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Zhengwei Group Holdings Company Limited (HK:2147)
:2147
Hong Kong Market
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Zhengwei Group Holdings Company Limited (2147) AI Stock Analysis

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HK:2147

Zhengwei Group Holdings Company Limited

(2147)

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Neutral 56 (OpenAI - 4o)
Rating:56Neutral
Price Target:
HK$0.00
▼(-100.00% Downside)
The overall stock score of 56 reflects a mixed outlook. The technical analysis is the most positive aspect, showing strong market momentum and bullish trends. However, financial performance and valuation present significant challenges, with profitability and cash flow issues, and a negative P/E ratio. These factors weigh heavily on the stock's attractiveness.

Zhengwei Group Holdings Company Limited (2147) vs. iShares MSCI Hong Kong ETF (EWH)

Zhengwei Group Holdings Company Limited Business Overview & Revenue Model

Company DescriptionZhengwei Group Holdings Company Limited (2147) is a Hong Kong-based investment holding company primarily engaged in the manufacturing and sale of plastic products. The company operates in various sectors, including manufacturing, trading, and distribution of plastic materials, as well as providing related services. Its core products encompass a wide range of plastic components used in various industries, contributing to its position in the competitive market.
How the Company Makes MoneyZhengwei Group generates revenue through the production and sale of its plastic products to various industries, including construction, automotive, and consumer goods. The company's revenue model is primarily based on direct sales to clients, which may include manufacturers and distributors. Key revenue streams include bulk orders and contracts with businesses requiring custom plastic solutions. Additionally, partnerships with other companies in related sectors enhance its market reach and contribute to its profitability. Fluctuations in raw material prices and demand in the manufacturing sector can significantly impact its earnings.

Zhengwei Group Holdings Company Limited Financial Statement Overview

Summary
Zhengwei Group Holdings Company Limited shows a mixed financial performance. The balance sheet is relatively strong with a high equity ratio and low debt-to-equity ratio, indicating financial stability. However, significant challenges in profitability and cash management are evident, with negative net income, EBIT, and cash flows.
Income Statement
45
Neutral
The company experienced a significant decline in profitability with a negative net income and EBIT in the latest year. Gross profit margin decreased sharply, indicating pressure on cost management. Revenue growth was strong in the previous years but showed a decline in the most recent period, reflecting potential market challenges.
Balance Sheet
70
Positive
The balance sheet remains strong with a high equity ratio and low debt-to-equity ratio, indicating financial stability. However, the decrease in stockholders' equity and total assets over the past year suggests some weakening in financial position.
Cash Flow
40
Negative
The company faced negative free cash flow and operating cash flow in the latest year, indicating cash management issues. The free cash flow to net income ratio is unfavorable, highlighting potential liquidity challenges.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue598.06M445.21M356.85M342.00M282.89M
Gross Profit9.45M147.26M119.26M108.48M90.59M
EBITDA-15.74M86.17M60.38M68.36M57.99M
Net Income-53.57M67.52M46.70M48.29M40.94M
Balance Sheet
Total Assets487.55M522.78M376.79M365.36M356.40M
Cash, Cash Equivalents and Short-Term Investments150.54M199.41M156.83M127.32M142.34M
Total Debt84.00K18.28M46.16M90.74M120.61M
Total Liabilities71.37M85.66M118.34M153.73M193.27M
Stockholders Equity416.18M437.11M258.44M211.64M163.13M
Cash Flow
Free Cash Flow-59.83M-44.01M79.56M17.58M83.18M
Operating Cash Flow-59.79M36.59M82.41M27.07M86.56M
Investing Cash Flow1.17M-79.91M-2.47M-7.19M-3.10M
Financing Cash Flow9.98M85.67M-50.43M-34.90M17.75M

Zhengwei Group Holdings Company Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.05
Price Trends
50DMA
0.04
Positive
100DMA
0.04
Positive
200DMA
0.04
Positive
Market Momentum
MACD
<0.01
Negative
RSI
54.02
Neutral
STOCH
74.25
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2147, the sentiment is Positive. The current price of 0.05 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and above the 200-day MA of 0.04, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.02 is Neutral, neither overbought nor oversold. The STOCH value of 74.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2147.

Zhengwei Group Holdings Company Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
58
Neutral
HK$104.76M4.1611.24%37.73%150.54%
56
Neutral
HK$59.36M-0.45-28.48%56.39%-81.41%
45
Neutral
HK$22.89M-7.07%1.85%-18.52%
45
Neutral
HK$67.24M-0.51-23.44%-18.03%-17.44%
44
Neutral
HK$47.01M-10.78%-15.02%
43
Neutral
HK$122.78M-0.88-70.35%22.31%2.36%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2147
Zhengwei Group Holdings Company Limited
0.05
0.01
25.00%
HK:1676
China Shenghai Group Limited
0.56
0.24
75.00%
HK:1695
S&P International Holding Limited
0.09
0.03
50.00%
HK:8179
Palinda Group Holdings Ltd.
0.01
-0.10
-90.91%
HK:8241
Ying Kee Tea House Group Ltd.
0.13
-0.02
-13.33%
HK:0841
Asia Cassava Resources Holdings Limited
0.12
-0.05
-29.41%

Zhengwei Group Holdings Company Limited Corporate Events

Zhengwei Group Reports Revenue Growth but Faces Financial Losses
Sep 30, 2025

Zhengwei Group Holdings Company Limited announced its financial results for the eighteen months ending June 30, 2025. The company reported a significant increase in revenue to RMB 938,123,000 compared to RMB 445,214,000 for the year ending December 31, 2023. However, the company also reported a gross loss of RMB 12,215,000 and a net loss of RMB 108,752,000 for the period, indicating financial challenges despite the revenue growth.

Zhengwei Group Issues Profit Warning Amid Rising Costs
Sep 22, 2025

Zhengwei Group Holdings Company Limited has issued a profit warning, indicating a significant downturn in its financial performance. The company expects to report a consolidated net loss of at least RMB108.0 million for the eighteen months ending June 30, 2025, compared to a net profit of RMB67.5 million for the year ending December 31, 2023. This decline is attributed primarily to a substantial increase in direct material costs, which has led to higher cost of sales and a consolidated gross loss. The company’s annual results are still being finalized and are expected to be published by September 30, 2025.

Zhengwei Group to Review Annual Results and Dividend Proposal
Sep 18, 2025

Zhengwei Group Holdings Company Limited has announced that its Board of Directors will meet on September 30, 2025, to review and approve the company’s annual results for the eighteen months ending June 30, 2025. The meeting will also consider the recommendation for the payment of a final dividend, which could have implications for 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.Date of analysis: Oct 23, 2025