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Qifu Technology (QFIN)
NASDAQ:QFIN
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Qifu Technology (QFIN) AI Stock Analysis

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QFIN

Qifu Technology

(NASDAQ:QFIN)

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Neutral 62 (OpenAI - Gpt-5.6Sol)
Rating:62Neutral
Price Target:
$10.00
▲(6.95% Upside)
Action:Reiterated
Date:08/27/26
The score is held back primarily by weak technical momentum and a cautious near-term earnings outlook (guidance-driven profit pressure amid funding/risk headwinds). Financial statement quality remains solid (strong margins and low leverage), and valuation is a major offset with an extremely low P/E and high dividend yield.
Positive Factors
Low Leverage and Strong Liquidity
Very low leverage and substantial liquidity reduce balance-sheet risk, support continued investment in risk controls and technology, and give Qifu flexibility to absorb funding volatility without relying heavily on additional borrowing.
Negative Factors
Sharp Revenue and Earnings Contraction
The scale of the decline signals substantial pressure on loan volumes, pricing and funding economics. Persistently weaker earnings could constrain investment, reduce operating leverage and make recovery dependent on a stabilization of industry conditions.
Read all positive and negative factors
Positive Factors
Negative Factors
Low Leverage and Strong Liquidity
Very low leverage and substantial liquidity reduce balance-sheet risk, support continued investment in risk controls and technology, and give Qifu flexibility to absorb funding volatility without relying heavily on additional borrowing.
Read all positive factors

Qifu Technology (QFIN) vs. SPDR S&P 500 ETF (SPY)

Qifu Technology Business Overview & Revenue Model

Company Description
Qifu Technology, Inc. (QFIN), known as 360 DigiTech, Inc. until its rebranding in March 2023, is a credit technology firm based in the People's Republic of China. Through its 360 Jietiao platform, the company facilitates credit-driven services by ...
How the Company Makes Money
Qifu Technology primarily generates revenue by enabling and supporting loan origination and related lifecycle services for partner financial institutions (e.g., banks and other licensed lenders). Its key revenue streams generally include: (1) Loan...

Qifu Technology Earnings Call Summary

Earnings Call Date:Aug 25, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 18, 2026
Earnings Call Sentiment Negative
The call presents a mixed picture: Q2 showed operational resilience with improved short-term risk metrics, funding mix optimization (including a 90% sequential increase in ABS issuance), strong growth in the tech solutions business (loan volume +515% YoY) and continued AI and overseas progress. However, an industry liquidity shock in late June, escalating regulatory actions (particularly against collection practices), materially weaker revenue and profit (non-GAAP net profit down sharply year-over-year), elevated provisioning (new provision ratio at a historical high of 5.36%), a one-off tax expense (~RMB 500M) and renewed risk deterioration in August create significant near-term headwinds. Management is prioritizing risk control, cost discipline and capital preservation, and expects subdued origination and higher funding costs in H2. On balance, the near-term negatives (sizeable revenue/profit declines and renewed risk/funding pressure) outweigh the positive strategic progress and Q2 operational improvements.
Positive Updates
Platform Scale and Reach
AI-powered credit decision engine and asset distribution platform served 168 financial institutions and delivered digital credit services to over 65 million cumulative credit line users as of end of Q2.
Negative Updates
Significant Revenue Decline
Total net revenue was CNY 3.57 billion in Q2 versus CNY 3.91 billion in Q1 and CNY 5.22 billion a year ago (year-over-year decline of ~31.6%); credit-driven (capital-heavy) revenue declined to CNY 2.6 billion and platform (capital-light) revenue fell to CNY 969.8 million year-over-year.
Read all updates
Q2-2026 Updates
Negative
Platform Scale and Reach
AI-powered credit decision engine and asset distribution platform served 168 financial institutions and delivered digital credit services to over 65 million cumulative credit line users as of end of Q2.
Read all positive updates
Company Guidance
Management guided Q3 non‑GAAP net income of RMB 400–500 million (down ~67–73% YoY), warning of continued tight funding and higher funding costs after ~25 bps increases in July–August; they expect C‑M2 (0.66% in Q2) to rise noticeably (August projected ~+25% sequential) after FPD3/FPD7 surged ~20% MoM. They will maintain a prudent provisioning stance (Q2 new provisions ~RMB 1.72bn; new provision booking ratio 5.36%; provision coverage 472%) and build buffers, with leverage expected to hover around 2.1x and cash & short‑term investments of ~RMB 10.63bn (cash from operations RMB 1.09bn in Q2). Other metrics: Q2 loan facilitation/origination ~RMB 63.4bn (‑2.5% QoQ; July ~‑10%, July+August ~‑15%), average IRR 18.2% (vs 18.7% in Q1), ABS issuance RMB 5.5bn (+90% QoQ, issuance costs ‑20 bps), sales & marketing ‑13% QoQ (new users 830k vs 1.19m in Q1), and an H1 dividend of USD 0.46 per ADS (~30% payout); management expects 2–3 quarters of elevated volatility and will prioritize risk control, cost cutting and disciplined capital allocation.

Qifu Technology Financial Statement Overview

Summary
Financials show strong underlying quality (high TTM margins and low leverage with debt-to-equity ~0.09), but momentum has weakened: TTM revenue contraction and softer net income vs. 2024–2025, plus sharply negative TTM free cash flow growth and weaker cash conversion versus prior periods.
Income Statement
78
Positive
Balance Sheet
86
Very Positive
Cash Flow
72
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue17.48B16.08B17.17B16.29B16.55B16.64B
Gross Profit11.67B11.90B10.60B10.45B11.70B12.84B
EBITDA6.75B7.44B8.08B7.98B8.92B9.93B
Net Income5.05B5.99B6.26B4.29B4.02B5.78B
Balance Sheet
Total Assets54.13B56.95B48.13B45.82B40.34B33.50B
Cash, Cash Equivalents and Short-Term Investments6.55B7.55B7.85B4.19B7.22B6.12B
Total Debt2.19B3.82B1.40B827.73M180.70M423.36M
Total Liabilities29.73B32.79B23.89B23.81B21.41B18.29B
Stockholders Equity24.27B24.11B24.19B21.94B18.85B15.20B
Cash Flow
Free Cash Flow7.22B10.84B9.19B7.03B5.90B5.76B
Operating Cash Flow10.30B11.08B9.34B7.12B5.92B5.79B
Investing Cash Flow-7.43B-13.08B-7.99B-11.15B-7.36B-6.06B
Financing Cash Flow-4.96B2.78B-2.11B1.07B3.20B2.26B

Qifu Technology Risk Analysis

Qifu Technology disclosed 88 risk factors in its most recent earnings report. Qifu Technology reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Qifu Technology Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$138.13M0.938.64%25.81%-4.17%-34.34%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
67
Neutral
$836.91M2.864.56%6.44%-1.89%-26.81%
62
Neutral
$1.04B1.2315.36%11.36%-7.92%-41.54%
54
Neutral
$88.21M-0.29-7.18%37.29%-13.83%-154.13%
52
Neutral
$2.33B-1.60-2.80%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
QFIN
Qifu Technology
8.72
-17.86
-67.19%
YRD
Yiren Digital
1.01
-4.59
-81.95%
FINV
FinVolution Group
3.30
-4.05
-55.08%
LX
Lexinfintech Holdings
0.85
-4.76
-84.83%
LU
Lufax Holding
1.23
-1.73
-58.45%

Qifu Technology Corporate Events

Qfin Holdings Posts Lower Q2 2026 Earnings but Strengthens Risk Metrics Amid Industry Turmoil
Aug 25, 2026
On August 25, 2026, Qfin Holdings reported unaudited results for the second quarter and first half of 2026 and declared a semi-annual dividend, underscoring resilience amid industry contraction, tighter regulation and a late-June liquidity shock. ...
Qifu Technology Sets Late-August Board Meeting to Approve Q2 and Interim 2026 Results
Aug 13, 2026
Qfin Holdings, Inc. announced that its board of directors will meet on August 25, 2026, in Beijing/Hong Kong time to approve unaudited financial results for the second quarter and first half ended June 30, 2026. At the same meeting, the board will...
Qfin Holdings Announces Resignation of Director Dan Zhao Effective June 3, 2026
Jun 3, 2026
Qfin Holdings, Inc., a Shanghai-based foreign private issuer in the financial services and fintech-related sector, maintains a board-led governance structure to guide its strategy and regulatory compliance. The company’s presence in U.S. cap...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 27, 2026