Contrasting ZKH Group (ZKH) and Its Peers

ZKH Group (NYSE:ZKH) is one of 157 publicly-traded companies in the “Trading Companies & Distributors” industry, but how does it weigh in compared to its competitors? We will compare ZKH Group to related businesses based on the strength of its risk, earnings, profitability, dividends, analyst recommendations, valuation and institutional ownership.

Insider & Institutional Ownership

9.5% of ZKH Group shares are owned by institutional investors. Comparatively, 50.5% of shares of all “Trading Companies & Distributors” companies are owned by institutional investors. 17.3% of shares of all “Trading Companies & Distributors” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares ZKH Group and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ZKH Group	$1.29 billion	-$19.44 million	-128.00
ZKH Group Competitors	$6.67 billion	$363.16 million	33.54

ZKH Group’s competitors have higher revenue and earnings than ZKH Group. ZKH Group is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of current ratings and recommmendations for ZKH Group and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ZKH Group	1	0	0	0	1.00
ZKH Group Competitors	1465	4917	6712	240	2.43

As a group, “Trading Companies & Distributors” companies have a potential upside of 12.94%. Given ZKH Group’s competitors stronger consensus rating and higher possible upside, analysts clearly believe ZKH Group has less favorable growth aspects than its competitors.

Profitability

This table compares ZKH Group and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ZKH Group	-0.02%	-0.06%	-0.03%
ZKH Group Competitors	1.07%	-34.34%	3.53%

Risk & Volatility

ZKH Group has a beta of 0.63, meaning that its share price is 37% less volatile than the S&P 500. Comparatively, ZKH Group’s competitors have a beta of 1.32, meaning that their average share price is 32% more volatile than the S&P 500.

Summary

ZKH Group competitors beat ZKH Group on 12 of the 13 factors compared.

ZKH Group Company Profile

ZKH Group Limited develops and operates a maintenance, repair, and operating (MRO) products trading and service platform that offers spare parts, chemicals, manufacturing parts, general consumables, and office supplies in the People’s Republic of China. The company provides MRO procurement and management services; digitalized MRO procurement solutions; and logistics and warehousing services. It also engages in the production and sale of intelligent warehousing equipment. ZKH Group Limited was founded in 1998 and is based in Shanghai, the People’s Republic of China.