Zall Smart Commerce Group Ltd. (2098) AI Stock Analysis

• Market Cap: HK$1.93B
• Dividend Yield: N/A
• Average Volume (3M): 18.25M
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.22
• Revenue Growth: 33.14%
• EPS Growth: 125.33%
• Country: HK
• Employees: 1,575
• Sector: Technology
• Sector Strength: 88
• Industry: Industrial - Distribution
• EPS (TTM): <0.01
• Shares Outstanding: 12,399,506,000
• 10 Day Avg. Volume: 20,966,800
• 30 Day Avg. Volume: 18,247,253
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score of 63 reflects a balance of improving financial performance and technical indicators, tempered by high leverage and cash flow concerns. The stock's reasonable valuation supports its potential, but the absence of a dividend yield and lack of earnings call insights limit its appeal.

Zall Smart Commerce Group Ltd. Business Overview & Revenue Model

Company Description

Zall Smart Commerce Group Ltd., an investment holding company, engages in the supply chain management and trading activities in the People's Republic of China, Singapore, and internationally. It operates through two segments, Property Development and Related Services; and Supply Chain Management and Trading. The company develops, sells, and operates properties. Its properties comprise retail units, residences, warehousing and logistic units, e-commerce malls, and wholesale shopping malls. The company also trades in agricultural products, chemical materials, plastic raw materials, consumer goods, black and non-ferrous metals, etc., as well as provides financial services, and trading related supply chain finance services. In addition, it engages in provision of e-commerce services, as well as warehousing and logistics services for the online and offline customers. The company was formerly known as Zall Group Ltd. and changed its name to Zall Smart Commerce Group Ltd. in June 2018. The company was founded in 1996 and is headquartered in Wuhan, the People's Republic of China. Zall Smart Commerce Group Ltd. is a subsidiary of Zall Development Investment Company Limited.

How the Company Makes Money

Zall Smart Commerce Group Ltd. generates revenue through several key streams. The primary source of income is its digital trading platforms, which facilitate transactions between buyers and sellers across various industries. The company earns commissions and service fees from these transactions. Additionally, Zall Smart Commerce offers supply chain management solutions, including warehousing and logistics services, which contribute to its revenue. The company also benefits from strategic partnerships and collaborations that expand its market reach and enhance its service offerings. Furthermore, the integration of technology in its operations allows Zall to optimize and scale its services, driving additional revenue growth.

Zall Smart Commerce Group Ltd. Financial Statement Overview

Summary

Zall Smart Commerce Group Ltd. has shown revenue and profit margin improvements, indicating a recovery in profitability. However, high leverage and recent cash flow issues pose significant risks.

Income Statement

Zall Smart Commerce Group Ltd. has shown a consistent revenue growth from 2020 to 2024, with a notable increase in 2024. The gross profit margin, however, has decreased significantly over the years, indicating rising cost concerns. Net profit margin improved considerably in 2024, turning positive after several years of negative figures, which is a strong recovery sign. EBIT margin has also improved from negative to positive, suggesting enhanced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio remains relatively high, indicating significant leverage which could pose financial risks. Despite this, the equity ratio has been fairly stable. Return on equity has improved to positive in 2024, reflecting better profitability and shareholder equity utilization. The balance sheet shows a consistent increase in total assets, which is positive for growth potential.

Cash Flow

Cash flow analysis reveals a challenging situation with zero free cash flow reported in 2024, after positive figures in previous years. The operating cash flow has also dropped to zero from positive values, indicating potential issues in cash generation from operations. The company's ability to maintain positive cash flow will be critical moving forward.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	162.36B	125.29B	110.91B	104.55B	72.77B
Gross Profit	698.97M	846.64M	587.42M	885.75M	1.23B
EBITDA	669.06M	717.13M	-2.50B	-797.98M	-458.94M
Net Income	128.95M	50.91M	-3.04B	-1.33B	-1.26B
Balance Sheet
Total Assets	69.48B	63.78B	60.36B	59.28B	62.13B
Cash, Cash Equivalents and Short-Term Investments	1.58B	1.80B	1.47B	1.23B	1.36B
Total Debt	16.38B	15.30B	18.27B	17.73B	20.71B
Total Liabilities	55.14B	49.57B	46.21B	42.50B	43.79B
Stockholders Equity	13.95B	13.80B	13.75B	16.45B	17.87B
Cash Flow
Free Cash Flow	-350.86M	1.93B	805.96M	647.26M	-384.32M
Operating Cash Flow	-269.47M	2.02B	858.74M	721.57M	-185.36M
Investing Cash Flow	142.71M	866.66M	709.20M	2.26B	-502.07M
Financing Cash Flow	-128.06M	-2.45B	-1.33B	-3.07B	634.87M

Zall Smart Commerce Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.17
• 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 HK:2098, the sentiment is Positive. The current price of 0.17 is above the 20-day moving average (MA) of 0.13, above the 50-day MA of 0.15, and below the 200-day MA of 0.24, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 65.68 is Neutral, neither overbought nor oversold. The STOCH value of 67.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2098.

Zall Smart Commerce Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0400	73 Outperform	HK$4.46B	18.17	4.94%	―	33.59%	-15.98%
2098	63 Neutral	HK$1.93B	10.24	1.26%	―	33.14%	125.33%
2436	51 Neutral	HK$1.89B	-124.57	-7.97%	―	32.83%	90.24%
3680	48 Neutral	HK$1.74B	680.00	-366.58%	―	-25.92%	―
1782	47 Neutral	HK$3.31B	-43.02	-45.62%	―	-16.86%	-7.51%
2121	42 Neutral	HK$4.32B	-9.12	-38.46%	―	-3.78%	20.83%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Zall Smart Commerce Group Ltd. Corporate Events

Zall Smart Commerce Group Schedules Board Meeting for Financial Review

Zall Smart Commerce Group Ltd. has announced a board meeting scheduled for August 29, 2025, to discuss and approve the unaudited interim financial results for the first half of 2025. The meeting will also consider the possibility of declaring an interim dividend, which could have implications for the company’s financial strategy and shareholder returns.

Zall Smart Commerce Group Ltd. Successfully Passes All AGM Resolutions

Zall Smart Commerce Group Ltd. announced the successful passing of all ordinary resolutions at its Annual General Meeting held on 28 May 2025. Key resolutions included the adoption of financial statements, re-election of directors, appointment of auditors, and granting of mandates for share issuance and buybacks. The resolutions reflect strong shareholder support, indicating stability and strategic continuity for the company.