Desun Real Estate Investment Services Group Co., Ltd. (2270) AI Stock Analysis

• Market Cap: HK$2.28B
• Dividend Yield: N/A
• Average Volume (3M): 23.46K
• Price to Earnings (P/E): 58.3
• Beta (1Y): 0.71
• Revenue Growth: 21.08%
• EPS Growth: -18.26%
• Country: HK
• Employees: 1,179
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.03
• Shares Outstanding: 620,259,200
• 10 Day Avg. Volume: 27,800
• 30 Day Avg. Volume: 23,456
• PEG Ratio: 5.10
• Price to Book (P/B): 2.23
• Price to Sales (P/S): 1.32
• P/FCF Ratio: 10.72
• 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: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: HK$4.00 ▲(1.78% Upside)

Desun Real Estate's strong financial performance and positive technical indicators are offset by a high valuation, suggesting limited upside potential. The stock's overbought status may lead to short-term volatility.

Desun Real Estate Investment Services Group Co., Ltd. Business Overview & Revenue Model

Company Description

Desun Real Estate Investment Services Group Co., Ltd. provides integrated property management and commercial operational services in China. It offers market research, tenant sourcing, shopping streets management, management of sales offices, quality assurance and maintenance, commercial operational services. The company also provides real estate agent, public space advertising and promotion, decoration and furnishing, group bulk purchases, and other value-added services. In addition, it offers brand planning, store display, marketing, and other services for commercial customers; and leasing, plants and decorations rental, conferences, and reception services for industrial parks and office buildings customers. The company was founded in 2010 and is headquartered in Chengdu, China. Desun Real Estate Investment Services Group Co., Ltd. is a subsidiary of Sky Donna Holding Limited.

How the Company Makes Money

Desun Real Estate Investment Services Group Co., Ltd. generates revenue through several key streams. Primarily, the company earns money by providing real estate investment services, which include advisory and consultancy for property acquisitions and developments. Additionally, it generates income from property management fees charged to property owners for managing their assets. The company may also benefit from capital gains realized upon the sale of developed properties. Strategic partnerships with financial institutions and other real estate firms can further enhance its revenue potential by facilitating larger investment projects and accessing broader market opportunities.

Desun Real Estate Investment Services Group Co., Ltd. Financial Statement Overview

Summary

Desun Real Estate demonstrates strong financial health with consistent revenue growth, stable profitability, and efficient cash flow management. The balance sheet is solid, though rising debt levels need monitoring.

Income Statement

Desun Real Estate has shown a consistent growth trajectory in its revenue, with a noticeable increase in Total Revenue from the previous year. The Gross Profit Margin and Net Profit Margin have remained stable, indicating efficient cost management. However, the slight decrease in Net Income suggests some pressure on profitability. Overall, the company is maintaining healthy profitability metrics with potential for further growth.

Balance Sheet

The balance sheet of Desun Real Estate demonstrates a solid equity position with a reasonable Debt-to-Equity Ratio, suggesting manageable leverage levels. The Equity Ratio reflects a strong equity base relative to total assets. However, the increase in total debt warrants close monitoring to ensure long-term financial stability.

Cash Flow

Cash flow analysis reveals a positive trend in Free Cash Flow, indicating strong cash generation capabilities. The Operating Cash Flow to Net Income Ratio suggests efficient cash conversion from profits. The company has also improved its Free Cash Flow position significantly compared to the previous year, showcasing robust liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	478.43M	453.51M	339.94M	267.27M	253.30M	127.92M
Gross Profit	85.18M	99.83M	91.23M	94.67M	103.43M	62.67M
EBITDA	89.87M	98.33M	73.23M	39.60M	42.23M	51.77M
Net Income	32.30M	37.01M	39.20M	33.60M	33.44M	42.93M
Balance Sheet
Total Assets	906.49M	834.83M	845.28M	450.12M	372.89M	173.02M
Cash, Cash Equivalents and Short-Term Investments	232.95M	173.29M	212.65M	250.05M	254.32M	110.17M
Total Debt	361.47M	296.39M	289.88M	0.00	122.00K	358.00K
Total Liabilities	608.65M	560.73M	532.68M	151.48M	123.64M	92.45M
Stockholders Equity	291.05M	268.71M	305.41M	296.95M	249.01M	80.58M
Cash Flow
Free Cash Flow	55.75M	55.80M	-8.26M	-32.35M	15.88M	38.23M
Operating Cash Flow	69.93M	72.13M	43.43M	-22.31M	17.17M	39.09M
Investing Cash Flow	-23.12M	-24.77M	-71.58M	-12.69M	-8.19M	21.05M
Financing Cash Flow	33.25M	-88.37M	-12.90M	19.48M	132.27M	-8.21M

Desun Real Estate Investment Services Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.93
• 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:2270, the sentiment is Positive. The current price of 3.93 is above the 20-day moving average (MA) of 3.39, above the 50-day MA of 3.01, and above the 200-day MA of 1.82, indicating a bullish trend. The MACD of 0.22 indicates Negative momentum. The RSI at 80.41 is Negative, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2270.

Desun Real Estate Investment Services Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1502	74 Outperform	HK$814.23M	6.84	8.63%	7.93%	16.65%	-8.74%
1200	73 Outperform	HK$1.57B	5.28	30.03%	―	9.76%	219.80%
0898	66 Neutral	HK$819.35M	2.37	4.18%	4.08%	-2.19%	78.43%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
2270	64 Neutral	HK$2.28B	58.32	11.60%	―	21.08%	-18.26%
2215	58 Neutral	HK$431.40M	12.63	4.11%	―	-7.17%	-22.01%
0266	50 Neutral	HK$949.46M	-2.95	-7.76%	6.90%	0.09%	-266.18%

Desun Real Estate Investment Services Group Co., Ltd. Corporate Events

Desun Real Estate Ventures into Digital Finance with Strategic Acquisition

Desun Real Estate Investment Services Group Co., Ltd. has announced the acquisition of a 15% equity interest in Going Securities (HK), a licensed corporation recognized by the Securities and Futures Commission of Hong Kong. This strategic investment aims to facilitate the upgrade of Going Securities’ regulated licenses, allowing Desun to explore opportunities in digital finance, including real-world asset tokenization and virtual asset services. The acquisition is contingent upon the approval of Going Securities’ license upgrade application, with a repurchase agreement in place if the upgrade is not achieved.

The most recent analyst rating on (HK:2270) stock is a Buy with a HK$3.50 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Announces Return of Parking Spaces in Connected Transactions

Desun Real Estate Investment Services Group Co., Ltd. announced that its wholly-owned subsidiary, Chengdu Desun, has entered into Termination Agreements to return 652 parking spaces to vendors, with relevant debtors agreeing to pay RMB22.52 million. These transactions are considered connected transactions under the Listing Rules, involving entities controlled by the company’s controlling shareholder, Mr. Zou Kang. The agreements are subject to reporting and announcement requirements but exempt from independent shareholder approval.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Announces Shareholder Loan Agreement for Chengdu Development

Desun Real Estate Investment Services Group Co., Ltd. announced a discloseable transaction involving a shareholder’s loan agreement with Chengdu Bangtai Jinchen Real Estate Co., Ltd. The agreement, dated 10 October 2025, involves Green Real Estate and Bangtai Yueshang providing an unsecured loan of up to RMB320 million for one year to fund land acquisition and development. The loan will be financed through the company’s internal resources and carries an interest rate of 3.5% per annum, reflecting China’s one-year Loan Prime Rate.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Embraces Digital Fintech with Strategic Investment

Desun Real Estate Investment Services Group Co., Ltd. has announced a strategic investment through its subsidiary, Desun Property Service Limited, acquiring a 15% equity interest in Going Securities (HK) Limited. This move is a significant step for Desun in embracing digital fintech, aiming to drive business transformation and diversification by integrating digital financial technologies with its existing operations. The investment aligns with Desun’s strategic objectives to explore new growth avenues and diversify profit models, although it acknowledges potential uncertainties in the market.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Updates on Yujing Lease Agreements

Desun Real Estate Investment Services Group Co., Ltd. announced a change in the landlord for its Yujing Leased Premises, now transferred to Chengdu Tianfu Industrial City Investment and Operation Co., Ltd. Despite this transfer, the terms of the lease agreements remain unchanged, and the company will continue to fulfill its obligations under the existing terms, ensuring stability in its operations and maintaining its commitments to stakeholders.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Announces Capital Increase in Joint Venture

Desun Real Estate Investment Services Group Co., Ltd. announced a capital increase agreement through its subsidiary, Green Real Estate, with Bangtai Yueshang. The agreement involves Green Real Estate subscribing for RMB10 million of new registered capital in the Target Company, resulting in both parties holding 50% equity interest. This transaction is classified as a discloseable transaction under the Listing Rules, but the Target Company will not become a subsidiary of Desun, and its financial results will not be consolidated into Desun’s financial statements.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Reports Mixed Interim Financial Results for 2025

Desun Real Estate Investment Services Group Co., Ltd. announced its interim results for the six months ending June 30, 2025, reporting a revenue increase of 12.3% to RMB228.0 million compared to the same period in 2024. Despite the revenue growth, the company experienced a decline in gross profit by 23.4% and net profit by 16.1%, highlighting challenges in maintaining profitability amidst rising costs and impairment losses. The results indicate a mixed financial performance, which may affect stakeholders’ confidence and the company’s market positioning.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Expands into Upstream Sector with Chengdu Land Bid

Desun Real Estate Investment Services Group Co., Ltd. announced that its subsidiary, Green Real Estate, has paid a bidding deposit of RMB43.30 million to participate in an auction for state-owned construction land-use rights in Chengdu. This move aligns with the company’s strategic expansion into upstream sectors, aiming to strengthen its operational scale and risk resilience by integrating upstream and downstream operations.

The most recent analyst rating on (HK:2270) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Desun Real Estate Investment Services Group Co., Ltd. stock, see the HK:2270 Stock Forecast page.

Desun Real Estate Announces Board Meeting to Discuss Interim Results

Desun Real Estate Investment Services Group Co., Ltd. has announced a board meeting scheduled for August 28, 2025, to discuss and approve the interim results for the first half of 2025 and consider an interim dividend. This meeting is significant for stakeholders as it will provide insights into the company’s financial performance and potential returns through dividends.