Yangzijiang Shipbuilding (Holdings) Ltd, one of China’s largest privately owned shipyards and a component of Singapore’s Straits Times Index (STI), enters December 2025 with record earnings, a deep “green” order book and a flurry of analyst target upgrades – but also under the shadow of geopolitical risk and rising competition. [1]
As of the late morning session on 5 December 2025, Yangzijiang’s Singapore‑dollar listing (SGX: BS6) was trading around S$3.41–S$3.43, leaving the group with a market capitalisation of roughly S$13.4 billion. [2] The stock has climbed about 32% over the past year, supported by strong profit growth, rising shipbuilding margins and multi‑year revenue visibility from a bulging order book. [3]
Below is a rundown of the latest share‑price action, business fundamentals, key news flow in 2H 2025, and how analysts are valuing Yangzijiang Shipbuilding heading into 2026.
Yangzijiang Shipbuilding share price on 5 December 2025
Data from SGX‑focused platforms shows Yangzijiang shares changing hands at about S$3.41–S$3.43 in midday trading on 5 December 2025, down modestly on the day. [4]
- Last traded: S$3.43 at 09:22 SGT (Beansprout) and S$3.41 at 11:38 SGT (SGinvestors). [5]
- Market cap: Approximately S$13.4 billion. [6]
- 1‑year performance: Share price up about 31–32% over the past 12 months. [7]
- Dividend yield (trailing): Around 3.5% based on Fintel’s data, with brokers projecting higher forward yields on rising payouts. [8]
The counter is listed on the SGX Mainboard in the Industrials – Capital Goods sector and trades in both SGD (BS6.SI) and RMB (SO7.SI). [9]
Recent volatility has been driven less by operational performance – which has been robust – and more by news on shareholder movements, contract terminations and shifting sentiment around US–China trade policies.
Business overview: a private Chinese champion in “green” shipbuilding
Yangzijiang Shipbuilding is a Singapore‑incorporated holding company for a group of shipyards based mainly in Jiangsu province, China. The group builds a broad mix of vessels, including bulk carriers, containerships, multi‑purpose cargo ships, chemical tankers and gas carriers, and operates large yards at Jiangyin and Jingjiang along deep‑water coastline on the Yangtze River. [10]
Crucially for its current investment story, Yangzijiang has shifted heavily into “clean‑energy” and dual‑fuel vessels. By late 2025, around 70–74% of its order book by value was tied to greener tonnage such as LNG or methanol dual‑fuel ships and gas carriers, positioning the group squarely in the decarbonisation trend. [11]
Chinese shipyards now account for more than half of global newbuilding orders, and DBS Research notes that Tier‑1 Chinese yards like Yangzijiang are competing on similar pricing to Korean yards while offering fewer labour disruptions and faster delivery. [12] That competitive backdrop is one reason analysts see Yangzijiang as a structural beneficiary of the global fleet renewal cycle.
2024–2025 financial performance: record profits and expanding margins
FY2024: profit at a new high
Yangzijiang reported a 61.7% year‑on‑year jump in net profit for FY2024, hitting a new record according to its February 2025 results announcement. [13] Revenue growth, margin expansion and a richer mix of higher‑value vessels all contributed to the surge.
1H2025: margins surprise to the upside
The acceleration continued into 1H2025:
- 1H2025 net profit: RMB 4.18–4.2 billion, up 36–37% year‑on‑year and about 17% higher than 2H2024. [14]
- Revenue: roughly RMB 12.9 billion for 1H2025, broadly in line with expectations. [15]
- Shipbuilding gross margin: climbed to around 34–35% in 1H2025, significantly above both 2024 levels and earlier analyst assumptions. [16]
- Net margin: more than 32% in 1H2025, reflecting strong pricing power and cost control. [17]
CGS International highlighted that lower steel prices and strong execution on higher‑margin projects were key drivers of this margin “beat”, prompting it to lift its shipbuilding margin forecasts for 2025–2026 to 30–32%. [18]
Balance sheet and cash
DBS estimates that as of June 2025 Yangzijiang was sitting on net cash of about RMB18.3 billion, equivalent to roughly S$0.86 per share, a large portion of which represents deposits on its long‑dated order book. [19]
That balance sheet strength underpins a rising dividend trajectory. DBS now expects final FY2025 dividends of around 15 Singapore cents per share, implying a prospective yield of about 5–6%, assuming a payout ratio near 40%. [20] (Actual dividend decisions will, of course, depend on the board and future earnings.)
Order book and contract wins: multi‑year revenue visibility
9M2025: order wins accelerate again
After a relatively quiet first half, Yangzijiang’s order momentum picked up sharply in 3Q and 4Q 2025.
- For the nine months ended 30 September 2025 (9M FY2025), the group reported new orders worth about US$2.17 billion (S$2.82 billion), about four times the value recorded in 1H2025 alone. [21]
- This lifted the total order book to roughly US$22.8 billion, one of the highest levels in the company’s history and enough to provide earnings visibility through FY2030. [22]
From Seatrade Maritime and related updates, Yangzijiang is currently sitting on roughly 224 vessels on order, representing around US$22–23 billion in contract value – including 95 containerships, 38 bulk carriers and 27 gas carriers. [23]
Contract mix and deliveries
According to recent disclosures:
- New order wins in 2025 have included 38 containerships, 10 bulk carriers and 2 gas carriers, with “green” vessels making up over 70% of order book value. [24]
- The group is targeting delivery of 56 vessels in FY2025, and had already handed over 46 ships (82% of the target) by the September quarter. [25]
On top of that, earlier in August 2025 Yangzijiang announced additional contracts for 22 ships worth US$920 million – 18 containerships, 2 gas carriers and 2 bulk carriers – for delivery between 2027 and 2029. Year‑to‑date at that point, the group had secured 36 contracts worth US$1.46 billion. [26]
Analysts at DBS and CGS International estimate that this order book equates to around four years of revenue coverage at a maximum run‑rate of roughly US$4.5 billion per year, exceeding the “ideal” 2–3x coverage many shipyards target. [27]
Expansion projects
Yangzijiang is also investing in capacity and adjacent infrastructure:
- Project Hongyuan, one of its newer yards, is being expanded by about 17% to 866,671 square metres, with completion aimed for 1H2027. [28]
- The company is building an LNG terminal and storage tank facilities, also scheduled for completion around 1H2027, complementing its push into gas carriers and LNG‑related assets. [29]
Together, these projects are expected to support further growth in higher‑value “clean energy” tonnage beyond the current order book.
2H 2025 news flow: contract cancellations, BlackRock’s exit and market volatility
US sanctions risk: cancellation of US$180 million tanker contracts
In late September 2025, Yangzijiang announced the termination of contracts for four 50,000 dwt MR oil tankers worth about US$180 million. The buyer’s sole shareholder was alleged to have been involved in attempts to circumvent US sanctions, prompting Yangzijiang to terminate the deals after new information surfaced. [30]
Key points from the company’s statement (as reported by maritime press):
- Only one of the four tankers had begun construction.
- Yangzijiang had collected a 10% initial deposit and a further 10% instalment (roughly US$22.5 million in total), but no revenue or profit had been recognised on the contracts up to 30 June 2025.
- Management indicated the termination was not expected to have a material impact on net tangible assets or EPS for FY2025. [31]
The episode highlights both the governance standards the company is keen to project – cutting off a questionable counterparty – and the geopolitical risk that now surrounds any shipbuilder heavily exposed to Chinese and global trade policy.
BlackRock sells down; short‑term share price pressure
In early November 2025, The Business Times reported that BlackRock sold about 37.8 million Yangzijiang shares over two sessions (29 and 31 October), causing the asset manager to cease being a substantial shareholder. [32]
The stake sale triggered a short‑term sell‑off:
- The share price fell as much as 5% intraday, touching S$3.26 before recovering to close at S$3.30, down about 2.9% on the day. [33]
This followed concern earlier in the year over US trade actions targeting Chinese shipbuilders, including a tiered fee structure on Chinese‑owned or built vessels calling at US ports – a factor now closely watched by investors in Yangzijiang and its peers. [34]
Share price resilience and STI contribution
Despite the occasional bout of selling, Yangzijiang has often traded as one of the more active and influential STI constituents in 2025. On 5 November 2025, for instance, a separate report noted that the STI hit a record 4,484.99 points, with Yangzijiang the second‑biggest gainer, rebounding 3.9% to close at S$3.46 and snapping a six‑day losing streak. [35]
Analyst ratings and stock forecasts as of December 2025
Street consensus: upside potential remains
Across multiple data providers, consensus still skews positive on Yangzijiang Shipbuilding as of early December 2025:
- Beansprout / SGX data
- Consensus 12‑month target price:S$4.513.
- Implied upside: about 31.6% from the current share price of S$3.43. [36]
- Fintel
- Average one‑year target:S$3.66, based on a November 17, 2025 record, with a range from S$1.62 to S$4.20. [37]
- TradingView (analyst aggregation)
- Average target: around S$3.79, with a max estimate of S$4.51 and a minimum of S$1.60.
- Overall rating: “buy”, based on opinions from 10 analysts in the last three months. [38]
- TipRanks
- Collating seven analysts, TipRanks shows an average target of about S$3.93, with a high of S$4.51 and a low of S$3.55, implying roughly 16% upside from a reference price of around S$3.37. [39]
While exact numbers differ between platforms, they broadly cluster in the S$3.7–S$4.5 range, generally above current levels.
Broker calls: a cluster of “buy” and “add” ratings
Recent broker research has been notably upbeat:
- CGS International (August 2025) – Raised its target price to S$3.90 (from S$2.72) after the 1H2025 results, maintaining an “add” rating. CGS highlighted the record net profit, 35% shipbuilding gross margin, and a US$23.2 billion order book. It also noted around US$2 billion in letters of intent, sustainable annual order wins of about US$4.5 billion, and re‑rating catalysts such as easing trade tensions and stronger‑than‑expected margins. [40]
- DBS Research (August 2025) – Emphasised Yangzijiang’s “impressive gross margin”, raising FY2025–2026 earnings forecasts by 12–17%. DBS pointed to valuation at roughly 6.8x FY2025 P/E and 1.8x P/B, versus an estimated 30% ROE and a projected dividend yield near 6%, arguing that the stock traded at a 50–70% discount to regional peers. [41]
- UOB Kay Hian (November 2025) – Analyst Adrian Loh turned more bullish after the 3QFY2025 business update, lifting his target price to S$4.10 (from S$3.90) and forecasting robust FY2026 ROE near 26%. He expects Yangzijiang to secure around US$4.5 billion of new orders in 2026 and sees shipbuilding margins staying around 30–31% in FY2026–2027. [42]
- CGS International follow‑up (November 2025) – Another CGS report pushed its target price higher to S$4.51, based on a 10x FY2027 P/E, still at a discount to Korean and Chinese peers. Analysts argued that strong order book coverage, favourable order mix and margin expansion justify a premium multiple versus the stock’s historical average. [43]
Taken together, the most recent broker targets sit between about S$3.80 and S$4.51, with almost all major houses on “buy” or “add” recommendations, even after the stock’s strong run in 2025. [44]
Valuation snapshot: earnings, returns and dividends
Beyond price targets, independent data providers paint a picture of a cash‑rich, high‑margin industrial trading at a discount to what those fundamentals might normally command:
- Earnings per share (TTM): about S$1.97.
- Trailing dividend yield: roughly 3.5%, with brokers expecting higher absolute payouts as earnings grow. [45]
- Return on equity (ROE): around 29%, according to Fintel’s factor summary. [46]
- Piotroski F‑Score: 6/9, indicating reasonably solid financial quality by that accounting‑based metric. [47]
DBS and CGS both stress that Yangzijiang remains on single‑digit forward P/E multiples, even as its order book and margins resemble those of higher‑rated Korean and Chinese state‑backed peers. [48]
None of this guarantees future returns, but it helps explain why so many research houses see scope for a valuation re‑rating if current operating trends persist.
Strategic drivers: green transition, global orders and LNG ambitions
Decarbonisation and boxship replacement
The global shipping industry is rushing to comply with tighter emissions rules, and that means replacing or retrofitting older tonnage with more efficient, dual‑fuel ships. Yangzijiang is already a major beneficiary:
- More than 70% of its order book value is in “green” vessels – dual‑fuel containerships and gas carriers designed to run on LNG or other lower‑carbon fuels. [49]
- Chinese yards, including Yangzijiang, have increasingly been winning large international contracts. For example, German liner Hapag‑Lloyd has ordered 24 dual‑fuel containerships from two Chinese yards; Yangzijiang is set to build 12 of those ships, each around 16,800 TEU and designed for LNG with future ammonia readiness. [50]
These sorts of contracts underscore the group’s move up the value chain, away from purely commoditised bulk carriers toward technologically sophisticated, higher‑margin vessels.
LNG and terminal infrastructure
Yangzijiang is also trying to entrench itself deeper in the LNG ecosystem:
- Two LNG carriers, whose original contracts were terminated, are being built on its own account; the first is slated to be chartered out in 2026 as a proof of concept, an important step in cracking the competitive LNG carrier segment. [51]
- Construction of an LNG terminal and storage facilities in China is underway, with completion targeted by 1H2027, potentially creating synergies with its gas‑carrier and chartering ambitions. [52]
Capacity and yard strategy
While Yangzijiang shelved an earlier plan to build a new yard (Runze) for very large ships, management believes existing yards plus the Hongyuan expansion will still support sustainable annual order wins of about US$4.5 billion. [53]
Yard slots for 2028 are largely filled, and capacity for 2029 is reportedly about 75% booked, particularly in small‑ to mid‑sized vessels – giving the group flexibility to “cherry‑pick” higher‑margin orders rather than chase volume at any price. [54]
Risks and headwinds
While the fundamental story looks strong, several risks could affect Yangzijiang’s earnings and share price:
- Geopolitical and sanctions risk
- The September 2025 cancellation of US$180 million in tanker contracts over sanctions concerns shows how quickly geopolitics can disrupt business, even when due diligence is extensive. [55]
- The US Trade Representative’s Section 301 port fees on Chinese‑owned or built vessels introduce another layer of uncertainty, even though management and DBS currently see little impact on newbuild demand. [56]
- Cyclical demand and freight markets
- Ship orders are ultimately driven by global trade volumes and freight rates. A downturn in container or bulk markets could slow order inflows once the current wave of green‑fleet replacement crests.
- Pricing pressure and competition from other Chinese yards
- CGS notes rising competition from second‑tier Chinese yards that have expanded capacity and begun undercutting on price, even while global yard capacity remains tight. [57]
- Input costs, especially steel
- Analysts expect some upward drift in steel prices into 2H2025 and beyond, which could squeeze margins if not offset by higher contract prices or productivity gains. [58]
- Order cancellations or deferrals
- As with any shipyard, large single orders or series contracts carry execution and counterparty risk; a wave of cancellations or deferrals would affect both earnings and investor sentiment.
What investors are watching into 2026
Heading into 2026, market participants tracking Yangzijiang Shipbuilding are likely to focus on several key themes:
- Order wins vs. management’s informal US$4.5 billion target – whether the company can hit or exceed its new‑order ambitions, particularly in higher‑margin green tonnage. [59]
- Shipbuilding margin sustainability – whether margins can remain around 30–35% as the mix evolves and steel prices move. [60]
- Utilisation of net cash – balancing higher dividends, potential share buybacks (the mandate remains in place) and capex for new projects or yard upgrades. [61]
- Progress at Hongyuan yard and LNG projects – both as capacity additions and as proof points in more advanced ship segments. [62]
- Regulatory and trade developments – especially any escalation or easing of US measures directed at Chinese shipping and shipbuilding.
Conclusion: a high‑margin yard with cyclical and geopolitical risk
By early December 2025, Yangzijiang Shipbuilding presents a fairly clear – if not risk‑free – profile:
- Fundamentals: record earnings, expanding shipbuilding margins, a large net‑cash position and one of the deepest “green” order books among private Chinese yards. [63]
- Valuation: still‑modest single‑digit P/E multiples and dividend yields in the mid‑single digits, with most major brokers rating the stock as “buy” or “add” and pricing in further upside. [64]
- Risks: a cyclical end‑market, geopolitical landmines around sanctions and trade policy, and intensifying competition from other Chinese yards.
For readers and investors, Yangzijiang is essentially a leveraged play on global trade, decarbonisation and China’s shipbuilding dominance. Whether that fits an individual portfolio depends on risk tolerance, time horizon and broader exposure to cyclicals – questions that can only be answered in the context of one’s own financial situation.
References
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