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WeRide Inc. Sponsored ADR (WRD)
NASDAQ:WRD
RESEARCH TOOLSreports
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WeRide Inc. Sponsored ADR
(NASDAQ:WRD)
46Neutral
Positive Factors
Investment
Nvidia's investment in WeRide is drawing substantial positive attention to the company.
Market Enthusiasm
The strong stock reaction in WeRide serves as a clear indication of investor enthusiasm surrounding self-driving technology.
Negative Factors
Operational Risks
There are risks of delays and cancellation of orders for robotaxi, robovans, robobuses, and robosweepers.
Regulatory Challenges
Potential regulatory headwinds in rolling out robo-vehicles could pose challenges for WeRide.
WeRide Inc. Sponsored ADR (WRD) vs. S&P 500 (SPY)
Market Cap
$3.83B
Dividend YieldN/A
Average Volume (3M)2.63M
Price to Earnings (P/E)―
Beta (1Y)4.46
Revenue Growth-11.37%
EPS Growth-23.51%
CountryUS
Employees2,913
SectorConsumer Cyclical
Sector Strength54
IndustrySoftware - Infrastructure
Share Statistics
EPS (TTM)-1.28
Shares Outstanding256,221,040
10 Day Avg. Volume1,126,802
30 Day Avg. Volume2,626,289
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
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 Target
$22.00Price Target Upside58.05% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
WeRide Inc. Sponsored ADR Business Overview & Revenue Model
Company DescriptionWeRide, Inc. engages in the development of an autonomous driving technology platform. It offers Robotaxi, Robobus, Robovan, Robosweeper, and advanced driving solutions, providing smart services in online ride-hailing, on-demand transport, urban logistics, and environmental sanitation. The company was founded by Xu Han and Yan Li in February 2017 and is headquartered in Guangzhou, China.
How the Company Makes Moneynull
WeRide Inc. Sponsored ADR Financial Statement Overview
Summary
WeRide Inc. faces significant financial challenges with declining revenue, negative profitability metrics, and negative cash flows. A strong cash position is overshadowed by negative equity, indicating financial instability and reliance on external financing.Income Statement
The company's revenue has decreased over the past year with a notable decline from 2023 to 2024. Gross profit margin is also declining, indicating reduced efficiency in generating profit from sales. EBIT and EBITDA margins are negative, reflecting high operating losses. The net profit margin is significantly negative, highlighting ongoing financial challenges.45
Neutral
Balance Sheet
The company shows a strong cash position, with cash and equivalents exceeding total debt, resulting in negative net debt. However, the total liabilities exceed total assets, leading to negative stockholders' equity, which raises concerns about financial stability. The debt-to-equity ratio is not meaningful due to negative equity, and ROE cannot be calculated.55
Neutral
Cash Flow
Operating cash flow is negative, indicating cash burn from operations. Despite a strong financing cash flow, largely due to external financing, free cash flow remains negative, suggesting the company is not yet generating sustainable cash flow from its core operations. The free cash flow to net income ratio cannot be calculated due to negative values.50
Neutral
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2017 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 882.60M | 361.13M | 401.84M | 527.54M | 138.17M | 427.19M | Gross Profit |
| 745.60M | 110.72M | 183.48M | 232.54M | 51.66M | 375.52M | EBIT |
| 403.02M | -2.19B | -1.57B | -779.23M | -500.50M | 105.47M | EBITDA |
| 662.23M | -2.41B | -1.85B | -1.21B | -935.86M | 273.79M | Net Income Common Stockholders |
| -104.28M | -2.52B | -1.95B | -1.30B | -1.01B | 49.88M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 22.22M | 6.57B | 4.53B | 4.51B | 2.78B | 226.00K | Total Assets |
| 427.85M | 7.69B | 5.61B | 5.39B | 3.31B | 2.78B | Total Debt |
| 118.00M | 143.02M | 53.41M | 0.00 | 0.00 | 770.60M | Net Debt |
| 95.78M | -4.13B | -1.61B | -2.23B | -2.73B | 770.37M | Total Liabilities |
| 153.72M | 627.75M | 8.67B | 7.47B | 4.27B | 1.63B | Stockholders Equity |
| 274.13M | 7.07B | -3.05B | -2.08B | -966.11M | 1.15B |
| Cash Flow | Free Cash Flow | ||||
| -619.71M | -679.10M | -511.84M | -753.07M | -532.30M | -990.38M | Operating Cash Flow |
| 581.55M | -593.60M | -474.89M | -670.38M | -506.67M | 277.37M | Investing Cash Flow |
| -1.01B | 325.50M | -546.94M | -2.20B | 460.90M | -1.27B | Financing Cash Flow |
| 421.03M | 2.82B | 446.95M | 2.18B | 2.60B | 986.60M |
WeRide Inc. Sponsored ADR Risk Analysis
WeRide Inc. Sponsored ADR disclosed 29 risk factors in its most recent earnings report. WeRide Inc. Sponsored ADR 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
WeRide Inc. Sponsored ADR Peers Comparison
Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
59 Neutral | $12.17B | 11.04 | -1.10% | 3.77% | 1.26% | -19.70% | |
54 Neutral | $15.02B | ― | -60.48% | ― | 12.09% | 17.65% | |
46 Neutral | $3.83B | ― | -130.17% | ― | -11.37% | -23.51% | |
43 Neutral | $7.80B | ― | -142.49% | ― | 13.77% | 17.85% | |
43 Neutral | $228.48M | ― | 146.24% | ― | 8.05% | 58.44% | |
40 Underperform | $2.03M | ― | -72.67% | ― | 258.96% | 82.54% | |
21 Underperform | $385.73K | ― | -950.02% | ― | 996.94% | 98.82% |
* Consumer Cyclical Sector Average
Performance Comparison
WRD
WeRide Inc. Sponsored ADR
13.71
-3.29
-19.35%
MULN
Mullen Automotive
0.10
-26,879.90
-100.00%
NIO
Nio
3.80
-0.69
-15.37%
LAZR
Luminar Technologies
5.10
-24.75
-82.91%
GOEVQ
Canoo
0.12
-49.28
-99.76%
RIVN
Rivian Automotive
12.49
1.95
18.50%
WeRide Inc. Sponsored ADR Earnings Call Summary
Earnings Call Date: Nov 29, 2024 | % Change Since: -14.44% | Next Earnings Date: Mar 14, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted WeRide's significant advancements in global market expansion, technological innovation, and record-breaking revenue. However, it also noted challenges like declining service revenue and increased expenses. Overall, the positive developments in technology and international partnerships indicate strong growth potential, but financial challenges remain.Highlights
Global Expansion and Partnerships
WeRide expanded its Robotaxi services to multiple international markets, including partnerships with Uber in Abu Dhabi and collaborations with Zurich Airport in Switzerland. The company deployed L4 vehicles in more than 30 cities across 10 countries.
Technological Advancements
WeRide launched the GXR, a new purpose-built Robotaxi, and deployed end-to-end models for both ADAS and L4 systems. The GXR features an industry-leading L4 architecture and WeRide's proprietary sensor suite.
Record-Breaking Revenue
WeRide achieved record-breaking Robotaxi revenue and the highest international revenue since its founding. Product revenue increased by 46% in Q4 2024 and 62% for the full year.
Safety and Operational Milestones
WeRide's Robotaxi fleet completed over 1,900 days of commercial operation on public roads with zero regulatory issues due to system failures. The company also received permits to operate in various challenging environments.
Lowlights
Decline in Service Revenue
Total revenue for Q4 decreased by 3% to 141 million RMB, primarily due to a decline in service revenue, which decreased to 89 million RMB.
Increased Operating Expenses
Operating expenses rose by 82% in Q4 and 32% for the full year, driven by higher personnel costs and increased share-based compensation.
Net Loss Increase
Net loss increased by 66% to 592 million RMB in Q4 and by 29% to 2.5 billion RMB for the full year.
Company Guidance
During WeRide's fourth quarter and full year 2024 earnings call, the company provided comprehensive guidance, highlighting key metrics and milestones. The company reported a 3% decline in total revenue for the fourth quarter, totaling 141 million RMB, while full-year revenue stood at 361 million RMB. Product revenue surged by 46% in Q4, reaching 252 million RMB, driven by sales of Robotaxi, RoboSweeper, and Robovan, although service revenue fell to 89 million RMB. Operating expenses rose by 82% in Q4, amounting to 640 million RMB, largely due to personnel-related costs and share-based compensation. The net loss for Q4 increased by 66% to 592 million RMB. WeRide's cash position was strong, with 4.9 billion RMB in cash, cash equivalents, and time deposits as of December 31, 2024. The company highlighted its strategic focus on both domestic and international expansion, aiming to deploy its autonomous vehicles in more cities worldwide and improve its revenue streams through product innovation.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.