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111 (YI) AI Stock Analysis
111
(NASDAQ:YI)
YI scores near the low end of the range, driven primarily by weak financials: persistently negative shareholders' equity, no profitable year on record, and a recent reversal of its multi-year turnaround as revenue fell ~8%, losses widened, and cash flow swung back to negative. Gross margins near 5.7% leave virtually no cushion for execution missteps. Technicals reinforce the caution, with the price trading well below its 50-, 100- and 200-day moving averages in a sustained downtrend, despite a tentative short-term stabilization above the 20-day average. Valuation adds no support given negative earnings and no dividend. On the positive side, debt has been meaningfully reduced, the equity deficit has narrowed sharply, and low capital intensity means profitability could quickly restore cash generation — but investors should treat this as an unproven turnaround requiring evidence of revenue stabilization and consistent positive cash flow.
111 (YI) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $25.65M
- Dividend Yield
- ―
- Average Volume (3M)
- 14.44K
- Price to Earnings (P/E)
- -1.6
- Beta (1Y)
- 0.76
- Revenue Growth
- -23.90%
- EPS Growth
- -45.45%
- Country
- US
- Employees
- 1,063
- Sector
- Healthcare
- Sector Strength
- 51
- Industry
- Medical - Distribution
111 Business Overview & Revenue Model
Company Description
Based in Shanghai, People's Republic of China, 111, Inc. (established in 2010 and formerly known as New Peak Group until April 2018) is a prominent entity in the Chinese healthcare sector, operating a comprehensive online-to-offline (O2O) ecosystem....
How the Company Makes Money
111, Inc. primarily makes money by facilitating and fulfilling the sale of pharmaceuticals and other healthcare products through its digital healthcare platform and related distribution operations. Its revenue model is centered on: (1) product sales...
111 Earnings Call Summary
The earnings call demonstrates significant achievements in operational profitability and cost reduction despite challenging macroeconomic conditions and regulatory changes. The company's advancements in technology and supply chain expansion position it well for future growth, though market and competitive pressures remain.
Q4-2024 Updates
Positive Updates
Negative Updates
Company Guidance
During the conference call held on March 20, 2025, the management of 111 provided insights into their fiscal year 2024 performance and future outlook. Despite macroeconomic challenges and healthcare reforms impacting the industry, 111 achieved its first-ever operational profitability and positive operating cash flow. The company reduced operating expenses by 31% year-over-year, bringing them down to 5.7% of revenues. Key financial highlights included a yearly profit from operations of RMB2.1 million, a turnaround from a RMB350.1 million operational loss in 2023, and a non-GAAP income from operations of RMB22.3 million. The company also highlighted advancements in technology and supply chain infrastructure, such as their decentralized inventory network and AI-driven demand forecasting, which significantly improved operational efficiency. Looking ahead, 111 plans to leverage AI and digital transformation to enhance customer engagement and operational efficiency, aiming to capitalize on China's evolving healthcare market and structural trends like the aging population and healthcare transparency reforms.
111 Financial Statement Overview
Summary
Financials remain fragile. The income statement (33) shows razor-thin ~5.7% gross margins, no profitable year in the data set, and a recent reversal of the multi-year turnaround — TTM revenue down ~8% to roughly RMB 10.4 billion, operating income back in the red at about negative RMB 50 million, and net loss widening to roughly RMB 95 million. The balance sheet (18) is the weakest link, with persistently negative shareholders' equity (about negative RMB 114 million on a TTM basis, though much improved from prior deficits), total debt of roughly RMB 282 million, and total assets shrinking from about RMB 3.5 billion in 2022 to roughly RMB 1.8 billion. Cash flow (30) has been volatile: solid positive operating cash flow in 2024 and 2025 has flipped back to negative RMB 35 million operating and negative RMB 40 million free cash flow in the latest period. Debt reduction and prior loss narrowing are genuine positives, but the turnaround has not proven durable.
Income Statement
33NegativeBalance Sheet
18Very NegativeCash Flow
30Negative| Breakdown | TTM | Mar 2026 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.44B | 12.21B | 14.40B | 14.95B | 13.52B | 12.43B |
| Gross Profit | 598.89M | 703.70M | 829.23M | 848.98M | 839.98M | 621.10M |
| EBITDA | -28.91M | 1.81M | 24.62M | -311.26M | -321.81M | -588.32M |
| Net Income | -95.03M | -16.84M | -64.74M | -392.69M | -416.88M | -669.81M |
Balance Sheet | ||||||
| Total Assets | 1.79B | 2.20B | 2.79B | 3.09B | 3.47B | 3.15B |
| Cash, Cash Equivalents and Short-Term Investments | 381.26M | 611.72M | 462.29M | 653.67M | 879.53M | 843.95M |
| Total Debt | 281.98M | 217.73M | 256.77M | 443.23M | 344.19M | 491.01M |
| Total Liabilities | 1.63B | 1.99B | 2.41B | 2.81B | 2.83B | 2.30B |
| Stockholders Equity | -114.41M | -702.68M | -642.64M | -583.45M | -414.60M | -173.32M |
Cash Flow | ||||||
| Free Cash Flow | -39.66M | 114.69M | 247.82M | -457.07M | -54.73M | -751.53M |
| Operating Cash Flow | -35.20M | 119.14M | 263.02M | -447.24M | -23.15M | -688.84M |
| Investing Cash Flow | -63.92M | -53.72M | 37.38M | 151.74M | -47.17M | 60.14M |
| Financing Cash Flow | -91.81M | -21.19M | -406.24M | 205.98M | 22.73M | 74.34M |
111 Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YI, the sentiment is Negative. The current price of 2.99 is below the 20-day moving average (MA) of 3.06, below the 50-day MA of 3.30, and below the 200-day MA of 5.04, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 37.79 is Neutral, neither overbought nor oversold. The STOCH value of 33.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YI.
111 Risk Analysis
111 disclosed 83 risk factors in its most recent earnings report. 111 reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
3 New Risks111 Peers Comparison
Overall Rating
RMTI60Neutral
NEUP48Neutral
ELUT40Underperform
DYAI39Underperform- YI33Underperform
RNTX32Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| RMTI | 60Neutral | $28.50M | -4.97 | -14.03% | ― | -21.12% | -109.07% |
| Sector * | 51Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
| NEUP | 48Neutral | $16.50M | -0.42 | -77.03% | ― | ― | ― |
| ELUT | 40Underperform | $37.07M | 0.63 | 940.81% | ― | -48.76% | -3.02% |
| DYAI | 39Underperform | $15.23M | -1.76 | -2918.10% | ― | -8.05% | -14.12% |
| YI | 33Underperform | $25.04M | -1.63 | 23.64% | ― | -23.90% | -45.45% |
| RNTX | 32Underperform | $57.80M | -0.35 | -234.45% | ― | ― | 36.23% |
* Healthcare Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| YI | 111, Inc. | 2.92 | -1.52 | -34.23% | |
| RMTI | Rockwell Medical | 6.91 | -3.49 | -33.56% | |
| DYAI | Dyadic International Inc. | 0.38 | -0.67 | -64.19% | |
| RNTX | Rein Therapeutics, Inc | 0.64 | -0.78 | -55.28% | |
| ELUT | Elutia Inc. | 0.82 | -0.10 | -10.76% | |
| NEUP | Neuphoria Therapeutics Inc. | 3.04 | -1.18 | -27.96% |
111 Corporate Events
111, Inc. Forms Special Committee Advisers to Review September Take-Private Proposal
On October 26, 2026, Shanghai-based 111, Inc. said a special committee of three independent directors formed by its board has hired Houlihan Lokey China Limited as independent financial advisor and Kirkland & Ellis as U.S. legal counsel. The mand...
111, Inc. Forms Special Committee to Review Buyout Proposal and Strategic Alternatives
111, Inc., a Shanghai-based technology-enabled healthcare platform listed on Nasdaq, operates consumer-facing 1 Pharmacy and B2B-focused 1 Medicine, using digital tools and AI to connect consumers, pharmacies and pharmaceutical companies across China...
111, Inc. Co-Founders Lead Unsolicited Bid to Take Nasdaq-Listed Healthcare Platform Private
On September 17, 2026, 111, Inc. disclosed that its board had received an unsolicited preliminary non-binding proposal dated September 16 from a buyer group led by co-founders Gang Yu and CEO Junling Liu, together with Huadeng Tech BioArray Ventures....
111, Inc. Posts Q2 2026 Results as Asset-Light, AI-Driven Healthcare Platform Strategy Advances
In the second quarter of 2026, 111, Inc. reported net revenue of RMB2.3 billion, down 28.3% year over year, largely due to the deliberate divestiture of underperforming subsidiaries as it pivots to an asset-light, platform-oriented model. Despite the...
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: Sep 29, 2026