Lexinfintech (LX)
NASDAQ:LX
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Lexinfintech Holdings
(NASDAQ:LX)
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Rating:69Neutral
Price Target:
$3.00
▼(-9.09% Downside)
Action:DowngradedDate:11/25/25
Lexinfintech Holdings' strong valuation and financial performance are tempered by technical weaknesses and regulatory challenges. The stock's undervaluation and high dividend yield are significant positives, but bearish technical indicators and cash flow concerns present risks.
Positive Factors
Record Net Profit Growth
Sustained, large YoY net profit growth indicates robust core earnings power and resilient loan economics. Record profits improve retained earnings and support capital returns and reinvestment, providing durable buffer for regulatory shocks and strategic initiatives.
Negative Factors
Weak Cash Conversion
Deteriorating free cash flow signals difficulty converting accounting profits into cash, limiting internal funding for lending, dividend sustainability, and buybacks. Persistent cash conversion weakness raises refinancing and liquidity risk across a multi-quarter horizon.
Read all positive and negative factors
Positive Factors
Negative Factors
Record Net Profit Growth
Sustained, large YoY net profit growth indicates robust core earnings power and resilient loan economics. Record profits improve retained earnings and support capital returns and reinvestment, providing durable buffer for regulatory shocks and strategic initiatives.
Read all positive factors
Lexinfintech Holdings (LX) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$375.23M
Dividend Yield8.86%
Average Volume (3M)1.55M
Price to Earnings (P/E)2.4
Beta (1Y)1.59
Revenue Growth-0.60%
EPS Growth135.15%
CountryUS
Employees4,667
SectorFinancial
Sector Strength70
IndustryFinancial - Credit Services
Share Statistics
EPS (TTM)0.09
Shares Outstanding132,592,390
10 Day Avg. Volume1,793,146
30 Day Avg. Volume1,547,660
Financial Highlights & Ratios
PEG Ratio2.58
Price to Book (P/B)0.65
Price to Sales (P/S)0.49
P/FCF Ratio8.41
Enterprise Value/Market Cap9.13
Enterprise Value/Revenue0.24
Enterprise Value/Gross Profit0.69
Enterprise Value/Ebitda1.90
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)8.09
Revenue Forecast (FY)$11.84B
Lexinfintech Holdings Business Overview & Revenue Model
Company Description
LexinFintech Holdings Ltd., through its subsidiaries, offers online consumer finance services in the People's Republic of China. The company operates Fenqile.com, an online consumption and consumer finance platform that offers installment purchase...
How the Company Makes Money
Lexinfintech generates revenue through a diversified model primarily centered around interest income from consumer loans, service fees, and transaction fees. The company earns interest on the loans it disburses to consumers, which constitutes a si...
Lexinfintech Holdings Earnings Call Summary
Earnings Call Date:Mar 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 27, 2026
Earnings Call Sentiment Neutral
The call communicates a mixed but resilient outlook: the company demonstrated strong full-year profitability, user rebound and meaningful improvements (AI adoption, e-commerce margin expansion, lower funding costs, stronger provisioning and capital/return measures). However, Q4 experienced significant top-line compression, higher credit costs and elevated delinquency metrics driven by regulatory-driven pricing caps and industry liquidity tightening. Management emphasized prudent risk management, ecosystem diversification and a cautious path to gradual recovery, while withholding full-year 2026 guidance due to macro uncertainty.Positive Updates
Full-Year Profitability and Growth
Net profit for full year 2025 was RMB 1.7 billion, representing a year-over-year increase of 52.4%.
Negative Updates
Quarterly Revenue and Net Income Decline
Total net revenue for Q4 was RMB 1.5 billion, down 26% (RMB 530 million) quarter-over-quarter; net income fell to RMB 214 million in Q4, a sequential decrease of RMB 307 million.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Profitability and Growth
Net profit for full year 2025 was RMB 1.7 billion, representing a year-over-year increase of 52.4%.
Read all positive updates
Company Guidance
Management guided that loan originations should remain roughly stable in Q1 2026 at Q4 levels (Q4 loan volume RMB50.0bn; FY2025 total loan volume RMB205.3bn), while they are not providing full‑year 2026 guidance; they expect pricing to continue down from the Q4 weighted‑average APR of 21.7% (down 140bps QoQ) and funding‑cost dynamics to remain important after funding cost fell from 4.4% to 3.8% in Q4. They said credit costs that rose by RMB185m to RMB1.3bn and a gross provision ratio on new loans of 7.24% (up 27bps QoQ, above historical peak vintage charge‑off ~6.1%) should gradually optimize but with prudent, ample provisioning retained, and they aim to bring loan risk back within target appetite by H2 2026 after seeing day‑1 delinquency improve (Dec down 8% vs Oct and over 10% decline from its October peak) despite Q4 QoQ day‑1 +7% and 90+ day delinquency +3%. Operationally they will become more proactive on high‑quality user acquisition as risk stabilizes, continue cost discipline (OPEX down 11% to RMB1.2bn), and maintain shareholder returns (Q4 net income RMB214m; cash ~RMB4.0bn; shareholders’ equity ~RMB12bn; ADS repurchases USD39m completed and CEO >USD10m personal buy; 2025 dividend USD0.2382 per ADS, >100% YoY).Lexinfintech Holdings Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
72
Positive
Cash Flow
60
Neutral
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 14.01B | 14.20B | 13.06B | 9.87B | 11.38B | 11.65B |
| Gross Profit | 4.97B | 5.03B | 4.51B | 3.03B | 5.75B | 3.63B |
| EBITDA | 1.81B | 1.51B | 1.52B | 1.23B | 2.98B | 870.44M |
| Net Income | 1.61B | 1.10B | 1.07B | 819.75M | 2.33B | 594.98M |
Balance Sheet | ||||||
| Total Assets | 22.51B | 22.24B | 23.14B | 22.77B | 21.03B | 20.35B |
| Cash, Cash Equivalents and Short-Term Investments | 2.08B | 2.33B | 2.82B | 1.76B | 2.66B | 1.56B |
| Total Debt | 4.88B | 5.27B | 5.51B | 9.26B | 7.67B | 9.33B |
| Total Liabilities | 10.91B | 11.50B | 13.43B | 14.12B | 12.96B | 14.81B |
| Stockholders Equity | 11.60B | 10.74B | 9.71B | 8.65B | 8.03B | 5.49B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 834.40M | 2.56B | -49.97M | 2.55B | -297.59M |
| Operating Cash Flow | 0.00 | 1.08B | 2.79B | 98.84M | 2.67B | -211.02M |
| Investing Cash Flow | 0.00 | -904.88M | 2.33B | -2.41B | 414.62M | -2.14B |
| Financing Cash Flow | 0.00 | -387.28M | -3.85B | 1.11B | -1.78B | 1.23B |
Lexinfintech Holdings Technical Analysis
Negative
3.30
Price Trends
2.66
Negative
2.99
Negative
4.45
Negative
Market Momentum
-0.15
Negative
39.57
Neutral
58.73
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LX, the sentiment is Negative. The current price of 3.3 is above the 20-day moving average (MA) of 2.36, above the 50-day MA of 2.66, and below the 200-day MA of 4.45, indicating a bearish trend. The MACD of -0.15 indicates Negative momentum. The RSI at 39.57 is Neutral, neither overbought nor oversold. The STOCH value of 58.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LX.
Lexinfintech Holdings Risk Analysis
Lexinfintech Holdings disclosed 106 risk factors in its most recent earnings report. Lexinfintech 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
Lexinfintech Holdings Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $148.62M | 28.48 | 0.54% | 10.37% | 10.48% | -30.67% | |
72 Outperform | $1.31B | 3.73 | 15.80% | 5.20% | 9.32% | 29.40% | |
72 Outperform | $1.51B | 1.55 | 24.99% | 7.30% | 13.96% | 39.32% | |
69 Neutral | $375.23M | 2.38 | 14.37% | 8.86% | -0.60% | 135.15% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
| ― | $2.33B | -2.45 | 0.96% | ― | ― | ― |
* Financial Sector Average
LX
Lexinfintech Holdings
2.23
-4.31
-65.93%
YRD
Yiren Digital
1.72
-3.44
-66.67%
FINV
FinVolution Group
5.17
-2.61
-33.53%
QFIN
Qifu Technology
13.51
-21.61
-61.53%
LU
Lufax Holding
1.91
-0.64
-25.10%
Lexinfintech Holdings Corporate Events
LexinFintech Reports Strong Q3 2025 Results Amid Regulatory Changes
Nov 24, 2025
LexinFintech Holdings Ltd. reported its unaudited financial results for the third quarter of 2025, highlighting a net income of RMB521 million, a 68% increase year-over-year. The company successfully navigated regulatory changes by adjusting its o...
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.