tiprankstipranks
Trending News
More News >
Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H (HK:0564)
:0564

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H (0564) AI Stock Analysis

Compare
1 Followers

Top Page

HK

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H

(0564)

Rating:83Outperform
Price Target:
Zhengzhou Coal Mining Machinery Group shows a compelling investment profile with strong financial performance, particularly in revenue growth and profit margins. The technical analysis indicates positive momentum, while the valuation metrics suggest the stock is undervalued with a high dividend yield. Overall, the stock presents a balanced opportunity for growth and income, supported by solid financial fundamentals.

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H (0564) vs. iShares MSCI Hong Kong ETF (EWH)

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H Business Overview & Revenue Model

Company DescriptionZhengzhou Coal Mining Machinery Group Co., Ltd. (ZMJ) is a leading manufacturer in the coal mining machinery sector. Based in Zhengzhou, China, the company specializes in the production and sales of coal mining and excavating equipment. ZMJ's core products include hydraulic roof supports, armored-face conveyors, and other mining machinery, serving the energy and mining industries primarily in China and internationally.
How the Company Makes MoneyZMJ generates revenue primarily through the design, manufacture, and sale of coal mining machinery and equipment. The company's key revenue streams include the sale of hydraulic roof supports and other mining machinery to coal mining companies. ZMJ's extensive product portfolio caters to various needs within the mining process, ensuring diverse income sources. The company also benefits from partnerships with leading mining firms and maintains a strong presence in the Chinese market, where coal mining remains a significant industry. Additionally, ZMJ may earn revenue from after-sales services, including maintenance and spare parts supply, providing ongoing support to its clients.

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H Financial Statement Overview

Summary
Zhengzhou Coal Mining Machinery Group displays strong financial health, with consistent revenue growth and profitability. The income statement shows robust net profit and operating margins. The balance sheet is solid, with low leverage and strong equity returns. However, cash flow shows slightly negative free cash flow growth, though overall cash conversion is strong.
Income Statement
85
Very Positive
The income statement showcases strong growth and profitability. The gross profit margin for 2024 is approximately 24.05%, reflecting solid profitability in operations. Net profit margin is robust at approximately 10.62%, indicating efficient cost management. Revenue growth rate is notable, with a 1.73% increase from 2023 to 2024, following a consistent upward trajectory over the years. The EBIT margin stands at 14.08%, and EBITDA margin at 17.82%, both reflecting strong operating performance.
Balance Sheet
78
Positive
The balance sheet indicates a healthy financial position with a debt-to-equity ratio of 0.23, suggesting low leverage and strong equity base. The return on equity is impressive at 17.92%, showcasing effective use of shareholder's equity. The equity ratio is approximately 45.20%, indicating a balanced capital structure with substantial asset backing.
Cash Flow
74
Positive
Cash flow analysis reveals stable cash generation capabilities. Free cash flow growth is slightly negative, but the operating cash flow to net income ratio is favorable at 1.00, indicating strong cash conversion. Free cash flow to net income ratio is approximately 0.50, suggesting a moderate level of free cash flow relative to net income.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
37.14B37.05B36.42B32.04B29.29B26.52B
Gross Profit
8.89B8.91B7.99B6.63B6.41B6.85B
EBIT
5.18B5.22B4.09B3.08B2.62B1.95B
EBITDA
5.40B6.60B5.53B4.30B3.94B3.33B
Net Income Common Stockholders
3.98B3.93B3.27B2.54B1.95B1.24B
Balance SheetCash, Cash Equivalents and Short-Term Investments
12.83B10.67B12.19B10.56B7.28B6.80B
Total Assets
49.35B48.57B49.17B44.30B36.65B33.71B
Total Debt
8.28B5.09B8.03B8.97B7.05B6.82B
Net Debt
2.60B1.08B2.15B4.59B3.35B2.97B
Total Liabilities
26.32B25.82B27.29B25.66B21.00B19.68B
Stockholders Equity
21.40B21.95B20.38B17.81B14.80B13.06B
Cash FlowFree Cash Flow
1.50B1.97B1.97B1.14B2.08B1.48B
Operating Cash Flow
0.003.94B3.06B2.26B2.96B2.41B
Investing Cash Flow
888.51M-1.31B
Financing Cash Flow
-946.63M1.63B739.14M

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Positive
Last Price15.66
Price Trends
50DMA
13.51
Positive
100DMA
12.08
Positive
200DMA
10.90
Positive
Market Momentum
MACD
0.57
Positive
RSI
70.80
Negative
STOCH
75.03
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0564, the sentiment is Positive. The current price of 15.66 is above the 20-day moving average (MA) of 14.70, above the 50-day MA of 13.51, and above the 200-day MA of 10.90, indicating a bullish trend. The MACD of 0.57 indicates Positive momentum. The RSI at 70.80 is Negative, neither overbought nor oversold. The STOCH value of 75.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0564.

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
83
Outperform
HK$30.97B6.3518.67%6.05%-0.25%16.01%
80
Outperform
$826.33B10.7112.78%7.39%-7.73%-6.97%
75
Outperform
$140.57B5.7612.03%5.82%-4.04%-12.32%
66
Neutral
$4.50B12.295.40%248.66%4.13%-12.33%
61
Neutral
$115.59B5.3522.05%18.39%2.87%
59
Neutral
$48.77B11.939.94%4.34%1.39%-21.74%
42
Neutral
HK$11.99B-16.73%-29.52%-73.10%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0564
Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H
16.02
5.39
50.71%
HK:1193
China Resources Gas Group
21.55
-4.89
-18.50%
HK:1088
China Shenhua Energy Co
34.05
-2.13
-5.88%
HK:1171
Yankuang Energy Group Company Limited Class H
8.25
-3.30
-28.57%
HK:1053
Chongqing Iron & Steel Co., Ltd. Class H
0.88
0.24
37.50%
HK:1898
China Coal Energy Co
8.70
0.18
2.09%

Zhengzhou Coal Mining Machinery Group Co., Ltd. Class H Corporate Events

Zhengzhou Coal Mining Machinery Announces Board Resignation
Apr 28, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. announced the resignation of Mr. Liu Qiang from his role as chairman of the Board of Supervisors due to personal work arrangements. His resignation will temporarily reduce the board’s members below the statutory minimum, but he will continue his duties until the board’s abolition or a new supervisor is elected. The company expressed gratitude for Mr. Liu’s dedicated service.

Zhengzhou Coal Mining Machinery Group Announces Strategic Name Change and Structural Reforms
Apr 28, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. plans to change its company name to ZMJ Group Company Limited to better reflect its strategic development and enhance its corporate image. This change is part of a broader transformation, as the company diversifies its business beyond coal mining machinery into areas such as auto parts and industrial intelligence. The proposed changes also include the abolition of the Board of Supervisors and amendments to the Articles of Association, aligning with the company’s evolving business structure and strategic focus.

Zhengzhou Coal Mining Machinery Reports Stable Q1 2025 Results Amid Cash Flow Concerns
Apr 28, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. released its first quarterly report for 2025, showing a slight increase in operating revenue to RMB 9.76 billion, up 0.94% from the previous year. The net profit attributable to shareholders rose by 4.47% to RMB 1.09 billion, despite a significant negative cash flow from operating activities. These financial results indicate a stable performance, but the negative cash flow may raise concerns about the company’s liquidity and operational efficiency.

Zhengzhou Coal Mining Machinery Group Announces Amendments to Articles of Association
Apr 17, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced proposed amendments to its Articles of Association, which were approved by the board of directors. These amendments include changes to the company’s registered capital and adjustments to the share capital structure following recent share issuances and repurchases. The changes reflect the company’s ongoing efforts to optimize its capital structure and align with its strategic objectives, potentially impacting its market position and shareholder value.

Zhengzhou Coal Mining Machinery Group Approves Key Resolutions at 2025 EGM
Apr 17, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. announced the successful conclusion of its First Extraordinary General Meeting of 2025, held on April 17, where key resolutions were passed. These resolutions included the approval of expected daily related party transactions for 2025 and the application for bank loans and provision of guarantees by overseas subsidiaries. The resolutions were passed with significant shareholder support, indicating strong backing for the company’s strategic financial decisions, which could enhance its operational capabilities and financial flexibility.

Zhengzhou Coal Mining Machinery Group Unveils 2025 Employee Stock Ownership Scheme
Apr 17, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced the approval of its 2025 Employee Stock Ownership Scheme, aimed at enhancing corporate governance and aligning the interests of shareholders, management, and employees. This initiative is expected to boost employee motivation and cohesion, thereby strengthening the company’s governance and competitiveness, and supporting its long-term strategic goals.

Zhengzhou Coal Mining Machinery Group Schedules Board Meeting for Quarterly Results
Apr 14, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has scheduled a board meeting on April 28, 2025, to discuss and approve the first quarterly results for the period ending March 31, 2025. This meeting is significant as it will provide insights into the company’s financial performance and strategic direction, potentially impacting stakeholders and the company’s market position.

Zhengzhou Coal Mining Machinery Group Reports 19.45% Profit Increase for 2024
Mar 28, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. reported its annual financial results for 2024, showing a revenue increase of 1.73% to RMB37,052.04 million and a significant profit rise of 19.45% to RMB3,943.89 million compared to 2023. The company announced a proposed final dividend of RMB11.20 per 10 shares, reflecting its strong financial performance and commitment to returning value to shareholders.

Zhengzhou Coal Mining Machinery Group Announces Final Dividend for 2024
Mar 28, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced a final cash dividend of RMB 11.2 per 10 shares for the financial year ending December 31, 2024. The payment date for this dividend is set for July 18, 2025. The announcement includes details on the withholding tax rates applicable to non-resident shareholders, with a standard rate of 10% for both enterprise and individual shareholders residing outside the PRC. The company will assist shareholders from countries with lower tax treaty rates in obtaining tax refunds if applicable. This announcement reflects the company’s commitment to returning value to its shareholders and may impact its attractiveness to international investors.

Zhengzhou Coal Mining Machinery Group Announces 2025 Extraordinary General Meeting
Mar 26, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced its first extraordinary general meeting of 2025, scheduled for April 17. The meeting will address resolutions on expected daily related party transactions and the application for bank loans and guarantees by overseas subsidiaries, indicating strategic financial planning and operational adjustments.

Zhengzhou Coal Mining Machinery Group Continues Partnership with Ansteel Group
Mar 21, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced the continuation of its connected transactions with Ansteel Group, involving the purchase and sale of commodities and services. The company entered into a new Commodities and Services Framework Agreement with Ansteel Group to ensure the continuation of these transactions, which include the purchase of steel products and industrial gases, as well as the provision of steel transportation services. This agreement is expected to support the company’s operations and maintain its market position in the industry.

Zhengzhou Coal Mining Machinery Group Announces Upcoming Board Meeting for Annual Results
Mar 18, 2025

Zhengzhou Coal Mining Machinery Group Co., Ltd. has announced a board meeting scheduled for March 28, 2025, to discuss and approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the recommendation of a final dividend, which could impact the company’s financial strategy and shareholder returns.

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.