DeTai New Energy Group (0559) AI Stock Analysis

• Market Cap: HK$81.62M
• Dividend Yield: N/A
• Average Volume (3M): 2.34M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 5.28%
• EPS Growth: 86.91%
• Country: HK
• Employees: 35
• Sector: Basic Materials
• Sector Strength: 73
• Industry: Travel Lodging
• EPS (TTM): -0.02
• Shares Outstanding: 523,184,400
• 10 Day Avg. Volume: 192,299
• 30 Day Avg. Volume: 2,341,940
• PEG Ratio: 1.50
• Price to Book (P/B): 9.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 645.83
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 47 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

DeTai New Energy Group's overall stock score is primarily hindered by its poor financial performance and negative valuation metrics, reflecting ongoing profitability and cash flow challenges. While technical indicators suggest some short-term momentum, the long-term outlook remains uncertain.

DeTai New Energy Group Business Overview & Revenue Model

Company Description

DeTai New Energy Group Limited, an investment holding company, engages in the hotel hospitality business. It operates One Niseko Resort Towers, a hotel located in the Niseko, Hokkaido. The company also provides money lending services; trades in and distributes liquor and wine; and invests in funds. It primarily operates in Japan, Hong Kong, and the People's Republic of China. The company was formerly known as Guocang Group Limited and changed its name to DeTai New Energy Group Limited in December 2015. DeTai New Energy Group Limited is headquartered in Central, Hong Kong.

How the Company Makes Money

DeTai New Energy Group makes money through various revenue streams. The primary source of income is generated from the sale of electricity produced by its solar power plants. The company benefits from government incentives and subsidies for renewable energy production, which contribute to its profitability. Additionally, DeTai New Energy Group earns revenue from its hotel and hospitality operations, including room bookings, dining services, and other related activities. Strategic partnerships and joint ventures in both the energy and hospitality sectors further enhance the company's earnings potential.

DeTai New Energy Group Financial Statement Overview

Summary

DeTai New Energy Group faces significant financial challenges with persistent losses impacting profitability. While the company maintains a strong equity position, its operational cash flow difficulties could pose future liquidity risks. Efforts to improve revenue growth and profitability are crucial for financial stability.

Income Statement

The company has been struggling with profitability, evidenced by a consistently negative net income and EBIT over recent years. The Gross Profit Margin has increased slightly from 55.9% to 46.6%, but the Net Profit Margin remains negative. Revenue growth is minimal, at 0.3% from 2023 to 2024. The company's EBIT and EBITDA margins are also negative, indicating ongoing operational challenges.

Balance Sheet

The balance sheet shows a stable equity position with a high equity ratio of 86.6% in 2024, indicating low leverage. The Debt-to-Equity ratio has decreased to 0.06, suggesting reduced financial risk from debt. However, the Return on Equity (ROE) is negative due to persistent net losses, reflecting challenges in generating returns on shareholders' equity.

Cash Flow

Operating cash flow has deteriorated into negative territory, and free cash flow also shows a significant decline. The Free Cash Flow to Net Income ratio is negative, indicating cash flow challenges. The company has been able to maintain a positive cash balance, but the negative cash flows suggest potential liquidity issues.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	31.59M	31.27M	31.16M	41.05M	24.09M	46.85M
Gross Profit	12.88M	14.57M	17.41M	-17.06M	10.92M	27.05M
EBITDA	-5.05M	-66.77M	-65.66M	-131.12M	-31.55M	-152.02M
Net Income	-10.09M	-70.77M	-69.83M	-135.84M	-44.40M	-163.52M
Balance Sheet
Total Assets	505.41M	501.15M	620.59M	718.85M	1.00B	1.06B
Cash, Cash Equivalents and Short-Term Investments	249.20M	247.18M	242.47M	368.51M	343.58M	370.18M
Total Debt	22.52M	24.61M	46.18M	54.90M	128.87M	144.80M
Total Liabilities	62.51M	67.10M	94.44M	109.28M	197.54M	270.21M
Stockholders Equity	442.90M	434.04M	526.15M	609.57M	802.91M	837.92M
Cash Flow
Free Cash Flow	-7.74M	-15.04M	8.02M	113.21M	-24.89M	-7.35M
Operating Cash Flow	-5.55M	-13.49M	9.45M	113.94M	-20.01M	-4.93M
Investing Cash Flow	6.57M	15.22M	38.21M	-283.68M	3.37M	73.64M
Financing Cash Flow	-7.09M	-6.95M	-6.61M	-68.06M	-10.51M	-13.33M

DeTai New Energy Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0559, the sentiment is Positive. The current price of 0.15 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.13, and below the 200-day MA of 0.17, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 59.67 is Neutral, neither overbought nor oversold. The STOCH value of 33.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0559.

DeTai New Energy Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0559	47 Neutral	HK$81.62M	―	-2.19%	―	5.28%	86.91%
Sector *	43 Neutral	AU$1.39B	-6.14	-40.74%	4.06%	-3.45%	-41.77%
1189		HK$37.88M	―		―	―	―
0181	45 Neutral	HK$87.06M	―	-9.14%	―	-32.00%	-45.23%
1355	44 Neutral	HK$104.39M	―		―	-39.87%	47.58%
0193	44 Neutral	HK$52.70M	14.86	-1.07%	―	28.33%	36.71%
8237	41 Neutral	HK$34.98M	―	-131.79%	―	-28.58%	-61.14%

DeTai New Energy Group Corporate Events

DeTai New Energy Group Strengthens Governance with New Appointment

DeTai New Energy Group Limited has announced the appointment of Ms. Chu Yin Yin Georgiana, a non-executive Director, as a member of its Nomination Committee, effective June 25, 2025. This strategic appointment is expected to enhance the company’s governance structure, potentially impacting its operational efficiency and stakeholder relations positively.

DeTai New Energy Group Announces Board and Committee Roles

DeTai New Energy Group Limited has announced the composition of its board of directors and the roles they will play within the company. The board includes a mix of executive, non-executive, and independent non-executive directors, with Wong Siu Keung Joe serving as the Chairman. The announcement also details the membership of four key committees: Audit, Remuneration, Nomination, and Investment, highlighting the leadership roles and responsibilities of each director within these committees.

DeTai New Energy Group Announces Change in Share Registrar

DeTai New Energy Group Limited has announced a change in its Hong Kong share registrar and transfer office, effective from July 14, 2025. The new registrar will be Tricor Investor Services Limited, and all share transfer applications and uncollected share certificates will be handled by them from that date. This change is a strategic move to streamline the company’s share management processes, potentially impacting shareholders and stakeholders by improving the efficiency of share transactions.