Uxin (UXIN) AI Stock Analysis

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Uxin

(NASDAQ:UXIN)

40Underperform

Uxin's overall stock score reflects its precarious financial condition and mixed technical indicators. While the earnings call highlighted strong growth in retail transactions and improved operational efficiency, the company's negative cash flows, high debt, and valuation concerns overshadow these positive aspects. The negative P/E ratio and lack of dividend yield further impact the score negatively.

Uxin (UXIN) vs. S&P 500 (SPY)

Market Cap

$637.14M

Dividend YieldN/A

Average Volume (3M)28.81K

Price to Earnings (P/E)―

Beta (1Y)1.11

Revenue Growth9.33%

EPS Growth50.69%

CountryUS

Employees846

SectorConsumer Cyclical

Sector Strength55

IndustryAuto - Dealerships

Share Statistics

EPS (TTM)-20.37

Shares Outstanding187,810,650

10 Day Avg. Volume27,191

30 Day Avg. Volume28,810

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)3.82

Price to Cash Flow (P/CF)N/A

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Uxin Business Overview & Revenue Model

Company DescriptionUxin Limited (UXIN) is a leading e-commerce platform specializing in the acquisition and sale of used cars across China. It operates within the automotive and technology sectors, providing a comprehensive online marketplace that connects buyers and sellers. Uxin's platform offers a wide range of services, including vehicle inspection, appraisal, financing, and after-sales support, ensuring a seamless and trustworthy car buying experience for consumers.

How the Company Makes MoneyUxin makes money primarily through transaction fees and commissions earned on the sale of used cars via its platform. The company collects fees from sellers for listing their vehicles and charges a percentage of the sale price upon successful transactions. Additionally, Uxin generates revenue through value-added services such as vehicle financing, where it partners with financial institutions to offer loans to buyers, and after-sales services, which include extended warranties and insurance products. These diversified revenue streams are bolstered by strategic partnerships with financial and automotive service providers, enhancing Uxin's ability to offer comprehensive solutions to its customers.

Uxin Financial Statement Overview

Summary

Uxin is facing significant financial difficulties, characterized by persistent losses, high debt levels, and negative cash flows. The company's financial health is concerning, with a need for operational improvements and strategic initiatives to stabilize and enhance financial performance.

Income Statement

Negative

Uxin's income statement reveals a challenging financial situation with consistent losses. The gross profit margin has improved slightly over the years but remains low. Both EBIT and net margins are significantly negative, indicating operational inefficiencies and high costs relative to revenue. Revenue has decreased over the years, and the company has not achieved profitability, reflected in negative net profit margins.

Balance Sheet

Very Negative

Uxin's balance sheet displays a precarious financial position. The company has negative stockholders' equity, indicating liabilities exceed assets, which is a significant risk. The debt-to-equity ratio is not calculable due to negative equity, but high total debt poses a solvency risk. The equity ratio is negative, underlining a weak financial structure and potential liquidity challenges.

Cash Flow

Negative

The cash flow statement highlights continuous negative operating cash flow, indicating cash outflows from operations exceed inflows. Free cash flow is also consistently negative, which limits the company's ability to invest in growth without raising additional capital. The operating cash flow to net income ratio is negative, reflecting inefficient cash generation relative to net losses.

TTM	Mar 2023	Mar 2022	Mar 2021	Dec 2019	Dec 2018
Breakdown
Income Statement		Total Revenue
505.74M	2.06B	1.64B	657.41M	1.59B	3.32B
	Gross Profit
1.12M	25.44M	47.72M	-16.30M	898.74M	2.18B
	EBIT
-109.50M	-356.93M	-278.94M	-552.63M	-1.29B	-2.57B
	EBITDA
-109.66M	-363.39M	-278.98M	-563.31M	-1.24B	-2.58B
	Net Income Common Stockholders
360.82M	-137.16M	-143.55M	-732.63M	-1.33B	-1.52B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.23B	92.71M	128.02M	192.60M	478.20M	1.40B
	Total Assets
5.92B	718.65M	1.25B	1.23B	5.38B	7.35B
	Total Debt
1.02B	812.71M	1.16B	1.97B	2.54B	2.29B
	Net Debt
-202.82M	720.00M	1.04B	1.78B	2.07B	1.49B
	Total Liabilities
3.64B	2.54B	2.76B	3.23B	4.92B	4.98B
	Stockholders Equity
2.33B	-1.82B	-1.51B	-2.00B	469.17M	2.37B
Cash Flow		Free Cash Flow
0.00	-284.34M	-863.62M	-1.12B	-1.65B	-2.42B
	Operating Cash Flow
0.00	-251.14M	-844.96M	-1.12B	-1.65B	-2.28B
	Investing Cash Flow
0.00	-32.03M	-16.77M	443.02M	639.59M	-1.08B
	Financing Cash Flow
0.00	239.99M	764.42M	130.32M	-662.08M	4.27B

Uxin Technical Analysis

Technical Analysis Sentiment

Negative

Last Price3.51

Price Trends

50DMA

4.24

Negative

100DMA

4.38

Negative

200DMA

3.64

Negative

Market Momentum

MACD

-0.06

Negative

RSI

52.94

Neutral

STOCH

51.15

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UXIN, the sentiment is Negative. The current price of 3.51 is below the 20-day moving average (MA) of 3.98, below the 50-day MA of 4.24, and below the 200-day MA of 3.64, indicating a bearish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 52.94 is Neutral, neither overbought nor oversold. The STOCH value of 51.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for UXIN.

Uxin Risk Analysis

Uxin disclosed 80 risk factors in its most recent earnings report. Uxin reported the most risks in the “Legal & Regulatory” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Uxin Peers Comparison

Overall Rating

UnderperformOutperform

Sector (59)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CVNA	70 Outperform	$47.06B	129.53	27.94%	―	26.94%	-57.88%
PAG	70 Outperform	$10.21B	11.13	18.50%	2.90%	3.14%	-11.22%
SAH	70 Outperform	$2.11B	10.07	22.11%	2.30%	-1.03%	24.64%
KMX	62 Neutral	$12.31B	27.22	8.13%	―	-2.46%	-6.19%
CARG	60 Neutral	$2.92B	146.96	3.62%	―	-2.17%	-26.53%
Sector *	59 Neutral	$11.76B	10.11	-0.70%	3.92%	1.27%	-16.30%
UXIN	40 Underperform	$637.14M	―	260.24%	―	9.33%	50.69%
VRMMQ	26 Underperform	$10.93M	―	-184.71%	―	-72.78%	-32.62%

* Consumer Cyclical Sector Average

Performance Comparison

UXIN

Uxin

3.51

1.64

87.70%

KMX

CarMax

66.45

-4.96

-6.95%

PAG

Penske Automotive Group

148.82

2.88

1.97%

SAH

Sonic Automotive

59.46

10.64

21.79%

CVNA

Carvana Co

203.66

128.67

171.58%

CARG

CarGurus

26.57

4.21

18.83%

VRMMQ

Vroom

6.00

-5.84

-49.32%

Uxin Earnings Call Summary

Earnings Call Date: Nov 25, 2024 | % Change Since: -44.37% | Next Earnings Date: Apr 24, 2025

Earnings Call Sentiment Positive

The earnings call indicates strong growth in retail transactions and improvements in operational efficiency, despite challenges in the wholesale segment and a broader market slowdown. The company is expanding its superstore model and achieving profitability at the superstore level, which is promising. However, some concerns remain with the decrease in wholesale performance and a lower average selling price.

Highlights

Significant Increase in Retail Transaction Volume

Quarterly retail transaction volume reached 6,005 units, a 47% sequential increase and 163% year-over-year growth.

Improved Inventory Turnover and Gross Profit Margin

Inventory turnover days maintained below 30 days, significantly lower than the industry average, and gross profit margin expanded to 7%.

High Customer Satisfaction

Net Promoter Score rose to 66%, maintaining the highest level in the industry for 11 consecutive quarters.

Recognition as Corporate Standard Leader

Named a corporate standard leader in China's used car industry by 8 government inter ministries.

Expansion of Superstore Model

Entered corporate agreements with Zhengzhou and Wuhan, with superstores expected to commence operations next year.

Adjusted EBITDA Profitability at Superstore Level

Achieved adjusted EBITDA profitability at the superstore level with plans for company-wide profitability in the next quarter.

Lowlights

Decrease in Wholesale Segment Performance

Wholesale transaction volume decreased by 31% sequentially and 35% year-over-year, with revenue of RMB 37.8 million.

Reduced Average Selling Price

Average selling price of retail vehicles decreased from RMB 109,000 to RMB 74,000, though offset by higher transaction volume.

Overall Market Slowdown Observed

China's used car market growth slowed to around 5%, attributed to economic fluctuations and price reductions in new cars.

Company Guidance

During Uxin's Q2 2025 earnings call, the company reported a significant increase in quarterly retail transaction volume, reaching 6,005 units, marking a 47% sequential increase and a 163% year-over-year growth. The inventory turnover remained under 30 days, significantly lower than the industry average of 55 to 60 days. The gross profit margin rose to 7%, the highest since transitioning to a self-operated business model. Looking ahead, Uxin projected retail transaction volumes of 7,800 to 8,100 units for the next quarter, with a year-over-year growth of over 150%, and anticipated total revenues between RMB 560 million and RMB 580 million. The company also plans to achieve positive adjusted EBITDA in the upcoming quarter. Uxin's Net Promoter Score increased to 66%, and the company was recognized as a corporate standard leader in China's used car industry. The expansion into new superstores in Zhengzhou and Wuhan is expected to enhance Uxin's market presence significantly.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.