ICZOOM Group, Inc. Class A (IZM) AI Stock Analysis

ICZOOM Group, Inc. Class A

(NASDAQ:IZM)

Select Model

Rating:63Neutral

Price Target:$0.44▼(-35.78% Downside)

Action:reiterated

Date:06/11/26

The overall score reflects a **recovering but still fragile financial profile** as the main driver: the company has returned to modest profitability, improved gross and operating margins, and currently generates positive free cash flow, yet operates with structurally thin margins and historically volatile earnings, which limit resilience. **Valuation is the next most supportive factor**, with a relatively low P/E suggesting investors are paid for taking on the business and execution risks. **Technical conditions are neutral**, pointing to short‑term stabilization but not yet a decisive uptrend, so they contribute less positively to the rating than fundamentals and valuation.

Positive Factors

Revenue RecoveryModest revenue growth of 3.6% indicates a recovery and continued demand for ICZOOM’s electronic-components sourcing platform. For a distribution-led model, steady top-line gains support scale economics, supplier relationships and incremental investment in logistics and platform capabilities over the coming months.

Negative Factors

Very Low Gross MarginA gross margin near 3.3% is structurally thin for a distributor, leaving little cushion to absorb SG&A, logistics and inventory financing costs. Sustained profitability will require higher volumes, pricing power or expanded higher‑margin services; otherwise earnings remain highly sensitive to cost or pricing pressure.

ICZOOM Group, Inc. Class A (IZM) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $1.12M
Dividend Yield: ―
Average Volume (3M): 494.28K
Price to Earnings (P/E): 1.4
Beta (1Y): -0.11
Revenue Growth: ―
EPS Growth: ―
Country: US
Employees: 97
Sector: Technology
Sector Strength: 61
Industry: Technology Distributors

ICZOOM Group, Inc. Class A Business Overview & Revenue Model

Company Description

ICZOOM Group Inc., together with its subsidiaries, sells electronic component products through its e-commerce trading platform in the People’s Republic of China. The company provides semiconductor products, including various integrated circuits, disc...

How the Company Makes Money

ICZOOM primarily makes money by selling electronic components to customers (a distribution/resale model). Revenue is generated when customers place orders through the company’s platform and ICZOOM fulfills those orders by sourcing components from sup...

ICZOOM Group, Inc. Class A Financial Statement Overview

Summary

Financial performance is **mixed but improving**: revenue is back to growth with mid‑single‑digit top-line expansion, margins have shifted from losses to slim profits, and operating cash flow and free cash flow are positive and broadly aligned with earnings. However, profitability remains very thin, cash flow has been volatile over time, and leverage, while reduced to a more balanced level, is still meaningful for a low‑margin distributor. Overall, the recovery in earnings quality and cash generation supports a slightly above‑average score, tempered by narrow margins and historically uneven results.

Income Statement

63Positive

Balance Sheet

58Neutral

Cash Flow

66Positive

Financial statement breakdown
Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	187.05M	187.05M	177.93M	214.41M	290.38M	279.36M
Gross Profit	6.14M	6.11M	4.95M	5.29M	7.81M	8.02M
EBITDA	2.26M	2.73M	-787.11K	1.45M	3.85M	4.85M
Net Income	1.19M	1.19M	-2.27M	1.75M	2.57M	2.63M
Balance Sheet
Total Assets	41.24M	41.24M	39.98M	88.18M	89.63M	87.51M
Cash, Cash Equivalents and Short-Term Investments	8.38M	8.38M	2.45M	6.41M	1.14M	4.13M
Total Debt	15.26M	15.26M	12.16M	14.92M	12.57M	16.94M
Total Liabilities	25.82M	25.82M	24.59M	72.63M	79.14M	80.10M
Stockholders Equity	15.42M	15.42M	15.38M	15.54M	10.49M	7.41M
Cash Flow
Free Cash Flow	2.71M	2.71M	1.92M	-3.90M	106.66K	3.82M
Operating Cash Flow	2.75M	2.75M	2.08M	-3.75M	138.55K	3.86M
Investing Cash Flow	-79.74K	-79.74K	-155.45K	-144.23K	863.72K	1.48M
Financing Cash Flow	2.91M	2.91M	-2.25M	8.75M	-3.50M	1.59M

ICZOOM Group, Inc. Class A Technical Analysis

Technical Analysis SentimentNegative

Last Price0.68

Price Trends

50DMA1.07Negative

100DMA1.33Negative

200DMA2.33Negative

Market Momentum

MACD-0.11Positive

RSI34.72Neutral

STOCH29.35Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IZM, the sentiment is Negative. The current price of 0.68 is below the 20-day moving average (MA) of 0.85, below the 50-day MA of 1.07, and below the 200-day MA of 2.33, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 34.72 is Neutral, neither overbought nor oversold. The STOCH value of 29.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IZM.

ICZOOM Group, Inc. Class A Risk Analysis

ICZOOM Group, Inc. Class A disclosed 85 risk factors in its most recent earnings report. ICZOOM Group, Inc. Class A reported the most risks in the "Legal & Regulatory" category.

Legal & Regulatory - Litigation, compliance, new legislation, and taxation risks

Latest Risks Added

0 New Risks

ICZOOM Group, Inc. Class A Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

IZM against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLMB	78Outperform	$758.26M	31.26	19.25%	0.42%	24.23%	10.53%
NSIT	73Outperform	$5.07B	25.22	13.08%	―	2.68%	46.40%
SCSC	71Outperform	$1.18B	15.64	8.66%	―	6.09%	21.23%
CNXN	69Neutral	$2.19B	21.39	10.89%	0.86%	9.53%	24.84%
IZM	63Neutral	$1.64M	1.36	7.76%	―	―	―
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TAIT	56Neutral	$11.56M	-29.86	-2.53%	7.55%	-27.27%	―

* Technology Sector Average

Performance Comparison

IZM and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IZM	ICZOOM Group, Inc. Class A	0.68	-7.47	-91.63%
NSIT	Insight Enterprises Inc.	172.74	74.79	76.36%
CNXN	Pc Connection	86.83	27.81	47.13%
SCSC	ScanSource Inc	57.71	15.43	36.49%
TAIT	Taitron Components	1.92	-0.19	-9.09%
CLMB	Climb Global Solutions, Inc.	40.64	11.44	39.19%

ICZOOM Group, Inc. Class A Corporate Events

ICZOOM Group Inc. Calls August Extraordinary Meeting to Approve Multi-Step Share Consolidation

Jul 27, 2026

On July 27, 2026, ICZOOM Group Inc. announced that it will hold an extraordinary general meeting of shareholders on August 14, 2026 in Shanghai, with July 24, 2026 set as the record date for determining shareholders entitled to vote. The meeting will...

ICZOOM Group Inc. Receives Nasdaq Listing Deficiency Notice Over Delayed Financial Filing

Jul 17, 2026

ICZOOM Group Inc., a Hong Kong-based B2B e-commerce platform for electronic components serving SMEs in China’s consumer electronics, IoT, automotive and industrial control sectors, also offers warehousing, logistics, shipping and customs cleara...

ICZOOM Group Inc. Names Yi Wang to Board and Audit Chair After Director Resignation

Jun 4, 2026

ICZOOM Group Inc., a Nasdaq-listed B2B e-commerce platform for electronic components serving SMEs in Hong Kong and mainland China, provides transparent online sourcing alongside warehousing, logistics, shipping and customs clearance services. Its pla...

ICZOOM Group Reschedules Extraordinary General Meeting to August 31, 2026

May 8, 2026

ICZOOM Group Inc., a B2B e-commerce platform for electronic components serving SMEs in Hong Kong and mainland China, supports sectors such as consumer electronics, IoT, automotive electronics and industrial control with transparent product comparison...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Jun 11, 2026

ICZOOM Group, Inc. Class A AI Stock Analysis