LZ Technology Holdings Ltd.
LZ Technology Holdings Ltd. is an information technology and advertising company headquartered in Huzhou, China. The company specializes in three main business segments: Smart Community, Out-of-Home Advertising, and Local Life services. Through its Smart Community offerings, LZ Technology Holdings provides intelligent building access and safety management systems, utilizing advanced IoT applications and SaaS platforms to streamline residential property access and enhance community security. Its out-of-home advertising division enables merchants to display advertisements in various formats across these intelligent systems, creating integrated marketing opportunities within residential communities. The Local Life segment focuses on connecting businesses—such as restaurants, hotels, tourist companies, and retail stores—with consumers through digital promotions, coupons, and online-to-offline services, helping to drive both sales and customer engagement. Serving the broader communication services sector, LZ Technology Holdings plays a key role in bridging technology and traditional advertising, supporting the digital transformation of community living and local commerce in China. The company operates as a subsidiary of LZ Digital Technology Holdings Co., Ltd.
$0.76
-$0.04 (-4.38%)
EOD Oct 21, 2026
The business is unprofitable at the operating level (-15.59% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue grew 37.2%, still solid. Margins contracted 16.0pp, which offsets some of the top-line progress.
Free cash flow declined 1066% versus the prior year, cash generation momentum has weakened. ROIC dropped from 3.69% to -124.94%, capital efficiency is deteriorating.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
¥1.13B
▲ +37.2% YoY
Net Income (TTM)
-¥173M
▼ -3099.9% YoY
Op. Margin
-15.59%
▼ -16.0pp YoY
ROIC
-124.94%
▼ -128.6pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-¥42M
▼ -1066.5% YoY
Op. Cash Flow (TTM)
-¥40M
▼ -951.8% YoY
Net Debt
¥39M
Cash & Equiv.
¥23M
3Y CAGR: +90.6%
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Is LZ Technology Holdings (LZMH) overvalued?
LZ Technology Holdings (LZMH)'s valuation is best read against its own history, its peers, and the growth its price implies. A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, LZ Technology Holdings scores 25/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
Is LZ Technology Holdings a high-quality business?+
LZ Technology Holdings scores 25 out of 100 on Intrinsiqq's quality score, a weighted blend of 6 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a -15.6% operating margin and a -124.9% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is LZ Technology Holdings a good stock to buy right now?+
That depends on valuation and quality together, not either alone. you should weigh LZMH's valuation and scores 25/100 on quality (lower-quality). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.
Related stocks: Information Technology Services
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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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