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Yirendai

NYSE:YRD
Snowflake Description

Very undervalued with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
YRD
NYSE
$841M
Market Cap
  1. Home
  2. US
  3. Diversified Financials
Company description

Yirendai Ltd., through its subsidiaries, operates as an online consumer finance marketplace that connects borrowers and investors primarily in the People’s Republic of China. The last earnings update was 50 days ago. More info.


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YRD Share Price and Events
7 Day Returns
-7.1%
NYSE:YRD
0.2%
US Consumer Finance
0.3%
US Market
1 Year Returns
-39.2%
NYSE:YRD
5.5%
US Consumer Finance
0.7%
US Market
YRD Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Yirendai (YRD) -7.1% -14% 10.3% -39.2% -9.5% -
US Consumer Finance 0.2% 0.5% 5% 5.5% 67.8% 25.3%
US Market 0.3% 0.4% 0.6% 0.7% 37.2% 37.4%
1 Year Return vs Industry and Market
  • YRD underperformed the Consumer Finance industry which returned 5.5% over the past year.
  • YRD underperformed the Market in United States of America which returned 0.7% over the past year.
Price Volatility
YRD
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Yirendai undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Yirendai to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Yirendai.

NYSE:YRD Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 8 analysts.
= Stable Book Value * Return on Equity
= CN¥110.27 * 18.8%
CN¥20.70
Book Value of Equity per Share Weighted future Book Value estimates from 7 analysts. CN¥110.27
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:YRD
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Consumer Finance Unlevered Beta Simply Wall St/ S&P Global 0.69
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.693 (1 + (1- 25%) (3.69%))
0.807
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.81
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.807 * 5.96%)
7.54%

Discounted Cash Flow Calculation for NYSE:YRD using Excess Returns Model Model

The calculations below outline how an intrinsic value for Yirendai is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:YRD Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (18.8% – 7.54%) * CN¥110.27)
CN¥12.39
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= CN¥12.39 / (7.54% - 2.73%)
CN¥257.53
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= CN¥110.27 + CN¥257.53
CN¥367.8
NYSE:YRD Discount to Share Price
Calculation Result
Exchange Rate CNY/USD
(Reporting currency to currency of NYSE:YRD)
0.144
Value per Share
(USD)
= Value per Share in CNY x Exchange Rate (CNY/USD)
= CN¥367.8 x 0.144
$53.11
Value per share (USD) From above. $53.11
Current discount Discount to share price of $13.66
= -1 x ($13.66 - $53.11) / $53.11
74.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Yirendai is available for.
Intrinsic value
>50%
Share price is $13.66 vs Future cash flow value of $53.11
Current Discount Checks
For Yirendai to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Yirendai's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Yirendai's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Yirendai's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Yirendai's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:YRD PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CNY CN¥15.81
NYSE:YRD Share Price ** NYSE (2019-06-17) in USD $13.66
NYSE:YRD Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.926 CN¥94.61
United States of America Consumer Finance Industry PE Ratio Median Figure of 29 Publicly-Listed Consumer Finance Companies 9.01x
United States of America Market PE Ratio Median Figure of 3,093 Publicly-Listed Companies 17.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Yirendai.

NYSE:YRD PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:YRD Share Price ÷ EPS (both in CNY)

= 94.61 ÷ 15.81

5.98x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Yirendai is good value based on earnings compared to the US Consumer Finance industry average.
  • Yirendai is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Yirendai's expected growth come at a high price?
Raw Data
NYSE:YRD PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 5.98x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
9.3%per year
United States of America Consumer Finance Industry PEG Ratio Median Figure of 24 Publicly-Listed Consumer Finance Companies 0.65x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:YRD PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 5.98x ÷ 9.3%

0.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Yirendai is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Yirendai's assets?
Raw Data
NYSE:YRD PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CNY CN¥83.18
NYSE:YRD Share Price * NYSE (2019-06-17) in USD $13.66
NYSE:YRD Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.926 CN¥94.61
United States of America Consumer Finance Industry PB Ratio Median Figure of 40 Publicly-Listed Consumer Finance Companies 1.3x
United States of America Market PB Ratio Median Figure of 5,245 Publicly-Listed Companies 1.79x
NYSE:YRD PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:YRD Share Price ÷ Book Value per Share (both in CNY)

= 94.61 ÷ 83.18

1.14x

* Primary Listing of Yirendai.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Yirendai is good value based on assets compared to the US Consumer Finance industry average.
X
Value checks
We assess Yirendai's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Finance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Finance industry average (and greater than 0)? (1 check)
  5. Yirendai has a total score of 6/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Yirendai expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Yirendai expected to grow at an attractive rate?
  • Yirendai's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Yirendai's earnings growth is positive but not above the United States of America market average.
  • Yirendai's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:YRD Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:YRD Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts 9.3%
NYSE:YRD Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 4.4%
United States of America Consumer Finance Industry Earnings Growth Rate Market Cap Weighted Average 5.4%
United States of America Consumer Finance Industry Revenue Growth Rate Market Cap Weighted Average 7.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.8%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:YRD Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:YRD Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 5,899 1,219 3
2020-12-31 6,516 960 1,205 8
2019-12-31 5,652 124 949 8
NYSE:YRD Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2018-12-31 5,621 -820 967
2018-09-30 6,175 -571 1,084
2018-06-30 6,568 -86 1,235
2018-03-31 6,114 1,814 1,300
2017-12-31 5,543 2,717 1,372
2017-09-30 4,790 2,277 1,303
2017-06-30 4,152 2,382 1,344
2017-03-31 3,703 2,244 1,336
2016-12-31 3,238 2,113 1,116
2016-09-30 2,618 1,926 820
2016-06-30 2,189 804 576
2016-03-31 1,678 1,284 379

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Yirendai's earnings are expected to grow by 9.3% yearly, however this is not considered high growth (20% yearly).
  • Yirendai's revenue is expected to grow by 4.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:YRD Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Yirendai Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:YRD Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 18.88 18.88 18.88 1.00
2020-12-31 20.14 23.58 16.58 4.00
2019-12-31 14.87 15.90 13.21 3.00
NYSE:YRD Past Financials Data
Date (Data in CNY Millions) EPS *
2018-12-31 15.81
2018-09-30 17.80
2018-06-30 20.36
2018-03-31 21.50
2017-12-31 22.78
2017-09-30 21.71
2017-06-30 22.49
2017-03-31 22.47
2016-12-31 18.88
2016-09-30 14.38
2016-06-30 10.56
2016-03-31 7.22

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Yirendai is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Yirendai's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Yirendai has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Yirendai performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Yirendai's growth in the last year to its industry (Consumer Finance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Yirendai has delivered over 20% year on year earnings growth in the past 5 years.
  • Yirendai's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Yirendai's 1-year earnings growth is negative, it can't be compared to the US Consumer Finance industry average.
Earnings and Revenue History
Yirendai's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Yirendai Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:YRD Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 5,620.73 966.61 3,050.97
2018-09-30 6,174.85 1,083.99 4,009.34
2018-06-30 6,567.58 1,235.35 4,411.28
2018-03-31 6,114.44 1,299.79 3,997.96
2017-12-31 5,543.35 1,371.78 3,405.03
2017-09-30 4,789.67 1,302.75 2,920.85
2017-06-30 4,152.48 1,344.06 2,516.00
2017-03-31 3,703.21 1,335.58 2,228.09
2016-12-31 3,237.99 1,116.40 1,891.89
2016-09-30 2,618.50 819.91 1,643.41
2016-06-30 2,188.61 576.06 1,295.74
2016-03-31 1,678.38 378.53 991.56
2015-12-31 1,313.64 275.34 816.89
2015-09-30 981.35 232.84 599.11
2015-06-30 656.36 135.38 435.83
2015-03-31 368.91 22.50 306.58
2014-12-31 196.53 -27.71 202.38
2013-12-31 18.96 -50.50 61.86

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Yirendai has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Yirendai used its assets more efficiently than the US Consumer Finance industry average last year based on Return on Assets.
  • Yirendai has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Yirendai's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Finance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Yirendai has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Yirendai's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Yirendai's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Yirendai is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Yirendai's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Yirendai's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 27.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Yirendai Company Filings, last reported 5 months ago.

NYSE:YRD Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 5,120.91 215.04 2,028.75
2018-09-30 4,774.17 0.00 806.95
2018-06-30 4,580.95 0.00 567.50
2018-03-31 4,844.11 0.00 1,666.87
2017-12-31 2,970.05 50.00 1,857.18
2017-09-30 2,495.67 0.00 1,403.53
2017-06-30 2,752.75 0.00 891.15
2017-03-31 2,488.66 0.00 864.36
2016-12-31 2,139.92 0.00 968.23
2016-09-30 1,741.07 0.00 1,106.26
2016-06-30 1,380.12 0.00 1,338.83
2016-03-31 1,107.87 0.00 1,111.17
2015-12-31 976.94 0.00 846.12
2015-09-30 415.75 13.98 206.25
2015-06-30 330.96 0.00 110.15
2015-03-31 271.05 0.00 10.89
2014-12-31 223.35 0.00 1.38
2013-12-31 19.12 0.00 1.72
  • Yirendai's level of debt (4.2%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 4.2% today).
  • Operating cash flow is negative therefore debt is not well covered.
  • Yirendai earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Yirendai's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Yirendai has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Yirendai's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Yirendai dividends. Estimated to be 0.69% next year.
If you bought $2,000 of Yirendai shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Yirendai's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Yirendai's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:YRD Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
United States of America Consumer Finance Industry Average Dividend Yield Market Cap Weighted Average of 14 Stocks 1.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:YRD Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.00 1.00
2022-12-31 0.00 1.00
2021-12-31 0.00 4.00
2020-12-31 2.40 3.00
2019-12-31 0.00 2.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Yirendai has not reported any payouts.
  • Unable to verify if Yirendai's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Yirendai's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Yirendai has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Yirendai's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Yirendai's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Yirendai afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Yirendai has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Yirendai's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Yihan Fang
AGE 46
TENURE AS CEO 7.3 years
CEO Bio

Ms. Yihan Fang has been Chief Executive Officer and General Manager of Yirendai Ltd. since March 2012. Ms. Fang served as Director of Marketing Compliance Products at CUnet, LLC since June 2011. She is a leader in Internet search with more than 15 years of experience in product, technology and marketing in internet and financial services. She joined CUnet from her previous role as the Vice President of Global Search and Answers for Ask.com, where she managed the team responsible for search relevance and quality. She worked at IAC/Ask.com with multiple positions from February 2002 to February 2010, oversaw strategy and product development of various key search and question/answer products, Senior Director of Product Management responsible for search product and relevance and Director of Search Operations responsible for search engine operations. She received a Master of Philosophy and a Master of Science in Electrical Engineering and a Master of Arts in Astronomy from Columbia University. She completed her undergraduate study through the Program for Gifted Youth at the University of Science and Technology of China.

CEO Compensation
  • Insufficient data for Yihan to compare compensation growth.
  • Insufficient data for Yihan to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Yirendai management team in years:

1.6
Average Tenure
46
Average Age
  • The average tenure for the Yirendai management team is less than 2 years, this suggests a new team.
Management Team

Ning Tang

TITLE
Executive Chairman
AGE
44

Yihan Fang

TITLE
Chief Executive Officer
AGE
46
TENURE
7.3 yrs

Dennis Cong

TITLE
Co-Chief Financial Officer
AGE
49
TENURE
0.3 yrs

Jia Liu

TITLE
Co-Chief Financial Officer
AGE
34
TENURE
0.3 yrs

Yang Cao

TITLE
COO & CTO
AGE
47
TENURE
3 yrs

Matthew Li

TITLE
Director of Investor Relations
Board of Directors Tenure

Average tenure and age of the Yirendai board of directors in years:

4
Average Tenure
50
Average Age
  • The tenure for the Yirendai board of directors is about average.
Board of Directors

Hanhui Sun Sam

TITLE
Independent Director
AGE
46
TENURE
3.5 yrs

Ning Tang

TITLE
Executive Chairman
AGE
44
TENURE
7.3 yrs

Jingsheng Huang

TITLE
Independent Director
AGE
60
TENURE
3.5 yrs

Quan Zhou

TITLE
Director
AGE
60
TENURE
4.4 yrs

Tina Ju

TITLE
Director
AGE
54
TENURE
4.4 yrs

Huan Chen

TITLE
Director
AGE
43
TENURE
4.4 yrs

Qing Li

TITLE
Director
AGE
41
TENURE
3.5 yrs

Kingsley Chan

TITLE
Observer

Chaomei Chen

TITLE
Independent Director
AGE
59
TENURE
2.5 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Yirendai's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Yirendai has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Investors Who Bought Yirendai (NYSE:YRD) Shares A Year Ago Are Now Down 38%

We'd be remiss not to mention the difference between Yirendai's total shareholder return (TSR) and its share price return. … We note that Yirendai's TSR, at -38% is higher than its share price return of -38%. … Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.

Simply Wall St -

What Do Analysts Think About Yirendai Ltd.'s (NYSE:YRD) Future?

Based on Yirendai Ltd.'s (NYSE:YRD) recently announced earnings update on 31 December 2018, analyst forecasts appear to be bearish, with profits predicted to drop by 2.3% next year against the past 5-year average growth rate of 45%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … NYSE:YRD Past and Future Earnings, May 14th 2019 This results in an annual growth rate of 9.6% based on the most recent earnings level of CN¥967m to the final forecast of CN¥1.2b by 2022.

Simply Wall St -

Yirendai Ltd (NYSE:YRD): A Look At Solid Capital Returns

This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … Thus, to understand how your money can grow by investing in Yirendai, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE) … Yirendai's Return On Capital Employed

Simply Wall St -

Yirendai Ltd (NYSE:YRD): The Best Of Both Worlds

I've been keeping an eye on Yirendai Ltd (NYSE:YRD) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe YRD has a lot to offer. … company with

Simply Wall St -

Should You Buy Yirendai Ltd (NYSE:YRD)?

saw significant share price volatility over the past couple of months on the NYSE, rising to the highs of $43.13 and falling to the lows of $22.46. … A question to answer is whether Yirendai's current trading price of $22.46 reflective of the actual value of the? … Let’s take a look at Yirendai’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Is There Now An Opportunity In Yirendai Ltd (NYSE:YRD)?

This high level of volatility gives investors the opportunity to enter into the stock, and potentially buy at an artificially low price. … Great news for investors – Yirendai is still trading at a fairly cheap price. … With an optimistic outlook on the horizon, it seems like this growth has not yet been fully factored into the share price.

Simply Wall St -

Is Buying Yirendai Ltd (NYSE:YRD) For Its Upcoming $0.28 Dividend A Good Choice?

See our latest analysis for Yirendai 5 questions I ask before picking a dividend stock When researching a dividend stock, I always follow the following screening criteria: Is it the top 25% annual dividend yield payer? … Next Steps: Whilst there are few things you may like about Yirendai from a dividend stock perspective, the truth is that overall it probably is not the best choice for a dividend investor. … However, if you are not strictly just a dividend investor, the stock could still offer some interesting investment opportunities.

Simply Wall St -

6 Days Left To Cash In On Yirendai Ltd (NYSE:YRD) Dividend, Should Investors Buy?

See our latest analysis for Yirendai 5 questions to ask before buying a dividend stock Whenever I am looking at a potential dividend stock investment, I always check these five metrics: Does it pay an annual yield higher than 75% of dividend payers? … Is its earnings sufficient to payout dividend at the current rate? … The higher payout forecasted, along with higher earnings, should lead to greater dividend income for investors moving forward.

Simply Wall St -

What Should We Expect From Yirendai Ltd's (NYSE:YRD) Earnings Over The Next Few Years?

Below, I've laid out key numbers on how market analysts view Yirendai's earnings growth trajectory over the next few years and whether the future looks even brighter than the past. … This growth seems to continue into the following year with rates reaching double digit 59.87% compared to today’s earnings, and finally hitting CN¥2.46B by 2021. … The slope of this line is the rate of earnings growth, which in this case is 19.62%.

Simply Wall St -

What Value Should You Place On Yirendai Ltd (NYSE:YRD)?

Emphasizing elements such as book values, with the return and cost of equity, may be appropriate for assessing YRD’s true value. … The returns above the cost of equity is known as excess returns: Excess Return Per Share = (Stable Return On Equity – Cost Of Equity) (Book Value Of Equity Per Share) = (39.03% – 8.49%) * CN¥92.25 = CN¥28.17 Excess Return Per Share is used to calculate the terminal value of YRD, which is how much the business is expected to continue to generate over the upcoming years, in perpetuity. … This is a common component of discounted cash flow models: Terminal Value Per Share = Excess Return Per Share / (Cost of Equity – Expected Growth Rate) = CN¥28.17 / (8.49% – 2.47%) = CN¥467.59 Putting this all together, we get the value of YRD’s share: Value Per Share = Book Value of Equity Per Share + Terminal Value Per Share = CN¥92.25 + CN¥467.59 = $89.13 Given YRD's current share price of CN¥39.87, YRD is currently priced below its intrinsic value.

Simply Wall St -

Company Info

Description

Yirendai Ltd., through its subsidiaries, operates as an online consumer finance marketplace that connects borrowers and investors primarily in the People’s Republic of China. It offers standard loan products; and fasttrack loan products through mobile applications, as well as various investing tools. The company also provides consultancy information technology support services; IT, system maintenance, and customer support services; borrower acquisition and referral services; and wealth management consulting services. The company was founded in 2012 and is based in Beijing, the People’s Republic of China. Yirendai Ltd. is a subsidiary of Creditease Holdings (Cayman) Limited.

Details
Name: Yirendai Ltd.
YRD
Exchange: NYSE
Founded: 2012
$840,519,729
61,531,459
Website: http://www.yirendai.com
Address: Yirendai Ltd.
Building 9,
10th Floor,
Beijing,
100022,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE YRD SPONSORED ADR New York Stock Exchange US USD 18. Dec 2015
DB 19YA SPONSORED ADR Deutsche Boerse AG DE EUR 18. Dec 2015
BMV YRD N SPONSORED ADR Bolsa Mexicana de Valores MX MXN 18. Dec 2015
Number of employees
Current staff
Staff numbers
956
Yirendai employees.
Industry
Consumer Finance
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/18 01:04
End of day share price update: 2019/06/17 00:00
Last estimates confirmation: 2019/06/16
Last earnings filing: 2019/04/29
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.