Zepp Health Corporation American depositary shares each representing sixteen Class A ordinary shares (ZEPP)

FairStock Score: 63/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I start with price and business quality. On 2026-10-13, Zepp Health traded at $3.55, a $240.3M market cap, and FairStock’s calculation put it at 0.29 times book. That is the kind of statistic Graham might notice. But a low price-to-book is only attractive if the book value is real and not melting. Here, FairStock calculates a P/E of -0.57, EPS of -$6.24, ROE of -21.23%, and ROCE of -3.92%. In the latest reported fiscal Q2 2026, revenue was $63.5 million, net income was -$11.3 million, and margin was -17.84%. Those are not the marks of a durable consumer franchise. Revenue growth of 43.03% and profit growth of 70.25% sound promising, but they come against a loss-making base, so I want evidence that the trend reaches actual profitability. The company sells wearables and health tech under Amazfit and related brands, a competitive field with no obvious wide moat. Its balance sheet has a debt-to-equity ratio of 0.73, and FairStock’s Altman Z-score of 0.25 flags meaningful financial risk. The Piotroski F-score of 5/9 is middling. The FairStock Score of 63/100 suggests some merit, but the Lynch category is none because there are not three years of filed results. With a beta of 1.89 and a 52-week range from $3.39 to $56.28, this is a speculative turnaround. I would need a safer balance sheet and consistent profits before calling it a sound value.

In plain English: Zepp Health makes smart watches, bands, rings and other health-related devices under brands like Amazfit. The business is not strong right now: in fiscal Q2 2026 it had $63.5 million of revenue but lost $11.3 million, and its overall earnings are negative. The share price looks low compared with the company's accounting value, but because it is losing money the stock is cheap mainly in a risky, unproven way.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer