X Financial Valuation

Q: What is the Fair Price of XYF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

XYF ($7.95) is trading below our estimate of [[fair value]] ($34.64)

Is XYF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of XYF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: XYF ($7.95) is trading below our estimate of fair value ($34.64)

Significantly Below Fair Value: XYF is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XYF?

Key metric: As XYF is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for XYF. This is calculated by dividing XYF's market cap by their current earnings.
What is XYF's PE Ratio?
PE Ratio	2.1x
Earnings	CN¥1.34b
Market Cap	CN¥2.87b

XYF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.4x
Enterprise Value/EBITDA	1.3x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does XYF's PE Ratio compare to its peers?

The above table shows the PE ratio for XYF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	7.3x
YRD Yiren Digital	1.6x	n/a	US$394.7m
RM Regional Management	14.5x	41.9%	US$334.8m
EZPW EZCORP	7.7x	10.3%	US$639.4m
MFIN Medallion Financial	5.4x	16.6%	US$213.3m
XYF X Financial	2.1x	n/a	US$394.0m

Price-To-Earnings vs Peers: XYF is good value based on its Price-To-Earnings Ratio (2.1x) compared to the peer average (7.3x).

Price to Earnings Ratio vs Industry

How does XYF's PE Ratio compare vs other companies in the US Consumer Finance Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
YRD Yiren Digital	1.6x	n/a	US$394.68m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: XYF is good value based on its Price-To-Earnings Ratio (2.1x) compared to the US Consumer Finance industry average (11.1x).

Price to Earnings Ratio vs Fair Ratio

What is XYF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XYF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	2.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate XYF's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2024/12/20 07:45
End of Day Share Price	2024/12/20 00:00
Earnings	2024/09/30
Annual Earnings	2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

X Financial is covered by 3 analysts. 0 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
Jacky Zuo	Deutsche Bank
Ran Xu	Morgan Stanley
John Cai	Morgan Stanley