Dah Sing Financial Holdings (0440) AI Stock Analysis

• Market Cap: $10.74B
• Dividend Yield: 6.97%
• Average Volume (3M): 356.51K
• Price to Earnings (P/E): 5.4
• Beta (1Y): 0.58
• Revenue Growth: -1.78%
• EPS Growth: 10.62%
• Country: HK
• Employees: 3,047
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 4.41
• Shares Outstanding: 319,575,100
• 10 Day Avg. Volume: 243,841
• 30 Day Avg. Volume: 356,513
• PEG Ratio: 1.03
• Price to Book (P/B): 0.26
• Price to Sales (P/S): 1.66
• P/FCF Ratio: 2.22
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 1.72
• Enterprise Value/Gross Profit: 1.72
• Enterprise Value/Ebitda: 4.34
• 1Y Price Target: $38.12
• Price Target Upside: 13.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: ―

Dah Sing Financial Holdings exhibits strong valuation metrics with a low P/E ratio and high dividend yield, making it attractive to value and income investors. While the company shows robust financial health through stable revenue growth and low leverage, cash flow challenges pose a risk. Technical indicators suggest caution due to mixed momentum signals. Overall, the stock is appealing due to its valuation but requires attention to cash flow sustainability.

Dah Sing Financial Holdings Business Overview & Revenue Model

Company Description

Dah Sing Financial Holdings (0440) is a prominent financial services group based in Hong Kong, engaged in a diverse range of sectors including banking, insurance, and investment services. The company primarily operates through its subsidiaries, with Dah Sing Bank providing retail and corporate banking services, while Dah Sing Insurance offers life and general insurance products. Additionally, the group is involved in asset management and securities brokerage, catering to both individual and institutional clients.

How the Company Makes Money

Dah Sing Financial Holdings generates revenue through several key streams. The primary source is interest income from its banking operations, which includes interest earned on loans and advances made to customers. The company also earns fee-based income from various banking services such as account maintenance, transaction services, and advisory services. Furthermore, the insurance segment contributes to revenue through premiums collected from policyholders and investment income generated from the management of insurance funds. The asset management and securities brokerage divisions add to the revenue through management fees and commissions on trades. Significant partnerships with other financial institutions, along with a strong customer base, further bolster its earnings potential.

Dah Sing Financial Holdings Financial Statement Overview

Summary

Dah Sing Financial Holdings demonstrates solid revenue and profit growth with effective cost control, reflected in strong profit margins. The balance sheet is stable, with low leverage and improved return on equity. However, cash flow challenges exist, with negative operating cash flow and unreported free cash flow, highlighting potential liquidity risks. Overall, the company shows robust financial health but needs to address cash flow sustainability.

Income Statement

Dah Sing Financial Holdings shows a stable growth trajectory with a revenue growth rate of 8.89% from 2023 to 2024. The gross profit margin remains strong at 100%, consistent with previous years, indicating efficient cost management. The net profit margin improved to 30.96% in 2024 from 32.06% in 2023, reflecting increased profitability. However, the absence of EBITDA data for 2024 limits a full assessment of operational efficiency.

Balance Sheet

The company's balance sheet reflects financial stability with a debt-to-equity ratio of 0.12 in 2024, indicating low leverage and prudent financial management. The return on equity improved to 4.83% in 2024, showcasing better utilization of shareholder funds. However, the equity ratio has slightly decreased to 12.99% from 12.11% in 2023, suggesting a minor reduction in equity financing.

Cash Flow

Cash flow analysis shows challenges as the operating cash flow was negative in 2023 and not reported in 2024, indicating potential liquidity issues. Free cash flow also remains unreported for 2024, limiting insights into cash generation capabilities. The absence of free cash flow growth and operating cash flow to net income ratios poses questions on cash flow sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.95B	5.40B	4.96B	4.50B	7.46B	8.65B
Gross Profit	5.95B	5.40B	4.96B	6.88B	6.01B	8.65B
EBITDA	2.35B	2.93B	2.00B	2.41B	2.46B	2.28B
Net Income	1.97B	1.67B	1.59B	1.22B	1.31B	1.16B
Balance Sheet
Total Assets	271.81B	266.52B	269.79B	259.85B	256.53B	254.96B
Cash, Cash Equivalents and Short-Term Investments	0.00	15.67B	21.02B	21.43B	16.85B	19.93B
Total Debt	4.27B	4.15B	8.89B	8.45B	4.13B	8.02B
Total Liabilities	226.62B	223.33B	228.79B	222.69B	218.70B	219.27B
Stockholders Equity	36.29B	34.64B	32.68B	29.52B	30.19B	28.39B
Cash Flow
Free Cash Flow	4.51B	4.05B	-2.10B	5.36B	3.69B	-7.52B
Operating Cash Flow	4.92B	4.40B	-2.10B	5.54B	3.93B	-7.38B
Investing Cash Flow	25.82M	-43.53M	-44.88M	-38.60M	-93.54M	2.65M
Financing Cash Flow	-7.91B	-7.98B	962.65M	2.95B	1.19B	7.45B

Dah Sing Financial Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 33.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0440, the sentiment is Neutral. The current price of 33.58 is below the 20-day moving average (MA) of 33.90, above the 50-day MA of 32.24, and above the 200-day MA of 28.54, indicating a neutral trend. The MACD of 0.26 indicates Positive momentum. The RSI at 52.05 is Neutral, neither overbought nor oversold. The STOCH value of 50.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0440.

Dah Sing Financial Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1963	83 Outperform	€29.85B	4.39	10.25%	6.02%	1.93%	4.23%
9668	69 Neutral	HK$18.65B	3.91	5.51%	―	-5.76%	18.15%
3866	68 Neutral	€28.01B	5.61	11.99%	4.19%	4.33%	17.13%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
0440	66 Neutral	$10.74B	5.45	5.63%	6.97%	-1.78%	10.62%
0023	63 Neutral	$32.25B	7.22	4.41%	6.30%	-7.68%	49.57%

Dah Sing Financial Holdings Corporate Events

Dah Sing Financial Holdings Announces 2025 AGM Agenda

Dah Sing Financial Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for May 30, 2025, at the Hong Kong Convention and Exhibition Centre. Key agenda items include the adoption of financial statements for 2024, declaration of a final dividend, re-election of directors, and re-appointment of auditors. Additionally, the company seeks approval for directors to issue new shares, with limitations, to enhance its capital structure. This meeting is significant for stakeholders as it outlines the company’s financial health and strategic direction.

Dah Sing Financial Announces Final Dividend for 2024

Dah Sing Financial Holdings Limited has announced a final cash dividend of HKD 1.18 per share for the year ending December 31, 2024. This announcement reflects the company’s stable financial performance and commitment to delivering shareholder value. The dividend will be paid on June 18, 2025, following shareholder approval on May 30, 2025. This move is likely to reinforce Dah Sing Financial’s position in the market and provide confidence to its stakeholders.

Dah Sing Financial Holdings Reports 6.4% Profit Increase in 2024

Dah Sing Financial Holdings Limited announced its consolidated audited results for the year ended December 31, 2024, reporting a profit increase of 6.4% to HK$2,201 million. Despite a significant rise in credit impairment losses, the company achieved a 25.9% increase in operating profit before impairment losses, driven by strong net interest and fee income growth. The results reflect the company’s robust financial performance and its ability to navigate challenging market conditions, potentially enhancing its position in the financial services industry.

Dah Sing Financial Holdings Schedules Board Meeting for Financial Results and Dividend Decision

Dah Sing Financial Holdings Limited has scheduled a Board Committee meeting on March 31, 2025, to approve the company’s consolidated financial results for the year ending December 31, 2024, and to consider recommending a final dividend. This meeting is significant as it will impact the company’s financial disclosures and potential shareholder returns, reflecting its operational performance and strategic financial decisions.