--- title: "China Resources Beer: Analysts Eye Strong Upside" description: "China Resources Beer is navigating a transformative beverage market in China, projected to reach USD 529.9 billion by 2035. Despite an 18.5% revenue drop in H1 25, the company remains optimistic with " type: "news" locale: "en" url: "https://longbridge.com/en/news/275432803.md" published_at: "2026-02-10T09:18:03.000Z" --- # China Resources Beer: Analysts Eye Strong Upside > China Resources Beer is navigating a transformative beverage market in China, projected to reach USD 529.9 billion by 2035. Despite an 18.5% revenue drop in H1 25, the company remains optimistic with a 13% rise in share price over the past year and a strong analyst consensus of 'Buy' ratings. Analysts predict a dividend yield increase to 5.2% and a target price suggesting a 33.8% upside. However, challenges like declining packaged water demand and a competitive premium beer market pose risks. The company's future hinges on innovation and channel expansion to offset core business weaknesses. China’s beverage industry is amid a dramatic evolution, shifting from traditional mass-volume thirst quenchers to a fragmented, lifestyle-driven ecosystem. Valued at 206.2 billion US dollars in 2025, the market is powered by health consciousness, digital retail, and a taste for innovation. Bottled water still dominates, fueled by safety concerns and corporate and school hydration policies, while RTD tea and coffee race ahead in cities like Hangzhou and Shenzhen. Here, tech savvy consumers embrace herbal infused cold brews, self heating cans, and TCM inspired formulations backed by the "Healthy China 2030" agenda. Looking ahead, China’s beverage market is forecast to surge to USD 529.9bn by 2035, expanding at a robust CAGR of 9.9% from 2026–2035. This growth story rests on premiumization, functional positioning, and new retail models such as smart vending and social commerce, supported by the Ministry of Commerce’s promotion policies. Bottled water will deepen its stronghold through mineral-enriched and lightly flavored variants, while Ready-To-Drink tea and coffee, energy and sports drinks, and lighter alcoholic options capture the imagination of a young, fitness oriented middle class increasingly drawn to wellness, convenience, and modernized TCM traditions. Amidst this evolving industry, China Resources Beer, founded in 1992, now pulses at the center of China’s brewing world and thrives nationwide today. Based in Hong Kong, its reach spans Mainland China’s nearly every province, while overseas partnerships and exported brands signal a gradually broadening global footprint. Famous for Snow Beer, the firm melds scale with innovation, covering mainstream, premium, and super-premium brews plus an expanding baijiu line. ## Softer results Numbers tell a sober story for the period. The company recorded an 18.5% y/y dip in total revenue, landing at RMB 6.2bn in H1 25, with packaged drinking water accounting for 84.6% of that amount and beverages making up the remaining 15.4%. Packaged water sales slid 23.1% y/y, even as the beverage line produced a 21.3% y/y uptick, buoyed by the introduction of 14 new SKUs across H1 25. Still, the mix could not arrest the overall drop, and net income trended downward by 28.7% y/y to RMB 823m. In addition, EPS halved, easing from RMB 0.6 to RMB 0.3. ## Favorable valuation Despite the dip in performance, the market has shown faith in the company: over the past 12 months the share price climbed a robust 13%, lifting market capitalization to HKD 88.3bn (USD 11.3bn). Investors are reminded that dividend discipline has been unwavering, averaging c.2% yield, and analysts foresee that payout broadening to about 5.2% in the years ahead. The valuation, based on estimated 2026 earnings, sits at a forward P/E of 13.5x, comfortably below the three-year mean of 16.6x, which has helped cement an upbeat Street view. All 35 coverage analysts carry ‘Buy’ ratings, and their collective average target price of HKD 36.4 suggests a 33.8% upside from today’s level, a rare unanimity that narrates confidence even as the business retools for growth. Such alignment between dividends, valuation, and analyst optimism gives the impression of a patiently optimistic market today. ## Risks As China Resources Beer navigates slower revenue currents, its shareholders are banking on the power of premiumisation and refreshed beverage lanes to steady the ship. Yet the horizon isn’t without clouds: tepid packaged water demand, a crowded premium beer landscape, and the challenge of sustaining dividend expectations could test patience. The next chapter will hinge on whether innovation in drinks and broader channel expansion can counterbalance the structural softness in its core water business. If the company can keep balancing its traditional strongholds with newer, higher-margin bets while still satisfying vigilant investors, it could turn today’s cautious optimism into a more confident march forward. ### Related Stocks - [512690.CN - Penghua CSI Alcoholic Drink ETF](https://longbridge.com/en/quote/512690.CN.md) - [515170.CN - ChinaAMC CSI Food & Beverage Sub-Industry ETF](https://longbridge.com/en/quote/515170.CN.md) - [161725.CN - China Merchants CSI Liquor Index Fund-A](https://longbridge.com/en/quote/161725.CN.md) - [159843.CN - China Merchants Guozheng Food and Beverage ETF](https://longbridge.com/en/quote/159843.CN.md) - [00291.HK - CHINA RES BEER](https://longbridge.com/en/quote/00291.HK.md) - [159736.CN - Tianhong CSI Food and Beverage ETF](https://longbridge.com/en/quote/159736.CN.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | 喜力控股公司報告其當前股票回購計劃下的交易 \| HKHHY 股票新聞 | 喜力控股公司（Heineken Holding N.V.）已報告其股票回購計劃下的交易，詳細説明以平均價格 71.24 歐元回購 29,603 股，總計 2,109,021 歐元。這是 2026 年 2 月 12 日宣佈的 7.5 億歐元回 | [Link](https://longbridge.com/en/news/276052136.md) | | 由於消費者選擇待在家中，百威和喜力在中國面臨截然不同的命運 | 百威和喜力在 2025 年在中國的命運截然不同，原因是經濟下滑導致飲酒習慣的變化。百威報告稱其利潤出現自 2020 年以來最大的下降，首席執行官陳延俊承認業績不佳。相比之下，喜力的首席執行官多夫·範登·布林克稱中國為關鍵的利潤貢獻者。向家庭 | [Link](https://longbridge.com/en/news/276207868.md) | | 在過渡之年，以敏捷、紀律和戰略信念進行引領 | 保樂力加在 2026 財年上半年報告了 5.9% 的有機銷售下降，主要由於美國和中國的庫存調整導致顯著下滑。首席執行官亞歷山大·保樂（Alexandre Ricard）強調了公司對品牌吸引力、運營效率和現金生成的關注。儘管面臨不利的貨幣影響 | [Link](https://longbridge.com/en/news/276307546.md) | | 2026 年超級碗廣告：品牌的成功與陷阱 - Boss Creative 的戰略深度分析 | 2026 年超級碗展示了品牌在文化相關性方面的激烈競爭，廣告時段的費用超過 800 萬美元，30 秒的廣告時長。Boss Creative 的分析強調了 11 個突出的廣告，指出成功的品牌塑造在於真實的連接和情感共鳴，而不僅僅是視覺上的震撼 | [Link](https://longbridge.com/en/news/276374828.md) | | 法國達能公司由於在中國的強勁增長，全年銷售額同比增長 4.5% | 法國達能報告稱，2025 財年的銷售額增長了 4.5%，主要得益於中國市場的強勁增長和運營效率的提升，常規營業利潤率為 13.4%。該公司預計 2026 年的銷售增長為 3-5%，並預計常規營業收入將超過銷售增長。分析師維持 “買入” 評級 | [Link](https://longbridge.com/en/news/276417604.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.