tiprankstipranks
Trending News
More News >
Zoomlion Heavy Industry Science & Technology Co Ltd Class H (HK:1157)
:1157

Zoomlion Heavy Industry Science & Technology Co (1157) AI Stock Analysis

Compare
8 Followers

Top Page

HK:1157

Zoomlion Heavy Industry Science & Technology Co

(1157)

Select Model
Select Model
Select Model
Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
HK$10.50
â–²(24.11% Upside)
Action:ReiteratedDate:02/04/26
The score is primarily driven by moderate financial performance (healthy margins and a strong, low-leverage balance sheet) offset by cash flow weakness (negative free cash flow). Technicals are supportive with an established uptrend, though momentum is stretched (high RSI/stochastic). Valuation is helped by a strong dividend yield, while the P/E remains moderate.
Positive Factors
Operational margin sustainability
Sustained EBIT and EBITDA margins indicate durable cost controls and pricing power in heavy equipment. These margins support profitability through cyclicality, funding for R&D and service networks, and help preserve cash returns to stakeholders over the medium term.
Strong balance sheet, low leverage
A solid equity ratio and low debt-to-equity provide financial flexibility for capital-intensive manufacturing. This balance sheet strength helps the firm withstand downturns, access funding on better terms, and sustain investment in production capacity and service infrastructure.
Recurring after-sales and financing income
After-sales services and equipment financing create recurring, higher-margin income streams and strengthen customer lock-in. These structural revenue sources smooth cyclicality from new equipment sales and enhance lifetime customer value, supporting steadier cash flows.
Negative Factors
Declining revenue trend
A falling top line signals weakening end-market demand or share pressure. Persistent revenue decline erodes scale economics, can strain dealer networks and aftermarket volumes, and makes sustaining investment and long-term margin targets more challenging.
Negative free cash flow
Negative FCF driven by elevated capex constrains the firm's ability to fund operations, dividends, or strategic spending internally. Over time this increases reliance on external financing and reduces agility to respond to market shifts or pursue M&A.
Weak earnings-to-cash conversion
Low conversion of earnings into operating cash suggests earnings quality or working capital pressures. Poor cash conversion raises liquidity risk, limits reinvestment capacity, and may require balance sheet adjustments if the trend persists.

Zoomlion Heavy Industry Science & Technology Co (1157) vs. iShares MSCI Hong Kong ETF (EWH)

Zoomlion Heavy Industry Science & Technology Co Business Overview & Revenue Model

Company DescriptionZoomlion Heavy Industry Science and Technology Co., Ltd., together with its subsidiaries, engages in the research, development, manufacture, and sale of construction and agricultural machinery in the People's Republic of China and internationally. The company operates through three segments: Construction Machinery, Agricultural Machinery, and Financial Services. It offers concrete machineries, including truck-mounted concrete pumps, trailer-mounted concrete pumps, dry mortar products, concrete placing booms, concrete mixing plants, truck-mounted concrete mixers, truck-mounted line concrete pumps, and self-propelled boom concrete pumps; and cranes, such as truck cranes, all-terrain truck cranes, crawler cranes, and various types of tower cranes. The company also provides road construction and pile foundation machinery, earth working machinery, material handling machineries and systems, specialized vehicles, and vehicle axles; road building and maintenance machinery; hoisting machinery; and forklift trucks and other products for infrastructure and real estate construction. In addition, it offers various agricultural machineries comprising tractors, grain harvesters, and drying machines. Further, the company provides finance leasing, commercial factoring, and bond issuance services. Additionally, it leases and trades in equipment and machineries; researches and manufactures machine software, motor vehicle components, and hydraulic products; and exploits and manages tourism resources. The company was formerly known as Changsha Zoomlion Heavy Industry Science and Technology Development Co., Ltd. and changed its name to Zoomlion Heavy Industry Science and Technology Co., Ltd. in October 2011. Zoomlion Heavy Industry Science and Technology Co., Ltd. was founded in 1992 and is based in Changsha, the People's Republic of China.
How the Company Makes MoneyZoomlion generates revenue primarily through the sale of its heavy machinery and equipment, which is sold both domestically in China and internationally. The company has established a diverse revenue model that includes direct sales, leasing options, and after-sales services such as maintenance and parts supply, contributing to a steady income stream. Significant partnerships with construction firms, government projects, and infrastructure development initiatives further bolster its sales. Additionally, Zoomlion benefits from government support and incentives aimed at promoting the domestic manufacturing sector, enhancing its competitive edge in pricing and innovation.

Zoomlion Heavy Industry Science & Technology Co Financial Statement Overview

Summary
Moderate financial health: profitability and solid operating margins persist despite declining revenue, and the balance sheet is stable with low leverage; however, cash generation is a key weakness with negative free cash flow and a low operating cash flow to net income ratio.
Income Statement
72
Positive
Zoomlion Heavy Industry's income statement reveals a stable but declining revenue trend with a TTM revenue of 45.7B, down from 47.0B in 2023. The gross profit margin stands at 27.8% TTM, indicating good cost management. However, the net profit margin improved to 8.8% TTM, reflecting enhanced efficiency, even as total revenue decreased. EBIT and EBITDA margins remain healthy at 9.0% and 12.9% respectively, suggesting operational stability despite revenue fluctuations.
Balance Sheet
75
Positive
The balance sheet shows a strong equity position with an equity ratio of 45.0% TTM, implying financial stability and low leverage. The debt-to-equity ratio is 0.31, indicating moderate use of debt. Return on equity improved to 6.9% TTM, highlighting efficient equity usage. The company maintains a robust asset base, supporting its competitive stance in the industry.
Cash Flow
60
Neutral
Cash flow analysis indicates challenges with free cash flow, which turned negative TTM at -624M due to higher capital expenditures. The operating cash flow to net income ratio is low at 0.25, suggesting potential liquidity constraints. Despite these issues, the company managed positive operating cash flows, reflecting its capability to generate cash from operations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue45.80B45.48B47.07B41.63B67.13B65.11B
Gross Profit12.86B12.81B12.92B9.09B15.85B18.62B
EBITDA5.40B6.30B6.31B4.16B8.46B10.35B
Net Income4.00B3.52B3.51B2.31B6.27B7.28B
Balance Sheet
Total Assets129.23B123.75B130.86B123.55B122.02B116.27B
Cash, Cash Equivalents and Short-Term Investments14.49B15.34B17.64B19.51B21.57B16.77B
Total Debt21.35B17.20B20.91B22.51B19.42B19.88B
Total Liabilities69.86B63.91B71.70B66.58B63.72B68.39B
Stockholders Equity57.14B57.14B56.41B54.74B56.87B46.74B
Cash Flow
Free Cash Flow-1.68B-1.89B812.52M894.84M-288.88M6.32B
Operating Cash Flow2.20B2.14B2.71B2.42B2.62B7.42B
Investing Cash Flow-5.33B-2.92B-278.40M567.37M-1.83B785.47M
Financing Cash Flow-191.68M-679.32M-2.64B-2.49B2.42B-3.24B

Zoomlion Heavy Industry Science & Technology Co Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price8.46
Price Trends
50DMA
9.08
Positive
100DMA
8.22
Positive
200DMA
7.19
Positive
Market Momentum
MACD
0.09
Positive
RSI
43.56
Neutral
STOCH
22.20
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1157, the sentiment is Neutral. The current price of 8.46 is below the 20-day moving average (MA) of 9.95, below the 50-day MA of 9.08, and above the 200-day MA of 7.19, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 43.56 is Neutral, neither overbought nor oversold. The STOCH value of 22.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1157.

Zoomlion Heavy Industry Science & Technology Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
HK$12.20B3.2611.08%4.26%2.60%49.21%
76
Outperform
HK$16.03B8.0610.67%4.49%-9.90%-20.25%
73
Outperform
HK$90.35B9.9411.31%―11.05%81.01%
72
Outperform
HK$140.45B10.7413.94%3.05%12.64%2.90%
72
Outperform
HK$86.02B8.657.29%7.28%-3.92%2.33%
68
Neutral
$43.65B4.4011.00%3.41%15.52%-23.76%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1157
Zoomlion Heavy Industry Science & Technology Co
9.04
3.10
52.21%
HK:0038
First Tractor Co
9.47
2.88
43.64%
HK:3339
Lonking Holdings
2.85
1.10
62.76%
HK:0631
Sany Heavy Equipment International Holdings Co
13.40
8.69
184.62%
HK:2057
ZTO Express (Cayman), Inc. Class A
186.60
32.69
21.24%
HK:2618
JD Logistics, Inc.
13.54
0.02
0.15%

Zoomlion Heavy Industry Science & Technology Co Corporate Events

Zoomlion Clarifies Dilution Impact of Proposed RMB6 Billion Convertible Bond Issue
Feb 3, 2026

Zoomlion Heavy Industry Science and Technology has issued a supplemental announcement clarifying details of its proposed RMB6 billion convertible bond offering due 2031 under a specific mandate. The company now specifies that, at the initial conversion price of HK$10.02, full conversion of the bonds would result in the issuance of 673,189,831 new H shares, equal to about 43.36% of existing H share capital and 7.78% of the total issued share capital, or 30.25% of H shares and 7.22% of total shares on an enlarged basis. The clarification also updates the post-conversion shareholding structure, showing H shares rising from 17.95% to 23.88% of total share capital and the bondholders collectively becoming holders of just over 30% of H shares, while A-share proportions are diluted but unchanged in absolute number. Apart from these numerical adjustments, the company confirms that all other terms of the previously announced convertible bond issue remain the same, providing greater transparency for investors on potential dilution and ownership changes linked to the planned fundraising.

The most recent analyst rating on (HK:1157) stock is a Hold with a HK$9.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion to Raise RMB6 Billion via 2031 Convertible Bond Issue in Hong Kong
Jan 28, 2026

Zoomlion has entered into a subscription agreement with a syndicate of managers to issue RMB6 billion of convertible bonds due 2031, to be placed with the managers or their designated subscribers following a completed bookbuilding exercise. The bonds, which will be listed in Hong Kong subject to regulatory approval, are convertible into approximately 673.2 million H shares at an initial conversion price of HK$10.02 per share, potentially expanding the company’s H share base by about 30% and its overall share capital by over 7%; the issue is conducted under an existing specific mandate and does not require further shareholder approval, though completion remains conditional and may not proceed, prompting a cautionary note to investors.

The most recent analyst rating on (HK:1157) stock is a Hold with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Approves Key Resolutions at Extraordinary General Meeting
Dec 11, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. held its extraordinary general meeting and class meetings for holders of H shares and A shares on December 11, 2025. During these meetings, several resolutions were passed, including the approval of a profit distribution plan with an interim dividend of RMB0.20 per share and amendments to related party transaction rules, articles of association, and procedural rules for meetings. These decisions are expected to impact the company’s governance and financial strategies, potentially enhancing shareholder value and operational efficiency.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Elects New Employee Representative Director Amid Governance Changes
Dec 11, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. announced the election of Mr. Liu Xiaoping as the employee representative director, effective immediately. This change follows the company’s decision to abolish its supervisory board and amend its articles of association. Mr. Liu, who has been with the company since 1995 and has held various significant roles, will serve as an executive director until the expiry of the seventh session of the Board. This move is part of the company’s strategic adjustments and may impact its governance structure and stakeholder relations.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces Board of Directors and Their Roles
Dec 11, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has announced the composition of its Board of Directors, highlighting the roles and functions of each member. This announcement underscores the company’s commitment to strategic governance and leadership, potentially impacting its operational efficiency and decision-making processes.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces Interim Dividend for 2025
Dec 11, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has announced an interim cash dividend of RMB 0.2 per share for the six months ending June 30, 2025, with a payment date set for January 9, 2026. The dividend will be paid in Hong Kong dollars at an exchange rate of RMB 1 to HKD 1.0998. This announcement reflects the company’s ongoing commitment to returning value to its shareholders. The dividend is subject to withholding tax, with varying rates depending on the residency and tax agreements of the shareholders, highlighting the company’s compliance with international tax regulations.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Completes Strategic Acquisition of Finance Subsidiary
Dec 8, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has successfully completed the acquisition of an 81% stake in Zoomlion Finance and Leasing (Beijing) Co., Ltd., making it a wholly-owned subsidiary. This acquisition, approved by the local financial supervision and administration bureau in Beijing, is expected to consolidate the financial results of the subsidiary into Zoomlion’s financial statements, potentially enhancing its financial performance and market position.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces Convertible Bond Issuance to Boost Financial Flexibility
Nov 25, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has entered into a Placing Agency Agreement to issue convertible bonds, with the aim of facilitating at least six independent placees to subscribe for these bonds. This strategic move is expected to enhance the company’s financial flexibility and potentially strengthen its market position by attracting new investors, thereby impacting its operations and stakeholder interests positively.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces Interim Dividend and Tax Details for 2025
Nov 25, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. announced an interim dividend of RMB 0.2 per share for the six months ending June 30, 2025, with the payment date set for January 9, 2026. The announcement includes details on withholding tax rates applicable to different categories of shareholders, indicating a strategic move to maintain shareholder value and comply with international tax agreements.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces EGM and Convertible Bond Issuance
Nov 25, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has announced an Extraordinary General Meeting (EGM) to be held on December 11, 2025. The meeting will address several key resolutions, including the approval of a profit distribution plan, amendments to the company’s articles of association, and procedural rules for meetings. Additionally, the company plans to issue convertible bonds worth up to RMB6 billion, which will be convertible into H shares, potentially impacting the company’s financial strategy and market positioning.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Plans RMB6 Billion Convertible Bonds Issuance
Nov 25, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has announced a class meeting for holders of H shares to discuss the proposed issuance of convertible bonds worth up to RMB6 billion. This move is aimed at strengthening the company’s financial position and providing flexibility in its capital structure, potentially impacting its market positioning and offering new opportunities for stakeholders.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

Zoomlion Announces Dates for Key Shareholder Meetings
Nov 20, 2025

Zoomlion Heavy Industry Science & Technology Co., Ltd. has announced the schedule for its upcoming extraordinary general meeting (EGM) and H Shares Class Meeting, both set for December 11, 2025, in Changsha City, Hunan Province. The meetings aim to determine the entitlement of H share holders to attend and vote, with the share register being closed from December 8 to December 11, 2025. This announcement is significant for stakeholders as it outlines the procedural steps necessary for participation in these critical meetings, potentially impacting shareholder decisions and company governance.

The most recent analyst rating on (HK:1157) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on Zoomlion Heavy Industry Science & Technology Co stock, see the HK:1157 Stock Forecast page.

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: Feb 04, 2026