Zip Co (ASX:ZIP) Quality Rank


ASX:ZIP Zip Co Ltd ASX:ZIP
63 GF Score
Price A$3.23
GF Value A$2.08
Valuation Significantly Overvalued
! 7 Warning Signs
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What is Zip Co Quality Rank?

The Quality Rank measures the business quality of a company relative to other companies. It is ranked based on the strength of the balance sheet, as well as the profitability and growth of the business. The ranked companies are split in equal numbers and then ranked from 1 to 10, with 10 being the highest.

The rank of balance sheet (30%)

The rank of balance sheet is done through the ranking of:
  • Interest coverage
  • Zscore
  • Debt to revenue
  • Equity to asset
  • Cash to debt

The rank of Profitability (70%)

The ranking of Profitability is done by ranking:
  • Operating margin mean rank (10-year mean average profit margine)
  • Operating margin growth rank
  • Fscore
  • Predictability rank
  • Revenue growth rank (5 year), when the growth is higher than 25%, set it as 25%
  • Num of year profit (number of years that is profitable within the last 10 years)
  • ROIC median (10-year median of ROIC)

Zip Co Quality Rank Related Terms

ASX:ZIP
63GF Score
Zip Co Ltd ASX:ZIP
Quality Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Is Zip Co (ASX:ZIP) Overvalued in 2026?

Based on GuruFocus' analysis, Zip Co stock appears to be overvalued. The current stock price of A$3.23 is trading 55.3% above its estimated GF Value™ of A$2.08. GuruFocus considers Zip Co to be Significantly Overvalued.

Key valuation signals for ASX:ZIP:

  • Quality Rank:
  • GF Value™: A$2.08 vs. price of A$3.23 (55.3% above fair value)
  • GF Score™: 63/100 with 7 warning signs

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

Zip Co Business Description

Other Exchanges ZIZTF:USAYRRA:Germany
Address 126 Phillip Street, Level 5, Sydney, NSW, AUS, 2000
Zip is a credit provider operating two segments: Australia and New Zealand, and the US. Founded in Australia in 2013, it has over 6 million active customers and partners with over 85,000 merchants. In Australia, Zip positions itself as a credit card alternative, with several revolving credit products. Customers can carry the balance over time with a monthly fee and set their own repayment schedule. The US and New Zealand offering is a far more vanilla BNPL offering: Pay-in-4 in New Zealand and Pay-in-Z in the US, where customers pay back in fixed instalments. The US segment is built on the 2020 acquisition of QuadPay and has recently become Zip's largest and fastest-growing segment.
63GF Score

Get the complete analysis for ASX:ZIP

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

A$3.23
Price
A$2.08
GF Value