ZTE (FRA:FZM) EBITDA Margin %: 6.37% (As of Mar. 2026) — 45% Below Median


FRA:FZM ZTE Corp FRA:FZM
82 GF Score
Price €2.76
GF Value €2.89
Valuation Fairly Valued
! 6 Warning Signs
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What is ZTE EBITDA Margin %?

ZTE FRA:FZM +2.48% 82 EBITDA Margin % is 6.37% as of Mar. 2026, which is 45% below its 10-year median of 11.67. GuruFocus rates FRA:FZM with a GF Score™ of 82/100 and a GF Value™ of €2.89 (Fairly Valued). The stock has 6 warning signs investors should review. Among 2,472 Hardware companies, ZTE ranks worse than 53.84% on this metric.

EBITDA Margin % is calculated as EBITDA divided by its Revenue. ZTE's EBITDA for the three months ended in Mar. 2026 was €280 Mil. ZTE's Revenue for the three months ended in Mar. 2026 was €4,391 Mil. Therefore, ZTE's EBITDA margin for the quarter that ended in Mar. 2026 was 6.37%.


ZTE  (FRA:FZM) EBITDA Margin % Explanation

EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.


ZTE EBITDA Margin % Related Terms


ZTE EBITDA Margin % Historical Data

* Premium members only.

The historical data trend for ZTE's EBITDA Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ZTE EBITDA Margin % Chart

ZTE Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBITDA Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.72 12.27 14.70 14.55 11.06

ZTE Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBITDA Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.61 9.15 3.65 3.90 6.37

FRA:FZM vs CSCO, CIEN, MSI: EBITDA Margin % Comparison

For the Communication Equipment subindustry, ZTE's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


ZTE EBITDA Margin % vs Hardware Industry

For the Hardware industry and Technology sector, ZTE's EBITDA Margin % distribution charts can be found below:

* The bar in red indicates where ZTE's EBITDA Margin % falls into.


FRA:FZM
82GF Score
ZTE Corp FRA:FZM
EBITDA Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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ZTE EBITDA Margin % Calculation

EBITDA margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent.

ZTE's EBITDA Margin % for the fiscal year that ended in Dec. 2025 is calculated as

EBITDA Margin %=EBITDA (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=1795.094/16235.053
=11.06 %

ZTE's EBITDA Margin % for the quarter that ended in Mar. 2026 is calculated as

EBITDA Margin %=EBITDA (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=279.527/4391.212
=6.37 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBITDA Margin % →
What does a EBITDA Margin % of 6.37% mean?
ZTE (FRA:FZM) has a EBITDA Margin % of 6.37% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on ZTE and its competitors. This is 45% below median its historical median of 11.67. According to the industry distribution chart, ZTE ranks #1331 out of 2472 companies in the Hardware industry, placing it in the top 53.8%.
Is ZTE's EBITDA Margin % too high?
ZTE's current EBITDA Margin % of 6.37% is 45% below median its 10-year median of 11.67. The Hardware industry median EBITDA Margin % is 7.01. ZTE's value of 6.37% is 9.1% below this industry median. Based on the distribution chart, ZTE ranks #1331 out of 2472 companies in the Hardware industry, which is below the industry midpoint. Overall, ZTE has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does ZTE's EBITDA Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, ZTE ranks #1331 out of 2472 companies for EBITDA Margin %. This places ZTE in the lower half of its industry. The industry median EBITDA Margin % is 7.01. ZTE's value of 6.37% is 9.1% below this benchmark. While the company's 10-year median is 11.67 vs. the industry median of 7.01, ZTE has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Hardware company?
The median EBITDA Margin % among Hardware companies is 7.01, based on 2,472 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ZTE's current EBITDA Margin % of 6.37% is 9.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on ZTE and its competitors. For the Hardware industry, the median EBITDA Margin % is 7.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ZTE's current EBITDA Margin % is 6.37%, which is 45% below median its own 10-year median of 11.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ZTE stock overvalued right now?
Based on GuruFocus' analysis, ZTE (FRA:FZM) is currently considered Fairly Valued. The stock's GF Value™ is €2.89, compared to a current price of €2.76 — trading 4.4% below its estimated fair value. The current EBITDA Margin % is 6.37%, which is 45% below median its 10-year median of 11.67 and 9.1% below the Hardware industry median of 7.01. ZTE's overall GF Score™ is 82/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For ZTE (FRA:FZM), the current EBITDA Margin % is 6.37% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is ZTE (FRA:FZM) Overvalued in 2026?

Based on GuruFocus' analysis, ZTE stock appears to be undervalued. The current stock price of €2.76 is trading 4.4% below its estimated GF Value™ of €2.89. GuruFocus considers ZTE to be Fairly Valued.

Key valuation signals for FRA:FZM:

  • EBITDA Margin %: 6.37% (45% below median its 10-year median of 11.67)
  • GF Value™: €2.89 vs. price of €2.76 (4.4% below fair value)
  • GF Score™: 82/100 with 6 warning signs
  • Industry Position: 9.1% below the Hardware median (#1331 of 2472)

No single metric tells the full story. See the FRA:FZM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ZTE Business Description

Address ZTE Plaza, Keji Road South, Hi-Tech Industrial Park, Nanshan District, Guangdong Province, Shenzhen, CHN, 518057
ZTE Corp is a provider of integrated telecommunications and IT solutions with a full range of end-to-end ICT products and solutions integrating design, development, production, sales, and services with a special focus on carriers networks, government and corporate business, and consumer business. It operates in three segments Carriers network, Consumer Business, and Government and Corporate Business. It generates a majority of its revenue from equipment supporting carriers' networks. It has a presence in the PRC, Asia, Africa, Europe, and the Americas. It generates the majority of its revenue from the PRC region.
82GF Score

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EBITDA Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€2.76
Price
€2.89
GF Value