Zk International Group Co (ZKIN) AI Stock Analysis

• Market Cap: $31.44M
• Dividend Yield: N/A
• Average Volume (3M): 131.14K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.03
• Revenue Growth: -17.00%
• EPS Growth: 95.53%
• Country: US
• Employees: 281
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): -0.55
• Shares Outstanding: 17,272,308
• 10 Day Avg. Volume: 33,059
• 30 Day Avg. Volume: 131,140
• PEG Ratio: -0.13
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.18
• P/FCF Ratio: 65.13
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: 0.41
• Enterprise Value/Gross Profit: 7.28
• Enterprise Value/Ebitda: -10.44
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: $2.00 ▲(24.22% Upside)
• Action: Reiterated Date: 03/11/26
• Date: Action: Reiterated 03/11/26

The score is primarily pressured by weak financial performance (revenue decline, persistent losses, and rising leverage). Technicals add caution with a downtrend versus key moving averages and negative MACD, while valuation is constrained by a negative P/E and lack of dividend support.

Positive Factors

Improved cash generation

Operating and free cash flow turning positive in 2025 signals a structural improvement in the company’s ability to convert operations into cash. Even if modest, sustained positive cash flow reduces reliance on external financing and supports working-capital needs over the next several quarters.

Equity capital buffer

A meaningful equity base provides a loss-absorbing cushion and underpins access to credit during restructuring or cyclic downturns. This structural buffer supports solvency and gives management flexibility to execute strategic moves without immediate distress financing.

Planned capital raise

A confirmed private placement offering roughly $20M of fresh capital is a durable source of liquidity that can strengthen the balance sheet, fund operations or deleverage. This structural infusion increases financial flexibility over the medium term if the transaction closes as planned.

Negative Factors

Material revenue decline

A ~25% year-over-year revenue contraction materially reduces scale in a low-margin manufacturing business. Lower top-line volume compresses fixed-cost absorption, weakens bargaining power with suppliers, and makes margin recovery and cash generation more difficult to sustain.

Persistent losses and thin margins

Consistently thin gross margins and ongoing net losses limit internal reinvestment capacity and create chronic dependence on external capital. This structural profitability weakness suppresses returns on equity and increases the importance of operational turnaround to achieve durable viability.

Rising financial leverage

A rapid increase in leverage materially raises refinancing and interest-rate sensitivity while reducing financial flexibility. With volatile cash flows and weak profitability, higher debt levels amplify solvency risk and constrain the firm's ability to invest or withstand further demand shocks.

Zk International Group Co Business Overview & Revenue Model

Company Description

ZK International Group Co., Ltd., through its subsidiaries, engages in the designing, producing, and selling double-press thin-walled stainless steel, carbon steel, and single-press tubes and fittings in the People's Republic of China. It offers carbon and stainless steel strips; carbon and stainless steel pipes; light gauge stainless steel pipes; pipe connections and fittings; and couplings, unions, adapters, caps, plug pipes, elbows, three-way fittings, tees, cross, side-inlet elbows, wyes, reducers, bushings, pipe fasteners, and pipe flanges. The company also provides stainless steel band, copper strip, valve, light industry machinery and equipment, and other stainless steel products. Its products are used in various applications, including water and gas transmission within urban infrastructural development, residential housing development, food and beverage production, oil and gas exploitation, and agricultural irrigation. The company also exports its products to Europe, Africa, and Southeast Asia. ZK International Group Co., Ltd. was incorporated in 2015 and is based in Wenzhou, the People's Republic of China.

How the Company Makes Money

ZKIN generates revenue mainly by selling piping products (stainless-steel and carbon-steel pipes and related fittings/components) to customers involved in infrastructure and construction projects. Its earnings are driven by product sales volume, the pricing and mix of products sold (e.g., stainless vs. carbon steel, pipe specifications, fittings), and demand tied to project-based spending in municipal water, sewage, and other construction/industrial applications. Information on specific revenue breakdowns by product line, named major customers, or material partnerships is null.

Zk International Group Co Financial Statement Overview

Summary

Weak overall fundamentals: revenue contracted sharply (~25% YoY in 2025), profitability remains negative with thin gross margins, leverage increased (debt-to-equity ~1.12), and returns on equity are negative. Cash flow improved in 2025 with positive operating and free cash flow, but the magnitude is modest and prior-year volatility raises durability concerns.

Income Statement

Revenue has been volatile and recently contracted materially (2025 revenue down ~25% year-over-year), pressuring scale in a low-margin business. Profitability remains weak: gross margin has stayed thin (~5–7% most years) and the company is still reporting operating and net losses (2025 net margin ~-5.6%). While losses improved significantly from the very large 2023 loss, the trajectory in 2025 shows renewed deterioration versus 2024, limiting confidence in near-term earnings stability.

Balance Sheet

Leverage has increased meaningfully: debt-to-equity rose to ~1.12 in 2025 from ~0.61 in 2024, and equity has trended down versus prior years. Returns on equity are negative across the period (about -16% in 2025), consistent with ongoing losses and weaker balance-sheet efficiency. Offsetting this, the company still maintains a meaningful equity base relative to assets, but the direction of leverage and negative returns are clear risks.

Cash Flow

Cash generation has been inconsistent. Operating cash flow turned positive in 2025 (~$0.8M) after sizable cash outflows in 2024, and free cash flow was also positive in 2025 (~$0.2M). However, cash conversion remains weak relative to reported losses and revenue scale (2025 operating cash flow is small versus revenue), and the prior-year volatility (large negative operating and free cash flow in 2024) raises sustainability concerns.

Breakdown	Sep 2025	Sep 2024	Mar 2024	Sep 2022	Sep 2021
Income Statement
Total Revenue	71.24M	108.20M	111.60M	102.39M	99.41M
Gross Profit	4.04M	6.55M	1.30M	7.60M	6.47M
EBITDA	-2.82M	-269.20K	-6.26M	309.26K	-2.60M
Net Income	-3.99M	-2.78M	-61.06M	-6.08M	-3.80M
Balance Sheet
Total Assets	62.87M	79.99M	58.67M	128.92M	133.66M
Cash, Cash Equivalents and Short-Term Investments	3.82M	4.06M	5.04M	8.43M	16.09M
Total Debt	23.58M	17.12M	22.00M	20.33M	24.56M
Total Liabilities	38.25M	51.67M	33.43M	43.86M	44.54M
Stockholders Equity	24.62M	28.16M	25.08M	84.68M	88.80M
Cash Flow
Free Cash Flow	191.77K	-7.57M	-2.83M	-3.36M	-3.48M
Operating Cash Flow	780.32K	-6.96M	-1.24M	-2.84M	-3.32M
Investing Cash Flow	-651.99K	-2.35M	-2.29M	-2.11M	-27.15M
Financing Cash Flow	434.54K	7.31M	1.40M	-206.97K	40.08M

Zk International Group Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.61
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZKIN, the sentiment is Positive. The current price of 1.61 is above the 20-day moving average (MA) of 1.48, above the 50-day MA of 1.60, and below the 200-day MA of 2.05, indicating a neutral trend. The MACD of 0.08 indicates Negative momentum. The RSI at 58.95 is Neutral, neither overbought nor oversold. The STOCH value of 77.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ZKIN.

Zk International Group Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HUDI	48 Neutral	$17.73M	-13.91	-1.85%	―	-20.24%	-119.83%
ACNT	46 Neutral	$117.33M	-37.69	1.01%	―	-29.03%	―
KBSX	42 Neutral	$62.67M	-8.81	-62.42%	―	―	-267.14%
ZKIN	41 Neutral	$31.44M	-3.13	-15.63%	―	-17.00%	95.53%

Zk International Group Co Corporate Events

ZK International Calls March 26 EGM on $21 Million Sale of Global Subsidiaries

On March 18, 2026, ZK International Group Co. announced it will hold a 2026 extraordinary general meeting of shareholders in Wenzhou on March 26, 2026, with March 19, 2026 set as the record date for voting eligibility. Shareholders may attend in person or by proxy, with quorum requirements and detailed proxy procedures laid out to ensure broad participation in the pending decisions.

At the meeting, investors will vote on a proposed $21 million cash sale of multiple core subsidiaries across Hong Kong, mainland China, the British Virgin Islands, the U.S. and Uganda to Pioneer Investment Management Ltd., a U.S. company. Conditional on approval, the board would receive a broad mandate to finalize transaction terms and execute definitive agreements, signaling a potential strategic reshaping of ZK International’s operating footprint and asset base.

The most recent analyst rating on (ZKIN) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Zk International Group Co stock, see the ZKIN Stock Forecast page.

ZK International Group Sets $20 Million Private Placement with Non-U.S. Investors

On February 27, 2026, ZK International Group Co. entered into a securities purchase agreement with certain non-U.S. investors for a private placement of up to 40,040,000 ordinary shares at $0.50 per share, for gross proceeds of approximately $20.02 million, payable in either U.S. dollars or cryptocurrencies at the company’s discretion. The transaction, expected to close in the first quarter of 2026, is being conducted under U.S. private offering exemptions and, if completed, will provide fresh capital that may strengthen ZK International’s balance sheet and could meaningfully dilute existing shareholders while potentially enhancing its financial flexibility in its core industrial operations.

The most recent analyst rating on (ZKIN) stock is a Sell with a $1.00 price target. To see the full list of analyst forecasts on Zk International Group Co stock, see the ZKIN Stock Forecast page.