Zall Smart Commerce Group Ltd. (2098) AI Stock Analysis

• Market Cap: HK$2.42B
• Dividend Yield: N/A
• Average Volume (3M): 2.36M
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.26
• Revenue Growth: 27.44%
• EPS Growth: 158.33%
• Country: HK
• Employees: 1,575
• Sector: Technology
• Sector Strength: 86
• Industry: Industrial - Distribution
• EPS (TTM): 0.01
• Shares Outstanding: 12,399,506,000
• 10 Day Avg. Volume: 1,022,075
• 30 Day Avg. Volume: 2,356,491
• PEG Ratio: -0.01
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.34
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall score reflects a mix of a recovering financial position with significant risks from high leverage and poor cash flow. Bearish technical indicators further impact the stock's attractiveness. The fair valuation provides some support but is offset by the lack of a dividend yield.

Zall Smart Commerce Group Ltd. Business Overview & Revenue Model

Company Description

Zall Smart Commerce Group Ltd. (2098) is a leading Chinese company engaged in the development and operation of trading platforms and markets. The company specializes in supply chain management, logistics, and e-commerce solutions, focusing heavily on B2B trade facilitation across various industries including agriculture, textiles, and consumer goods. With a robust digital platform, Zall Smart Commerce serves as a bridge connecting buyers and sellers, enhancing trade efficiency and transparency.

How the Company Makes Money

Zall Smart Commerce Group Ltd. generates revenue primarily through its comprehensive trading platform services. The company earns money by facilitating transactions between businesses on its e-commerce platforms, charging transaction fees or commissions. Additionally, it offers supply chain management services, including logistics and warehousing, which contribute to its revenue. Zall Smart Commerce also benefits from strategic partnerships and collaborations that enhance its market reach and service offerings, further driving its earnings potential.

Zall Smart Commerce Group Ltd. Financial Statement Overview

Summary

Zall Smart Commerce Group Ltd. shows revenue and profit margin improvements, indicating recovery in profitability. However, high leverage and cash flow issues pose significant risks. Continuous monitoring of operational efficiency and cash management is essential for future stability and growth.

Income Statement

Zall Smart Commerce Group Ltd. has shown a consistent revenue growth from 2020 to 2024, with a notable increase in 2024. The gross profit margin, however, has decreased significantly over the years, indicating rising cost concerns. Net profit margin improved considerably in 2024, turning positive after several years of negative figures, which is a strong recovery sign. EBIT margin has also improved from negative to positive, suggesting enhanced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio remains relatively high, indicating significant leverage which could pose financial risks. Despite this, the equity ratio has been fairly stable. Return on equity has improved to positive in 2024, reflecting better profitability and shareholder equity utilization. The balance sheet shows a consistent increase in total assets, which is positive for growth potential.

Cash Flow

Cash flow analysis reveals a challenging situation with zero free cash flow reported in 2024, after positive figures in previous years. The operating cash flow has also dropped to zero from positive values, indicating potential issues in cash generation from operations. The company's ability to maintain positive cash flow will be critical moving forward.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	162.36B	125.29B	110.91B	104.55B	72.77B
Gross Profit	698.97M	846.64M	587.42M	885.75M	1.23B
EBITDA	669.06M	717.13M	-2.50B	-797.98M	-458.94M
Net Income	128.95M	50.91M	-3.04B	-1.33B	-1.26B
Balance Sheet
Total Assets	69.48B	63.78B	60.36B	59.28B	62.13B
Cash, Cash Equivalents and Short-Term Investments	1.58B	1.80B	1.47B	1.23B	1.36B
Total Debt	16.38B	15.30B	18.27B	17.73B	20.71B
Total Liabilities	55.14B	49.57B	46.21B	42.50B	43.79B
Stockholders Equity	13.95B	13.80B	13.75B	16.45B	17.87B
Cash Flow
Free Cash Flow	0.00	1.93B	805.96M	647.26M	-384.32M
Operating Cash Flow	0.00	2.02B	858.74M	721.57M	-185.36M
Investing Cash Flow	0.00	866.66M	709.20M	2.26B	-502.07M
Financing Cash Flow	0.00	-2.45B	-1.33B	-3.07B	634.87M

Zall Smart Commerce Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2098, the sentiment is Negative. The current price of 0.2 is below the 20-day moving average (MA) of 0.21, below the 50-day MA of 0.22, and below the 200-day MA of 0.30, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 20.95 is Positive, neither overbought nor oversold. The STOCH value of 35.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2098.

Zall Smart Commerce Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0400	64 Neutral	HK$2.32B	9.52	4.79%	―	12.40%	-11.30%
Sector *	56 Neutral	$3.16B	4.94	-5.68%	5.75%	8.05%	-41.83%
2121	52 Neutral	HK$3.49B	―	-33.18%	―	-31.66%	-1.34%
2098	50 Neutral	HK$2.42B	15.73	0.93%	―	27.44%	158.33%
1782	46 Neutral	HK$2.78B	―	-36.81%	―	-14.38%	-56.66%
2436	45 Neutral	HK$1.04B	―	-7.86%	―	29.97%	53.06%
3680	43 Neutral	HK$885.77M	―	-127.76%	―	1.50%	43.23%

Zall Smart Commerce Group Ltd. Corporate Events

Zall Smart Commerce Group Ltd. Successfully Passes All AGM Resolutions

Zall Smart Commerce Group Ltd. announced the successful passing of all ordinary resolutions at its Annual General Meeting held on 28 May 2025. Key resolutions included the adoption of financial statements, re-election of directors, appointment of auditors, and granting of mandates for share issuance and buybacks. The resolutions reflect strong shareholder support, indicating stability and strategic continuity for the company.

Zall Smart Commerce Group Ltd. Relocates Hong Kong Office

Zall Smart Commerce Group Ltd. has announced a change in its principal place of business in Hong Kong, effective from April 23, 2025. This move to a new location at Suite 601, 6/F, Tower 1, Lippo Centre, 89 Queensway, Admiralty, Hong Kong, may reflect strategic adjustments in its operations or market positioning.

Zall Smart Commerce Group Ltd. Announces 2025 Annual General Meeting

Zall Smart Commerce Group Ltd. has announced its upcoming annual general meeting scheduled for May 28, 2025, in Wuhan, Hubei, China. The meeting will address several key resolutions, including the adoption of financial statements, re-election of directors, and the appointment of a new auditor. The resolutions also include authorizing the board to manage director remuneration and to allot additional shares, which could impact the company’s capital structure and shareholder value.

Zall Smart Commerce Reports Increased Revenue and Profit for 2024

Zall Smart Commerce Group Ltd. announced its annual results for the year ended December 31, 2024, reporting a notable increase in revenue to RMB 162.36 billion from RMB 125.29 billion in the previous year. Despite a decrease in gross profit, the company achieved a higher profit for the year at RMB 93.36 million, up from RMB 65.68 million, indicating improved operational efficiency and strategic gains from investment properties and disposals.