NasdaqCM:ZKIN

Stock Analysis Report

Executive Summary

ZK International Group Co., Ltd., through its subsidiaries, designs, produces, and sells double-press thin-walled stainless steel, carbon steel, and single-press tubes and fittings in the People’s Republic of China.

Snowflake

Fundamentals

Fair value with mediocre balance sheet.

Share Price & News

How has ZK International Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.6%

ZKIN

0.7%

US Metals and Mining

1.8%

US Market


1 Year Return

-59.3%

ZKIN

-9.4%

US Metals and Mining

7.3%

US Market

Return vs Industry: ZKIN underperformed the US Metals and Mining industry which returned -9.4% over the past year.

Return vs Market: ZKIN underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

ZKINIndustryMarket
7 Day-1.6%0.7%1.8%
30 Day-18.3%-4.4%-0.7%
90 Day-3.3%-7.6%0.06%
1 Year-59.3%-59.3%-6.7%-9.4%9.7%7.3%
3 Yearn/a7.6%2.0%46.3%36.9%
5 Yearn/a-2.7%-10.0%64.5%46.5%

Price Volatility Vs. Market

How volatile is ZK International Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ZK International Group undervalued compared to its fair value and its price relative to the market?

2.65x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: Insufficient data to calculate ZKIN's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate ZKIN's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ZKIN is good value based on its PE Ratio (2.7x) compared to the Metals and Mining industry average (13.4x).

PE vs Market: ZKIN is good value based on its PE Ratio (2.7x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate ZKIN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ZKIN is good value based on its PB Ratio (0.5x) compared to the US Metals and Mining industry average (1.4x).


Next Steps

Future Growth

How is ZK International Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

5.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ZKIN's forecast earnings growth (5.1% per year) is above the savings rate (2.7%).

Earnings vs Market: ZKIN's earnings (5.1% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: ZKIN's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if ZKIN's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if ZKIN's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if ZKIN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has ZK International Group performed over the past 5 years?

11.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ZKIN's earnings have grown by 11.1% per year over the past 5 years.

Accelerating Growth: ZKIN's earnings growth over the past year (9.1%) is below its 5-year average (11.1% per year).

Earnings vs Industry: ZKIN earnings growth over the past year (9.1%) underperformed the Metals and Mining industry 26.6%.


Return on Equity

High ROE: ZKIN's Return on Equity (17.6%) is considered low.


Return on Assets

ROA vs Industry: ZKIN has a higher Return on Assets than the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: ZKIN's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is ZK International Group's financial position?


Financial Position Analysis

Short Term Liabilities: ZKIN's short term assets ($63.6M) exceeds its short term liabilities ($34.9M)

Long Term Liabilities: ZKIN has no long term liabilities


Debt to Equity History and Analysis

Debt Level: ZKIN's debt to equity ratio (46.5%) is considered high

Reducing Debt: Insufficient data to determine if ZKIN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: ZKIN's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: ZKIN's interest payments on its debt are well covered by EBIT (7.2x coverage).


Balance Sheet

Inventory Level: ZKIN has a high level of physical assets or inventory.

Debt Coverage by Assets: ZKIN's debt is covered by short term assets (assets are 3.296240x debt).


Next Steps

Dividend

What is ZK International Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.7%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate ZKIN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate ZKIN's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ZKIN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ZKIN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ZKIN's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of ZK International Group's salary, the management and board of directors tenure and is there insider trading?

US$73k

CEO Compensation


CEO

Jiancong Huang (54yo)

0yrs

Tenure

US$73,393

Compensation

Mr. Jiancong Huang is the Co-Founder, Chairman of the Board and Chief Executive Officer of ZK International Group Co., Ltd. 


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Jiancong's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Jiancong's compensation has been consistent with company performance over the past year.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Jiancong Huang (54yo)

    Co-Founder

    • Tenure: 0yrs
    • Compensation: US$73.39k
  • Guolin Wang (48yo)

    Co-Founder & Director

    • Tenure: 0yrs
  • Shaochai Yang (39yo)

    Chief Financial Officer

    • Tenure: 0yrs
    • Compensation: US$19.46k
  • Di Chen (29yo)

    Secretary

    • Tenure: 0yrs
    • Compensation: US$10.57k

Board Members

  • Jiancong Huang (54yo)

    Co-Founder

    • Tenure: 0yrs
    • Compensation: US$73.39k
  • Guolin Wang (48yo)

    Co-Founder & Director

    • Tenure: 0yrs
  • Min Ni (44yo)

    Independent Director

    • Tenure: 0yrs
  • Lie Cao (42yo)

    Independent Director

    • Tenure: 0yrs
  • Linge Zhou (41yo)

    Independent Director

    • Tenure: 0yrs

Company Information

ZK International Group Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ZK International Group Co., Ltd.
  • Ticker: ZKIN
  • Exchange: NasdaqCM
  • Founded: 2015
  • Industry: Steel
  • Sector: Materials
  • Market Cap: US$20.735m
  • Shares outstanding: 16.59m
  • Website: https://www.zkinternationalgroup.com

Number of Employees


Location

  • ZK International Group Co., Ltd.
  • No. 678 Dingxiang Road
  • Binhai Industrial Park
  • Wenzhou
  • Zhejiang Province
  • 325025
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ZKINNasdaqCM (Nasdaq Capital Market)YesOrdinary SharesUSUSDSep 2017

Biography

ZK International Group Co., Ltd., through its subsidiaries, designs, produces, and sells double-press thin-walled stainless steel, carbon steel, and single-press tubes and fittings in the People’s Republic ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 01:12
End of Day Share Price2019/10/17 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.