down arrow

ZX, Inc.

  • Market Cap: N/A
  • Industry: Software Products
  • ISIN: KYG989M71072
HKD
9.10
-0.05 (-0.55%)

Sep 25

HKG

 View all stocks in this country
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
ZX, Inc.

Why is ZX, Inc. ?

1
High Debt company with Weak Long Term Fundamental Strength
  • Poor long term growth as Net Sales has grown by an annual rate of -10.14% and Operating profit at -25.94% over the last 5 years
  • The company is Net-Debt Free
  • The company has been able to generate a Return on Equity (avg) of 28.24% signifying low profitability per unit of shareholders funds
2
Negative results in Jun 26
  • RAW MATERIAL COST(Y) Grown by 27.83% (YoY)
  • NET SALES(Q) Lowest at HKD 2,147.14 MM
  • OPERATING PROFIT(Q) Lowest at HKD -208.49 MM
3
With ROE of 6.01%, it has a Expensive valuation with a 1.15 Price to Book Value
  • Over the past year, while the stock has generated a return of -37.67%, its profits have risen by 11.8% ; the PEG ratio of the company is 1.6
4
Below par performance in long term as well as near term
  • Along with generating -37.67% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to ZX, Inc. should be less than 10%
  2. Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is ZX, Inc. for you?

High Risk, Low Return

Absolute
Risk Adjusted
Volatility
ZX, Inc.
-36.94%
-1.16
53.35%
Hang Seng Hong Kong
-6.63%
-0.36
18.67%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
-10.14%
EBIT Growth (5y)
-25.94%
EBIT to Interest (avg)
3.90
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-1.13
Sales to Capital Employed (avg)
2.63
Tax Ratio
24.06%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
91.14%
ROE (avg)
28.24%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
19
Industry P/E
Price to Book Value
1.15
EV to EBIT
4.15
EV to EBITDA
3.24
EV to Capital Employed
3.05
EV to Sales
0.22
PEG Ratio
1.62
Dividend Yield
NA
ROCE (Latest)
73.51%
ROE (Latest)
6.01%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
Analyse All Technical Factors stock-recommendation
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

1What is working for the Company
CASH AND EQV(HY)

Highest at HKD 5,178.88 MM

-12What is not working for the Company
RAW MATERIAL COST(Y)

Grown by 27.83% (YoY

NET SALES(Q)

Lowest at HKD 2,147.14 MM

OPERATING PROFIT(Q)

Lowest at HKD -208.49 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -9.71 %

PRE-TAX PROFIT(Q)

Lowest at HKD -279.46 MM

NET PROFIT(Q)

Lowest at HKD -225.76 MM

Here's what is working for ZX, Inc.

Cash and Eqv
Highest at HKD 5,178.88 MM
in the last six Semi-Annual periods
MOJO Watch
Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation
Highest at HKD 45.57 MM
in the last five periods
MOJO Watch
The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation
At HKD 45.57 MM has Grown at 27.41%
period on period (QoQ)
MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for ZX, Inc.

Pre-Tax Profit
At HKD -279.46 MM has Fallen at -187.06%
Year on Year (YoY)
MOJO Watch
Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (HKD MM)

Net Profit
At HKD -225.76 MM has Fallen at -199.8%
Year on Year (YoY)
MOJO Watch
Near term Net Profit trend is very negative

Net Profit (HKD MM)

Net Sales
Lowest at HKD 2,147.14 MM
in the last five periods
MOJO Watch
Near term sales trend is negative

Net Sales (HKD MM)

Operating Profit
Lowest at HKD -208.49 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin
Lowest at -9.71 %
in the last five periods
MOJO Watch
Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit
Lowest at HKD -279.46 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit
Lowest at HKD -225.76 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is negative

Net Profit (HKD MM)

Raw Material Cost
Grown by 27.83% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Footer loading