NasdaqGS:IQ

Stock Analysis Report

Executive Summary

iQIYI, Inc., together with its subsidiaries, provides online entertainment services under the iQIYI brand in China.

Snowflake

Fundamentals

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has iQIYI's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-6.2%

IQ

-3.0%

US Entertainment

-0.6%

US Market


1 Year Return

-29.4%

IQ

-0.2%

US Entertainment

0.6%

US Market

IQ underperformed the Entertainment industry which returned 1.2% over the past year.

IQ underperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

IQIndustryMarket
7 Day-6.2%-3.0%-0.6%
30 Day1.9%-1.5%2.2%
90 Day2.1%-6.7%1.1%
1 Year-29.4%-29.4%0.5%-0.2%2.9%0.6%
3 Yearn/a59.8%54.5%44.6%35.2%
5 Yearn/a87.4%75.7%61.9%44.2%

Price Volatility Vs. Market

How volatile is iQIYI's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

6.44x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

iQIYI's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

iQIYI's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

iQIYI is loss making, we can't compare its value to the US Entertainment industry average.

iQIYI is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for iQIYI, we can't assess if its growth is good value.


Price Based on Value of Assets

iQIYI is overvalued based on assets compared to the US Entertainment industry average.


Next Steps

Future Growth

How is iQIYI expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

52.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

iQIYI's revenue is expected to grow by 18.4% yearly, however this is not considered high growth (20% yearly).

iQIYI's earnings are expected to grow significantly at over 20% yearly.

iQIYI's revenue growth is expected to exceed the United States of America market average.

iQIYI's earnings growth is expected to exceed the United States of America market average.

iQIYI's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if iQIYI will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has iQIYI performed over the past 5 years?

1.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

iQIYI does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare iQIYI's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare iQIYI's 1-year growth to the US Entertainment industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if iQIYI has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if iQIYI has efficiently used its assets last year compared to the US Entertainment industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if iQIYI improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is iQIYI's financial position?


Financial Position Analysis

iQIYI is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

iQIYI's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

iQIYI's level of debt (111%) compared to net worth is high (greater than 40%).

Unable to establish if iQIYI's debt level has increased without past 5-year debt data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.5x debt.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

iQIYI has sufficient cash runway for 1.3 years based on current free cash flow.

Unable to confirm if iQIYI has at least 1 year of cash runway based on growing free cash flows without relevant data.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate iQIYI's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate iQIYI's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as iQIYI has not reported any payouts.

Unable to verify if iQIYI's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as iQIYI has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of iQIYI's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

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

3.7yrs

Average management tenure


CEO

Tim Gong Yu (50yo)

9.7yrs

Tenure

0

Mr. Tim Gong Yu has been the Founder and Chief Executive Officer of iQiyi.com Inc. at Baidu, Inc. since January 2010. Prior to founding iQIYI, Dr. Gong was the president and chief operating officer of umes ...


Management Age and Tenure

3.7yrs

Average Tenure

44yo

Average Age

The tenure for the iQIYI management team is about average.


Board Age and Tenure

1.5yrs

Average Tenure

49.5yo

Average Age

The average tenure for the iQIYI board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Dahlia Wei

    Director of Investor Relations

    • Tenure: 0yrs
  • Tim Gong Yu (50yo)

    Founder

    • Tenure: 9.7yrs
  • Kris Wu

    Chief Experience Officer

    • Tenure: 2yrs
  • Xiaohui Wang (50yo)

    Chief Content Officer

    • Tenure: 3.7yrs
  • Xiaodong Wang (44yo)

    Chief Financial Officer

    • Tenure: 6.7yrs
  • Wenfeng Liu (41yo)

    Chief Technology Officer

    • Tenure: 1.4yrs
  • Xiangjun Wang (41yo)

    Chief Marketing Officer

    • Tenure: 0yrs
  • Xianghua Yang (42yo)

    Senior Vice President

    • Tenure: 0yrs
  • Youqiao Duan (49yo)

    Senior Vice President

    • Tenure: 0yrs

Board Members

  • Robin Li (50yo)

    Chairman of the Board

    • Tenure: 9.7yrs
  • Jane Jie Sun (50yo)

    Independent Director

    • Tenure: 1.3yrs
  • Herman Yu (49yo)

    Director

    • Tenure: 2.7yrs
  • Tim Gong Yu (50yo)

    Founder

    • Tenure: 9.7yrs
  • Chuan Wang (49yo)

    Director

    • Tenure: 5.7yrs
  • Lu Wang (52yo)

    Director

    • Tenure: 1.5yrs
  • Haifeng Wang (47yo)

    Director

    • Tenure: 1.3yrs
  • Sam Sun (46yo)

    Independent Director

    • Tenure: 1.5yrs

Company Information

iQIYI, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: iQIYI, Inc.
  • Ticker: IQ
  • Exchange: NasdaqGS
  • Founded: 2009
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: US$13.436b
  • Shares outstanding: 725.12m
  • Website: https://www.iqiyi.com

Number of Employees


Location

  • iQIYI, Inc.
  • iQIYI Innovation Building
  • 9th Floor
  • Beijing
  • 100080
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IQNasdaqGS (Nasdaq Global Select)YesSPON EACH ADS REP 7 ORD SHSUSUSDMar 2018
IQ8DB (Deutsche Boerse AG)YesSPON EACH ADS REP 7 ORD SHSDEEURMar 2018

Biography

iQIYI, Inc., together with its subsidiaries, provides online entertainment services under the iQIYI brand in China. It operates a platform that provides a collection of Internet video content, including pr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 01:01
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.