ZTO EXPRESS CAYMAN INC-ADR (ZTO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ZTO - US98980A1051 - ADR
21.28 USD
+0.01 (+0.05%)
We assign a fundamental rating of 7 out of 10 to ZTO. ZTO was compared to 23 industry peers in the Air Freight & Logistics industry. ZTO gets an excellent profitability rating and is at the same time showing great financial health properties. ZTO may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make ZTO suitable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year ZTO was profitable.
ZTO had a positive operating cash flow in the past year.
ZTO had positive earnings in each of the past 5 years.
Each year in the past 5 years ZTO had a positive operating cash flow.
1.2 Ratios
ZTO has a better Return On Assets (9.76%) than 86.96% of its industry peers.
Looking at the Return On Equity, with a value of 13.66%, ZTO is in the better half of the industry, outperforming 78.26% of the companies in the same industry.
ZTO has a better Return On Invested Capital (10.83%) than 82.61% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ZTO is in line with the industry average of 12.36%.
The last Return On Invested Capital (10.83%) for ZTO is above the 3 year average (10.66%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.76% | ||
| ROE | 13.66% | ||
| ROIC | 10.83% |
ROA(3y)9.37%
ROA(5y)8.59%
ROE(3y)13.81%
ROE(5y)12%
ROIC(3y)10.66%
ROIC(5y)9.47%
1.3 Margins
ZTO has a Profit Margin of 18.60%. This is amongst the best in the industry. ZTO outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of ZTO has declined.
The Operating Margin of ZTO (22.60%) is better than 100.00% of its industry peers.
ZTO's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 25.99%, ZTO is doing good in the industry, outperforming 69.57% of the companies in the same industry.
ZTO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.6% | ||
| PM (TTM) | 18.6% | ||
| GM | 25.99% |
OM growth 3Y13.76%
OM growth 5Y1.52%
PM growth 3Y8.39%
PM growth 5Y-4.95%
GM growth 3Y12.65%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ZTO is creating value.
Compared to 1 year ago, ZTO has less shares outstanding
The number of shares outstanding for ZTO has been increased compared to 5 years ago.
Compared to 1 year ago, ZTO has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.41 indicates that ZTO is not in any danger for bankruptcy at the moment.
ZTO has a better Altman-Z score (4.41) than 73.91% of its industry peers.
The Debt to FCF ratio of ZTO is 1.13, which is an excellent value as it means it would take ZTO, only 1.13 years of fcf income to pay off all of its debts.
ZTO's Debt to FCF ratio of 1.13 is amongst the best of the industry. ZTO outperforms 95.65% of its industry peers.
ZTO has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
ZTO has a Debt to Equity ratio (0.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.13 | ||
| Altman-Z | 4.41 |
ROIC/WACC2.35
WACC4.6%
2.3 Liquidity
ZTO has a Current Ratio of 1.38. This is a normal value and indicates that ZTO is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.38, ZTO is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
A Quick Ratio of 1.38 indicates that ZTO should not have too much problems paying its short term obligations.
ZTO's Quick ratio of 1.38 is in line compared to the rest of the industry. ZTO outperforms 43.48% of its industry peers.
ZTO does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
ZTO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.97%.
ZTO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.77% yearly.
The Revenue has grown by 13.17% in the past year. This is quite good.
The Revenue has been growing by 14.90% on average over the past years. This is quite good.
EPS 1Y (TTM)-6.97%
EPS 3Y24.74%
EPS 5Y7.77%
EPS Q2Q%6.9%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y13.35%
Revenue growth 5Y14.9%
Sales Q2Q%11.14%
3.2 Future
Based on estimates for the next years, ZTO will show a small growth in Earnings Per Share. The EPS will grow by 6.86% on average per year.
The Revenue is expected to grow by 9.01% on average over the next years. This is quite good.
EPS Next Y-4.36%
EPS Next 2Y3.99%
EPS Next 3Y6.85%
EPS Next 5Y6.86%
Revenue Next Year13.07%
Revenue Next 2Y12.22%
Revenue Next 3Y11.47%
Revenue Next 5Y9.01%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.30, which indicates a correct valuation of ZTO.
ZTO's Price/Earnings ratio is rather cheap when compared to the industry. ZTO is cheaper than 86.96% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.59. ZTO is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 11.19, the valuation of ZTO can be described as reasonable.
ZTO's Price/Forward Earnings ratio is rather cheap when compared to the industry. ZTO is cheaper than 95.65% of the companies in the same industry.
ZTO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 11.19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ZTO is valued cheaper than 95.65% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ZTO is valued cheaply inside the industry as 95.65% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.19 | ||
| EV/EBITDA | 5.6 |
4.3 Compensation for Growth
ZTO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.71
EPS Next 2Y3.99%
EPS Next 3Y6.85%
5. Dividend
5.1 Amount
ZTO has a Yearly Dividend Yield of 3.06%.
Compared to an average industry Dividend Yield of 1.17, ZTO pays a better dividend. On top of this ZTO pays more dividend than 91.30% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.88, ZTO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
5.2 History
ZTO has been paying a dividend for over 5 years, so it has already some track record.
ZTO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
DPN/A
EPS Next 2Y3.99%
EPS Next 3Y6.85%
NYSE:ZTO (12/26/2025, 3:26:09 PM)
21.28
+0.01 (+0.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryAir Freight & Logistics
Earnings (Last)
Earnings (Next)
Inst Owners16.11%
Inst Owner Change-20.15%
Ins Owners0.23%
Ins Owner ChangeN/A
Market Cap16.83B
Revenue(TTM)47.51B
Net Income(TTM)8.84B
Analysts86.32
Price TargetN/A
Short Float %4.24%
Short Ratio11.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
Yearly Dividend1.03
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years2
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.73%
Min EPS beat(2)-19.32%
Max EPS beat(2)28.78%
EPS beat(4)1
Avg EPS beat(4)-5.07%
Min EPS beat(4)-19.32%
Max EPS beat(4)28.78%
EPS beat(8)3
Avg EPS beat(8)-2.21%
EPS beat(12)6
Avg EPS beat(12)1.06%
EPS beat(16)8
Avg EPS beat(16)5%
Revenue beat(2)0
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-1.42%
Revenue beat(4)1
Avg Revenue beat(4)-3.13%
Min Revenue beat(4)-12.95%
Max Revenue beat(4)5.66%
Revenue beat(8)3
Avg Revenue beat(8)-1.69%
Revenue beat(12)3
Avg Revenue beat(12)-2.99%
Revenue beat(16)5
Avg Revenue beat(16)-1.19%
PT rev (1m)0%
PT rev (3m)0.25%
EPS NQ rev (1m)4.56%
EPS NQ rev (3m)5.52%
EPS NY rev (1m)3.63%
EPS NY rev (3m)-0.57%
Revenue NQ rev (1m)0.57%
Revenue NQ rev (3m)0.57%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 11.19 | ||
| P/S | 2.49 | ||
| P/FCF | 11.19 | ||
| P/OCF | 11.19 | ||
| P/B | 1.82 | ||
| P/tB | 2.18 | ||
| EV/EBITDA | 5.6 |
EPS(TTM)1.6
EY7.52%
EPS(NY)1.9
Fwd EY8.93%
FCF(TTM)1.9
FCFY8.93%
OCF(TTM)1.9
OCFY8.93%
SpS8.56
BVpS11.66
TBVpS9.78
PEG (NY)N/A
PEG (5Y)1.71
Graham Number20.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.76% | ||
| ROE | 13.66% | ||
| ROCE | 16.16% | ||
| ROIC | 10.83% | ||
| ROICexc | 16.01% | ||
| ROICexgc | 19.96% | ||
| OM | 22.6% | ||
| PM (TTM) | 18.6% | ||
| GM | 25.99% | ||
| FCFM | 22.2% |
ROA(3y)9.37%
ROA(5y)8.59%
ROE(3y)13.81%
ROE(5y)12%
ROIC(3y)10.66%
ROIC(5y)9.47%
ROICexc(3y)14.74%
ROICexc(5y)13.19%
ROICexgc(3y)18.24%
ROICexgc(5y)16.71%
ROCE(3y)15.17%
ROCE(5y)13.22%
ROICexgc growth 3Y17.92%
ROICexgc growth 5Y-3.25%
ROICexc growth 3Y19.54%
ROICexc growth 5Y-0.78%
OM growth 3Y13.76%
OM growth 5Y1.52%
PM growth 3Y8.39%
PM growth 5Y-4.95%
GM growth 3Y12.65%
GM growth 5Y0.68%
F-Score6
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.13 | ||
| Debt/EBITDA | 0.87 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.65% | ||
| Profit Quality | 119.35% | ||
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 4.41 |
F-Score6
WACC4.6%
ROIC/WACC2.35
Cap/Depr(3y)234.92%
Cap/Depr(5y)324.98%
Cap/Sales(3y)17.21%
Cap/Sales(5y)23.77%
Profit Quality(3y)66.3%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.97%
EPS 3Y24.74%
EPS 5Y7.77%
EPS Q2Q%6.9%
EPS Next Y-4.36%
EPS Next 2Y3.99%
EPS Next 3Y6.85%
EPS Next 5Y6.86%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y13.35%
Revenue growth 5Y14.9%
Sales Q2Q%11.14%
Revenue Next Year13.07%
Revenue Next 2Y12.22%
Revenue Next 3Y11.47%
Revenue Next 5Y9.01%
EBIT growth 1Y-3.07%
EBIT growth 3Y28.95%
EBIT growth 5Y16.65%
EBIT Next Year25.35%
EBIT Next 3Y15.83%
EBIT Next 5Y13.21%
FCF growth 1Y-20.13%
FCF growth 3YN/A
FCF growth 5Y38.67%
OCF growth 1Y-20.13%
OCF growth 3Y16.54%
OCF growth 5Y12.64%
ZTO EXPRESS CAYMAN INC-ADR / ZTO FAQ
What is the ChartMill fundamental rating of ZTO EXPRESS CAYMAN INC-ADR (ZTO) stock?
ChartMill assigns a fundamental rating of 7 / 10 to ZTO.
What is the valuation status of ZTO EXPRESS CAYMAN INC-ADR (ZTO) stock?
ChartMill assigns a valuation rating of 7 / 10 to ZTO EXPRESS CAYMAN INC-ADR (ZTO). This can be considered as Undervalued.
What is the profitability of ZTO stock?
ZTO EXPRESS CAYMAN INC-ADR (ZTO) has a profitability rating of 8 / 10.
What are the PE and PB ratios of ZTO EXPRESS CAYMAN INC-ADR (ZTO) stock?
The Price/Earnings (PE) ratio for ZTO EXPRESS CAYMAN INC-ADR (ZTO) is 13.3 and the Price/Book (PB) ratio is 1.82.
What is the financial health of ZTO EXPRESS CAYMAN INC-ADR (ZTO) stock?
The financial health rating of ZTO EXPRESS CAYMAN INC-ADR (ZTO) is 7 / 10.