Loading…
Major Chinese telecom equipment maker selling network infrastructure and smartphones globally.
Major Chinese telecom equipment maker selling network infrastructure and smartphones globally.
Sells network equipment, installation and upkeep to carriers in multi-year rollouts, so revenue follows operators' spending cycles, with China's three state carriers the largest customers. Phones and home devices are a smaller line, and servers and storage for corporate and AI computing a newer one. This is the Hong Kong-listed class of the company that also trades in Shenzhen; a state-linked shareholder is the largest.
In one line: A Chinese telecom-equipment maker, a smaller Huawei/Nokia/Ericsson competitor.
Moat: narrow (IP / patents, scale, customer qualification). Deep telecom-standard patent portfolio and long carrier-network qualification relationships.
Headquarters: Shenzhen, China · Founded: 1985 · Employees: 65,095
Size ZTE (0763.HK) is a Hong Kong Information Technology company (Telecommunications Equipment) with a market value of $19.0B, the 96th largest of 891 Hong Kong companies the cockpit tracks. Shares closed at HK$20.06 on 6 Nov 2026.
Performance Over six months the shares fell 27.1%, against -23.2% for the median peer and -13.4% for the Hong Kong market (cap-weighted) — 9th lowest of 18 in its peer set.
Growth Revenue grew 20.0% over the last twelve months (peer median +8.1%); the operating margin is 1.4% (peer median 9.3%).
Valuation It trades at 14.6× forward earnings against a peer median of 20.4× (4th cheapest of 17).
Price implies For today's price to make sense, revenue must grow about 18% a year for seven years (Req g). Recent delivered growth is +5%, so the hurdle is +13 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 3.6 points below its cost of capital (7.2% WACC).
Next results Next results expected around 5 Mar 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | HK$171B | HK$145B | HK$132B | HK$137B | HK$143B |
| Revenue growth | — | +10% | -4% | -4% | — |
| Gross profit | HK$45.9B | HK$39.8B | HK$45.9B | HK$52.7B | HK$49.3B |
| EBITDA | n/a | HK$8.53B | HK$15.2B | HK$16.1B | HK$15.4B |
| Net income | HK$4.98B | HK$6.09B | HK$9.13B | HK$10.3B | HK$9.40B |
| Free cash flow | HK$2.66B | HK$2.19B | HK$10.2B | HK$16.2B | HK$4.34B |
| Capital expenditure | HK$4.17B | HK$4.22B | HK$4.35B | HK$4.43B | HK$5.76B |
| Total debt | HK$114B | HK$89.8B | HK$73.5B | HK$74.6B | HK$64.5B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| ZTE 0763.HK | $19.0B | -27% | +20% | 1% | 14.6× | 17.5% |
| Nokia NOKIA.HE | $44.3B | -37% | +4% | 14% | 19.2× | 17.4% |
| Cisco CSCO | $369B | -3% | +12% | 25% | 18.4× | 15.0% |
| Fiberhome Telecommunication Technologies 600498.SS | $5.50B | -42% | +16% | 1% | 21.5× | 12.8% |
| Ciena CIEN | $34.5B | -56% | +33% | 14% | 23.4× | 29.0% |
| Nec 6701.T | $36.3B | +5% | +7% | 12% | 18.6× | 5.5% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | 0763.HK | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | -7.6% | -5.1% | 8th lowest of 18 |
| 6-month return | -27.1% | -23.2% | 9th lowest of 18 |
| Distance from 52-week high | -46.2% | -46.1% | 9th lowest of 18 |
| Revenue growth (TTM) | +20.0% | +8.1% | 6th highest of 18 |
| Operating margin | 1.4% | 9.3% | 5th lowest of 18 |
| Forward P/E | 14.6× | 20.4× | 4th cheapest of 17 |
| Growth the price implies (Req g, 7 yrs) | 17.5% | 15.1% | 6th most demanding of 13 |
| Growth delivered (Del g) | +4.9% | +7.4% | 4th lowest of 13 |
| Hurdle (Req g minus delivered) | +12.6 pp | +10.0 pp | 6th most demanding of 13 |
| ROIC minus cost of capital | -3.6 pp | -0.7 pp | 5th lowest of 18 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| ZTE 0763.HK | Hong Kong | $19.0B | -27% | +20% | 1% | 14.6× | 17.5% | +4.9% |
| ZTE 000063.SZ | China | $19.0B | -23% | +14% | 1% | 24.2× | 19.0% | +5.6% |
| Accton Technology 2345.TW | Taiwan | $21.6B | -49% | +82% | 14% | 12.5× | 4.5% | +35.4% |
| TCL Technology 000100.SZ | China | $15.0B | +7% | +5% | 0% | 13.1× | -4.7% | +19.1% |
| Huaqin 603296.SS | China | $12.7B | -13% | +28% | 2% | 17.1× | n/a | n/a |
| Shenzhen Transsion 688036.SS | China | $11.6B | +13% | -1% | 5% | 21.8× | n/a | n/a |
| Ciena CIEN | United States | $34.5B | -56% | +33% | 14% | 23.4× | 29.0% | +6.2% |
| Telefonaktiebolaget LM Ericsson ERIC-A.ST | Sweden | $34.9B | -9% | -4% | 14% | 17.3× | -8.7% | +0.4% |
| Ubiquiti UI | United States | $35.9B | -30% | +27% | 36% | 33.5× | 22.2% | +11.5% |
| China Spacesat 600118.SS | China | $9.75B | -46% | +6% | 1% | 531.4× | n/a | n/a |
| ViaSat VSAT | United States | $8.81B | -9% | +1% | 2% | n/a | 42.8% | +15.5% |
| Nokia NOKIA.HE | Finland | $44.3B | -37% | +4% | 14% | 19.2× | 17.4% | -1.9% |
| Yealink Network Technology 300628.SZ | China | $7.50B | +8% | +17% | 46% | 16.2× | 4.3% | +17.0% |
| Hangzhou Hikvision Digital Technology 002415.SZ | China | $49.1B | -3% | +8% | 19% | 17.5× | 2.6% | +7.8% |
| Zhejiang Dahua Technology 002236.SZ | China | $7.04B | -21% | +7% | 7% | 12.3× | n/a | n/a |
| Shenzhen Sunway Communication 300136.SZ | China | $6.14B | -54% | +2% | 9% | 47.1× | 30.6% | +6.9% |
| Fiberhome Telecommunication Technologies 600498.SS | China | $5.50B | -42% | +16% | 1% | 21.5× | 12.8% | +3.4% |
| Jiang Su Etern 600105.SS | China | $4.82B | -48% | +49% | 12% | 24.4× | n/a | n/a |