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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#4830
Positioning
Market Dominance
Services
Personal Services
$2M
Farhan Qadir
Color Star Technology Co., Ltd. provides online entertainment performances and music education services. The company operates Color World, an online platform of curriculum that includes music, sports, animation, painting and calligraphy, film and television, life skills, etc.
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X-AXIS: EV/EBITDA (LOWER = CHEAPER) | Y-AXIS: ROE (HIGHER = ELITE) | RED CIRCLE = ZNB ANALYSIS TARGET
| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$YALA Yalla Group Ltd | 75 | 89 | 99 | 80 | - | - | 21.3% | 18.6% | 64.5% | 35.7% | 39.5% | 6.5% | 0.0% | 0.0x | $644M | VS | |
$GRVY GRAVITY Co., Ltd. | 75 | 82 | 96 | 71 | - | - | 15.4% | 12.6% | 38.7% | 17.1% | 17.0% | -39.7% | 0.0% | 0.0x | $439M | VS | |
$ISSC INNOVATIVE SOLUTIONS & SUPPORT INC | 73 | 81 | 88 | 94 | 25.0x | 14.1x | 28.1% | 16.8% | 48.1% | 23.8% | 18.5% | 78.6% | 0.0% | 37.0x | $220M | VS | |
$AER AerCap Holdings N.V. | 72 | 60 | 87 | 84 | - | - | 12.4% | 2.9% | 100.0% | 28.2% | 26.2% | 5.5% | 0.8% | 264.0x | $19.4B | VS | |
$HCSG HEALTHCARE SERVICES GROUP INC | 72 | 74 | 88 | 88 | 7.1x | 6.1x | 28.9% | 20.8% | 20.8% | 9.9% | 9.3% | 8.5% | 0.0% | 1.0x | $1.2B | VS | |
$LQDT LIQUIDITY SERVICES INC | 72 | 90 | 88 | 68 | 24.9x | 14.3x | 14.6% | 7.8% | 43.8% | 7.4% | 5.9% | 31.2% | 0.0% | 0.0x | $857M | VS | |
$TRTNpA Triton International Ltd | 71 | 70 | 89 | 70 | - | 1.7x | 18.0% | 4.6% | 97.3% | 52.2% | 32.7% | -3.4% | 0.0% | 271.0x | $8.0B | VS | |
$EDU New Oriental Education & Technology Group Inc. | 71 | 83 | 52 | 77 | - | - | 9.4% | 4.9% | 55.5% | 8.7% | 7.7% | 13.6% | 1.3% | 7.0x | $78.0B | VS | |
$NTES NetEase, Inc. | 71 | 88 | 93 | 68 | - | - | 22.1% | 15.6% | 62.5% | 28.1% | 28.7% | -1.0% | 2.8% | 9.0x | $56.6B | VS | |
$UTI UNIVERSAL TECHNICAL INSTITUTE INC | 70 | 86 | 86 | 72 | 43.2x | 16.0x | 21.4% | 8.0% | 100.0% | 10.0% | 7.5% | 14.1% | 0.0% | 27.0x | $1.8B | VS | |
$ZNB Color Star Technology Co., Ltd. | 22 | 17 | 0 | 7 | - | - | -737.5% | -480.2% | -2.9% | -382.3% | -492.8% | 208.3% | 0.0% | 19.0x | $2M | ||
| SECTOR BENCH | - | - | - | - | - | 23.7x | 11.7x | 5.3% | 1.9% | 59.6% | 3.5% | 2.3% | 7.8% | 0.0% | 0.3x | - | REF |
Color Star Technology Co., Ltd. (ZNB) receives a "Avoid" rating with a composite score of 22.0/100. It ranks #4830 out of 7,333 stocks in our coverage universe and carries a 1-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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Lagging peers — losers tend to keep underperforming
Expensive relative to fundamentals — limited margin of safety
Weak fundamentals — higher risk of value trap
High volatility — wider range of outcomes increases timing risk
Moderate investment profile
Below-average composite — caution warranted
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Relative valuation derived from Services sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for ZNB.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 17 | 3 | +14ALPHA |
| MOMENTUM | 7 | 3 | +4NEUTRAL |
| VALUATION | 0 | 0 | 0NEUTRAL |
| INVESTMENT | 37 | 63 | -26DRAG |
| STABILITY | 2 | 0 | +2NEUTRAL |
| SHORT INT | 58 | 74 | -16DRAG |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROIC -806.8% vs WACC 20.8% (spread -827.6%)
GM -3% vs sector 60%, OM -382% vs sector 4%
Capital turnover 2.67x, R&D intensity 0.0%
Rev growth 208%, 7yr history
Interest coverage -5.2x
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate Color Star Technology Co., Ltd. (ZNB) as Avoid with a composite score of 22.0/100 at a current price of $0.25. The stock falls in the bottom quintile, and the multi-factor weakness suggests a high probability of continued underperformance.
Color Star Technology Co., Ltd. holds a top-quartile position (#0 of 50) within the Services sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 22.0/100 places it at rank #4830 in our full universe.
No Moat
Very High
Poor
Fair Value
Stable competitive position in a defensive sector.
Weak momentum suggests persistent institutional selling pressure.
Below-average quality raises earnings sustainability concerns.
Vulnerability to macroeconomic shocks and interest rate volatility.
Color Star Technology Co., Ltd. represents a avoid based on multi-factor quantitative performance.
Our quantitative model flags Color Star Technology Co., Ltd. with an Avoid rating, assigning a composite score of 22.0/100 and 1 out of 5 stars. Ranked #4830 of 7,333 stocks, ZNB falls in the bottom tier across key factors. Historically, stocks with this profile have faced elevated risk of underperformance and capital loss.
Color Star Technology Co., Ltd. registers a weak quality score of just 17/100, indicating significant profitability challenges. The company reports a return on equity of -737.5% (sector avg: 5.3%), gross margins of -2.9% (sector avg: 59.6%), net margins of -492.8% (sector avg: 2.3%). Low quality scores are often associated with businesses in turnaround mode, early-stage growth, or structurally challenged industries.
ZNB registers a value score of just 0/100, suggesting the stock trades at a significant premium to its fundamental metrics. Key valuation metrics include a P/B ratio of 1.62x. High-premium valuations like this require strong future execution to avoid multiple compression, and downside risk is elevated if growth disappoints.
Color Star Technology Co., Ltd.'s investment score of 37/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of 208.3% vs. a sector average of 7.8% and a return on assets of -480.2% (sector: 1.9%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
Color Star Technology Co., Ltd. is experiencing notably weak momentum with a score of just 7/100. The stock has underperformed its peers and is trending below major moving averages. Revenue growth stands at 208.3% year-over-year, while a beta of 14.20 reflects its sensitivity to broader market moves. While deep momentum weakness can occasionally present value opportunities, it often reflects deteriorating fundamentals or structural headwinds that may persist.
Color Star Technology Co., Ltd. registers a low stability score of 2/100, indicating high volatility and potentially stressed financial conditions. Key stability metrics include a beta of 14.20 and a debt-to-equity ratio of 19.00x (sector avg: 0.3x). Stocks at this level carry elevated capital loss risk and may be unsuitable for conservative portfolios without careful risk management.
The short interest score of 58/100 for ZNB suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include high market sensitivity (beta: 14.20), elevated leverage (D/E: 19.00x), micro-cap liquidity risk. With a $2M market cap (micro-cap), Color Star Technology Co., Ltd. may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
Color Star Technology Co., Ltd. is a micro-cap company in the Services sector, ranked #0 of 50 in its sector (100th percentile) and #4830 of 7,333 overall (34th percentile). Key comparisons include ROE of -737.5% trailing the 5.3% sector median and operating margins of -382.3% below the 3.5% sector average. This top-quartile standing reflects exceptional competitive strength relative to Services peers.
While ZNB currently exhibits a AVOID profile, superior opportunities exist within the SERVICES sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
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Improvement in Value (0) would have the largest impact on the composite score.
ROE 13989% BELOW SECTOR MEDIAN
Gross Margin 105% BELOW SECTOR MEDIAN
Op. Margin 10991% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081
New York, Oct. 09, 2025 (GLOBE NEWSWIRE) -- Univest Securities, LLC (“Univest”), a member of FINRA and SIPC, and a full-service investment bank and securities broker-dealer firm based in New York, today announced the closing of a registered direct offering (the “Offering”) of approximately $15 million for its client Zeta Network Group (NASDAQ: ZNB) (the “Company”), an entertainment and education company that provides online entertainment performances and online music education services. Under th

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