What is Yiren Digital Ltd. (YRD) worth?

Currently $1.24 — 18% discount to Dolphy’s fair value · ● live

Fair value$1.52

Market $1.24

● live · as of 2026-07-21 21:13 · Market cap $133.0M

As of 2026-07-06, Yiren Digital Ltd. (YRD) looks undervalued. Dolphy estimates a fair value of $1.52 versus a current price of $1.24 — a 18% discount to fair value.

Executive summary

Thesis in brief. We rate Yiren Digital (YRD) Fairly Valued with a target of $1.52, in line with the current price. The stock screens as a valuation puzzle: our DCF implies $245.59/share on a 5-year revenue CAGR of 18.5% and 9.82% WACC, while a P/E-based proxy comp yields just $6.72—a divergence too wide to underwrite conviction. The company carries a net cash position of $3.3bn and strong liquidity (current ratio 21.8x), but latest EBITDA is negative (-$191mm) and ROE is -7.4%, undermining the earnings-power case.

Catalysts. (1) Next earnings on 2026-08-20, a read on trajectory versus estimated 2026 EPS of $0.51; (2) demonstrated path to positive operating margin (currently -3.9%); (3) any peer-set re-rating.

Risk/reward. Skewed but unproven. Bull/bear DCF spans $347.35–$183.72, yet negative EBITDA and 17.3x net-debt/EBITDA leave profitability unconfirmed. We stay on the sidelines.

Investment thesis

Our rating on Yiren Digital (YRD) is Fairly Valued, with a target of $1.52 against a current price of $1.52 — implying no material upside on a risk-adjusted basis. The central argument here is not that the stock is cheap; it is that the headline model outputs are unreliable, and once triangulated against fundamentals, the market's current price is defensible rather than mispriced.

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About Yiren Digital Ltd.

Yiren Digital Ltd. provides financial services through an AI-powered Fintech platform in China. Its platform provides a suite of financial and lifestyle services. The company offers credit solutions, insurance brokerage, and others. The company was formerly known as Yirendai Ltd. and changed its name to Yiren Digital Ltd. in September 2019. The company was founded in 2012 and is based in Beijing, the People's Republic of China. Yiren Digital Ltd. operates as a subsidiary of CreditEase Holdings (Cayman) Limited.

Frequently asked questions

Is YRD a buy?

As of 2026-07-06, Yiren Digital Ltd. (YRD) looks undervalued. Dolphy estimates a fair value of $1.52 versus a current price of $1.24 — a 18% discount to fair value.

What is YRD's fair value?

Dolphy's estimated fair value for Yiren Digital Ltd. (YRD) is $1.52, versus a current market price of $1.24.

Is YRD overvalued or undervalued?

Yiren Digital Ltd. (YRD) currently looks undervalued — trading at a 18% discount to Dolphy's estimated fair value of $1.52.

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AI-generated research by Dolphy for educational and informational purposes only — not investment advice. Figures are computed from public sources and may contain errors.