

Frequently asked questions

Is China Gas Holdings (CGHOF) overvalued or undervalued?
As of Sep 24, 2026, our model estimates a fair value of $1.27 versus a price of $0.7000, about +81% upside (undervalued).
What is the fair value of CGHOF?
Our model-based fair value for China Gas Holdings is $1.27 (as of Sep 24, 2026), built from audited fundamentals. The current price: $0.7000.
What is the quality score of CGHOF?
China Gas Holdings has a Quality Score of 51/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for China Gas Holdings (CGHOF)?
Our model-based price target is the fair value of $1.27 (as of Sep 24, 2026) from 26 valuation models. Cautious scenario $0.5600, optimistic scenario $2.68. It is a calculation from audited fundamentals, not an analyst target.
What is the China Gas Holdings stock forecast for 2026?
Our models put fair value at $1.27, about +81% upside versus a price of $0.7000 (undervalued). Cautious scenario $0.5600, optimistic scenario $2.68. The calculation is refreshed regularly with new filings.
What is the revenue of China Gas Holdings (CGHOF)?
China Gas Holdings reported trailing-twelve-month revenue of about HK$78.6B (latest available figure, as of Sep 24, 2026).
What growth is priced into China Gas Holdings (CGHOF)?
For today's price to be fair in a discounted-cash-flow model, China Gas Holdings would have to grow free cash flow by +25.3 % per year for five years (discount rate 9.7 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +5.9 % per year. As of Sep 24, 2026.
What discount rate (WACC) does the fair value of CGHOF use?
Our models discount China Gas Holdings at 9.7 %: a base by market capitalisation (mid), damped by beta 1.00, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For China Gas Holdings that is +25.3 % per year a year over ten years, using the same discount rate (9.7 %) and the same formula as our fair value.
How much growth has China Gas Holdings (CGHOF) delivered so far?
Over the past 5 years revenue at China Gas Holdings grew +5.9 % a year. The price currently implies +25.3 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of China Gas Holdings (CGHOF) growing?
The median revenue growth in the sector is +3.2 % a year. That is the yardstick for the growth priced into China Gas Holdings (+25.3 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of China Gas Holdings (CGHOF)?
The free-cash-flow yield on the price is 5.97 %: that much free cash flow China Gas Holdings produces per unit of market value. When it exceeds the discount rate of our models (9.7 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of China Gas Holdings (CGHOF)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For China Gas Holdings it is $1.27 per share (as of Sep 24, 2026), against a price of $0.7000. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is China Gas Holdings stock overvalued or undervalued in 2026?
As of Sep 24, 2026, CGHOF trades below its calculated fair value: price $0.7000, fair value $1.27, a gap of about +81% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of CGHOF?
No. The price is what the market pays today ($0.7000); the fair value is what the company's own numbers justify ($1.27). For China Gas Holdings the two are $0.5700 per share apart. That gap is exactly why we show both numbers side by side.
How much is China Gas Holdings worth?
The market values China Gas Holdings at about $6.3B (market capitalisation, as of Sep 24, 2026). Per share that is $0.7000; our models calculate a fair value of $1.27 per share.
What do the bullish and bearish scenarios say about CGHOF?
Our models span a range for China Gas Holdings: cautious scenario $0.5600, base $1.27, optimistic $2.68 per share (as of Sep 24, 2026, price $0.7000). The range comes from different growth and margin assumptions, not from analyst opinions.
Which stocks are comparable to China Gas Holdings?
From the same area (Utilities) we also value Naturgy Energy Group, Atmos Energy Corporation, Uniper SE, NiSource Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is China Gas Holdings stock attractive at the current price?
The data as of Sep 24, 2026: price $0.7000, calculated fair value $1.27 (+81%), Quality Score 51/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of CGHOF calculated?
We run China Gas Holdings through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $1.27, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. China Gas Holdings currently trades 45 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of China Gas Holdings (CGHOF)?
The closing price on Oct 2, 2026 was $0.7000. Our model-based fair value is $1.27, about +81% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with China Gas Holdings right now?
The model range is unusually wide ($0.5600 to $2.68). The outcome hinges heavily on assumptions, so read the point estimate with caution. Solid quality (51/100) at a price below fair value, the discount is the argument here, not the business quality.
Where does the earnings growth of China Gas Holdings (CGHOF) come from?
Earnings per share at China Gas Holdings grew +2.2 % a year from 2014 to 2025. Broken into its drivers: revenue per share +11.7 %, EBIT margin −6.9 %, tax rate +0.6 %, residual (interest, one-offs) −2.3 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.

Key figures of China Gas Holdings

How large is the market capitalisation of China Gas Holdings (CGHOF)?
The market capitalisation of China Gas Holdings is $6.3B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/E ratio of China Gas Holdings (CGHOF)?
The price-to-earnings ratio of China Gas Holdings is 10.0. Price to earnings: how many years of current profit you pay for the stock. A P/E of 10 means ten years of profit.
What is the P/S ratio of China Gas Holdings (CGHOF)?
The price-to-sales ratio of China Gas Holdings is 0.41 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of China Gas Holdings (CGHOF)?
Earnings per share at China Gas Holdings are $0.0700 (price ÷ EPS = P/E 10.0). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of China Gas Holdings (CGHOF)?
The net margin of China Gas Holdings is 4.1% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of China Gas Holdings (CGHOF)?
The return on equity (ROE) of China Gas Holdings is 5.8% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of China Gas Holdings (CGHOF)?
On an EBIT basis the return on assets of China Gas Holdings is 5.4% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of China Gas Holdings (CGHOF)?
The operating margin of China Gas Holdings is 8.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at China Gas Holdings (CGHOF)?
Revenue at China Gas Holdings is growing −1.8% versus a year earlier (3y avg −3.5%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at China Gas Holdings (CGHOF)?
Earnings per share at China Gas Holdings are growing −24.4% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does China Gas Holdings (CGHOF) carry?
The net debt of China Gas Holdings is HK$51.6B (fiscal year 2025, ≈ 29.2 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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