ZHONGTAI FUTURES Company Limited Class H (1461) AI Stock Analysis

• Market Cap: HK$801.52M
• Dividend Yield: 1.91%
• Average Volume (3M): 400.00K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 1.28
• Revenue Growth: -18.71%
• EPS Growth: -45.10%
• Country: HK
• Employees: 758
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.04
• Shares Outstanding: 277,090,000
• 10 Day Avg. Volume: 197,500
• 30 Day Avg. Volume: 400,000
• PEG Ratio: -1.28
• Price to Book (P/B): 0.22
• Price to Sales (P/S): 0.30
• P/FCF Ratio: 0.30
• 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: HK$1.00
• Price Target Upside: 25.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: HK$1.00 ▲(25.00% Upside)

ZHONGTAI FUTURES shows a solid financial foundation with a strong balance sheet, but faces challenges in revenue growth and profitability. Technical indicators suggest a neutral trend, and valuation metrics indicate the stock is fairly valued. The absence of earnings call data and corporate events limits additional insights.

ZHONGTAI FUTURES Company Limited Class H Business Overview & Revenue Model

Company Description

ZHONGTAI FUTURES Company Limited provides brokerage services for commodity and financial futures in the People's Republic of China. The company operates through Futures Brokerage, Commodity Trading and Risk Management, Futures Asset Management, and Treasury and Others segments. The Futures Brokerage segment offers futures brokerage and financial futures brokering services. The Commodity Trading and Risk Management segment provides physical commodity trading, futures trading, and over-the-counter derivatives trading services. The Futures Asset Management segment offers portfolio management and maintenance, investment advisory, and transaction execution services. The Treasury and Others segment is involved in the treasury operations. The company also engages in the sale and wholesale of agricultural and metal products, metallurgical materials, mineral products, precious metals, chemical products, and edible oils, as well as electronic products, office automation equipment, computers, cultural office machinery, control equipment, and machine room equipment; import and export activities; and provision of technical consultation, investment consultancy, investment planning, enterprise management consulting, technical services of computer network products and software, and capital risk management services. In addition, it provides software development, computer information system integration, and information technology services, as well as electronic engineering design and construction services. The company was formerly known as LUZHENG FUTURES Company Limited and changed its name to ZHONGTAI FUTURES Company Limited in May 2022. The company was founded in 1995 and is headquartered in Jinan, the People's Republic of China. ZHONGTAI FUTURES Company Limited is a subsidiary of Zhongtai Securities Co., Ltd.

How the Company Makes Money

ZHONGTAI FUTURES generates revenue through multiple key streams. Primarily, the company earns commissions and fees from facilitating futures trading for clients, which includes both retail and institutional investors. Additionally, it derives income from proprietary trading activities, where the firm trades its own capital to capitalize on market movements. The company may also generate revenue through advisory services, helping clients with risk management and market strategies. Strategic partnerships with other financial institutions enhance ZHONGTAI's market reach and can contribute to revenue growth through collaborative trading initiatives and joint investment ventures.

ZHONGTAI FUTURES Company Limited Class H Financial Statement Overview

Summary

ZHONGTAI FUTURES has a strong balance sheet with zero debt, but faces challenges with declining revenue and profitability margins. Cash flow is healthy, yet reduced Free Cash Flow could impact future growth.

Income Statement

ZHONGTAI FUTURES shows a declining trend in revenue with recent figures falling from past highs. The Gross Profit Margin has remained stable, but the Net Profit Margin has decreased significantly, indicating challenges in controlling costs or increasing revenue. The EBIT Margin has notably decreased, signaling reduced operational profitability.

Balance Sheet

The company's balance sheet is strong with zero total debt in the latest year, resulting in a favorable debt-to-equity ratio. Stockholders' equity has been stable, supporting a solid equity ratio. However, the decline in total assets could be a concern if it continues.

Cash Flow

Operating cash flow remains robust, but there is a noticeable decrease in Free Cash Flow compared to prior years, affecting the company's ability to finance growth without external funding. The Operating Cash Flow to Net Income ratio remains strong, indicating efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.43B	1.85B	2.15B	2.45B	2.25B	488.82M
Gross Profit	1.43B	1.85B	2.15B	2.45B	2.25B	488.82M
EBITDA	30.28M	34.96M	207.18M	246.75M	272.24M	117.10M
Net Income	36.52M	4.53M	133.72M	166.10M	188.57M	56.83M
Balance Sheet
Total Assets	33.54B	33.76B	30.13B	28.86B	20.68B	12.93B
Cash, Cash Equivalents and Short-Term Investments	0.00	1.24B	18.82B	16.47B	10.37B	684.95M
Total Debt	0.00	147.16M	50.11M	60.28M	19.07M	20.08M
Total Liabilities	30.95B	31.21B	27.57B	26.42B	18.40B	10.69B
Stockholders Equity	2.58B	2.55B	2.56B	2.44B	2.28B	2.24B
Cash Flow
Free Cash Flow	-1.74B	1.86B	2.83B	5.88B	4.96B	-231.03M
Operating Cash Flow	-1.73B	1.88B	2.85B	5.89B	4.98B	-223.45M
Investing Cash Flow	-4.67M	-19.56M	-21.31M	-4.01M	-296.38M	9.13M
Financing Cash Flow	8.42M	49.87M	-240.12M	170.99M	-33.29M	-9.43M

ZHONGTAI FUTURES Company Limited Class H Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.80
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1461, the sentiment is Neutral. The current price of 0.8 is above the 20-day moving average (MA) of 0.78, below the 50-day MA of 0.80, and above the 200-day MA of 0.62, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 47.20 is Neutral, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1461.

ZHONGTAI FUTURES Company Limited Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
6178	61 Neutral	HK$88.27B	16.20	5.22%	1.95%	30.38%	2.63%
1461	60 Neutral	HK$801.52M	20.41	1.41%	1.91%	-18.71%	-45.10%
3678	57 Neutral	HK$1.04B	288.19	0.72%	0.27%	3.47%	0.70%
1788	56 Neutral	€42.99B	61.33	4.78%	1.56%	32.03%	154.14%
0952	48 Neutral	HK$958.76M	59.38	-4.03%	―	173.24%	-515.63%
0030	44 Neutral	HK$1.94B	91.07	―	―	―	―

ZHONGTAI FUTURES Company Limited Class H Corporate Events

ZHONGTAI FUTURES Announces AGM and Register Closure

ZHONGTAI FUTURES Company Limited has announced the closure of its register of members from May 14 to June 13, 2025, in preparation for its annual general meeting (AGM) scheduled for June 13, 2025. This closure is to confirm shareholders eligible to attend and vote at the AGM, impacting the company’s operations by temporarily halting share transfers during this period.

ZHONGTAI FUTURES Announces 2024 Annual Results

ZHONGTAI FUTURES Company Limited has announced its audited consolidated annual results for the year ended December 31, 2024. The results, reviewed by the company’s audit committee, are available on the Hong Kong Stock Exchange and the company’s websites. This announcement complies with the relevant disclosure requirements, and the full annual report will be published in due course.

ZHONGTAI FUTURES Schedules Board Meeting for Annual Results

ZHONGTAI FUTURES Company Limited has announced a board meeting scheduled for March 20, 2025, to discuss and approve the annual results for the year ending December 31, 2024. The meeting will also consider the potential payment of a final dividend, indicating the company’s ongoing commitment to shareholder returns.

ZHONGTAI FUTURES Issues Profit Warning Amid Market Fluctuations

ZHONGTAI FUTURES Company Limited has issued a profit warning, projecting a 95% decrease in net profit for the year ending December 31, 2024, compared to the previous year. This decline is attributed to significant fluctuations in China’s domestic A-share market, adversely affecting their equity option business. Despite these challenges, the company plans to focus on strengthening its core operations and improving risk management to promote high-quality development.

ZHONGTAI FUTURES Announces Board Composition and Committee Roles

ZHONGTAI FUTURES Company Limited has announced the composition of its board of directors, which includes nine directors with various roles. The board has established five committees, each with designated chairpersons and members, to oversee strategic development, risk control, audit, remuneration and appraisal, and nomination processes, reflecting the company’s structured approach to governance.

ZHONGTAI FUTURES Appoints New General Manager to Strengthen Leadership

ZHONGTAI FUTURES Company Limited has appointed Mr. ZHOU Shunyuan as the new general manager, effective from February 27, 2025. This leadership change is expected to bring a wealth of experience to the company, given Mr. ZHOU’s extensive background in various managerial roles within the securities industry. The appointment is part of the company’s strategic efforts to strengthen its management team and enhance its market positioning.

ZHONGTAI FUTURES Announces EGM Results and New Executive Director Appointment

ZHONGTAI FUTURES Company Limited held its first extraordinary general meeting of 2025 on February 25, where key resolutions were voted on, including the appointment of an executive director. The meeting was conducted in compliance with the Company Law of the People’s Republic of China, and the poll results were deemed legal and valid. Zhongtai Securities, a major shareholder, abstained from voting on a specific financial agreement due to material interest, highlighting the company’s adherence to governance protocols.

ZHONGTAI FUTURES Announces Board Composition and Governance Structure

ZHONGTAI FUTURES Company Limited has announced the composition of its board of directors, which includes nine members with a mix of executive, non-executive, and independent non-executive directors. The board has established five committees to oversee various aspects of the company’s governance, including strategic development, risk control, audit, remuneration, and nomination, indicating a structured approach to corporate governance.

Zhongtai Futures to Hold 2025 Extraordinary General Meeting

Zhongtai Futures Company Limited has announced its first extraordinary general meeting (EGM) of 2025, scheduled for February 25. The meeting aims to approve a new Financial Products Services Framework Agreement with Zhongtai Securities and elect a non-staff representative director. The outcomes of this meeting could potentially influence the company’s strategic direction and governance, impacting stakeholders and strengthening its industry position.

Zhongtai Futures Proposes Election of Experienced Director

Zhongtai Futures Company Limited announced the proposed election of Mr. Zhou Shunyuan as a non-staff representative director, pending approval at their extraordinary general meeting. Mr. Zhou, currently serving as the general manager of Dongying Branch of Zhongtai Securities Co., brings extensive experience from various managerial roles within the securities industry, potentially strengthening the company’s strategic leadership.