Leishen Energy Holding Company Limited (LSE) AI Stock Analysis

• Market Cap: $78.31M
• Dividend Yield: N/A
• Average Volume (3M): 8.89K
• Price to Earnings (P/E): 63.8
• Beta (1Y): 0.70
• Revenue Growth: -31.47%
• EPS Growth: -82.57%
• Country: US
• Employees: 177
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.48
• Shares Outstanding: 17,025,000
• 10 Day Avg. Volume: 17,163
• 30 Day Avg. Volume: 8,890
• PEG Ratio: -0.85
• Price to Book (P/B): 1.98
• Price to Sales (P/S): 1.86
• P/FCF Ratio: -24.16
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 1.49
• Enterprise Value/Gross Profit: 8.40
• Enterprise Value/Ebitda: 17.58
• 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: 49 Neutral
• Price Target: $4.50 ▼(-1.53% Downside)
• Action: Reiterated Date: 02/05/26
• Date: Action: Reiterated 02/05/26

The score is held back primarily by deteriorating recent operating performance and negative cash flow, reinforced by bearish technical signals (price below key moving averages, negative MACD). A strong, low-leverage balance sheet provides a meaningful offset, but a high P/E and lack of dividend support temper the outlook.

Positive Factors

Low-leverage balance sheet

The company maintains very low leverage (debt-to-equity <0.10) and rising equity since 2021, giving durable financial flexibility. That conservative capital structure supports investment, weathering cyclical downturns, and limits refinancing risk over the next several quarters.

Proven high-margin performance

Prior periods show the business can deliver high double-digit to high-teens net margins, indicating structurally strong unit economics and competitive pricing or cost advantages. This track record implies margin recovery potential when end markets improve.

Authorized capital increase (AGM)

A tenfold increase in authorized capital, approved at the AGM, creates durable strategic optionality: capacity to raise equity for growth, acquisitions, or balance-sheet strengthening without immediate leverage, supporting medium-term execution and capital flexibility.

Negative Factors

Revenue & profit decline

The sharp 2025 revenue and margin deterioration (EBIT negative) shows the business is exposed to cyclical demand and earnings volatility. Such material swings undermine predictability of operating performance and suggest recovery may depend on slower macro or sector improvements.

Weak and inconsistent cash generation

Cash conversion has been inconsistent: after strong cash in 2024, 2025 produced negative operating and free cash flow, and history shows prior negative years. Persistent cash volatility can limit reinvestment, force external financing, or constrain growth initiatives.

Nasdaq compliance / governance risk

A Nasdaq non-compliance notice over a missed annual meeting signals regulatory and governance weaknesses. This can cause added compliance costs, distraction for management, and potential trading or listing consequences, impairing access to U.S. capital markets until resolved.

Leishen Energy Holding Company Limited Business Overview & Revenue Model

Company Description

Leishen Energy Holding Co., Ltd., through its subsidiaries, provides clean-energy equipment and integrated solutions for the oil and gas industry in the People's Republic of China, Central Asia, and Southeast Asia. It engages in the research, development, manufacture, and sale of reciprocating compressor sets, expansion machines, expansion machine residual pressure generation equipment, pre-splitting devices, electromagnetic heating devices, flexible composite pipes, skidding equipment, wellhead safety control systems, online sampling and analysis systems, and other equipment for the oil and gas field in the petroleum and chemical industry. The company also rents compressors to pressurize oil wells; and provides technical service and repair of related equipment. In addition, it offers technical engineering services, such as equipment installation, maintenance, operation, and on-site troubleshooting to reduce costs and improve the efficiency of oil and gas production, transportation, and delivery processes. Further, the company provides natural gas trading and logistics, distributed energy development, planning and investment, new energy fuel industries operation, and urban gas transmission and distribution construction management services, as well as offers traditional fuel replacement solutions for industrial users and industrial oilfields. Additionally, it offers oilfield digitalization and integration services; and purchases and sells oil and gas professional equipment and instruments. The company was founded in 2007 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Leishen Energy Holding Company Limited generates revenue through multiple streams, primarily by providing advanced energy solutions to both residential and commercial clients. Key revenue streams include the sale of renewable energy products such as solar panels and wind turbines, as well as energy storage systems that help clients manage and optimize their energy use. Furthermore, LSE offers consultancy and energy management services, which help clients reduce energy costs and improve efficiency. The company may also benefit from strategic partnerships with government entities and other corporations aiming to meet sustainability goals. These partnerships can lead to large-scale projects and long-term contracts, providing a stable revenue base. Additionally, incentives and subsidies for renewable energy projects in various regions can enhance LSE's profitability.

Leishen Energy Holding Company Limited Financial Statement Overview

Summary

Mixed financial quality: a strong, conservatively financed balance sheet (low leverage, solid equity) is offset by a sharp 2025 downturn in profitability (EBIT turned negative) and a swing to negative operating/free cash flow, highlighting cyclical and cash-conversion risk.

Income Statement

Profitability has weakened sharply in the latest annual period (2025): revenue fell ~16% and margins compressed materially versus 2024, with EBIT turning negative while net income remained positive at a low mid-single-digit margin. This follows a very strong 2023–2024 run (high teens net margin in 2023 and solid double-digit net margin in 2024), suggesting the business can be highly profitable but is currently experiencing a significant downcycle/volatility in earnings power.

Balance Sheet

The balance sheet is a clear strength: leverage is low with debt-to-equity staying under 0.10 across the period, and equity has grown meaningfully since 2021. While returns on equity fell sharply in 2025 due to lower earnings, the company maintains substantial equity relative to assets and appears conservatively financed, providing flexibility to navigate industry swings.

Cash Flow

Cash generation is inconsistent. After strong positive operating and free cash flow in 2024, 2025 flipped to negative operating cash flow and negative free cash flow, indicating weaker cash conversion and/or working-capital/investment pressure during the downturn. The history also shows prior volatility (negative operating cash flow in 2022), which raises confidence risk around the durability of cash generation despite periods of strong profitability.

Breakdown	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	48.34M	69.07M	73.08M	46.72M	31.26M
Gross Profit	8.53M	16.03M	18.38M	13.54M	9.02M
EBITDA	1.33M	8.75M	12.85M	8.07M	6.01M
Net Income	1.25M	8.10M	11.86M	5.72M	4.66M
Balance Sheet
Total Assets	69.33M	69.63M	65.46M	46.49M	43.87M
Cash, Cash Equivalents and Short-Term Investments	29.82M	23.66M	11.80M	8.53M	15.68M
Total Debt	3.78M	1.85M	1.85M	1.54M	101.58K
Total Liabilities	23.88M	29.18M	33.70M	16.84M	17.84M
Stockholders Equity	45.43M	39.79M	30.81M	28.59M	25.52M
Cash Flow
Free Cash Flow	-3.73M	14.35M	3.41M	-7.24M	11.58M
Operating Cash Flow	-3.52M	15.07M	4.39M	-4.39M	12.59M
Investing Cash Flow	-405.67K	-12.14M	-6.02M	1.21M	-7.92M
Financing Cash Flow	6.89M	-344.72K	-19.55K	1.72M	153.71K

Leishen Energy Holding Company Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.57
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LSE, the sentiment is Neutral. The current price of 4.57 is above the 20-day moving average (MA) of 4.47, above the 50-day MA of 4.55, and below the 200-day MA of 5.18, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.58 is Neutral, neither overbought nor oversold. The STOCH value of 55.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LSE.

Leishen Energy Holding Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NCSM	71 Outperform	$101.23M	8.78	11.89%	―	16.61%	-72.29%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
DTI	52 Neutral	$122.49M	-19.46	-5.18%	―	7.46%	-165.76%
KLXE	50 Neutral	$45.31M	-0.59	―	―	-12.57%	-45.75%
LSE	49 Neutral	$78.31M	63.80	5.65%	―	-31.47%	-82.57%
DWSN	45 Neutral	$106.18M	-31.99	-19.81%	―	-22.31%	39.11%