Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Credit Analyst, Lucror Analytics

Shu Hui Woon

Credit Analyst

Credit

We view Zoomlion as "High Risk" on the LARA scale, mainly due to its moderate financial profile. The company has concentrated exposure to China's construction machinery segment, which is in turn reliant on infrastructure and construction spending in the country. Furthermore, a downturn in the property sector has had an indirect impact on Zoomlion. Globally, the industry is dominated by a few MNCs. Zoomlion has a strong domestic market position, and is the world's seventh-largest heavy machinery manufacturer. The company enjoys a close affiliation with the Chinese government, with its largest shareholder being a SOE. This improves Zoomlion's access to refinancing capital. We expect the construction machinery industry to benefit from rising replacement demand and infrastructure development. Our Credit Bias on Zoomlion is "Stable", reflecting the company's stable revenue. That said, we remain cautious about the likelihood of overdue risks resulting from the tough economic conditions. Additionally, capex has increased significantly and is expected to remain high, given the need to construct relocated plants and upgrade the company's products. Overall investor sentiment is supported by Zoomlion's operating track record and its largest shareholder, Hunan Xing Xiang Investment (a SOE). This may facilitate continued access to domestic debt markets. Controversies are "Immaterial" and the ESG Impact on Credit is "Neutral".

  We view Zoomlion as "High Risk" on the LARA scale, mainly due to its moderate financial profile. The company has concentrated exposure to China's construction machinery segment, which is in turn reliant on infrastructure and construction spending in the country. Furthermore, a downturn in the property sector has had an indirect impact on Zoomlion. Globally, the industry is dominated by a few MNCs.   Zoomlion has a strong domestic market position, and is the world's seventh-largest heavy machinery manufacturer. The company enjoys a close affiliation with the Chinese government, with its largest shareholder being a SOE. This improves Zoomlion's access to refinancing capital. We expect the construction machinery industry to benefit from rising replacement demand and infrastructure development.   Our Credit Bias on Zoomlion is "Stable", reflecting the company's stable revenue. That said, we remain cautious about the likelihood of overdue risks resulting from the tough economic conditions. Additionally, capex has increased significantly and is expected to remain high, given the need to construct relocated plants and upgrade the company's products. Overall investor sentiment is supported by Zoomlion's operating track record and its largest shareholder, Hunan Xing Xiang Investment (a SOE). This may facilitate continued access to domestic debt markets.   Controversies are "Immaterial" and the ESG Impact on Credit is "Neutral". 

Zoomlion Heavy Industry H

Zoomlion - Tear Sheet - Lucror Analytics