Zimplats Holdings Limited
Zimplats Holdings Limited Fundamental Analysis
Zimplats Holdings Limited (ZMPLF) shows weak financial fundamentals with a PE ratio of 51.45, profit margin of 4.90%, and ROE of 1.71%. The company generates $0.8B in annual revenue with weak year-over-year growth of -29.26%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 5.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ZMPLF's fundamental strength across five key dimensions:
Efficiency Score
WeakZMPLF struggles to generate sufficient returns from assets.
Valuation Score
ModerateZMPLF shows balanced valuation metrics.
Growth Score
WeakZMPLF faces weak or negative growth trends.
Financial Health Score
ExcellentZMPLF maintains a strong and stable balance sheet.
Profitability Score
WeakZMPLF struggles to sustain strong margins.
Key Financial Metrics
Is ZMPLF Expensive or Cheap?
P/E Ratio
ZMPLF trades at 51.45 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ZMPLF's PEG of 0.16 indicates potential undervaluation.
Price to Book
The market values Zimplats Holdings Limited at 1.14 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.61 times EBITDA. This signals the market has high growth expectations.
How Well Does ZMPLF Make Money?
Net Profit Margin
For every $100 in sales, Zimplats Holdings Limited keeps $4.90 as profit after all expenses.
Operating Margin
Core operations generate 10.75 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.71 in profit for every $100 of shareholder equity.
ROA
Zimplats Holdings Limited generates $1.54 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Zimplats Holdings Limited produces operating cash flow of $128.44M, showing steady but balanced cash generation.
Free Cash Flow
Zimplats Holdings Limited generates weak or negative free cash flow of $-17.59M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.16 in free cash annually.
FCF Yield
ZMPLF converts -0.83% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
51.45
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.16
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.55
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.05
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.13
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How ZMPLF Stacks Against Its Sector Peers
| Metric | ZMPLF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 51.45 | 27.21 | Worse (Expensive) |
| ROE | 1.71% | 861.00% | Weak |
| Net Margin | 4.90% | -120577.00% (disorted) | Weak |
| Debt/Equity | 0.05 | 0.41 | Strong (Low Leverage) |
| Current Ratio | 2.13 | 4.82 | Strong Liquidity |
| ROA | 1.54% | -7640.00% (disorted) | Weak |
ZMPLF outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Zimplats Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-4.87%
Industry Style: Cyclical, Commodity, Value
DecliningEPS CAGR
-84.53%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
-66.03%
Industry Style: Cyclical, Commodity, Value
Declining