Zhixin Group Holding Limited
Zhixin Group Holding Limited Fundamental Analysis
Zhixin Group Holding Limited (2187.HK) shows moderate financial fundamentals with a PE ratio of -15.76, profit margin of -8.10%, and ROE of -10.44%. The company generates $0.4B in annual revenue with strong year-over-year growth of 13.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 5.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 2187.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak2187.HK struggles to generate sufficient returns from assets.
Valuation Score
Excellent2187.HK trades at attractive valuation levels.
Growth Score
Moderate2187.HK shows steady but slowing expansion.
Financial Health Score
Weak2187.HK carries high financial risk with limited liquidity.
Profitability Score
Weak2187.HK struggles to sustain strong margins.
Key Financial Metrics
Is 2187.HK Expensive or Cheap?
P/E Ratio
2187.HK trades at -15.76 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 2187.HK's PEG of -1.49 indicates potential undervaluation.
Price to Book
The market values Zhixin Group Holding Limited at 1.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -4.62 times EBITDA. This is generally considered low.
How Well Does 2187.HK Make Money?
Net Profit Margin
For every $100 in sales, Zhixin Group Holding Limited keeps $-8.10 as profit after all expenses.
Operating Margin
Core operations generate -8.79 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-10.44 in profit for every $100 of shareholder equity.
ROA
Zhixin Group Holding Limited generates $-2.62 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Zhixin Group Holding Limited produces operating cash flow of $62.87M, showing steady but balanced cash generation.
Free Cash Flow
Zhixin Group Holding Limited generates weak or negative free cash flow of $5.71M, restricting financial flexibility.
FCF Per Share
Each share generates $0.01 in free cash annually.
FCF Yield
2187.HK converts 1.06% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-15.76
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.28
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.57
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.84
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.10
vs 25 benchmark
ROA
Return on assets percentage
-0.03
vs 25 benchmark
ROCE
Return on capital employed
-0.05
vs 25 benchmark
How 2187.HK Stacks Against Its Sector Peers
| Metric | 2187.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -15.76 | 24.22 | Better (Cheaper) |
| ROE | -10.44% | 891.00% | Weak |
| Net Margin | -8.10% | -108966.00% (disorted) | Weak |
| Debt/Equity | 1.57 | 0.54 | Weak (High Leverage) |
| Current Ratio | 0.84 | 6.84 | Weak Liquidity |
| ROA | -2.62% | -10064.00% (disorted) | Weak |
2187.HK outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Zhixin Group Holding Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-1.76%
Industry Style: Cyclical, Commodity, Value
DecliningEPS CAGR
-279.81%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
100.00%
Industry Style: Cyclical, Commodity, Value
High Growth