Yuanbao, Inc. Unsponsored ADR (YB) AI Stock Analysis

• Market Cap: $895.29M
• Dividend Yield: N/A
• Average Volume (3M): 57.51K
• Price to Earnings (P/E): 2.2
• Beta (1Y): 0.65
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 497
• Sector: Technology
• Sector Strength: 88
• Industry: Insurance - Diversified
• EPS (TTM): 0.18
• Shares Outstanding: 31,391,450
• 10 Day Avg. Volume: 42,468
• 30 Day Avg. Volume: 57,514
• PEG Ratio: <0.01
• Price to Book (P/B): -0.98
• Price to Sales (P/S): 0.49
• P/FCF Ratio: 1.33
• Enterprise Value/Market Cap: 0.48
• Enterprise Value/Revenue: 0.25
• Enterprise Value/Gross Profit: 0.26
• Enterprise Value/Ebitda: 0.78
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 4.04
• Revenue Forecast (FY): $4.11B

• Rating: 75 Outperform
• Price Target: $24.50 ▲(22.93% Upside)

Yuanbao, Inc. demonstrates strong financial performance and strategic growth, particularly in AI and product innovation, contributing to a high earnings call score. The stock's undervaluation adds to its attractiveness. However, financial instability on the balance sheet and potential regulatory and competitive challenges temper the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial health.

AI Integration

AI integration enhances operational efficiency and customer engagement, providing a competitive edge and fostering innovation.

Strong Cash Reserves

Strong cash reserves provide financial flexibility for strategic investments and cushion against market volatility.

Negative Factors

Negative Equity

Negative equity indicates financial instability, which could limit growth opportunities and increase risk in downturns.

Increased Operating Expenses

Rising expenses may pressure margins and profitability, requiring careful management to sustain growth.

Competitive Landscape Concerns

Heightened competition could lead to increased costs and market share pressure, challenging long-term growth.

Yuanbao, Inc. Unsponsored ADR Business Overview & Revenue Model

Company Description

Yuanbao, Inc. Unsponsored ADR (YB) operates primarily in the fintech sector, focusing on providing innovative financial solutions and services aimed at enhancing digital transactions and investment opportunities. The company leverages technology to streamline financial processes, cater to individual and corporate clients, and facilitate cross-border transactions. Its core products include digital wallets, payment processing systems, and investment platforms that enable users to manage their finances more effectively in a rapidly evolving digital economy.

How the Company Makes Money

Yuanbao, Inc. generates revenue through multiple streams, including transaction fees from its digital wallet and payment processing services, subscription fees for premium features on its investment platforms, and partnerships with financial institutions for integrated service offerings. The company also earns revenue through commissions on investment products sold through its platform, as well as through strategic collaborations with e-commerce businesses that utilize its payment solutions. Additionally, Yuanbao may benefit from data analytics services by providing insights to partners based on user transaction patterns, contributing to its overall earnings.

Yuanbao, Inc. Unsponsored ADR Financial Statement Overview

Summary

Yuanbao, Inc. has shown strong revenue and profit growth, with positive cash flow management. However, the balance sheet reveals financial instability with negative equity, which poses a risk.

Income Statement

Yuanbao, Inc. has demonstrated strong revenue growth, with a significant increase from $385.4 million in 2021 to $3.28 billion in 2024. Gross profit margins are consistently high, indicating effective cost management. The net profit margin improved substantially, reflecting enhanced profitability. However, the company experienced negative EBIT and EBITDA margins in earlier years, which have now turned positive, showcasing a successful turnaround.

Balance Sheet

The balance sheet reveals a negative stockholders' equity, which is a concern. The debt-to-equity ratio is not meaningful due to negative equity, but the company has managed to maintain low total debt levels. The equity ratio is negative, indicating financial instability. Despite these issues, the company has a strong cash position, which provides some financial flexibility.

Cash Flow

Yuanbao, Inc. has shown impressive growth in operating cash flow and free cash flow, with a notable increase from 2021 to 2024. The operating cash flow to net income ratio is favorable, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio is also strong, reflecting robust cash flow management. However, the negative investing cash flow suggests high capital expenditures or investments, which could impact future liquidity.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.28B	2.05B	850.25M	385.44M
Gross Profit	3.12B	1.91B	787.37M	322.31M
EBITDA	873.55M	191.50M	-6.65M	-395.17M
Net Income	865.85M	203.12M	18.75M	-441.51M
Balance Sheet
Total Assets	2.78B	1.52B	1.08B	790.33M
Cash, Cash Equivalents and Short-Term Investments	2.32B	1.12B	641.38M	577.34M
Total Debt	19.16M	31.02M	24.23M	3.43M
Total Liabilities	4.41B	3.66B	2.96B	2.28B
Stockholders Equity	-1.63B	-2.14B	-1.88B	-1.49B
Cash Flow
Free Cash Flow	1.20B	437.33M	85.28M	-248.14M
Operating Cash Flow	1.21B	441.97M	87.72M	-244.99M
Investing Cash Flow	-157.57M	-45.26M	-218.93M	-90.44M
Financing Cash Flow	-9.11M	18.05M	0.00	726.37M

Yuanbao, Inc. Unsponsored ADR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IGIC	79 Outperform	$1.13B	9.25	18.68%	4.00%	0.76%	―
YB	75 Outperform	$895.29M	2.23	82.04%	―	―	―
WDH	74 Outperform	$683.54M	9.85	10.39%	2.12%	18.70%	62.14%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
GSHD	59 Neutral	$2.77B	66.04	―	―	24.81%	55.93%
FIHL	57 Neutral	$2.06B	-381.17	-0.57%	2.55%	11.71%	-101.08%
FGNX	40 Underperform	$120.31M	-0.29	-7.90%	―	-42.13%	-797.10%

Yuanbao, Inc. Unsponsored ADR Corporate Events

Yuanbao Inc. Reports Strong Q3 2025 Financial Results with AI Integration

Yuanbao Inc. announced its unaudited financial results for the third quarter of 2025, revealing a significant 33.6% increase in total revenues year-over-year, reaching RMB1,157.9 million. The company also reported a 51.3% rise in net income, driven by the integration of AI technologies into its operations, which improved efficiency and customer engagement. The number of new policies increased by 41.8% compared to the previous year, highlighting the company’s strong market demand and consumer engagement. Yuanbao’s strategic focus on AI capabilities and expanding its product offerings has positioned it for sustained growth and enhanced profitability.