Zoomcar Holdings (ZCAR) AI Stock Analysis

• Market Cap: $2.64M
• Dividend Yield: N/A
• Average Volume (3M): 63.15K
• Price to Earnings (P/E): <0.1
• Beta (1Y): 3.42
• Revenue Growth: 276.53%
• EPS Growth: -105.36%
• Country: US
• Employees: 191
• Sector: Financial
• Sector Strength: 78
• Industry: Rental & Leasing Services
• EPS (TTM): -471.72
• Shares Outstanding: 710,431
• 10 Day Avg. Volume: 89,420
• 30 Day Avg. Volume: 63,152
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.23
• Price to Cash Flow (P/CF): -0.20
• P/FCF Ratio: 0.40
• 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

Zoomcar Holdings' overall stock score of 23 reflects significant financial distress, with negative margins, high leverage, and poor cash flow management being the primary concerns. Technical indicators suggest weak momentum, and the risk of Nasdaq delisting further exacerbates the company's challenges. While the low P/E ratio might indicate undervaluation, it is overshadowed by severe operational and financial difficulties.

Zoomcar Holdings Business Overview & Revenue Model

Company Description

Zoomcar Holdings (ZCAR) is a leading mobility solutions provider specializing in self-drive car rentals. The company operates in the automotive and transportation sectors, offering a wide range of vehicles for rental on a short-term basis. Zoomcar aims to provide convenient, flexible, and affordable car rental services to both urban commuters and travelers seeking hassle-free transportation options.

How the Company Makes Money

Zoomcar Holdings generates revenue primarily through its self-drive car rental services. Customers can rent vehicles on a short-term basis, typically ranging from a few hours to several days, and are charged based on the duration of the rental and the type of vehicle chosen. The company also offers subscription-based models which allow customers to use vehicles on a longer-term basis, providing a steady stream of income. Additionally, Zoomcar earns through value-added services such as insurance, GPS navigation systems, and other in-car amenities. Partnerships with automobile manufacturers and service providers help optimize fleet management and reduce operational costs, further contributing to the company's profitability.

Zoomcar Holdings Financial Statement Overview

Summary

Zoomcar Holdings is facing severe financial distress, characterized by unprofitable operations, high leverage, and negative cash flows. The persistent negative margins and equity, coupled with a reliance on debt financing, present a precarious financial position with significant risks and challenges in achieving sustainable growth and profitability.

Income Statement

Zoomcar Holdings shows significant financial distress with negative margins across the board. The TTM data reveals a negative gross profit margin and substantial negative EBIT and EBITDA margins, indicating operational inefficiency. Net profit margin is deeply negative, and revenue growth is erratic without a clear positive trajectory, reflecting severe challenges in achieving profitability.

Balance Sheet

The balance sheet highlights critical financial instability with negative stockholders' equity and a high debt-to-equity ratio, indicating substantial leverage and financial risk. The equity ratio is negative, underscoring the fact that liabilities far exceed assets. The company is highly leveraged, with total debt significantly outweighing equity, posing a considerable risk for stakeholders.

Cash Flow

Operating and free cash flows are notably negative, highlighting ongoing cash flow challenges. The free cash flow growth rate is negative, and the company struggles to generate cash relative to net income. Although there is some cash from financing activities, the reliance on external financing is concerning given the lack of operational cash generation.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
2.46B	9.90M	8.83M	12.80M	10.23M
	Gross Profit
952.10M	-434.36K	-11.85M	-12.49M	-9.60M
	EBIT
-3.24B	-27.79M	-36.46M	-36.58M	-21.34M
	EBITDA
-3.25B	-26.80M	-36.55M	-32.90M	-14.95M
	Net Income Common Stockholders
-3.37B	-34.28M	-62.03M	-31.05M	-27.67M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.40B	1.79M	3.85M	26.78M	29.06M
	Total Assets
9.55B	9.17M	16.46M	42.17M	51.50M
	Total Debt
8.15B	24.26M	41.98M	21.42M	52.03M
	Net Debt
3.75B	22.76M	38.30M	-5.37M	22.96M
	Total Liabilities
47.97B	42.86M	237.38M	205.73M	193.62M
	Stockholders Equity
-38.42B	-33.69M	-246.03M	-188.67M	-167.24M
Cash Flow		Free Cash Flow
-7.54B	-22.34M	-36.36M	-34.30M	-12.93M
	Operating Cash Flow
-7.56B	-22.20M	-36.27M	-31.66M	-12.87M
	Investing Cash Flow
845.14M	814.00	3.90M	2.59M	6.44M
	Financing Cash Flow
1.28B	20.20M	9.59M	26.83M	34.62M

Zoomcar Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZCAR, the sentiment is Negative. The current price of 3.56 is below the 20-day moving average (MA) of 5.27, below the 50-day MA of 13.70, and below the 200-day MA of 153.45, indicating a bearish trend. The MACD of -3.28 indicates Negative momentum. The RSI at 32.63 is Neutral, neither overbought nor oversold. The STOCH value of 17.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZCAR.

Zoomcar Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CSX	70 Outperform	$52.75B	15.67	28.28%	1.80%	-0.80%	-2.84%
UHAL	66 Neutral	$11.45B	29.56	5.61%	―	0.98%	-35.16%
R	65 Neutral	$5.58B	12.10	15.71%	2.35%	7.25%	25.82%
Sector *	63 Neutral	$12.86B	9.17	9.14%	4.78%	16.41%	-10.11%
CAR	49 Neutral	$2.56B	8.26	78.26%	―	-1.82%	-219.91%
HTZ	43 Neutral	$1.14B	―	-176.39%	―	-3.44%	-581.59%
ZCAR	23 Underperform	$2.64M	<0.01	8.77%	―	276.53%	-105.36%

Zoomcar Holdings Corporate Events

Zoomcar Holdings Appoints Uri Levine as Chairman

Zoomcar Holdings has appointed Uri Levine as a Class III Director and Chairman of the Board effective March 31, 2025, following the resignation of Mark Bailey. Levine, a seasoned entrepreneur known for co-founding Waze and serving on various corporate boards, will receive a monthly service fee and a cash bonus, with additional compensation contingent on stockholder approval and performance targets.

Zoomcar Holdings Announces Reverse Stock Split

Zoomcar Holdings, Inc., a Nasdaq-listed company, announced a 1-for-20 reverse stock split of its common stock, effective March 21, 2025. This move, approved by stockholders and the board, aims to increase the per share trading price, attract institutional investors, and maintain Nasdaq listing compliance.

Zoomcar Holdings Raises $1.44M in Second Closing

Zoomcar Holdings, Inc. completed the first closing of its private placement offering on December 25, 2024, securing $5.48 million in gross proceeds. The second closing, held on February 4, 2025, raised approximately $1.44 million, with net proceeds of around $1.25 million after expenses. As part of the offering, the company issued common stock, pre-funded warrants, and series A and B warrants. In connection with the offering, Aegis Capital Corp. acted as the placement agent, receiving fees and warrants for their services. Additionally, a settlement agreement was reached with Randall Yanker, resulting in the issuance of shares and warrants.

Zoomcar Holdings Faces Nasdaq Delisting and Leadership Changes

Zoomcar Holdings, Inc. faced challenges with its Nasdaq listing as it failed to meet the minimum market value of publicly held shares required for continued listing. Despite presenting a compliance plan, the company remains at risk of delisting but plans to appeal the decision. Additionally, the company has made changes to its leadership, appointing Sachin Gupta as Chief Financial Officer and restoring the salary of Acting CEO Hiroshi Nishijima to its previous level effective January 1, 2025.

Zoomcar Holdings Appoints Shachi Singh as Executive Officer

Zoomcar Holdings, Inc. has appointed Shachi Singh as an executive officer of the company. Singh, who has been with Zoomcar since 2019, has been serving as General Counsel and Chief Legal Officer since July 2024. Her new role emphasizes her responsibility for overseeing legal and compliance matters globally. This move signifies Zoomcar’s commitment to strengthening its legal framework and compliance across its global operations, which could have positive implications for the company’s governance and strategic undertakings.