olivLaw · US equity research
Zepp Health Corporation ZEPP
Electronic Computers · SIC 3571 · Vertical: Electronic Computers (SIC 3571)
Zepp Health is a global maker of smart wearables and health technology, selling under the Amazfit, Zepp Clarity and Zepp Aura brands. Sales grew strongly in 2025, yet the company stayed loss-making, so the path to margins matters for attentive investors. Growth came across all product lines, but the net loss of shows cost pressure remains.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Zepp Health Corporation (ZEPP) stock was 2.28 USD (+2.70% on the day), with beta 1.45, 52-week range 2.20–34.84 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 17.7
- oversold (≤ 30)
- Bollinger (20, 2)
- 1.75 – 3.91
- in the lower half of the band · %B 0.25 · band width 76.5%
- SMA 50 / 200
- 3.79 / 9.87
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.48 / -0.47
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −40.9% | −2.0% | −38.9 pp | — |
| 3 months | −50.1% | −2.2% | −47.9 pp | — |
| 6 months | −87.3% | +4.3% | −91.6 pp | — |
| Year to date | −91.5% | +10.6% | −102.1 pp | — |
| 1 year | −93.8% | +10.5% | −104.3 pp | +0.3% |
| 3 years | −51.7% | +73.7% | −125.4 pp | +46.4% |
| 5 years | −93.6% | +61.7% | −155.3 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
the price (USD) and the reports are in different currencies
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 3.6 bn | 5.8 bn | 6.4 bn | 6.3 bn | 4.1 bn | 2.5 bn | 182.6 m | 258.9 m |
| Revenue YoY | +77.9% | +59.4% | +10.7% | −2.8% | −33.7% | −39.8% | −92.7% | +41.8% |
| Net income | 49.5 m | 82.6 m | 35.1 m | 21.6 m | -43.2 m | -31.0 m | -75.7 m | -40.1 m |
| Net income YoY | +91.9% | +67.1% | −57.6% | −38.3% | −300.0% | unavailable | unavailable | unavailable |
| Diluted EPS | 0.07 | 0.32 | 0.13 | 0.08 | -0.18 | -0.13 | -0.29 | -0.16 |
| Diluted EPS YoY | −30.0% | +357.1% | −59.4% | −38.5% | −325.0% | unavailable | unavailable | unavailable |
| net % | 1.4% | 1.4% | 0.5% | 0.3% | -1.0% | -1.2% | -41.5% | -15.5% |
| Free cash flow | 100.4 m | 56.6 m | 11.3 m | -43.7 m | -118.3 m | 41.0 m | -25.8 m | -26.2 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 57.0 m CNY
- Financial debt
- 59.5 m CNY
- Net debt
- 2.4 m CNY
- Equity
- 214.5 m CNY
- Total assets
- 564.8 m CNY
- Debt / equity
- 0.28x
- Current ratio
- 1.02x
- ROE
- -17.2%
- ROA
- -7.3%
- FCF margin
- -10.1%
Financial statements (source on every figure)
Revenue and net income (CNY)
Margins
Income statement · CNY
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 6.4 bn | 6.3 bn | 4.1 bn | 2.5 bn | 182.6 m | 258.9 m | SEC (XBRL)· 24 Apr 2026verified |
| Cost of revenue | 781.7 m | 775.9 m | 494.8 m | 260.5 m | 112.4 m | 159.7 m | SEC (XBRL)· 24 Apr 2026verified |
| Gross profit | 204.2 m | 204.9 m | 118.9 m | 92.4 m | 70.2 m | 99.2 m | SEC (XBRL)· 24 Apr 2026verified |
| Research & development | 82.5 m | 80.8 m | 77.3 m | 51.5 m | 46.2 m | 45.3 m | SEC (XBRL)· 24 Apr 2026verified |
| Operating income | 26.7 m | 14.7 m | -61.9 m | -30.5 m | -47.3 m | -29.2 m | SEC (XBRL)· 24 Apr 2026verified |
| Depreciation & amortisation | 4.2 m | 8.1 m | 8.7 m | 7.7 m | 5.0 m | 4.5 m | SEC (XBRL)· 24 Apr 2026verified |
| EBITDA | 30.9 m ≈ | 22.9 m ≈ | -53.1 m ≈ | -22.8 m ≈ | -42.2 m ≈ | -24.7 m ≈ | SEC (XBRL)· 24 Apr 2026derived |
| Interest expense | — | 7.0 m | 8.3 m | 6.7 m | 5.6 m | 5.7 m | SEC (XBRL)· 24 Apr 2026verified |
| Pre-tax income | 40.7 m | 16.7 m | -55.9 m | -34.6 m | -57.9 m | -35.5 m | SEC (XBRL)· 24 Apr 2026verified |
| Income tax | 4.8 m | 1.7 m | -9.9 m | -2.4 m | 13.7 m | 2.5 m | SEC (XBRL)· 24 Apr 2026verified |
| Net income | 35.1 m | 21.6 m | -43.2 m | -31.0 m | -75.7 m | -40.1 m | SEC (XBRL)· 24 Apr 2026verified |
| Diluted EPS | 0.13 | 0.08 | -0.18 | -0.13 | -0.29 | -0.16 | SEC (XBRL)· 24 Apr 2026verified |
| Weighted average diluted shares | 260.4 m | 264.4 m | 246.3 m | 243.1 m | 258.9 m | 254.4 m | SEC (XBRL)· 24 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · CNY
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 348.4 m | 230.4 m | 128.6 m | 133.7 m | 91.1 m | 57.0 m | SEC (XBRL)· 24 Apr 2026verified |
| Receivables | 45.7 m | 84.3 m | 98.9 m | 60.7 m | 63.0 m | 66.9 m | SEC (XBRL)· 24 Apr 2026verified |
| Inventories | 186.6 m | 196.0 m | 148.2 m | 84.9 m | 56.8 m | 72.8 m | SEC (XBRL)· 24 Apr 2026verified |
| Current assets | 739.9 m | 616.9 m | 428.9 m | 316.7 m | 251.6 m | 293.5 m | SEC (XBRL)· 24 Apr 2026verified |
| Property, plant & equipment, net | 19.1 m | 21.0 m | 14.6 m | 8.9 m | 6.9 m | 5.7 m | SEC (XBRL)· 24 Apr 2026verified |
| Goodwill | 9.6 m | 9.6 m | 9.6 m | 9.6 m | 9.6 m | 9.6 m | SEC (XBRL)· 24 Apr 2026verified |
| Intangibles (excl. goodwill) | 22.3 m | 21.3 m | 17.9 m | 9.9 m | 7.1 m | 13.6 m | SEC (XBRL)· 24 Apr 2026verified |
| Total assets | 904.8 m | 955.0 m | 763.7 m | 635.5 m | 528.6 m | 564.8 m | SEC (XBRL)· 24 Apr 2026verified |
| Accounts payable | 299.1 m | 206.7 m | 66.2 m | 37.3 m | 51.1 m | 80.8 m | SEC (XBRL)· 24 Apr 2026verified |
| Long-term debt | 9.2 m | 114.1 m | 99.2 m | 120.0 m | 75.2 m | 59.5 m | SEC (XBRL)· 24 Apr 2026verified |
| Current liabilities | 427.5 m | 337.7 m | 241.9 m | 155.1 m | 195.4 m | 286.8 m | SEC (XBRL)· 24 Apr 2026verified |
| Total liabilities | 486.4 m | 494.6 m | 374.5 m | 282.8 m | 275.9 m | 350.3 m | SEC (XBRL)· 24 Apr 2026verified |
| Equity | 418.4 m | 460.3 m | 389.3 m | 352.8 m | 252.7 m | 214.5 m | SEC (XBRL)· 24 Apr 2026verified |
Cash flow · CNY
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 24.1 m | -36.5 m | -117.1 m | 42.6 m | -24.4 m | -25.7 m | SEC (XBRL)· 24 Apr 2026verified |
| Capex | 12.8 m | 7.2 m | 1.2 m | 1.6 m | 1.4 m | 516.0 k | SEC (XBRL)· 24 Apr 2026verified |
| Free cash flow | 11.3 m ≈ | -43.7 m ≈ | -118.3 m ≈ | 41.0 m ≈ | -25.8 m ≈ | -26.2 m ≈ | SEC (XBRL)· 24 Apr 2026derived |
| Investing cash flow | -31.7 m | -167.8 m | -6.2 m | 7.7 m | -1.6 m | 1.5 m | SEC (XBRL)· 24 Apr 2026verified |
| Financing cash flow | 86.5 m | 86.5 m | 42.4 m | -41.7 m | 477.0 k | 24.8 m | SEC (XBRL)· 24 Apr 2026verified |
| Dividends paid | — | — | 6.3 m | — | — | — | SEC (XBRL)· 25 Apr 2025verified |
| Share repurchases | — | 2.2 m | 8.2 m | 2.5 m | 2.3 m | 1.2 m | SEC (XBRL)· 24 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
4 indicators that do not apply to the sector.
Valuation
olivLaw classification
- score weight coverage: 59.6% of at least 60%
- valuation methods computed: 0 of at least 1
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: unavailable
Price and reporting are in different currencies; market indicators are unavailable.
Key indicators
Coverage and freshness
Score by group
60% · Insufficient data
Estimated value range
unavailable — no valuation assumptions for the reporting currency
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 6.5%
- Equity risk premium
- 6.0%
- Beta (default)
- 1.00
- Cost of equity
- 12.5%
- Terminal growth
- 3.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 59.6% of at least 60%; valuation methods computed: 0 of at least 1
| Factor | Value | Score | Weight used |
|---|---|---|---|
| Gross margin · Quality | 38.3% | 0 (on a fixed band) | 18% |
| EBIT margin · Quality | -11.3% | 33 (vs peers) | 14% |
| FCF margin · Quality | -10.1% | 0 (on a fixed band) | 14% |
| Revenue CAGR 3Y · Growth | -60.3% | 0 (on a fixed band) | 29% |
| Revenue growth (YoY) · Growth | 41.8% | 83 (vs peers) | 14% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.0x | 13 (on a fixed band) | 11% |
| EV/Sales · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial13/100 · 1/2 factors with a value
- Growth28/100 · 2/2 factors with a value
- Quality10/100 · 3/3 factors with a value
- Returns· partialunavailable · 0/1 factors with a value
- Valuation· partialunavailable · 0/2 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
ZEPP HEALTH CORP (ZEPP). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 258.9 m CNY in 2025; YoY growth 41.8%; net margin -15.5%; ROE -17.2%.
Valuation cannot be computed from the available data.
Insufficient data for a verdict (score weight coverage: 59.6% of at least 60%; valuation methods computed: 0 of at least 1).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Revenue growth (YoY): 41.8%
What contradicts it
- Gross margin: 38.3%
- FCF margin: -10.1%
- Revenue CAGR 3Y: -60.3%
- Current ratio: 1.0x
Not assessed (insufficient data or a ratio without meaning): Net debt / EBITDA, EV/Sales, FCF yield, Shareholder yield (distributions).
Versus the vertical median
Electronic Computers (SIC 3571) · same industry (4-digit SIC) · compared with 6 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| AAPLApple Inc. | 4,823.2 bn | 37.0 | 142.3% | 27.6% | +15.1% | +19% / +75% |
| DELLDell Technologies Inc. | 261.4 bn | 23.7 | — | 7.5% | +18.8% | +206% / +438% |
| SMCISuper Micro Computer, Inc. | 20.6 bn | 9.6 | 21.5% | 5.7% | +77.8% | −7% / +15% |
| OMCLOmnicell, Inc | 1.8 bn | 46.6 | 3.1% | 3.1% | +6.5% | +8% / +18% |
| OSSOne Stop Systems, Inc. | 116.7 m | 369.1 | 1.3% | 1.0% | +31.2% | −23% / +126% |
| SCKTSocket Mobile, Inc. | 2.5 m | — | -155.7% | -107.5% | −19.6% | −77% / −79% |
| ZEPPZepp Health Corp | 0 | — | -17.2% | -15.5% | +41.8% | −94% / −52% |
1- and 3-year price returns: for ZEPP from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Scenarios are not available. input data missing
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 24 Apr 2026; since then the company filed 6-K (02 Sept 2026), 6-K (09 Jun 2026).
In brief
Zepp Health is a global maker of smart wearables and health technology, selling under the Amazfit, Zepp Clarity and Zepp Aura brands. Sales grew strongly in 2025, yet the company stayed loss-making, so the path to margins matters for attentive investors. Growth came across all product lines, but the net loss of 1 shows cost pressure remains.
SWOT
Strengths
Weaknesses
Opportunities
Risks
- Dependence on new launcheshigh
If new products are not launched on time or do not find demand, operating results could be hurt 1.
- Supply chainhigh
Some components come from a limited number of sources, and shortages could disrupt production 1.
- China corporate structurehigh
Control over operations relies on contracts with variable interest entities, and changes in regulation could have major effects 1.
- Cybersecurity and datamedium
A security incident or breach of data rules could damage reputation and results 1.
- ADS share price volatilitymedium
The ADS price has been volatile and could be affected by a possible NYSE delisting or large share sales 1.
Investment thesis
What would need to be true (bull case)
- Rapid sales growth in 2025 and the widening product range show that demand for the Zepp and Amazfit brands could continue if innovation stays on track 1.
- Control over chips and sensors could support better margins over the long term if volumes grow and costs stabilise 1.
- The global HYROX partnership and international expansion could bring new customers and steadier growth 1.
What would break the thesis
- The company remains loss-making, and if sales growth does not translate into profit, pressure on financing could become an issue 1.
- Competitors with greater resources could gain market share, and Zepp may need to raise marketing spending 1.
- The variable interest entity structure in China is subject to legal uncertainties that could affect the value of the investment 1.
What to watch
- Trend in gross margin and operating loss versus 2025Q1 2027
- Impact of the global HYROX agreement on international sales2027
- Pace of new product launches and their contribution to revenue2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 24 Apr 2026; since then the company filed 6-K (02 Sept 2026), 6-K (09 Jun 2026).
The business
Zepp Health, formerly Huami Corporation, operates in Europe, the U.S. and Asia and sells smartwatches and smart bands under the Amazfit and Zepp brands, along with smart hearing aids and health-related audio products 1. The company develops its own AI chips, such as the Huangshan series, and a proprietary operating system, Zepp OS, which gives it more control over design and costs 1. Manufacturing is outsourced to contract manufacturers, as the company has no internal production capacity 1.
Beyond hardware, Zepp offers data and subscription-related services, such as the Zepp Aura platform for AI-generated personalised soundscapes and health data analytics from its mobile app 1. The company reports in U.S. dollars from the second quarter of 2024, which management says better reflects the nature of its sales, largely made in dollar-linked markets 1.
The growth strategy relies on frequent new product launches, sports partnerships such as HYROX and expansion of its own international distribution network 1. Research and development spending was a significant share of revenue in 2025, showing the company's dependence on continuous innovation 1.
Segments
Amazfit smartwatches and smart bands
This is the main segment and generates effectively all revenue, covering the Adventure, Lifestyle and Essential lines, with models such as the T-Rex Ultra 2 and Active Max 1. Amazfit sales rose 50.9% in 2025, supported by all product lines 1.
Market context
Trends
- Rapid product launchesmixed
The company launches new products continuously and shortens development cycles, which can support demand but requires constant investment 1.
- Global sports partnershipstailwind
The HYROX agreement, expanded worldwide in 2026, could strengthen brand visibility and relationships with offline retailers in the U.S. and Europe 1.
- Production cost pressureheadwind
Materials and manufacturing make up most of cost of revenues, and higher volumes can raise these costs in absolute terms 1.
- Data rules and China structureheadwind
The variable interest entity structure in China and data regulations may change operating and listing conditions 1.
Competitive position
Zepp says it differentiates through its own chips, sensors and algorithms, which give it cost and design advantages over competitors that outsource key components 1. However, the filing indicates some competitors have greater resources and can compete more effectively, which could reduce market share 1.
Competition comes both from smartwatch makers with broader ecosystems and from newer players in the smart ring and health accessory segments 1. Differentiation depends on keeping a fast innovation cycle and competitive pricing 1.
- Smartwatch makers with larger ecosystems
The filing refers to competitors with greater scale and resources that could gain market share if Zepp does not sustain its innovation 1.
- Smart ring players
Smart rings are an emerging category where competition is intensifying as adoption grows 1.
- Hearing aid and earbud makers
Zepp competes in hearing aids and earbuds with health functions 1.
- Integrated fitness and training platforms
Integrations with third-party apps may favour competitors with more developed software ecosystems 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report (foreign issuer)02 Sept 2026
- Current report (foreign issuer)09 Jun 2026
- Annual report (foreign issuer)24 Apr 2026
- Current report (foreign issuer)16 Mar 2026
- Current report (foreign issuer)05 Nov 2025
- Current report (foreign issuer)04 Aug 2025
- Current report (foreign issuer)20 May 2025
- Annual report (foreign issuer)25 Apr 2025
- Current report (foreign issuer)27 Mar 2025
- Current report (foreign issuer)19 Nov 2024
Sources
- [1] Form 20-F, fiscal year ended 2025-12-31 · SEC / Zepp Health Corporation · 24 Apr 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.