Is NASDAQ:BZ on the Verge of a Major Breakout as a Strong Growth Stock?

In this article we will dive into KANZHUN LTD - ADR (NASDAQ:BZ) as a possible candidate for growth investing. Investors should always do their own research, but we noticed KANZHUN LTD - ADR showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Growth Analysis for NASDAQ:BZ

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NASDAQ:BZ boasts a 8 out of 10:

• The Earnings Per Share has grown by an impressive 170.06% over the past year.
• Looking at the last year, BZ shows a very strong growth in Revenue. The Revenue has grown by 31.94%.
• Measured over the past years, BZ shows a very strong growth in Revenue. The Revenue has been growing by 45.20% on average per year.
• Based on estimates for the next years, BZ will show a very strong growth in Earnings Per Share. The EPS will grow by 23.06% on average per year.
• The Revenue is expected to grow by 25.16% on average over the next years. This is a very strong growth

Health Analysis for NASDAQ:BZ

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NASDAQ:BZ was assigned a score of 6 for health:

• There is no outstanding debt for BZ. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
• BZ has a Current Ratio of 3.07. This indicates that BZ is financially healthy and has no problem in meeting its short term obligations.
• A Quick Ratio of 3.07 indicates that BZ has no problem at all paying its short term obligations.
• The Quick ratio of BZ (3.07) is better than 61.19% of its industry peers.

Looking at the Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NASDAQ:BZ was assigned a score of 5 for profitability:

• BZ's Return On Assets of 6.13% is fine compared to the rest of the industry. BZ outperforms 79.10% of its industry peers.
• Looking at the Return On Equity, with a value of 8.19%, BZ belongs to the top of the industry, outperforming 82.09% of the companies in the same industry.
• With a decent Return On Invested Capital value of 3.88%, BZ is doing good in the industry, outperforming 73.13% of the companies in the same industry.
• BZ has a better Profit Margin (18.47%) than 86.57% of its industry peers.
• BZ has a better Operating Margin (9.76%) than 77.61% of its industry peers.
• Looking at the Gross Margin, with a value of 82.19%, BZ is in the better half of the industry, outperforming 76.12% of the companies in the same industry.

Looking at the Setup

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NASDAQ:BZ currently has a 7 as setup rating:

Besides having an excellent technical rating, BZ also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is very little resistance above the current price. There is a support zone below the current price at 19.29, a Stop Loss order could be placed below this zone.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of BZ

For an up to date full technical analysis you can check the technical report of BZ

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.