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Yunji (YJ)
NASDAQ:YJ
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Yunji
(NASDAQ:YJ)
38Underperform
Yunji (YJ) vs. S&P 500 (SPY)
Market Cap
$7.82M
Dividend YieldN/A
Average Volume (3M)9.13K
Price to Earnings (P/E)―
Beta (1Y)-0.31
Revenue Growth-35.95%
EPS Growth26.08%
CountryUS
Employees363
SectorConsumer Cyclical
Sector Strength58
IndustrySpecialty Retail
Share Statistics
EPS (TTM)N/A
Shares Outstanding2,550,640
10 Day Avg. Volume20,577
30 Day Avg. Volume9,128
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Yunji Business Overview & Revenue Model
Company DescriptionYunji Inc. (YJ) is a leading Chinese social e-commerce platform that focuses on providing a curated selection of high-quality products across various categories including groceries, electronics, fashion, and home goods. The company primarily operates through a membership-based model, leveraging social interactions to drive sales and enhance customer engagement. Yunji aims to create a personalized shopping experience while fostering a community-driven shopping environment.
How the Company Makes MoneyYunji makes money primarily through its membership fees and sales of products on its platform. Members pay a subscription fee to access exclusive deals and discounts, which generates a steady revenue stream. Additionally, the company earns revenue from the sale of products, taking a margin on each transaction facilitated through its platform. Yunji also collaborates with suppliers and brands to offer a range of unique products, which can enhance its revenue through strategic partnerships and exclusive offerings. The company’s focus on social engagement and community building helps increase customer retention and encourages word-of-mouth marketing, further driving sales and revenue.
Yunji Financial Statement Overview
Summary
Yunji's financial health is concerning, marked by declining revenues, consistent unprofitability, and poor cash flow management. While the balance sheet remains relatively stable with low leverage, the company's inability to generate profit or positive cash flow presents significant risks. Potential investors should be cautious of the sustained revenue downturn and profitability challenges that overshadow the otherwise stable equity position.Income Statement
Yunji has experienced significant revenue decline from 2019 to 2024, with a sharp decrease in total revenue from 11.67 billion to 417.65 million. Gross profit margin has weakened over time, reflecting reduced operational efficiency. Notably, the company has consistently reported negative EBIT and net income, indicating ongoing unprofitability. The revenue growth rate has been negative, which is a major concern for potential investors.―
Balance Sheet
The balance sheet shows a high equity base with an equity ratio of approximately 80%, indicating financial stability. However, the persistent negative net income has resulted in a declining return on equity over the years. The company maintains low debt levels, reflected in a favorable debt-to-equity ratio, which suggests limited financial risk from leverage. Despite these strengths, the erosion of equity due to continuous losses is a concern.45
Cash Flow
Yunji's cash flow statement highlights poor cash flow management, with consistent negative operating and free cash flow, indicating a lack of internal cash generation capacity. The free cash flow has deteriorated significantly over the years, raising sustainability concerns. Additionally, the negative operating cash flow to net income ratio suggests inefficiencies in converting revenue to cash, further emphasizing liquidity challenges.―
| Breakdown | ||||
| Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 640.21M | 1.15B | 2.16B | 5.53B | 11.67B | Gross Profit |
| 307.44M | 502.54M | 811.98M | 1.59B | 2.42B | EBIT |
| -80.62M | -78.57M | -1.24M | -97.46M | -298.40M | EBITDA |
| -141.07M | -70.85M | 18.65M | -65.39M | -286.00M | Net Income Common Stockholders |
| -165.13M | -131.34M | 131.97M | -147.86M | -120.61M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 524.74M | 626.64M | 947.26M | 1.20B | 1.66B | Total Assets |
| 1.55B | 1.89B | 2.35B | 2.55B | 3.30B | Total Debt |
| 14.50M | 1.31M | 8.69M | 15.30M | 45.29M | Net Debt |
| -503.04M | -413.33M | -558.51M | -1.05B | -838.08M | Total Liabilities |
| 362.69M | 536.51M | 871.46M | 1.24B | 1.84B | Stockholders Equity |
| 1.19B | 1.36B | 1.48B | 1.31B | 1.45B |
| Cash Flow | Free Cash Flow | |||
| -200.67M | -309.08M | -112.97M | -345.92M | -1.15B | Operating Cash Flow |
| -188.26M | -216.82M | -25.99M | -261.51M | -1.12B | Investing Cash Flow |
| 294.04M | 92.56M | -513.79M | 551.01M | -115.48M | Financing Cash Flow |
| -25.33M | -94.56M | -463.00K | -13.88M | 623.41M |
Yunji Technical Analysis
Negative
1.48
Price Trends
1.75
Negative
1.75
Negative
1.90
Negative
Market Momentum
-0.04
Positive
42.87
Neutral
27.76
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YJ, the sentiment is Negative. The current price of 1.48 is below the 20-day moving average (MA) of 1.64, below the 50-day MA of 1.75, and below the 200-day MA of 1.90, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 42.87 is Neutral, neither overbought nor oversold. The STOCH value of 27.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YJ.
Yunji Risk Analysis
Yunji disclosed 93 risk factors in its most recent earnings report. Yunji 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
Yunji Peers Comparison
Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $347.42M | 11.42 | 42.07% | 15.33% | -5.05% | -55.00% | |
61 Neutral | $6.58B | 11.81 | 3.06% | 3.99% | 2.54% | -21.54% | |
58 Neutral | $873.02M | ― | 19.14% | ― | 45.15% | -2.91% | |
46 Neutral | $4.06M | ― | -32.36% | ― | -16.85% | -9.20% | |
44 Neutral | $6.56M | ― | -94.56% | ― | -98.14% | -5486.59% | |
38 Underperform | $7.82M | ― | -10.86% | ― | -35.95% | 26.08% | |
28 Underperform | $2.85M | ― | -559.17% | ― | -35.99% | -909.64% |
* Consumer Cyclical Sector Average
Performance Comparison
YJ
Yunji
1.48
-1.56
-51.32%
BWMX
Betterware de Mexico
9.31
-6.17
-39.86%
NVVE
Nuvve Holding
1.05
-5.68
-84.40%
WNW
Meiwu Technology Company Limited
2.03
-18.37
-90.05%
EVGO
EVgo
3.67
1.92
109.71%
JWEL
Jowell Global
2.01
0.86
74.78%
Yunji Earnings Call Summary
Earnings Call Date:Apr 21, 2025
(Q4-2024)
| % Change Since: -16.85%|
Next Earnings Date:May 29, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant improvements in gross margin and user engagement through innovative product offerings and wellness programs. However, these positive developments were overshadowed by a notable decline in total revenue and increased operating expenses, leading to a widened net loss.Q4-2024 Updates
Positive Updates
Improved Gross Margin
Yunji's overall gross margin improved to 49.4% in 2024, indicating better cost management and customer loyalty.
Strong User Repurchase Rate
The user repurchase rate remained strong at 71.9%, showcasing customer trust and satisfaction with Yunji's products.
Growth in Private Label Product Sales
Sales of Yunji's private label organic health products, such as probiotics, reached nearly RMB 5 million in Q4 2024 and over RMB 6 million in Q1 2025. Additionally, the new life coffee generated sales of over RMB 5 million shortly after its launch.
Success of SUYE Pro Firming Series
The SUYE Pro firming skincare series generated over RMB 20 million in total sales, demonstrating strong demand for high-value skincare solutions.
Introduction of Innovative Wellness Programs
Yunji introduced the tea therapy program, which combines tea tasting, meditation, and traditional Chinese studies, achieving a 91% retention rate among participants and fostering strong user engagement.
Negative Updates
Decline in Total Revenue
Total revenue decreased to RMB 97.1 million from RMB 149.2 million a year ago, driven by refinements to the product range and optimization of the supplier network.
Increased Operating Expenses
Total operating expenses increased to RMB 126.2 million from RMB 109.8 million, primarily due to severance payments and impairment charges on long-lived assets.
Widened Net Loss
Net loss increased to RMB 85 million from RMB 65.9 million a year ago, with an adjusted net loss of RMB 84.5 million.
Company Guidance
During the Fourth Quarter 2024 Earnings Conference Call, Yunji provided guidance highlighting several key metrics and strategic initiatives. The company reported an overall gross margin improvement to 49.4% with a robust user repurchase rate of 71.9%. Sales of their probiotic product reached nearly RMB 5 million in Q4 2024 and over RMB 6 million in Q1 2025, while their new life coffee achieved over RMB 5 million in sales within 1.5 months of its launch. Yunji's private label brand, SUYE, introduced the SUYE Pro firming series, generating over RMB 20 million in sales in 2024, and plans to expand with the SUYE Pro solution in 2025. Additionally, the company launched a tea therapy program, which saw a 91% retention rate from its first 150 participants, and plans to expand by recruiting 1,000 tea enthusiasts by June. Financially, Yunji's total revenue was RMB 97.1 million, a decrease from RMB 149.2 million the previous year, with a net loss of RMB 85 million compared to RMB 65.9 million a year ago. The company emphasized cost optimization efforts, including reductions in fulfillment and technology expenses, while addressing increased short-term expenses to enhance operational efficiency. As of December 31, 2024, Yunji held RMB 242.8 million in cash and short-term investments, aiming for financial prudence and strategic investments to foster sustainable growth.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.