SunCar Technology Group (SDA) AI Stock Analysis

• Market Cap: $265.84M
• Dividend Yield: N/A
• Average Volume (3M): 68.23K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.26
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 560
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): N/A
• Shares Outstanding: 55,983,284
• 10 Day Avg. Volume: 87,322
• 30 Day Avg. Volume: 68,228
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 3.68
• Enterprise Value/Revenue: 2.21
• Enterprise Value/Gross Profit: 6.77
• Enterprise Value/Ebitda: -35.53
• 1Y Price Target: $2.50
• Price Target Upside: -3.47% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: $2.50 ▼(-3.47% Downside)

SunCar Technology Group's overall score is primarily influenced by financial performance challenges, including high leverage and ongoing losses. Technical analysis provides a neutral outlook, while valuation concerns due to a negative P/E ratio further impact the score. Improvements in cash flow offer a slight positive note.

Positive Factors

Revenue Growth

The company's strong revenue growth indicates increasing demand for its products and services, which can support future expansion and market penetration.

Strategic Partnerships

Partnerships with companies like Leapmotor enhance SunCar's market position and expand its customer base, driving long-term growth and innovation.

Blockchain Integration

Integrating blockchain technology can improve transaction transparency and efficiency, positioning SunCar at the forefront of digital transformation in the auto industry.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in growth opportunities and weather economic downturns.

Profitability Challenges

Ongoing profitability issues highlight operational inefficiencies, which could hinder long-term financial health and shareholder returns.

Low Equity Ratio

A low equity ratio suggests financial instability, making it difficult for SunCar to secure favorable financing terms or withstand financial stress.

SunCar Technology Group Business Overview & Revenue Model

Company Description

SunCar Technology Group Inc., through its subsidiaries, provides digitalized automotive after-sales service and online insurance intermediation services in the People's Republic of China. It operates through three segments: Insurance Intermediation Business; Automotive After-Sales Business; and Technology Business. The Insurance Intermediation Business segment provides traditional auto insurance renewal services and new energy vehicles insurance services. The Automotive After-Sales Business provides after-sales services to banking, insurance companies, and other customer types. The Technology Business segment provides auto insurance SaaS products and other technical services. SunCar Technology Group Inc. was founded in 2007 and is based in Shanghai, China.

How the Company Makes Money

SunCar Technology Group generates revenue primarily through the sale of its digital solutions and services to automotive manufacturers and end consumers. The company's key revenue streams include licensing fees from its technology platforms, subscription fees for its software services, and direct sales of proprietary hardware and software products. Additionally, SunCar may engage in strategic partnerships with automotive manufacturers and technology companies, which can provide additional revenue opportunities through joint ventures or collaborative projects. Factors such as technological advancement, customer demand, and industry trends significantly influence the company's earnings potential.

SunCar Technology Group Financial Statement Overview

Summary

SunCar Technology Group shows revenue growth but struggles with profitability, high leverage, and low equity. Recent cash flow improvements are positive but financial risks remain due to high debt and negative equity.

Income Statement

SunCar Technology Group has shown revenue growth over recent years, with a 21.49% increase from 2023 to 2024. However, the company struggles with profitability, as indicated by negative EBIT and net income margins. The gross profit margin is moderate at 11.64% for 2024, but the consistent net losses highlight ongoing operational challenges.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio due to low stockholders' equity, which could pose significant financial risks. The equity ratio is low at 4.82%, indicating heavy reliance on liabilities to finance assets. Despite some asset growth, the financial stability is compromised by high leverage and negative equity in previous years.

Cash Flow

There is a positive shift in cash flow, with a move to positive free cash flow in 2024 from negative in 2023. The operating cash flow to net income ratio is positive, indicating some efficiency in converting income to cash, though the free cash flow to net income ratio shows room for improvement. Overall, cash management has improved but remains a concern given historical fluctuations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2019
Income Statement
Total Revenue	441.90M	363.75M	282.41M	0.00
Gross Profit	51.46M	41.69M	50.12M	0.00
EBITDA	-51.79M	-5.70M	-1.32M	171.86K
Net Income	-68.66M	-26.91M	-6.67M	-34.63K
Balance Sheet
Total Assets	246.73M	223.24M	191.97M	76.32K
Cash, Cash Equivalents and Short-Term Investments	47.85M	52.45M	47.74M	76.32K
Total Debt	84.16M	84.28M	74.97M	0.00
Total Liabilities	180.49M	155.25M	155.19M	85.94K
Stockholders Equity	11.89M	16.08M	-5.28M	-9.63K
Cash Flow
Free Cash Flow	11.25M	-32.58M	-20.50M	-28.21K
Operating Cash Flow	11.84M	-27.65M	-16.14M	-28.21K
Investing Cash Flow	-12.15M	-2.39M	-5.92M	0.00
Financing Cash Flow	-2.95M	40.43M	10.64M	104.53K

SunCar Technology Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SDA, the sentiment is Negative. The current price of 2.59 is below the 20-day moving average (MA) of 2.61, above the 50-day MA of 2.43, and below the 200-day MA of 4.52, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 51.76 is Neutral, neither overbought nor oversold. The STOCH value of 39.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SDA.

SunCar Technology Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CANG	58 Neutral	788.83M	-1.22	7.34%	―	348.38%	-1821.85%
RDNW	56 Neutral	168.57M	-1.47	2329.79%	―	-14.27%	67.06%
SDA	46 Neutral	$265.84M	―	-167.38%	―	―	―
UXIN	39 Underperform	799.94M	-20.73	74.03%	―	0.00%	0.00%
KXIN	38 Underperform	8.29M	-0.12	0.00%	―	-99.25%	90.38%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

SunCar Technology Group Corporate Events

SunCar Technology Group to Invest $10 Million in RWA-Focused Cryptocurrencies

On September 18, 2025, SunCar Technology Group announced its plan to invest up to $10 million in major cryptocurrencies that are expected to benefit from the growth of Real-World Asset (RWA) tokenization. This strategic move aligns with SunCar’s efforts to integrate blockchain technology into its digital auto insurance business, aiming to enhance transaction transparency and efficiency. The company views this investment as part of a broader strategy to leverage blockchain and RWA tokenization to maximize long-term shareholder value, despite the inherent risks and uncertainties associated with cryptocurrency markets.