(ZAPP) Zapp Electric Vehicles - Ratings and Ratios

Zapp Electric Vehicles Group Limited (NASDAQ:ZAPP) is a Thailand-based company specializing in the design, manufacturing, and distribution of electric vehicles under the Zapp brand. Established in 2017, the company focuses on urban mobility solutions, with its flagship product being the i300 electric motorcycle. The i300 is designed for efficient city commuting, offering a blend of affordability and sustainability in the growing Southeast Asian EV market. Zapp operates in a competitive landscape, leveraging Thailands strategic position as a regional automotive hub to expand its market reach.

From a technical standpoint, Zapps stock has shown recent volatility, with an Average True Range (ATR) of 0.10, indicating moderate price fluctuations. The stock is currently trading at $0.80, slightly below its 20-day Simple Moving Average (SMA) of $0.81 but significantly below its 50-day SMA of $1.00 and 200-day SMA of $3.11. This suggests a downtrend in the stock price over the past year, potentially reflecting broader market sentiment or company-specific challenges.

Fundamentally, Zapp operates with a market capitalization of $5.40M, classifying it as a micro-cap stock. The companys price-to-book (P/B) ratio of 6.20 indicates a premium valuation relative to its book value, while its price-to-sales (P/S) ratio of 309.84 suggests high expectations for future growth. The return on equity (RoE) of 2.45% reflects limited profitability relative to shareholder equity. Notably, the absence of trailing and forward P/E ratios implies that the company is either not generating net income or its earnings are negligible relative to its share price.

3-Month Forecast: Based on the convergence of technical and fundamental data, Zapps stock is likely to face continued headwinds in the near term. The stocks downward trajectory, as indicated by its SMA20 and SMA50, combined with its high valuation multiples, suggests limited upside potential. However, the low ATR and proximity to its SMA20 may provide near-term support around the $0.75 level. Should the stock breach this support, further downside to $0.50 is possible. Conversely, a breakout above $1.00 could signal a reversal, though this would require significant positive catalysts, such as improved earnings or strategic partnerships.