Quality Momentum

QM · rank #15 · 2026-09-04

ZAB

GPW · PLN · $8.43B (USD)

SignalBuy1.4strength 1.4 / 10
verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1
Return from 12 months ago to 1 month ago.
+57.00%
ROE TTM
Return on equity, trailing 12 months.
+66.7%
Profit margin
Net profit margin, trailing 12 months.
+4.4%
Market cap (USD)
Size filter: > $300M required (USD-equivalent).
$8.43B
Anchor (recent)
Close on 2026-08-05
$31.40
Anchor (far)
Close on 2025-08-05
$20.00

The AI research card

Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.

Summary

Zabka Group (ZAB@GPW) is Poland's dominant convenience store operator with ~12,750 locations offering food, ready meals, and ancillary services, now formally listed on the GPW Main Market.

Rationale

The quality_momentum signal is reinforced by hard numbers — 57% price momentum aligns with accelerating Q2 2026 results (net profit +66% YoY, EBITDA margin expanding to 13.3%), while a 66.7% ROE reflects the capital-light franchise-driven model generating strong returns on a thin equity base.

Material risks

  • 1Like-for-like growth of only 3–4% on a maturing 12,750-store network signals that incremental unit economics are increasingly dependent on new store openings and Romania expansion rather than organic productivity gains, which could compress ROE as the network saturates.
  • 2With no long-term contracted revenue base and full exposure to Polish consumer discretionary spending, a macro or regulatory shock (e.g., Sunday trading restrictions, minimum wage hikes) could rapidly deflate both the earnings trajectory and the momentum signal simultaneously.

AI verdict council

Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.

OpenAI
Proceed
Claude
Proceed
Gemini
Error