# Zoomlion Heavy Industry Science and Technology (000157.SHE)

Canonical: https://gigainvestors.com/s/000157.SHE

Analysis as of: 2026-10-16T07:36:29.145Z. Financial observations: FY1997–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 5.88 per share; close as of 2026-10-15.

Estimated value: low CNY 7.91 per share, central CNY 10.11 per share, high CNY 11.47 per share. Buy at or below the central value CNY 10.11 per share. Valuation as of 2026-10-16T07:36:29.145Z; scenarios are not confidence intervals.

Expected annual return: 17.6% at the stated quote. About 17.6% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 1

- Operating margin variation: 1.08×

Chart: Operating margin; fiscal year observations.

- FY2016: -0.15×

- FY2017: 0.05×

- FY2018: 0.09×

- FY2019: 0.12×

- FY2020: 0.13×

- FY2021: 0.11×

- FY2022: 0.06×

- FY2023: 0.09×

- FY2024: 0.10×

- FY2025: 0.11×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 6.8%

- ROIC, second-lowest year: 2.7%

- Typical minus recent gross margin: -1.0 pp

- Typical gross margin (annual median): 27.0%

- Recent gross margin (lower of latest and 3-year median): 28.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 3.5%

- ROIC including acquisitions, ten-year median: 5.7%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: -3.0%

- FY2017: 2.7%

- FY2018: 5.6%

- FY2019: 9.3%

- FY2020: 15.3%

- FY2021: 14.1%

- FY2022: 4.6%

- FY2023: 6.5%

- FY2024: 7.0%

- FY2025: 7.6%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.70×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 14B

- Net income, five-year total: CNY 20B

- Return on incremental invested capital: 60.4%

- Working capital / revenue, annual change: -11.5 pp

- Working capital / revenue, change between three-year averages: -77.4 pp

- Working capital / revenue, final three-year average: 64.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.73×

- FY2022: 0.75×

- FY2023: 0.98×

- FY2024: 0.16×

- FY2025: 0.81×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 2.7% vs 7.0%

- Per-share earnings: 0.01 to 0.42 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 2.2%

- Ordinary dilution, 5-year annual growth: 2.7%

- Market cap gain: CNY 41B

- Cumulative retained earnings: CNY 12B

- Diluted shares, 10-year annual growth: 2.2%

- Diluted shares, 5-year annual growth: 2.7%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 55.9%

- Per-share value change: CNY 0.41

- Per-share value, starting three-year median: CNY 0.01

- Per-share value, ending three-year median: CNY 0.42

- Buybacks concentrated in cheaper years (correlation): -0.37

- Average buyback yield: 1.6%

- Buyback history: 6 years

- Debt-funded buybacks: Yes

- Acquisition spending: CNY 2.1B

- Cumulative net income, 10 years: CNY 35B

- ROIC, first three-year median: 2.7%

- ROIC, last three-year median: 7.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY -0.12

- FY2017: CNY 0.18

- FY2018: CNY 0.28

- FY2019: CNY 0.53

- FY2020: CNY 0.96

- FY2021: CNY 0.76

- FY2022: CNY 0.27

- FY2023: CNY 0.42

- FY2024: CNY 0.41

- FY2025: CNY 0.56

### accounting: pass

- Sloan accruals: -0.0%

- Receivables to sales index (DSRI): 1.12×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.00×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.13×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -3.5%

- FY2017: -1.8%

- FY2018: -3.2%

- FY2019: -2.0%

- FY2020: -0.1%

- FY2021: 3.0%

- FY2022: -0.1%

- FY2023: 0.6%

- FY2024: 1.1%

- FY2025: -0.0%

## Holders

## Price story

Down 41% since Feb 2026 · sales +14.6%

Story as of 2026-10-16T10:00:07.555Z; price observation 2026-10-15.

Price needs cash profits to shrink 3.9% a year for ten years

- 2026-07-31: Repeat Orders Drive Zoomlion's International Concrete Machinery Growth ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/repeat-orders-drive-zoomlions-international-084000801.html))

### Sales · FY2024–2025

sales +14.6%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 14B 

- FY2017: CNY 23B 

- FY2018: CNY 29B 

- FY2019: CNY 43B 

- FY2020: CNY 65B 

- FY2021: CNY 67B 

- FY2022: CNY 42B 

- FY2023: CNY 47B 

- FY2024: CNY 45B 

- FY2025: CNY 52B 

### Gross margin · FY2025

gross margin 28%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 24.3% 

- FY2017: 13.6% 

- FY2018: 27.0% 

- FY2019: 29.6% 

- FY2020: 28.5% 

- FY2021: 23.6% 

- FY2022: 20.4% 

- FY2023: 27.0% 

- FY2024: 28.1% 

- FY2025: 28.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in farm & heavy construction machinery; annual sales are CNY 52.1 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2025: revenue 52107129173.91; grossProfit 14610321868.04; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000157.SHE: Zoomlion Heavy Industry Science and Technology Co., Ltd. researches, develops, and manufactures machinery in China and internationally. The company offers mini, small, medium, large, and wheel excavators, as well as skid steer, crawler, wheel, and compact track loaders, and crawler bulldozers; spider, full-electric scissor, crawl scissor, rough terrain scissor, diesel and electric articulating boom, range-extended hybrid articulating and telescopic boom, diesel and electric telescopic boom, and vertical mast lifts, as well as telehandlers; and truck, loader, crawler, rough and all terrain, and telescopic crawler cranes. It also provides flat-top tower, luffing jib tower, and topless hydraulic luffing jib cranes, as well as construction hoist; truck mounted, trailer, and city pumps, as well as truck mixer, placing boom, and batching plant; tractor, baler, dryer, and combine and sugarcane harvesters; internal combustion and electric forklifts; and rotary and horizontal directional drilling rigs, underground diaphragm wall hydraulic grab, trench cutter, oscillator, and rotary casing boring and hydraulic plie pressing machines. In addition, the company offers surface DTH drill rig, mining dump truck, and mobile crushing/mesh substation; and aerial ladder and platform, water tower, CAFS, rescue, foam/water tank, lighting, special firefighting vehicles, as well as dry powder/nitrogen truck, firefighting robot and equipment, and specialized support, hazardous chemical accident, geological and meteorological disaster, water, all-terrain, and forest fire rescue equipment. Further, it provides inspection, client training, and machine services. The company was formerly known as Changsha Zoomlion Heavy Industry Science and Technology Development Co., Ltd. and changed its name to Zoomlion Heavy Industry Science and Technology Co., Ltd. in October 2011. Zoomlion Heavy Industry Science and Technology Co., Ltd. was founded in 1992 and is based in Changsha, China.

### Why customers stay

Margins ranged from 27% to 28.1% during 2023–25; it earns 6.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2023: grossProfit / revenue = 27%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2024: grossProfit / revenue = 28.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2025: grossProfit / revenue = 28%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); 10-year return on capital observations [[2016,-0.03042397791307633],[2017,0.026751874103906965],[2018,0.05588122524103973],[2019,0.09294404849619856],[2020,0.1527937961378885],[2021,0.14050715206257],[2022,0.04592467192533796],[2023,0.06498256171817915],[2024,0.07017270575338815],[2025,0.07625928460059524]]; median 0.06757763373578365. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 58.3% of cash earnings on expansion; earns 60.4% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2017: growth capex 0; upkeep 763745484; owner earnings 1536666516. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2018: growth capex 0; upkeep 530550674; owner earnings 2325851326. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2019: growth capex 471718000; upkeep 864981000; owner earnings 4371457000. Growth capex / owner earnings = 0.10790864464639592.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2020: growth capex 272058000; upkeep 828914000; owner earnings 7280672000. Growth capex / owner earnings = 0.03736715511974719.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2021: growth capex 373179952.79137754; upkeep 2540428047.2086225; owner earnings 4564119684.371378. Growth capex / owner earnings = 0.08176384025800938.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2022: growth capex 0; upkeep 1529796036; owner earnings 1736540673.118. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2023: growth capex 647762718; upkeep 1252266000; owner earnings 3444471969.514. Growth capex / owner earnings = 0.18805864113081938.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2024: growth capex 0; upkeep 4035317000; owner earnings 568384872.98. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); FY2025: growth capex 2284569822.5285625; upkeep 2370323543.291437; owner earnings 3921653608.182563. Growth capex / owner earnings = 0.582552680777769.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); Incremental return on capital 0.603548842238674, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); Dividend observations: [[2016,2690799895],[2017,2668627632],[2018,2735488844],[2019,3507842000],[2020,2614634000],[2021,3948446000],[2022,2777280916],[2023,2641291350],[2024,3427505000],[2025,3472311203]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 39.7% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000157.SHE SharesStats.PercentInsiders = 39.69 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 3.9% yearly over ten years; actual growth was 29.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.145Z); Ten-year compound average after fade. Initial solved rate -0.06807396299099205. Price 5.88; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.03334294317780399 → FY2025 0.452018501324775. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 4.57 per share

- 2016-11: CNY 4.76 per share

- 2016-12: CNY 4.54 per share

- 2017-01: CNY 4.55 per share

- 2017-02: CNY 4.84 per share

- 2017-03: CNY 4.78 per share

- 2017-04: CNY 4.49 per share

- 2017-05: CNY 4.39 per share

- 2017-06: CNY 4.49 per share

- 2017-07: CNY 4.79 per share

- 2017-08: CNY 4.59 per share

- 2017-09: CNY 4.48 per share

- 2017-10: CNY 4.64 per share

- 2017-11: CNY 4.40 per share

- 2017-12: CNY 4.47 per share

- 2018-01: CNY 4.49 per share

- 2018-02: CNY 4.28 per share

- 2018-03: CNY 4.21 per share

- 2018-04: CNY 4.20 per share

- 2018-05: CNY 4.17 per share

- 2018-06: CNY 4.11 per share

- 2018-07: CNY 4.18 per share

- 2018-08: CNY 3.87 per share

- 2018-09: CNY 3.74 per share

- 2018-10: CNY 3.34 per share

- 2018-11: CNY 3.55 per share

- 2018-12: CNY 3.56 per share

- 2019-01: CNY 3.72 per share

- 2019-02: CNY 4.20 per share

- 2019-03: CNY 4.48 per share

- 2019-04: CNY 4.95 per share

- 2019-05: CNY 5.37 per share

- 2019-06: CNY 6.01 per share

- 2019-07: CNY 6.17 per share

- 2019-08: CNY 5.30 per share

- 2019-09: CNY 5.70 per share

- 2019-10: CNY 5.85 per share

- 2019-11: CNY 5.95 per share

- 2019-12: CNY 6.68 per share

- 2020-01: CNY 6.32 per share

- 2020-02: CNY 6.28 per share

- 2020-03: CNY 5.69 per share

- 2020-04: CNY 6.40 per share

- 2020-05: CNY 6.36 per share

- 2020-06: CNY 6.42 per share

- 2020-07: CNY 8.28 per share

- 2020-08: CNY 8.55 per share

- 2020-09: CNY 8.10 per share

- 2020-10: CNY 7.37 per share

- 2020-11: CNY 8.56 per share

- 2020-12: CNY 9.90 per share

- 2021-01: CNY 12.44 per share

- 2021-02: CNY 14.38 per share

- 2021-03: CNY 12.71 per share

- 2021-04: CNY 11.81 per share

- 2021-05: CNY 10.75 per share

- 2021-06: CNY 9.24 per share

- 2021-07: CNY 7.61 per share

- 2021-08: CNY 7.88 per share

- 2021-09: CNY 8.25 per share

- 2021-10: CNY 7.29 per share

- 2021-11: CNY 6.98 per share

- 2021-12: CNY 7.17 per share

- 2022-01: CNY 7.05 per share

- 2022-02: CNY 7.04 per share

- 2022-03: CNY 6.64 per share

- 2022-04: CNY 5.80 per share

- 2022-05: CNY 5.93 per share

- 2022-06: CNY 6.16 per share

- 2022-07: CNY 6.14 per share

- 2022-08: CNY 5.77 per share

- 2022-09: CNY 5.54 per share

- 2022-10: CNY 5.35 per share

- 2022-11: CNY 5.84 per share

- 2022-12: CNY 5.44 per share

- 2023-01: CNY 5.82 per share

- 2023-02: CNY 6.71 per share

- 2023-03: CNY 6.21 per share

- 2023-04: CNY 6.48 per share

- 2023-05: CNY 6.33 per share

- 2023-06: CNY 6.75 per share

- 2023-07: CNY 6.89 per share

- 2023-08: CNY 6.46 per share

- 2023-09: CNY 6.85 per share

- 2023-10: CNY 6.42 per share

- 2023-11: CNY 6.45 per share

- 2023-12: CNY 6.53 per share

- 2024-01: CNY 7.20 per share

- 2024-02: CNY 8.00 per share

- 2024-03: CNY 8.21 per share

- 2024-04: CNY 8.51 per share

- 2024-05: CNY 8.03 per share

- 2024-06: CNY 7.68 per share

- 2024-07: CNY 6.73 per share

- 2024-08: CNY 6.32 per share

- 2024-09: CNY 7.58 per share

- 2024-10: CNY 6.95 per share

- 2024-11: CNY 6.98 per share

- 2024-12: CNY 7.23 per share

- 2025-01: CNY 7.32 per share

- 2025-02: CNY 8.00 per share

- 2025-03: CNY 7.52 per share

- 2025-04: CNY 7.33 per share

- 2025-05: CNY 7.13 per share

- 2025-06: CNY 7.23 per share

- 2025-07: CNY 7.35 per share

- 2025-08: CNY 7.35 per share

- 2025-09: CNY 8.01 per share

- 2025-10: CNY 8.17 per share

- 2025-11: CNY 8.08 per share

- 2025-12: CNY 8.63 per share

- 2026-01: CNY 8.77 per share

- 2026-02: CNY 9.99 per share

- 2026-03: CNY 8.60 per share

- 2026-04: CNY 7.95 per share

- 2026-05: CNY 7.21 per share

- 2026-06: CNY 6.97 per share

- 2026-07: CNY 7.60 per share

- 2026-08: CNY 6.69 per share

- 2026-09: CNY 5.97 per share

- 2026-10: CNY 6.04 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 1.30 per share, central CNY 1.33 per share, high CNY 1.37 per share

- FY2017: low CNY 2.25 per share, central CNY 2.30 per share, high CNY 2.37 per share

- FY2018: low CNY 3.67 per share, central CNY 3.75 per share, high CNY 3.84 per share

- FY2019: low CNY 5.20 per share, central CNY 5.98 per share, high CNY 6.76 per share

- FY2020: low CNY 10.25 per share, central CNY 12.17 per share, high CNY 13.85 per share

- FY2021: low CNY 9.67 per share, central CNY 10.67 per share, high CNY 11.99 per share

- FY2022: low CNY 6.50 per share, central CNY 7.10 per share, high CNY 7.89 per share

- FY2023: low CNY 6.51 per share, central CNY 7.13 per share, high CNY 7.96 per share

- FY2024: low CNY 5.62 per share, central CNY 6.16 per share, high CNY 6.88 per share

- FY2025: low CNY 7.11 per share, central CNY 9.20 per share, high CNY 10.50 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:42:10.010Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.