Qifu Technology Inc (QFIN, Financial), a leading Credit-Tech platform in China, has been making waves in the stock market with its impressive performance. The company's market cap stands at $2.86 billion, with its stock price currently at $17.7. Over the past week, the stock has seen a gain of 12.03%, and over the past three months, it has surged by 20.74%. This article aims to provide an in-depth analysis of Qifu Technology Inc's stock performance, profitability, growth, holders, and competitors.
Stock Performance Analysis
Qifu Technology Inc's stock performance has been commendable, with the company's GF Value currently standing at $17.51, slightly lower than the past GF Value of $18.21. The GF Value, defined by GuruFocus.com, calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates. The stock's current GF Valuation is 'Fairly Valued', a shift from the past GF Valuation of 'Modestly Undervalued'. This indicates that the stock's price is in line with its intrinsic value, suggesting a balanced risk-reward scenario for investors.
Company Overview
Qifu Technology Inc operates in the Credit Services industry, providing credit services to consumers and SMEs in China. The company deploys its technology solutions to help financial institutions identify the diversified needs of consumers and SMEs, effectively access prospective borrowers that are creditworthy through multi-channels, enhance credit assessment on prospective borrowers, and manage credit risks and improve collection strategies and efficiency, among others.
Profitability Analysis
Qifu Technology Inc's Profitability Rank is 5/10, indicating a moderate level of profitability. The company's ROE and ROA, which stand at 20.49% and 9.54% respectively, are better than 87.6% and 91.98% of companies in the industry. This suggests that the company is efficient in generating profits from its equity and assets. Over the past 10 years, the company has been profitable for 6 years, better than 34.31% of companies in the industry.
Growth Prospects
The company's Growth Rank is 7/10, suggesting promising growth prospects. The 3-Year Revenue Growth Rate per Share and 5-Year Revenue Growth Rate per Share are 22.50% and 58.60% respectively, better than 80.12% and 95.87% of companies in the industry. The company's future total revenue growth rate is estimated to be 8.25%, better than 52.94% of companies in the industry. The 3-Year EPS without NRI Growth Rate is 14.80%, better than 58.15% of companies in the industry. These figures indicate that Qifu Technology Inc has a strong growth trajectory.
Top Holders
The top three holders of Qifu Technology Inc's stock are Sarah Ketterer (Trades, Portfolio), Ray Dalio (Trades, Portfolio), and iShares MSCI ACWI ex U.S. ETF (Trades, Portfolio), holding 1.21%, 0.18%, and 0.01% of the company's shares respectively. This indicates a diverse shareholder base, which can contribute to the stability of the stock price.
Competitor Analysis
Qifu Technology Inc's main competitors in the Credit Services industry are Navient Corp (NAVI, Financial), Bread Financial Holdings Inc (BFH, Financial), and Goldman Sachs BDC Inc (GSBD, Financial), with market caps of $2.21 billion, $1.95 billion, and $1.59 billion respectively. Despite the competition, Qifu Technology Inc's market cap of $2.86 billion indicates its strong position in the industry.
Conclusion
In conclusion, Qifu Technology Inc's impressive stock performance, solid profitability, promising growth prospects, and strong position in the industry make it a compelling choice for investors. The company's 'Fairly Valued' GF Valuation suggests that the stock's price is in line with its intrinsic value, offering a balanced risk-reward scenario for investors. However, as with any investment, potential investors should conduct their own due diligence before making a decision.
