tiprankstipranks
Trending News
More News >
Zhengye International Holdings Co., Ltd. (HK:3363)
:3363
Hong Kong Market

Zhengye International Holdings Co., Ltd. (3363) AI Stock Analysis

Compare
0 Followers

Top Page

HK

Zhengye International Holdings Co., Ltd.

(3363)

Rating:58Neutral
Price Target:
The overall score of 57.9 reflects Zhengye International Holdings Co., Ltd.'s struggles with revenue growth and operational efficiency, impacting financial performance. While the technical analysis suggests limited immediate upward momentum, the stock's low valuation and reasonable dividend yield provide a cushion, making it somewhat appealing for value-focused investors. However, the volatility in cash flows and operational challenges remain significant risks.

Zhengye International Holdings Co., Ltd. (3363) vs. iShares MSCI Hong Kong ETF (EWH)

Zhengye International Holdings Co., Ltd. Business Overview & Revenue Model

Company DescriptionZhengye International Holdings Co., Ltd. (3363) is a company that operates primarily in the packaging industry, offering a range of paper-based packaging products. The company is involved in the design, production, and distribution of corrugated paper products and other packaging materials. Zhengye International serves various sectors including food and beverage, electronics, and consumer goods, providing customized packaging solutions to meet the diverse needs of its clients.
How the Company Makes MoneyZhengye International Holdings Co., Ltd. generates revenue through the manufacturing and sale of corrugated paper products and packaging solutions. The company earns money by supplying its products to a wide array of industries that require reliable and sustainable packaging solutions. Key revenue streams include sales contracts with companies in the food and beverage, electronics, and consumer goods sectors. Additionally, the company may engage in partnerships or collaborations with other firms to expand its product offerings and market reach. Factors such as production efficiency, scale of operations, and material sourcing contribute to its earnings, by optimizing costs and enhancing profitability.

Zhengye International Holdings Co., Ltd. Financial Statement Overview

Summary
Zhengye International Holdings Co., Ltd. faces challenges in maintaining revenue growth and operational profitability. Despite a stable balance sheet with moderate leverage, the volatility in cash flows underscores potential issues in liquidity management. The company must address operational inefficiencies and enhance cash flow generation to improve its financial stability.
Income Statement
45
Neutral
The company experienced a decline in revenue from 2021 to 2024, with a revenue drop of approximately 31.6% since 2021. Gross profit margins have decreased over time, from a high of 19% in 2019 to 12% in 2024. Net profit margin in 2024 showed improvement with a positive 1.5%, up from a negative margin in 2023. However, EBIT margins have been negative since 2023, indicating struggles in operational efficiency.
Balance Sheet
60
Neutral
The debt-to-equity ratio is relatively stable, around 0.95 in 2024, indicating moderate leverage. The equity ratio is reasonably healthy at 39%, providing a cushion against liabilities. However, the consistent reduction in stockholders' equity from 2019 to 2024 suggests potential challenges in maintaining asset growth relative to liabilities.
Cash Flow
40
Negative
The cash flow statement reveals volatility, with operating cash flow dropping to zero in 2024 from positive figures in previous years. Free cash flow has been inconsistent, with a significant decline in 2024. The lack of positive free cash flow growth and operating cash flow to net income ratio raises concerns about the company's cash generation capabilities.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.44B2.39B3.01B3.56B2.49B
Gross Profit293.88M270.00M341.73M676.97M390.87M
EBITDA92.34M156.94M263.18M441.28M225.89M
Net Income36.39M-17.55M68.60M160.84M54.77M
Balance Sheet
Total Assets2.88B2.99B2.98B3.03B2.68B
Cash, Cash Equivalents and Short-Term Investments187.38M253.91M279.84M229.58M185.37M
Total Debt1.06B1.05B1.09B1.24B1.16B
Total Liabilities1.47B1.62B1.58B1.65B1.49B
Stockholders Equity1.12B1.09B1.11B1.11B965.68M
Cash Flow
Free Cash Flow0.00167.83M-36.21M-431.27M-366.57M
Operating Cash Flow0.00297.80M148.76M-194.98M-202.31M
Investing Cash Flow0.00-150.04M-233.72M-197.43M-138.90M
Financing Cash Flow0.00244.89M135.22M436.63M295.49M

Zhengye International Holdings Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.40
Price Trends
50DMA
0.38
Positive
100DMA
0.38
Positive
200DMA
0.37
Positive
Market Momentum
MACD
<0.01
Negative
RSI
61.99
Neutral
STOCH
37.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3363, the sentiment is Positive. The current price of 0.4 is above the 20-day moving average (MA) of 0.39, above the 50-day MA of 0.38, and above the 200-day MA of 0.37, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.99 is Neutral, neither overbought nor oversold. The STOCH value of 37.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3363.

Zhengye International Holdings Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (58)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$10.01B7.624.75%3.86%4.24%25.30%
71
Outperform
HK$1.15B2.2012.45%5.08%-5.08%359.16%
65
Neutral
HK$75.26B25.6111.45%0.77%18.80%142.93%
58
Neutral
HK$17.25B4.63-6.43%5.11%-3.18%-62.89%
58
Neutral
HK$200.00M5.073.30%5.50%-0.02%
56
Neutral
$16.14B16.042.05%9.33%
53
Neutral
€2.14B-1.61%0.90%-9.24%-177.19%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3363
Zhengye International Holdings Co., Ltd.
0.40
-0.03
-6.98%
HK:3838
China Starch Holdings Limited
0.19
0.03
18.75%
HK:2314
Lee & Man Paper Manufacturing
2.33
0.16
7.27%
HK:2382
Sunny Optical Technology (Group) Co
68.90
26.13
61.09%
HK:2689
Nine Dragons Paper Holdings
3.44
0.25
7.84%
HK:1432
China Shengmu Organic Milk Ltd
0.26
0.07
34.21%

Zhengye International Holdings Co., Ltd. Corporate Events

Zhengye International Holdings Announces Annual General Meeting
Apr 23, 2025

Zhengye International Holdings Co., Ltd. has announced its annual general meeting to be held on June 13, 2025, in Hong Kong. The meeting will cover ordinary business such as approving financial statements, declaring a final dividend, re-electing directors, and re-appointing auditors. Additionally, a special resolution will be considered to authorize the directors to allot, issue, and deal with unissued shares, subject to specific conditions. This meeting is crucial for stakeholders as it addresses key governance and financial decisions impacting the company’s future operations and market strategy.

Zhengye International Holdings Reports Positive Financial Turnaround in 2024
Mar 28, 2025

Zhengye International Holdings Co., Ltd. reported its annual financial results for the year ending December 31, 2024, showing a revenue increase to RMB 2,435,830,000 from RMB 2,390,517,000 in 2023. The company achieved a gross profit margin of 12.06% and an EBITDA of RMB 203,168,000, with a notable turnaround in profit attributable to owners at RMB 36,392,000 compared to a loss in the previous year. The board recommended a final dividend of HKD 2.20 cents per share, reflecting an increase from the previous year’s dividend. This financial performance indicates a positive shift in the company’s profitability and shareholder returns.

Zhengye International Announces Final Dividend for 2024
Mar 28, 2025

Zhengye International Holdings Co., Ltd. has announced a final cash dividend of RMB 0.02 per share for the financial year ending December 31, 2024, which will be paid in Hong Kong dollars at an exchange rate of RMB 1 to HKD 1.08. The announcement reflects the company’s financial performance over the past year and indicates a stable return for shareholders, with the payment date set for July 11, 2025, following shareholder approval on June 13, 2025.

Zhengye International Holdings Expects Significant Profit Turnaround in 2024
Mar 17, 2025

Zhengye International Holdings Co., Ltd. has announced a positive profit alert, expecting a profit of RMB33 million to RMB38 million for the year ended December 31, 2024, compared to a loss of RMB17 million the previous year. This turnaround is attributed to increased market demand for packaging paper, improved internal management, cost control measures, and profits from property sales, enhancing the company’s gross profit margin.

Zhengye International Announces Board Meeting for Annual Results and Dividend Consideration
Mar 13, 2025

Zhengye International Holdings Company Limited has announced that its board of directors will meet on March 28, 2025, to review and approve the company’s annual financial results for the year ending December 31, 2024. The meeting will also consider the recommendation for a final dividend payment, which could impact shareholder returns and the company’s financial strategy.

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: Apr 24, 2025