Zhongzheng International Company Limited (0943) AI Stock Analysis

• Market Cap: HK$369.52M
• Dividend Yield: N/A
• Average Volume (3M): 532.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.57
• Revenue Growth: -21.01%
• EPS Growth: 79.78%
• Country: HK
• Employees: 561
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): N/A
• Shares Outstanding: 1,718,697,500
• 10 Day Avg. Volume: 280,644
• 30 Day Avg. Volume: 532,067
• PEG Ratio: 0.02
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 1.76
• P/FCF Ratio: -6.90
• 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

• Rating: 42 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score of 42 reflects significant financial challenges, including declining revenues, substantial losses, and high leverage. Technical analysis indicates a bearish trend, while valuation metrics highlight unprofitability and lack of dividend yield. These factors collectively suggest a cautious outlook for the stock.

Zhongzheng International Company Limited Business Overview & Revenue Model

Company Description

Zhongzheng International Company Limited, an investment holding company, manufactures, trades in, and sells healthcare and household products. The company is also involved in the money lending, trademark holding, and land development businesses; and provision of fund management, as well as management services. In addition, it owns a coal mining concession. The company operates in the United States, the People's Republic of China, Germany, France, the United Kingdom, Japan, Hong Kong, and internationally. The company was formerly known as eForce Holdings Limited and changed its name to Zhongzheng International Company Limited in August 2020. Zhongzheng International Company Limited is headquartered in Central, Hong Kong.

How the Company Makes Money

Zhongzheng International Company Limited generates revenue through multiple streams, primarily from the sale of its industrial products, which include electronic components and machinery. The company also earns income from providing maintenance and support services to its products, ensuring customer satisfaction and fostering long-term relationships. Additionally, significant partnerships with key suppliers and distributors enhance its supply chain efficiency and market penetration, contributing to its financial performance. The company strategically invests in research and development to innovate and expand its product lines, further driving sales and profitability.

Zhongzheng International Company Limited Financial Statement Overview

Summary

Zhongzheng International Company Limited is facing significant financial challenges. The income statement reveals declining revenues and substantial losses, while the balance sheet shows high leverage and negative returns on equity. Cash flow analysis indicates declining cash generation and operational cash flow issues. The company needs to address these issues to improve financial stability and performance.

Income Statement

The company has experienced significant revenue decline with a negative revenue growth rate of -21.01% in the latest period. Gross profit margin has decreased to 19.33%, indicating reduced efficiency in production. The net profit margin is deeply negative at -125.07%, reflecting substantial losses. EBIT and EBITDA margins are also negative, indicating operational challenges.

Balance Sheet

The debt-to-equity ratio of 1.38 suggests high leverage, which poses financial risk. Return on equity is negative, indicating that the company is not generating profit from shareholders' equity. The equity ratio is relatively low, showing limited equity financing compared to assets.

Cash Flow

The company has negative free cash flow growth of -41.85%, indicating declining cash generation. The operating cash flow to net income ratio is negative, suggesting cash flow issues. However, the free cash flow to net income ratio is slightly above 1, indicating that free cash flow is slightly better than net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	117.30M	117.30M	148.50M	872.91M	139.33M	154.69M
Gross Profit	22.67M	22.67M	22.99M	253.69M	36.61M	44.77M
EBITDA	-26.91M	-26.91M	-696.29M	142.65M	-75.91M	-55.13M
Net Income	-146.70M	-146.70M	-699.35M	69.13M	-231.68M	-53.79M
Balance Sheet
Total Assets	744.97M	744.97M	2.29B	3.03B	4.12B	3.72B
Cash, Cash Equivalents and Short-Term Investments	11.35M	11.35M	20.14M	41.43M	167.45M	177.09M
Total Debt	356.29M	356.29M	1.35B	1.37B	1.77B	1.65B
Total Liabilities	485.87M	485.87M	2.18B	2.06B	3.11B	2.29B
Stockholders Equity	259.09M	259.09M	293.07M	974.13M	989.95M	1.38B
Cash Flow
Free Cash Flow	-29.96M	-29.96M	-21.12M	-69.58M	124.79M	-47.52M
Operating Cash Flow	-29.77M	-29.77M	-21.12M	-67.55M	126.86M	-44.78M
Investing Cash Flow	-16.31M	-16.31M	-2.17M	26.93M	-122.91M	-87.09M
Financing Cash Flow	40.18M	38.76M	1.94M	-83.55M	5.57M	104.55M

Zhongzheng International Company Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.22
• 50DMA: Negative
• 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:0943, the sentiment is Neutral. The current price of 0.22 is below the 20-day moving average (MA) of 0.23, below the 50-day MA of 0.23, and above the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.29 is Neutral, neither overbought nor oversold. The STOCH value of 37.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0943.

Zhongzheng International Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
8436	60 Neutral	HK$95.20M	20.70	1.89%	―	-20.10%	-74.16%
1338	56 Neutral	HK$120.17M	42.22	1.83%	―	5.99%	-74.29%
1667	47 Neutral	HK$288.00M	―	-450.14%	―	-15.95%	19.75%
1323	45 Neutral	HK$108.06M	―	-8.47%	―	-34.16%	-66.02%
0943	42 Neutral	HK$369.52M	―	-34.23%	―	-21.01%	79.78%
6893	41 Neutral	HK$220.54M	―	-27.11%	―	-0.79%	-34.52%