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Daido Group Limited (HK:0544)
:0544
Hong Kong Market
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Daido Group Limited (0544) AI Stock Analysis

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HK:0544

Daido Group Limited

(0544)

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Neutral 52 (OpenAI - 4o)
Rating:52Neutral
Price Target:
HK$2.00
▲(0.00% Upside)
The overall stock score is primarily impacted by the company's poor financial performance, which is a significant concern due to declining revenues, high leverage, and negative equity. While technical analysis shows some positive momentum, the valuation remains unattractive due to ongoing losses. The lack of earnings call data and corporate events does not influence the score.

Daido Group Limited (0544) vs. iShares MSCI Hong Kong ETF (EWH)

Daido Group Limited Business Overview & Revenue Model

Company DescriptionDaido Group Limited (0544) is a multifaceted company primarily engaged in the manufacturing and distribution of various industrial products and materials. Operating in sectors such as construction, packaging, and manufacturing, Daido Group offers a diverse range of core products including steel, plastics, and other essential materials that cater to a wide array of industries. The company is committed to quality and innovation, positioning itself as a key player in the regional market.
How the Company Makes MoneyDaido Group Limited generates revenue through multiple channels, primarily from the sale of its industrial products. The company has a diversified revenue model that includes direct sales to manufacturers and construction firms, as well as distribution partnerships that extend its market reach. Key revenue streams include the sale of steel and other construction materials, along with specialized packaging products. Additionally, Daido Group may engage in strategic partnerships with other companies to enhance its product offerings and market presence, which further contributes to its earnings. The company's focus on innovation and quality also allows it to maintain competitive pricing and customer loyalty, driving consistent revenue growth.

Daido Group Limited Financial Statement Overview

Summary
Daido Group Limited is facing significant financial challenges across its income statement, balance sheet, and cash flow. The company's declining revenues, poor profitability, high leverage, and negative equity position suggest a need for strategic restructuring and financial stabilization. Immediate measures are essential to improve cash flow and reduce debt to ensure long-term viability.
Income Statement
35
Negative
The company's income statement shows a decline in both revenue and profitability over the periods. The most recent year saw significant negative EBIT and net income, indicating operational and financial struggles. Revenue declined substantially from the previous year, and gross profit margins are weak. The company has struggled to maintain positive net profit margins in recent years, which is a concerning trend.
Balance Sheet
25
Negative
The balance sheet is concerning with negative stockholders' equity and high total debt levels, indicating potential solvency issues. The debt-to-equity ratio is extremely high due to negative equity, and the return on equity is negative, highlighting profitability challenges. The equity ratio is negative, pointing to a crucial need for restructuring or additional equity infusion.
Cash Flow
40
Negative
The cash flow statement reveals challenges in generating operating cash flow, with zero operating and free cash flow in the latest period. Prior periods showed better free cash flow generation, but the recent downturn is worrying. The company needs to improve cash generation to support operations and reduce reliance on external financing.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue219.39M298.39M273.31M235.07M254.64M
Gross Profit9.89M51.88M59.52M36.58M27.43M
EBITDA-36.37M96.62M88.96M8.83M50.88M
Net Income-40.23M5.67M4.76M-80.27M-40.58M
Balance Sheet
Total Assets588.33M252.54M265.21M324.69M458.54M
Cash, Cash Equivalents and Short-Term Investments62.18M61.95M60.41M59.92M69.78M
Total Debt592.45M209.87M220.08M279.94M340.99M
Total Liabilities611.21M231.69M246.53M310.90M367.62M
Stockholders Equity-22.88M20.85M15.51M10.63M87.75M
Cash Flow
Free Cash Flow70.26M85.77M79.45M-3.26M51.83M
Operating Cash Flow72.17M87.43M84.90M35.88M56.01M
Investing Cash Flow33.19M-1.31M693.00K39.38M-5.48M
Financing Cash Flow-107.15M-84.24M-83.89M-85.67M-100.76M

Daido Group Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.00
Price Trends
50DMA
1.58
Positive
100DMA
1.34
Positive
200DMA
0.99
Positive
Market Momentum
MACD
0.14
Positive
RSI
56.98
Neutral
STOCH
61.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0544, the sentiment is Positive. The current price of 2 is below the 20-day moving average (MA) of 2.01, above the 50-day MA of 1.58, and above the 200-day MA of 0.99, indicating a bullish trend. The MACD of 0.14 indicates Positive momentum. The RSI at 56.98 is Neutral, neither overbought nor oversold. The STOCH value of 61.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0544.

Daido Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$10.79B15.437.44%2.01%2.89%-14.66%
HK$184.80M-20.83%9.09%-26.30%-617.37%
HK$98.56M20.375.97%-13.63%-30.26%
HK$71.37M-34.43%-121.37%
HK$68.75M-2.70%-7.49%25.83%
HK$27.14M-92.47%14.17%
HK$49.90M80.658.15%134.32%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0544
Daido Group Limited
2.05
0.75
57.69%
HK:1631
REF Holdings Limited
0.38
0.16
72.73%
HK:1884
eprint Group Ltd.
0.12
0.02
20.00%
HK:1975
Sun Hing Printing Holdings Limited
0.38
0.03
8.57%
HK:8385
Prosperous Printing Company Limited
0.26
0.16
160.00%
HK:8448
Universe Printshop Holdings Ltd.
0.50
0.27
117.39%

Daido Group Limited Corporate Events

Daido Group Limited Announces Leadership Change
Sep 8, 2025

Daido Group Limited announced the resignation of Mr. Fung Pak Kei as Executive Director and CEO, effective September 8, 2025, to focus on other business commitments. Mr. He Xinyu, with extensive experience in financial services and capital markets, has been appointed as the new Executive Director and Authorized Representative, bringing valuable expertise to the company.

Daido Group Limited Announces Board Composition and Roles
Sep 8, 2025

Daido Group Limited has announced the composition of its board of directors and their roles within the company’s committees. The board consists of executive, non-executive, and independent non-executive directors, with specific members assigned to the audit, remuneration, and nomination committees. This announcement provides clarity on the governance structure and leadership roles within the company, which is crucial for stakeholders to understand the decision-making hierarchy and oversight functions.

Daido Group Limited Reports Increased Losses in H1 2025
Aug 28, 2025

Daido Group Limited reported its unaudited interim results for the first half of 2025, showing a significant decrease in revenue and an increased loss compared to the same period in 2024. The company’s total revenue fell from HK$124,737,000 in 2024 to HK$76,625,000 in 2025, with a net loss of HK$36,930,000 attributable to equity holders, reflecting challenges in its operational and financial performance.

Daido Group Limited Announces Executive Changes
Aug 28, 2025

Daido Group Limited, a company incorporated in Bermuda, has announced significant changes in its executive team. The Chief Financial Officer and Company Secretary, Mr. Cheung Hoi Kin, has resigned to focus on other business commitments, effective September 1, 2025. He will be succeeded by Ms. Yeung Pui Yee Holly, who brings over eight years of experience in corporate finance and governance. This transition is expected to maintain the company’s stability and governance standards, with the Board expressing gratitude to Mr. Cheung and welcoming Ms. Yeung to her new role.

Daido Group Limited Schedules Board Meeting for Interim Results
Aug 18, 2025

Daido Group Limited has announced that its board of directors will hold a meeting on August 28, 2025, to approve the interim results for the first half of the year and consider the payment of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.

Daido Group Limited Announces Key Board Changes
Aug 8, 2025

Daido Group Limited, a company listed on the Hong Kong Stock Exchange, announced significant changes in its board composition effective from August 8, 2025. The company has accepted the resignation of Mr. Tse Yuen Ming as an Independent Non-executive Director, who stepped down to focus on other business commitments. Concurrently, Mr. He Xinyu has been appointed as an Executive Director, bringing over eight years of experience in financial services and capital markets to the role, and Ms. Li Dan has been appointed as an Independent Non-executive Director. These changes are expected to impact the company’s strategic direction and governance structure, potentially influencing its market positioning and stakeholder relations.

Daido Group Limited Announces Board Composition and Committee Roles
Aug 8, 2025

Daido Group Limited has announced the composition of its board of directors, which includes executive, non-executive, and independent non-executive directors. The board is structured to oversee various committees, including Audit, Remuneration, and Nomination Committees, with specific directors assigned to each. This announcement highlights the company’s governance framework, which is crucial for maintaining transparency and accountability in its operations. The structured board and committee roles are expected to enhance decision-making processes and strategic oversight, potentially impacting the company’s market positioning and stakeholder confidence.

Daido Group Limited Issues Profit Warning Amid Revenue Decline
Aug 7, 2025

Daido Group Limited has issued a profit warning, indicating an expected net loss of no less than HK$36.8 million for the first half of 2025, compared to a net loss of approximately HK$19.8 million in the same period of 2024. This anticipated loss is mainly due to a significant decrease in revenue from its cold storage services and food and beverage trading in Mainland China, attributed to challenging macroeconomic conditions and the impact of extended lease agreements for cold storage warehouses.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 23, 2025