Da Sen Holdings Group Ltd (1580) AI Stock Analysis

• Market Cap: HK$218.04M
• Dividend Yield: N/A
• Average Volume (3M): 157.99K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: -35.61%
• EPS Growth: 89.32%
• Country: HK
• Employees: 28
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): <0.01
• Shares Outstanding: 1,095,679,600
• 10 Day Avg. Volume: 155,000
• 30 Day Avg. Volume: 157,991
• PEG Ratio: 0.24
• Price to Book (P/B): 17.60
• Price to Sales (P/S): 6.35
• P/FCF Ratio: 57.22
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: HK$0.27 ▲(51.11% Upside)

The score is primarily constrained by weak financial fundamentals—ongoing losses, high leverage, and cash flow challenges. Technicals are supportive of an uptrend but look overbought, while valuation remains unfavorable due to losses and no stated dividend support.

Positive Factors

Vertical integration & product breadth

Owning activities across forestry, timber processing and engineered wood products provides durable control over raw-material sourcing and production. Vertical integration can lower input cost volatility, improve quality control, and support margin recovery as scale and product mix mature over months to years.

Diversified end markets and channels

Serving multiple end markets (construction, furniture) and both wholesale and retail distribution reduces single-market exposure. This structural diversification supports more stable revenue streams, improves customer reach, and enables cross-market product placement as cyclical demand shifts over the medium term.

Strong reported recent revenue growth

A pronounced revenue ramp signals market traction and the potential to leverage fixed costs over time. If sustained, this scale can enable improved gross margins, better supplier terms and stronger operating leverage, creating a pathway to profitability provided cost structure and execution are addressed.

Negative Factors

High financial leverage

A debt-to-equity ratio this elevated materially increases refinancing and interest-service risk. In a capital-intensive, cyclical sector, high leverage constrains strategic flexibility, heightens default risk during downturns, and can force asset sales or dilutive funding to sustain operations.

Persistent negative profitability margins

Chronic negative margins show the company has been unable to convert revenue into operating profits. Without sustained margin improvement through pricing, cost control, or mix shift, profitability shortfalls will persist, undermining retained earnings and long-term shareholder value creation.

Sustained operating cash flow weakness

Repeated negative operating and free cash flows erode liquidity and force reliance on external financing. Over the medium term this limits the firm's ability to fund capex, service debt, and invest in growth initiatives, increasing the probability of restructuring or capital raises if not corrected.

Da Sen Holdings Group Ltd Business Overview & Revenue Model

Company Description

Da Sen Holdings Group Ltd (1580) is a diversified investment holding company based in Hong Kong, primarily engaged in the manufacturing and sale of wood-based products. The company operates in sectors including forestry, timber processing, and the production of engineered wood products. Its core offerings encompass a range of products such as plywood, laminated veneer lumber, and other timber-related goods, catering to both domestic and international markets.

How the Company Makes Money

Da Sen Holdings Group Ltd generates revenue primarily through the sale of its wood-based products. The company earns income from both wholesale and retail channels, supplying to construction, furniture manufacturing, and other industries that require timber products. Key revenue streams include direct sales from its manufacturing operations and potential partnerships with distributors and retailers that enhance market reach. The company's earnings may also be bolstered by strategic collaborations with other firms in related sectors, allowing for expanded product offerings and reduced operational costs.

Da Sen Holdings Group Ltd Financial Statement Overview

Summary

Da Sen Holdings Group Ltd is facing severe financial challenges across all verticals. The company has experienced consistent revenue declines and negative profit margins, indicating inefficiency and a lack of competitiveness. The balance sheet reveals financial instability with negative equity, raising concerns over solvency. Cash flow issues further exacerbate the situation, with continuous negative cash flow from operations suggesting liquidity problems. Immediate strategic financial restructuring is necessary to address these issues.

Income Statement

Da Sen Holdings Group Ltd has experienced a significant decline in revenue over the years, notably from 2019 to 2024. The company is facing negative gross and net profit margins, indicating an inability to cover its operating costs and produce profits. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies and a challenging business environment.

Balance Sheet

The company is in a precarious financial position with negative stockholders' equity as of 2024, indicating liabilities exceed assets. The debt-to-equity ratio is unfavorable due to negative equity, and the equity ratio is unsustainable. This suggests significant financial instability and potential solvency issues. The overall reduction in total assets over time further highlights the company's deteriorating financial health.

Cash Flow

Operating and free cash flows have consistently been negative, which is a critical concern for liquidity and operational sustainability. The operating cash flow to net income ratio is not applicable due to negative figures, and the free cash flow to net income ratio mirrors this trend. The company is struggling to generate cash from its core operations, reflecting severe cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.14M	21.72M	11.61M	47.59M	172.75M	175.28M
Gross Profit	4.01M	14.15M	10.51M	-4.21M	-57.05M	-113.80M
EBITDA	-8.28M	-6.39M	-37.76M	-35.38M	-92.30M	-119.59M
Net Income	-11.32M	-6.42M	-52.98M	-40.64M	-119.15M	-211.27M
Balance Sheet
Total Assets	99.41M	99.41M	82.28M	148.08M	180.69M	275.62M
Cash, Cash Equivalents and Short-Term Investments	9.49M	9.49M	1.35M	6.94M	3.26M	5.76M
Total Debt	34.42M	34.42M	29.71M	44.71M	62.65M	57.94M
Total Liabilities	89.56M	89.56M	91.95M	122.01M	130.56M	106.34M
Stockholders Equity	7.83M	7.83M	-7.31M	27.04M	50.12M	169.27M
Cash Flow
Free Cash Flow	1.51M	2.41M	-15.24M	-10.56M	-6.87M	-45.53M
Operating Cash Flow	1.51M	2.41M	-15.22M	-10.56M	-6.76M	-29.47M
Investing Cash Flow	2.21M	1.40M	20.99M	144.00K	-1.63M	-15.37M
Financing Cash Flow	9.41M	4.70M	-11.73M	13.36M	5.89M	-585.00K

Da Sen Holdings Group Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1580, the sentiment is Positive. The current price of 0.18 is below the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.18, and above the 200-day MA of 0.15, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 78.57 is Negative, neither overbought nor oversold. The STOCH value of 82.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1580.

Da Sen Holdings Group Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
8481	59 Neutral	HK$215.78M	3.60	18.61%	―	3.98%	54.49%
1822	56 Neutral	HK$149.02M	1.15	-17.27%	―	-17.96%	-95.06%
8277	52 Neutral	HK$28.87M	0.67	―	―	-56.67%	―
0094	49 Neutral	HK$236.51M	-2.02	-9.04%	―	-33.99%	42.25%
1580	48 Neutral	HK$218.04M	-50.00	-395.28%	―	-35.61%	89.32%
8191	41 Neutral	HK$10.36M	-0.07	-49.13%	―	-55.81%	-15292.41%

Da Sen Holdings Group Ltd Corporate Events

Da Sen Holdings Reports Significant Decline in Interim Financial Results

Da Sen Holdings Group Limited announced its unaudited interim results for the six months ending September 30, 2025, revealing a significant decline in financial performance. The company reported a 62.9% decrease in consolidated revenue to RMB6.1 million and a 55.1% drop in profit before tax to RMB1.4 million. Gross profit also fell by 48.9% to RMB5.2 million, and the profit attributable to owners of the company decreased by 52.9% to RMB1.6 million. The board did not declare an interim dividend, reflecting the challenging financial period faced by the company.

Da Sen Holdings Schedules Board Meeting to Review Financial Results

Da Sen Holdings Group Limited has announced a board meeting scheduled for November 28, 2025, to discuss and approve the unaudited financial results for the six months ending September 30, 2025, and to consider the payment of a dividend. This meeting is significant as it will provide insights into the company’s financial health and potential returns for shareholders, impacting its market positioning and stakeholder interests.