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CNFinance Holdings Ltd (CNF)
NYSE:CNF
US Market
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CNFinance Holdings (CNF) AI Stock Analysis

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CNF

CNFinance Holdings

(NYSE:CNF)

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Neutral 44 (OpenAI - 5.2)
Rating:44Neutral
Price Target:
$2.00
▼(-16.32% Downside)
Action:Reiterated
Date:07/18/26
The score is primarily held down by the 2025 fundamental break—large losses and a material drop in cash generation—with leverage and equity pressure adding risk. Technical indicators are mixed but the longer-term trend remains weak, and valuation is constrained by negative earnings and no provided dividend yield.
Positive Factors
Historic cash generation
Consistent free cash flow through 2021–2024 indicates a historically high cash conversion from lending operations, supporting loan funding, servicing and debt service without continual equity raises. That structural cash-generation record can provide a buffer as management stabilizes post-2025 performance.
Negative Factors
2025 earnings and cash collapse
A sharp 2025 earnings loss and concurrent fall in operating and free cash flow materially weaken the company’s self-funding ability. Over the next several months this constrains originations, heightens reliance on external funding, and reduces resilience to further credit volatility.
Read all positive and negative factors
Positive Factors
Negative Factors
Historic cash generation
Consistent free cash flow through 2021–2024 indicates a historically high cash conversion from lending operations, supporting loan funding, servicing and debt service without continual equity raises. That structural cash-generation record can provide a buffer as management stabilizes post-2025 performance.
Read all positive factors

CNFinance Holdings (CNF) vs. SPDR S&P 500 ETF (SPY)

CNFinance Holdings Business Overview & Revenue Model

Company Description
CNFinance Holdings Limited is a financial services provider based in the People's Republic of China, specializing in home equity financing. The company also offers microcredit solutions specifically designed for owners of micro and small enterpris...
How the Company Makes Money
CNFinance primarily makes money by originating consumer loans (notably home-equity loans) and earning interest income and loan-related fees over the life of those loans. Key revenue streams typically include: (1) Interest income from loans held on...

CNFinance Holdings Earnings Call Summary

Earnings Call Date:Aug 28, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Sep 01, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted the company's strategic focus on cost control, NPL recovery, and expansion into new business areas. However, these positives were countered by significant declines in loan transactions, loan balance, and interest income, alongside a net loss and increased nonperforming loan ratio.
Positive Updates
Increase in Sales Partners
The company has signed a total of 2,184 sales partners, marking a year-on-year increase of 2%. Additionally, 1,485 sales partners introduced borrowers, representing a 3.3% growth.
Negative Updates
Decrease in Loan Transactions
The number of loan transactions decreased by 78.1% year-on-year, and total loan origination dropped by 85.4% due to proactive efforts to control loan issuance and focus on reducing nonperforming loans.
Read all updates
Q2-2025 Updates
Negative
Increase in Sales Partners
The company has signed a total of 2,184 sales partners, marking a year-on-year increase of 2%. Additionally, 1,485 sales partners introduced borrowers, representing a 3.3% growth.
Read all positive updates
Company Guidance
In the first half of 2025, CNFinance Holdings Limited focused on strategic adjustments and business optimizations amid challenging market conditions, emphasizing a "survival first, victory first" principle. The company signed a total of 2,184 sales partners, a year-on-year increase of 2%, with 1,485 partners introducing borrowers, growing by 3.3%. However, proactive efforts to control loan issuance led to a 78.1% year-on-year decrease in loan transactions and an 85.4% drop in total loan origination. By June 30, 2025, the loan balance was RMB 11.2 billion, down 29.6% from the previous year. Despite a 55% decline in interest income to RMB 416 million, financing costs decreased by 32%, and operating expenses fell by 74%, demonstrating effective cost control. The net loss was RMB 40.4 million, largely due to an RMB 31.3 million impairment loss provision, with a nonperforming loan (NPL) ratio of 16.9%. The company achieved a 103% NPL recovery rate through diversified reduction measures, streamlined its organizational structure, and stabilized funding by engaging new institutional investors. Key priorities included reducing NPLs, ensuring stable funding, and expanding into new business areas by refining existing products and launching new ones.

CNFinance Holdings Financial Statement Overview

Summary
Financial performance is pressured by a sharp deterioration in 2025, with the business swinging from modest profitability in prior years to a large loss alongside materially weaker operating and free cash flow. While leverage improved into 2024 and historical cash conversion looked solid, debt remains significant and equity declined in 2025, increasing balance-sheet risk given the earnings break.
Income Statement
28
Negative
Balance Sheet
48
Neutral
Cash Flow
54
Neutral
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue625.95M1.60B1.84B1.84B1.37B
Gross Profit544.27M828.34M995.45M841.97M900.76M
EBITDA-54.72M59.83M207.39M174.83M97.59M
Net Income-457.58M37.78M164.62M135.35M65.21M
Balance Sheet
Total Assets10.26B15.03B16.36B14.48B14.39B
Cash, Cash Equivalents and Short-Term Investments820.25M1.79B2.70B2.41B3.48B
Total Debt4.22B5.95B8.96B7.87B8.10B
Total Liabilities6.67B10.97B12.36B10.54B10.57B
Stockholders Equity3.58B4.06B4.01B3.89B3.82B
Cash Flow
Free Cash Flow78.68M749.28M1.59B829.36M685.89M
Operating Cash Flow82.15M757.23M1.71B919.25M689.69M
Investing Cash Flow3.18B-263.67M-2.48B-1.10B-2.35B
Financing Cash Flow-4.07B-1.33B1.01B-288.16M1.93B

CNFinance Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.39
Price Trends
50DMA
2.79
Negative
100DMA
3.14
Negative
200DMA
4.25
Negative
Market Momentum
MACD
-0.18
Positive
RSI
38.21
Neutral
STOCH
14.30
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CNF, the sentiment is Negative. The current price of 2.39 is below the 20-day moving average (MA) of 2.44, below the 50-day MA of 2.79, and below the 200-day MA of 4.25, indicating a bearish trend. The MACD of -0.18 indicates Positive momentum. The RSI at 38.21 is Neutral, neither overbought nor oversold. The STOCH value of 14.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CNF.

CNFinance Holdings Risk Analysis

CNFinance Holdings disclosed 87 risk factors in its most recent earnings report. CNFinance Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

CNFinance Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$254.49M6.298.95%1.64%57.25%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
63
Neutral
$688.54M6.2016.71%38.14%34.02%
53
Neutral
$83.72M21.733.20%-9.83%
49
Neutral
$134.02M-13.53-0.01%16.21%-21.39%-231.70%
47
Neutral
$28.81M-0.03-286.01%-17.27%21.69%
44
Neutral
$14.06M-0.01-12.36%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CNF
CNFinance Holdings
2.14
-5.78
-72.98%
GHI
Greystone Housing Impact Investors
5.92
-3.71
-38.50%
SNFCA
Security National Financial
9.70
1.21
14.18%
IOR
Income Opportunity Realty Investors
20.75
2.31
12.53%
VEL
Velocity Financial
17.64
1.03
6.20%
PAPL
Pineapple Financial
1.23
-2.24
-64.55%

CNFinance Holdings Corporate Events

CNFinance Issues 2 Billion Class B Shares, Cementing Kylin’s Control
May 6, 2026
On May 6, 2026, CNFinance Holdings completed the issuance of 2 billion Class B ordinary shares to Kylin Investment Holdings at US$0.0001 per share, raising US$200,000 for general working capital. The transaction significantly reshaped the company&...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 18, 2026