Zhong Yang Financial Group Limited
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
We found at least one documented issue that threatens the company itself — regardless of how the stock is currently valued.
Why this colour
We rate the underlying business quality Red — and expressly not because of the price. That the stock trades at 348 times annual revenue is a valuation argument and would not be a reason on its own. Two documented substance findings decide it. First, ownership: on July 19, 2026 the company amended the exercise terms of warrants in which its own chair had built a $12 million position seven days earlier through a company she wholly owns; every holder exercised in full on a cashless basis that same day, and the company issued 360,534,431 shares with no cash proceeds. How that conflict of interest was handled appears in none of the filings. Second, the balance sheet: a loan book of $77.54 million, assembled in a single quarter, accounts for roughly half of all assets and is carried with no allowance, no collateral detail and no borrower information — at a company that has never once recorded an allowance against this book, while writing off its trading solution receivables in full. On top of that, the original core business fell 74 percent in the most recent quarter. In fairness: the cash position is strong after the $80 million placement, there is virtually no financial debt, and the company reports more fully than it is required to — without that openness none of this would be readable. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
TOP Financial is a Hong Kong online broker with 30 employees, 734 registered customers and $4.72 million of fiscal 2026 revenue. Between June 30 and August 17, 2026, Class A shares outstanding rose from 6,710,691 to 121,705,513; 360,534,431 of them were issued on July 20 with no cash proceeds, one day after the company amended the exercise formula of its warrants — and seven days after the chair of the board had bought warrants on 100 million shares through a company she owns. In parallel the loan book grew from $10.71 million to $77.54 million, roughly half of total assets, with no allowance disclosed. The AI initiative announced on August 4 does not appear in the quarterly report filed thirteen days later. Not investment advice.
Dilution
Class A shares outstanding rose from 6,710,691 (June 30, 2026) to 121,705,513 (August 17, 2026) — 18.1 times in seven weeks. An existing shareholder retains 5.5 percent of their previous stake. Of those shares, 360,534,431 (before the consolidation) went out with no cash proceeds.
Governance
On July 12, 2026 Quantum Leap Limited, the BVI company of chairwoman Junli Yang, bought warrants on 100 million shares for $12 million from the placement investors; on July 19, 2026 TOP Financial amended the exercise formula of those warrants, and every holder exercised in full on a cashless basis that same day (Schedule 13D of July 30, 2026; Form 8-K of July 20, 2026). The filings are silent on how the conflict of interest was handled.
Core business
Futures brokerage commissions — the original core business — fell in the quarter to June 30, 2026 from $638,546 to $164,201 (down 74 percent) and have run at roughly $1.83 million for two fiscal years, against about $4.3 million in fiscal 2022.
Balance sheet structure
The loan book grew in one quarter from $10.71 million to $77.54 million of principal, roughly half of total assets of $158.41 million (June 30, 2026) — disclosed in Note 4 with no allowance, no collateral detail, no maturity schedule and no borrower concentration.
Funding
The private placement that closed July 9, 2026 raised $80 million gross. Against a quarterly loss of $0.114 million and a fiscal 2026 loss of $1.176 million, funding pressure is not a near-term issue; interest-bearing debt consists only of $637,592 of promissory notes (plus $1.416 million of lease liabilities). Qualification: $64.98 million of the proceeds is documented as having arrived in the cryptocurrency USDT, and $58.95 million went straight out as loans — cash and cash equivalents fell during the quarter from $12.99 million to $10.41 million (as of June 30, 2026).
Disclosure
As a foreign private issuer TOP would only have to report semi-annually; in July 2026 the company voluntarily switched to U.S. domestic forms 10-K, 10-Q and 8-K (stated in the Form 8-K of July 13, 2026). Everything described here was disclosed. One qualification: for the seven initial statements of beneficial ownership (Form 3), the event date (March 18, 2026) and the filing date (July 31, 2026) are more than four months apart.
Worth Noting
The prompt for this analysis was our newsroom watching investor forums on August 21, 2026. No reliable mention count from a public measurement source was available at press time; the analysis rests solely on the company's SEC filings.
Data status: Form 10-Q for the quarter ended June 30, 2026 (filed August 17, 2026) fully reviewed; all filings from the July 7, 2026 annual report through the August 22, 2026 cut-off examined (five Form 8-K, one Schedule 13D, seven Form 3 and one late-filing notification — the NT 10-Q of August 17, 2026; the summer's second late-filing notice, the NT 10-K, is dated June 30, 2026 and therefore precedes the annual report). No further filing existed after the 10-Q as of August 22, 2026. Prices and market value as of August 20, 2026.
Risk of confusion: the company was named Zhong Yang Financial Group Limited until July 13, 2022, and some market-data services still carry the old name. The authoritative identifier is SEC CIK 0001848275. The ticker "TOP" is also a very generic string and is easily mistaken for other securities.
All share counts in this analysis are retroactively adjusted for the 1-for-5 share consolidation effective August 3, 2026 — the same basis the company uses in its quarterly report. Figures from filings made before that date (such as the 360,534,431 shares issued) are expressly labeled there as pre-consolidation numbers.
The Nasdaq minimum bid price deficiency that began on April 28, 2026 and would have run to October 26, 2026 is resolved: on June 17, 2026 the exchange confirmed compliance had been regained and closed the matter. The annual report dates the notice differently in two places — Item 1. Business, under "Recent Developments," gives April 28, 2026, while the Item 1A risk factor gives May 4, 2026; we follow Item 1, and the discrepancy changes neither the deadline nor the resolution.
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at TOP since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 0.622 $ to 16.70 $ · Last price: 15.50 $ (As of: September 25, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/25/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Capital Markets
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Zhong Yang Financial Group Limited TOP | 1.9 | – | 12.0 | 63.6 | -46.8 | 41.9 | 123.7 |
| Morgan Stanley MS | 309.6 | 17.0 | 0.0 | 87.6 | 40.6 | 11.5 | 26.3 |
| Goldman Sachs Group Inc GS | 276.0 | 17.1 | 0.0 | 82.1 | 38.6 | -1.4 | 20.0 |
| Charles Schwab Corp SCHW | 170.1 | 20.2 | 0.0 | 97.5 | 49.4 | 6.5 | 5.8 |
| Interactive Brokers Group Inc IBKR | 151.3 | 38.5 | 3.4 | 93.0 | 76.8 | 9.8 | 39.9 |
| Robinhood Markets Inc HOOD | 108.8 | 57.8 | 50.1 | 91.9 | 38.5 | 51.6 | -2.7 |
| Nomura Holdings Inc NMR | 29.5 | 12.0 | 0.0 | 78.0 | 30.8 | 5.6 | 38.0 |
| LPL Financial Holdings Inc LPLA | 25.4 | 27.4 | 12.1 | 29.9 | 11.1 | 37.2 | -6.3 |
| Circle Internet Group, Inc. CRCL | 24.2 | – | 42.9 | 22.0 | 6.5 | 63.9 | -28.6 |
| Median of companies shown | 108.8 | 20.2 | 3.4 | 82.1 | 38.5 | 11.5 | 20.0 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2019 | 11 | 2 | 1 | 0.13 | 4 | 5 | 13 |
| 2020 | 17 | 3 | 3 | 0.36 | -1 | 6 | 13 |
| 2021 | 17 | 5 | 5 | 0.71 | 4 | 7 | 10 |
| 2022 | 8 | 4 | 3 | 0.49 | 2 | 10 | 14 |
| 2023 | 10 | 3 | 3 | 0.49 | -6 | 36 | 40 |
| 2024 | 8 | 1 | 1 | 0.16 | 18 | 41 | 58 |
| 2025 | 3 | -6 | -6 | -0.81 | -14 | 35 | 47 |
| 2026 | 5 | -1 | -1 | -0.16 | 14 | 34 | 86 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
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· Total · per year
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The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2022: Q4 | – | – | 2 | – | 34.40 | -1 | -1 |
| 2023: Q1 | – | – | 5 | – | 34.40 | -1 | -1 |
| 2023: Q2 | – | – | 4 | -22.50 | 51.30 | 1 | 1 |
| 2023: Q3 | – | – | 7 | 38.60 | 51.30 | 3 | 3 |
| 2024: Q2 | – | – | 1 | -75.20 | -294.60 | 15 | 15 |
| 2025: Q2 | 0.00 | – | 2 | 67.40 | -371.40 | -6 | -6 |
| 2025: Q4 | 0.01 | 200.00 | 3 | 55.70 | 6.60 | 7 | 7 |
| 2026: Q2 | – | – | 2 | 24.80 | -73.40 | 7 | 6 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 2 of our scanner strategies — each hit links to the scanner.
Research
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
Valuation
What is priced in?
Instead of guessing what the stock is worth, we turn the question around: what free cash flow growth has to happen for today’s market value to add up? The assumptions behind it can be moved.
Today’s market value implies roughly 44.3% growth in free cash flow per year over ten years (assumptions: discount rate 10.0%, terminal growth 2.5%).
| Free cash flow (last twelve months) | $7.2M |
|---|---|
| Market cap | $1.93B |
| Free cash flow in year ten | $284.0M |
| Terminal value as a share of market value | 77.7% |
For comparison: over the past five years free cash flow grew by 24.9% per year.
It shows which assumption is built into today’s price, not whether that assumption will hold. Every assumption can be changed with the sliders; the figures move with them.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
Geprüft am 21.08.2026 gegen den Quartalsbericht (10-Q) zum 30.06.2026 (eingereicht 17.08.2026), den Geschäftsbericht (10-K) für das Geschäftsjahr 2026 (eingereicht 07.07.2026) und die Jahresberichte 20-F der Geschäftsjahre 2025 und 2024: In keinem dieser vier Periodenberichte kommt der Begriff „artificial intelligence“ oder „machine learning“ auch nur ein einziges Mal vor. TOP Financial ist ein Hongkonger Online-Broker für Futures und Wertpapiere; die Erlöse stammen aus Provisionen, Zinsen des lizenzierten Geldverleih-Geschäfts, Handelsergebnissen und Handelslösungen — keine KI-Umsatzquelle, kein belegter operativer KI-Einsatz, kein eigenständiger KI-Risikofaktor. Der einzige KI-Bezug ist eine Absichtserklärung: Am 04.08.2026 meldete die Gesellschaft nach Punkt 7.01 (nur „furnished“, nicht „filed“, ohne die Haftung nach Abschnitt 18 des US-Börsengesetzes), der Verwaltungsrat habe am 31.07.2026 die Einrichtung einer KI-Initiative genehmigt; die beigefügte Pressemitteilung spricht von einem „watershed moment“. Entscheidend für die Einstufung ist, dass dieselbe Gesellschaft dreizehn Tage später ihren Quartalsbericht einreichte — mit einem eigenen Abschnitt zu geplanten neuen Geschäftsfeldern, in dem Differenzkontrakte (CFD) für 2027, Treuhanddienste, Investor Relations und Vermögensverwaltung stehen, die KI-Initiative aber nicht. Eine angekündigte, in keinem Periodenbericht wiederauftauchende Absicht begründet nach dem Kriterienkatalog weder „verkauft“ noch „nutzt“. Bei der nächsten Quartals-Fortschreibung ist zu prüfen, ob die KI-Initiative erstmals im 10-Q auftaucht.
View the full file — quotes, sources, reviewed filings
„On July 31, 2026, the board of directors (the ‚Board‘) of TOP Financial Group Limited … approved the establishment of a dedicated artificial intelligence development initiative (the ‚AI Initiative‘), pursuant to which the Company intends to develop and deploy artificial intelligence solutions to support, optimize and scale the Company’s core financial business lines."
Am 31. Juli 2026 genehmigte der Verwaltungsrat von TOP Financial Group Limited die Einrichtung einer eigenen Initiative zur Entwicklung künstlicher Intelligenz (die ‚KI-Initiative‘), im Rahmen derer die Gesellschaft beabsichtigt, KI-Lösungen zu entwickeln und einzusetzen, um die Kerngeschäftsfelder der Gesellschaft zu unterstützen, zu optimieren und zu skalieren.
8-K · 2026-08-04 · View SEC filing
„This strategic expansion into artificial intelligence marks a watershed moment for TOP Financial Group, said Mr. Ka Fai Yuen, CEO of the Company."
„Diese strategische Ausweitung auf künstliche Intelligenz markiert einen Wendepunkt für TOP Financial Group“, sagte Herr Ka Fai Yuen, Vorstandsvorsitzender der Gesellschaft.
8-K · 2026-08-04 · View SEC filing
„We are preparing the launch of CFD products and services in the year of 2027. We expect to generate CFD trading revenues"
Wir bereiten die Einführung von Differenzkontrakt-Produkten und -Dienstleistungen im Jahr 2027 vor. Wir erwarten, daraus Handelserlöse zu erzielen
10-Q · 2026-08-17 · View SEC filing
Filings Reviewed: 10-Q 2026-08-17 · 8-K 2026-08-04 · 8-K 2026-07-20 · 10-K 2026-07-07 · 20-F 2025-08-13 · 20-F 2024-07-30
Rated on August 21, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years -21.3%
- More than 10% revenue growth is expected for the coming year no data
- Share count grows by less than 3% a year 1.9%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") 319.7%
- Gross margin at 40% or higher and without meaningful erosion 52.0%
- Goodwill from acquisitions does not grow faster than revenue 0.0%
- Net debt below twice EBITDA 10 m net cash
- Operating cash flow covers the profits of the last three years 23 m
- Return on capital at 15% or higher, or up versus two years ago -1.9%
- Insiders hold at least 10% or are net buyers 17.1%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
1/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% -11.1%
- Exp. sales growth 3Y > 5% –
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% –
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight 6
- Max. EBIT decline < 50% 100.0%
- Return on equity > 15% -3.5%
- ROCE > 15% -1.9%
- Expected return > 10% –
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
The company
About the Company
TOP Financial Group Limited ist über ihre Tochtergesellschaften als Online-Brokerage-Unternehmen in Hongkong tätig. Sie ist am Handel mit Aktien, Futures und Optionsprodukten sowie an der Bereitstellung von Brokerage- und Mehrwertdiensten beteiligt, einschließlich Orderplatzierung und -ausführung, Kontoverwaltung sowie Kundensupport. Das Unternehmen bietet außerdem eine Reihe von Futures-Produkten an, wie Index-, Devisen-, Agrarprodukt-, Energie- und Edelmetall-Futures, und agiert als Treuhänder bei Transaktionen im Zusammenhang mit Wertpapierverkäufen und -übertragungen. Darüber hinaus bietet es Aktien- und Optionsbrokerage, strukturierte Produkte für Zeichner, Beratung, Devisenhandel, Margenfinanzierung, OTC-Derivatehandel und Kreditdienstleistungen an. Das Unternehmen hieß früher Zhong Yang Financial Group Limited und änderte seinen Namen im Juli 2022 in TOP Financial Group Limited. TOP Financial Group Limited wurde 2015 gegründet und hat ihren Hauptsitz in Singapur.
- Employees
- 30
- Headquarters
- Singapore, Singapore
- Address
- #13-05 Tong Eng Building, 069533 Singapore, Singapore
- Phone
- 65 6252 8998
- Website
- zyfgl.com
- IPO Date
- 06/01/2022
- ISIN
- KYG989A61029
- Stock Split
- 1:5 on 08/03/2026
Management
| Name | Title | Birth Year |
|---|---|---|
| Junli Yang | Executive Chairwoman | 1979 |
| Ka Fai Yuen | CEO & Director | 1975 |
| Yung Yung Lo | Chief Financial Officer | 1983 |
| Hoi Ling Tam | Chief Operating Officer | 1978 |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 09/21/2026 TOP Financial Group Ltd (TOP): Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers SEC ↗
- 09/04/2026 TOP Financial Group Ltd (TOP): Regulation FD Disclosure; Financial Statements and Exhibits SEC ↗
Data as of: September 25, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.