HOKCF (Hong Kong and China Gas Co) Financial Strength: 5 (As of Dec. 2025) — Near Median

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HOKCF Hong Kong and China Gas Co Ltd HOKCF
42 GF Score
Price $0.87
GF Value $0.84
Valuation Fairly Valued
! 12 Warning Signs
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What is Hong Kong and China Gas Co Financial Strength?

Hong Kong and China Gas Co HOKCF 42 Financial Strength is 5 as of Dec. 2025, which is at its 10-year median of 5.00. GuruFocus rates HOKCF with a GF Score™ of 42/100 and a GF Value™ of $0.84 (Fairly Valued). The stock has 12 warning signs investors should review.

Hong Kong and China Gas Co has the Financial Strength Rank of 5.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Hong Kong and China Gas Co's Interest Coverage for the quarter that ended in Dec. 2025 was 3.54. Hong Kong and China Gas Co's debt to revenue ratio for the quarter that ended in Dec. 2025 was 1.14. As of today, Hong Kong and China Gas Co's Altman Z-Score is 1.81.


Hong Kong and China Gas Co  (OTCPK:HOKCF) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Hong Kong and China Gas Co has the Financial Strength Rank of 5.


Hong Kong and China Gas Co Financial Strength Related Terms


HOKCF vs ATO, NI: Financial Strength Comparison

For the Utilities - Regulated Gas subindustry, Hong Kong and China Gas Co's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Hong Kong and China Gas Co Financial Strength vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Hong Kong and China Gas Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Hong Kong and China Gas Co's Financial Strength falls into.


HOKCF
42GF Score
Hong Kong and China Gas Co Ltd HOKCF
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Hong Kong and China Gas Co Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Hong Kong and China Gas Co's Interest Expense for the months ended in Dec. 2025 was $-127 Mil. Its Operating Income for the months ended in Dec. 2025 was $449 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was $5,619 Mil.

Hong Kong and China Gas Co's Interest Coverage for the quarter that ended in Dec. 2025 is

Interest Coverage=-1*Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*449.221/-126.774
=3.54

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Hong Kong and China Gas Co's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(2220.697 + 5619.409) / 6891.862
=1.14

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Hong Kong and China Gas Co has a Z-score of 1.81, indicating it is in Grey Zones. This implies that Hong Kong and China Gas Co is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 1.81 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 5 mean?
Hong Kong and China Gas Co (HOKCF) has a Financial Strength of 5 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Hong Kong and China Gas Co and its competitors. This is near median its historical median of 5.00. Over the past decade, Hong Kong and China Gas Co's Financial Strength has ranged from 4.00 to 6.00.
Is Hong Kong and China Gas Co's Financial Strength too high?
Hong Kong and China Gas Co's current Financial Strength of 5 is near median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 6.00. Overall, Hong Kong and China Gas Co has a GF Score™ of 42/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hong Kong and China Gas Co's Financial Strength compare to ATO and NI?
Hong Kong and China Gas Co's Financial Strength of 5 can be compared against companies in the Utilities - Regulated industry. Historically, Hong Kong and China Gas Co's own Financial Strength has ranged from 4.00 to 6.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for an Utilities - Regulated company?
A good Financial Strength depends on the Utilities - Regulated industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Hong Kong and China Gas Co and its competitors. Hong Kong and China Gas Co's current Financial Strength is 5, which is near median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hong Kong and China Gas Co stock overvalued right now?
Based on GuruFocus' analysis, Hong Kong and China Gas Co (HOKCF) is currently considered Fairly Valued. The stock's GF Value™ is $0.84, compared to a current price of $0.87 — trading 3.4% above its estimated fair value. The current Financial Strength is 5, which is near median its 10-year median of 5.00. Hong Kong and China Gas Co's overall GF Score™ is 42/100 with 12 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Hong Kong and China Gas Co (HOKCF), the current Financial Strength is 5 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Hong Kong and China Gas Co (HOKCF) Overvalued in 2026?

Based on GuruFocus' analysis, Hong Kong and China Gas Co stock appears to be overvalued. The current stock price of $0.87 is trading 3.4% above its estimated GF Value™ of $0.84. GuruFocus considers Hong Kong and China Gas Co to be Fairly Valued.

Key valuation signals for HOKCF:

  • Financial Strength: 5 (near median its 10-year median of 5.00)
  • GF Value™: $0.84 vs. price of $0.87 (3.4% above fair value)
  • GF Score™: 42/100 with 12 warning signs

No single metric tells the full story. See the HOKCF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hong Kong and China Gas Co Business Description

Address 363 Java Road, 23rd Floor, North Point, Hong Kong, HKG
Hong Kong and China Gas Co Ltd, is the oldest public utility company in Hong Kong. The company's core business comprises the production and distribution of town gas in Hong Kong, with a monopoly on distribution and retail. The company is also investing in water, upstream gas, and new energies. The Group's principal activities are the production, distribution, and marketing of gas and related products or services, water supply and waste treatment, renewable energy businesses, extended businesses, and fuels businesses (Green Fuels) in Hong Kong and the Chinese mainland. The company operates in three segments: Gas, water and waste treatment, renewable energy, extended businesses, and related businesses, Green Fuels, and Property.
42GF Score

Get the complete analysis for HOKCF

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$0.87
Price
$0.84
GF Value