Zibuyu Group Limited (2420) AI Stock Analysis

• Market Cap: HK$1.61B
• Dividend Yield: 3.74%
• Average Volume (3M): 1.85K
• Price to Earnings (P/E): 9.7
• Beta (1Y): -0.09
• Revenue Growth: 8.89%
• EPS Growth: N/A
• Country: HK
• Employees: 1,025
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Specialty Retail
• EPS (TTM): 0.33
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 4,550
• 30 Day Avg. Volume: 1,850
• PEG Ratio: 0.06
• Price to Book (P/B): 2.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.58
• 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: 67 Neutral
• Price Target: HK$4.00 ▲(25.00%Upside)

Zibuyu Group Limited has a strong financial foundation with solid revenue growth and profitability. However, the technical analysis indicates bearish trends, which could be a concern for short-term investors. The stock's valuation is appealing, supported by a reasonable P/E ratio and a decent dividend yield. The absence of earnings call and corporate events data limits additional insights.

Zibuyu Group Limited Business Overview & Revenue Model

Company Description

Zibuyu Group Limited (2420) is a company operating in the e-commerce space, primarily focused on the online retail of fashion and lifestyle products. The company engages in the design, sale, and distribution of a wide array of products including apparel, footwear, and accessories. Zibuyu leverages digital platforms to reach a global customer base, emphasizing trendy and affordable fashion items.

How the Company Makes Money

Zibuyu Group Limited generates revenue primarily through the sale of fashion and lifestyle products via online platforms. The company utilizes various e-commerce channels to market its products directly to consumers, cutting out traditional retail intermediaries. A significant portion of its revenue comes from its proprietary brands, which are sold on popular global marketplaces like Amazon and eBay. Zibuyu also engages in partnerships with other online retailers and platforms to expand its reach. The company's revenue model is bolstered by its ability to quickly adapt to fashion trends, ensuring a constant refresh of its product offerings, which attracts repeat customers and drives sales.

Zibuyu Group Limited Financial Statement Overview

Summary

Zibuyu Group Limited demonstrates strong financial performance marked by consistent revenue growth, impressive gross profit margin of 74.3%, and a net profit margin recovery to 4.5%. The balance sheet shows conservative leverage with a debt-to-equity ratio of 0.26, and robust cash flow generation with significant increases in operating cash flow.

Income Statement

Zibuyu Group Limited demonstrates a strong financial performance with a consistent revenue growth trajectory, evidenced by a revenue increase from 3.0 billion to 3.3 billion HKD in the most recent year. The gross profit margin is impressive at 74.3%, indicating efficient cost management. The net profit margin shows a significant recovery from a negative position in the previous year to 4.5%, highlighting a turnaround in profitability. EBIT and EBITDA margins also reflect positive operational improvements.

Balance Sheet

The company maintains a healthy balance sheet with a debt-to-equity ratio of 0.26, indicating conservative leverage. The equity ratio of 55.6% highlights a strong capital base. Return on equity stands at 25.1%, reflecting effective use of shareholder funds. However, the overall asset growth appears moderate, suggesting a balanced approach to expansion.

Cash Flow

Zibuyu Group has shown a robust cash flow position with a significant increase in operating cash flow to 261.9 million HKD. The free cash flow has also grown substantially, demonstrating strong cash generation capabilities. The operating cash flow to net income ratio is favorable, indicating efficient earnings translation into cash. However, the free cash flow growth rate, while positive, should be monitored for sustainability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.33B	3.00B	3.07B	2.35B	1.90B
	Gross Profit
2.47B	1.96B	2.35B	1.77B	1.38B
	EBIT
162.19M	-237.73M	142.18M	249.77M	141.14M
	EBITDA
139.78M	-204.72M	169.65M	263.74M	161.57M
	Net Income Common Stockholders
150.78M	-265.79M	110.69M	200.51M	113.96M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
447.72M	278.88M	294.54M	80.86M	88.80M
	Total Assets
1.08B	893.41M	1.36B	1.02B	642.51M
	Total Debt
154.04M	193.38M	195.93M	250.08M	91.75M
	Net Debt
-292.79M	-84.10M	-98.61M	169.22M	8.75M
	Total Liabilities
479.32M	409.67M	573.39M	646.70M	470.05M
	Stockholders Equity
600.27M	483.74M	787.32M	372.98M	172.47M
Cash Flow		Free Cash Flow
257.76M	70.38M	79.47M	-214.20M	111.66M
	Operating Cash Flow
261.87M	76.73M	92.08M	-207.05M	114.12M
	Investing Cash Flow
-3.67M	-10.06M	-12.60M	-764.00K	-8.00M
	Financing Cash Flow
-92.56M	-87.35M	129.86M	207.00M	-48.07M

Zibuyu Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2420, the sentiment is Negative. The current price of 3.2 is below the 20-day moving average (MA) of 3.72, below the 50-day MA of 3.98, and below the 200-day MA of 4.16, indicating a bearish trend. The MACD of -0.19 indicates Positive momentum. The RSI at 13.84 is Positive, neither overbought nor oversold. The STOCH value of 6.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2420.

Zibuyu Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2282	76 Outperform	$43.49B	9.45		2.19%	26.22%	74.49%
2313	75 Outperform	$80.50B	11.90	18.17%	9.34%	12.76%	34.50%
2420	67 Neutral	HK$1.61B	9.67	27.91%	3.74%	8.89%	―
9992	67 Neutral	€343.20B	101.15	33.41%	0.34%	103.44%	186.51%
9923	63 Neutral	HK$5.83B	57.67	3.07%	―	-23.46%	358.07%
Sector *	62 Neutral	$6.80B	11.04	2.79%	4.42%	2.67%	-25.07%
2319	61 Neutral	$66.06B	585.47	0.21%	23.78%	-11.90%	-97.93%

Zibuyu Group Limited Corporate Events

Zibuyu Group Limited Announces 2025 AGM and Key Resolutions

Zibuyu Group Limited, incorporated in the Cayman Islands, has announced its upcoming Annual General Meeting (AGM) scheduled for May 6, 2025, in Hangzhou, Zhejiang Province. The meeting will address several resolutions, including the adoption of the company’s audited financial statements for 2024, re-election of directors, and re-appointment of auditors. Additionally, the board seeks authorization to manage share allotments and issue securities, which could impact the company’s capital structure and shareholder value.

Zibuyu Group Limited Announces Change in Cayman Islands Office

Zibuyu Group Limited has announced a change in its registered office and principal share registrar and transfer office in the Cayman Islands, effective from April 1, 2025. This move may impact the company’s operational logistics and stakeholder communications, reflecting a strategic adjustment in its corporate administration.

Zibuyu Group Releases 2024 Annual Results

Zibuyu Group Limited has announced its audited consolidated results for the year ending December 31, 2024, alongside comparative figures for 2023. The announcement, which adheres to the disclosure requirements of the Hong Kong Stock Exchange, indicates a thorough review by the audit committee and management, highlighting the company’s commitment to transparency and regulatory compliance.

Zibuyu Group Limited Declares Final Dividend for 2024

Zibuyu Group Limited announced a final ordinary cash dividend of HKD 0.12 per share for the financial year ending 31 December 2024. The dividend will be paid on 27 May 2025, following shareholder approval on 06 May 2025. This announcement reflects the company’s ongoing commitment to returning value to its shareholders and may influence investor sentiment positively.

Zibuyu Group Limited Announces Board and Committee Restructuring

Zibuyu Group Limited has announced significant changes in its board and committee structures. The company has accepted the resignation of Ms. Hua Hui as a non-executive director and appointed Ms. Luo Yan as an independent non-executive director. Additionally, Ms. Luo has been appointed as the chairlady of the Nomination Committee and a member of both the Audit and Remuneration Committees. The company has also established an ESG Committee to enhance its governance structure, with Dr. Lau appointed as chairman.

Zibuyu Group Limited Announces Board Composition and Committee Roles

Zibuyu Group Limited has announced the composition of its board of directors and the roles within its established committees. The board consists of both executive and independent non-executive directors, with specific individuals assigned to lead and participate in various committees such as the Audit, Remuneration, Nomination, and ESG Committees. This announcement highlights the company’s governance structure and may impact its operational strategies and stakeholder engagement.

Zibuyu Group Limited Updates Nomination Committee Terms

Zibuyu Group Limited has updated the terms of reference for its Nomination Committee, which plays a crucial role in identifying and recommending candidates for the company’s board of directors. The committee is tasked with overseeing board performance evaluations and developing nomination guidelines. The updated terms emphasize the inclusion of independent non-executive directors and gender diversity within the committee. This move is likely to enhance the governance structure of Zibuyu Group Limited, potentially improving its industry positioning and stakeholder confidence.