Zto Express Intrinsic Value Calculator – ZTO EXPRESS Announces Third Quarter Fiscal Year 2023 Earnings Results on September 30th, 2023
December 8, 2023
🌥️Earnings Overview
On September 30 2023, ZTO ($NYSE:ZTO) Express reported its financial results for the third quarter of fiscal year 2023, which ended on that day. The total revenue for Q3 was CNY 9.1 billion, rising 1.6% from the same period in the prior year. Net income rose 21.8% year over year to CNY 2.4 billion.
Share Price
The announcement saw the stock open at $22.5 and close at $22.6, representing a 6.2% drop from the previous closing price of $24.0. The earnings report was met with mixed reactions from investors, as the company had fallen short of expected performance levels in the third quarter. Despite this, the company’s overall financial position remained strong, with no major debt or liabilities on the balance sheet. Overall, the results had a negative impact on investor sentiment. ZTO EXPRESS’ shares dropped 6.2%, a stark contrast to the gains seen earlier in the year when the company was on track to exceed expectations.
However, analysts remain optimistic about the long-term prospects of the company, as they believe that the current dip in share price presents an attractive buying opportunity. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Zto Express. More…
| Total Revenues | Net Income | Net Margin |
| 37.67k | 8.72k | 22.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Zto Express. More…
| Operations | Investing | Financing |
| 13.21k | -17.81k | -310.86 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Zto Express. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 87.46k | 29.13k | 71.03 |
Key Ratios Snapshot
Some of the financial key ratios for Zto Express are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 16.5% | 24.8% | 28.5% |
| FCF Margin | ROE | ROA |
| 15.4% | 11.8% | 7.7% |
Analysis – Zto Express Intrinsic Value Calculator
At GoodWhale, we conducted an analysis of ZTO EXPRESS‘s fundamentals and found that the intrinsic value of the share is around $29.0, calculated using our proprietary Valuation Line. This means that the current price of the stock at $22.6 is undervalued by approximately 22.1%. We believe this is a great opportunity to invest in a fundamentally sound company and reap the potential value that this discrepancy presents. With ZTO EXPRESS’s wide network of services, it is well positioned to benefit from increased demand for express delivery services. More…
Summary
Investors reacted negatively to ZTO EXPRESS‘ third quarter earnings report, with stock prices falling despite the company’s revenue increasing by 1.6% and net income rising by 21.8%. Despite the company’s strong growth in profits, investors remain concerned about the long-term prospects of the business in the face of increasing competition within the industry. Going forward, investors should keep an eye on the company’s progress in expanding its customer base and developing new products and services that can help it stay ahead of the competition.
