Banks Equity & Credit Research Analyst

Venkata D Ravi Kumar Dasari, CFA

Experienced equity and credit research analyst with a global banking focus, dedicated to producing high conviction, value-adding investment calls that elevate client performance.

Equity Bottom-Up

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<li>QFIN shares are down ~19% MTD on regulatory concerns in China’s consumer finance sector, though the proposed credit-risk sharing rules may only modestly impact near-term RoE (1–3ppt).</li>
<li>While speculation over a lower NFRA loan yield cap persists, QFIN’s current yield profile suggests limited sensitivity; any tangible financial impact will depend on actual regulation rollout.</li>
<li>QFIN’s 0.9x P/B reflects overly bearish loss expectations. Even under a bear case with a 5ppt RoE reduction, the stock offers 56% upside, implying a fair value of $34.</li>
</ul>


QFIN shares are down ~19% MTD on regulatory concerns in China’s consumer finance sector, though the proposed credit-risk sharing rules may only modestly impact near-term RoE (1–3ppt).
While speculation over a lower NFRA loan yield cap persists, QFIN’s current yield profile suggests limited sensitivity; any tangible financial impact will depend on actual regulation rollout.
QFIN’s 0.9x P/B reflects overly bearish loss expectations. Even under a bear case with a 5ppt RoE reduction, the stock offers 56% upside, implying a fair value of $34.


Qfin Holdings Inc.(QFIN): Buying on Pullbacks Still Makes Sense Here

360 Finance, Inc.

Qfin Holdings Inc.(QFIN): Buying on Pullbacks Still Makes Sense Here