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JOYY INC-ADR (YY) Stock Fundamental Analysis

NASDAQ:YY - Nasdaq - US46591M1099 - ADR - Currency: USD

41.55  -1.08 (-2.53%)

After market: 41.55 0 (0%)

Fundamental Rating

4

Overall YY gets a fundamental rating of 4 out of 10. We evaluated YY against 70 industry peers in the Interactive Media & Services industry. While YY is still in line with the averages on profitability rating, there are concerns on its financial health. YY is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year YY was profitable.
In multiple years YY reported negative net income over the last 5 years.
In multiple years YY reported negative operating cash flow during the last 5 years.
YY Yearly Net Income VS EBIT VS OCF VS FCFYY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 500M -500M 1B

1.2 Ratios

YY's Return On Assets of 4.09% is fine compared to the rest of the industry. YY outperforms 75.00% of its industry peers.
YY has a Return On Equity of 6.71%. This is in the better half of the industry: YY outperforms 77.78% of its industry peers.
YY's Return On Invested Capital of 0.51% is in line compared to the rest of the industry. YY outperforms 58.33% of its industry peers.
Industry RankSector Rank
ROA 4.09%
ROE 6.71%
ROIC 0.51%
ROA(3y)1.48%
ROA(5y)5.59%
ROE(3y)2.46%
ROE(5y)7.87%
ROIC(3y)N/A
ROIC(5y)N/A
YY Yearly ROA, ROE, ROICYY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 10 20 30

1.3 Margins

With an excellent Profit Margin value of 15.31%, YY belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of YY has declined.
The Operating Margin of YY (1.54%) is comparable to the rest of the industry.
The Gross Margin of YY (35.85%) is worse than 73.61% of its industry peers.
YY's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 1.54%
PM (TTM) 15.31%
GM 35.85%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-40.05%
PM growth 5Y-40.06%
GM growth 3Y8.39%
GM growth 5Y23.42%
YY Yearly Profit, Operating, Gross MarginsYY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 100 -100

3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), YY is destroying value.
There is no outstanding debt for YY. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
YY Yearly Shares OutstandingYY Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 20M 40M 60M
YY Yearly Total Debt VS Total AssetsYY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B 8B

2.2 Solvency

Based on the Altman-Z score of 1.32, we must say that YY is in the distress zone and has some risk of bankruptcy.
YY has a Altman-Z score (1.32) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.01 indicates that YY is not too dependend on debt financing.
The Debt to Equity ratio of YY (0.01) is better than 63.89% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.01
Debt/FCF N/A
Altman-Z 1.32
ROIC/WACC0.06
WACC8.26%
YY Yearly LT Debt VS Equity VS FCFYY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B 4B 6B

2.3 Liquidity

YY has a Current Ratio of 1.32. This is a normal value and indicates that YY is financially healthy and should not expect problems in meeting its short term obligations.
YY has a worse Current ratio (1.32) than 65.28% of its industry peers.
YY has a Quick Ratio of 1.32. This is a normal value and indicates that YY is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.32, YY is not doing good in the industry: 65.28% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 1.32
Quick Ratio 1.32
YY Yearly Current Assets VS Current LiabilitesYY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 1B 2B 3B 4B 5B

3

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 20.91% over the past year.
The Earnings Per Share has been growing slightly by 4.68% on average over the past years.
EPS 1Y (TTM)20.91%
EPS 3Y58.63%
EPS 5Y4.68%
EPS Q2Q%75.25%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-3.58%

3.2 Future

Based on estimates for the next years, YY will show a small growth in Earnings Per Share. The EPS will grow by 6.18% on average per year.
The Revenue is expected to grow by 2.18% on average over the next years.
EPS Next Y-9.66%
EPS Next 2Y3.25%
EPS Next 3Y6.18%
EPS Next 5YN/A
Revenue Next Year-3.1%
Revenue Next 2Y1.35%
Revenue Next 3Y2.18%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
YY Yearly Revenue VS EstimatesYY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1B 2B 3B 4B
YY Yearly EPS VS EstimatesYY Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2 4 6

4

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 8.26, which indicates a very decent valuation of YY.
Based on the Price/Earnings ratio, YY is valued cheaper than 84.72% of the companies in the same industry.
When comparing the Price/Earnings ratio of YY to the average of the S&P500 Index (27.28), we can say YY is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.14, the valuation of YY can be described as very reasonable.
Based on the Price/Forward Earnings ratio, YY is valued cheaply inside the industry as 81.94% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, YY is valued rather cheaply.
Industry RankSector Rank
PE 8.26
Fwd PE 9.14
YY Price Earnings VS Forward Price EarningsYY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
YY Per share dataYY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)1.76
EPS Next 2Y3.25%
EPS Next 3Y6.18%

5

5. Dividend

5.1 Amount

YY has a Yearly Dividend Yield of 50.62%, which is a nice return.
YY's Dividend Yield is rather good when compared to the industry average which is at 3.05. YY pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, YY pays a better dividend.
Industry RankSector Rank
Dividend Yield 50.62%

5.2 History

YY has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
YY Yearly Dividends per shareYY Yearly Dividends per shareYearly Dividends per share 2020 2021 2022 2023 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

DPN/A
EPS Next 2Y3.25%
EPS Next 3Y6.18%
YY Yearly Income VS Free CF VS DividendYY Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 500M 1B

JOYY INC-ADR

NASDAQ:YY (3/28/2025, 8:07:34 PM)

After market: 41.55 0 (0%)

41.55

-1.08 (-2.53%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)03-19 2025-03-19/amc
Earnings (Next)05-26 2025-05-26
Inst Owners67.96%
Inst Owner Change6.81%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.24B
Analysts82.73
Price Target54.66 (31.55%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 50.62%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date04-17 2025-04-17 (0.93)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.84%
Min EPS beat(2)28.01%
Max EPS beat(2)71.66%
EPS beat(4)4
Avg EPS beat(4)98.4%
Min EPS beat(4)28.01%
Max EPS beat(4)211.16%
EPS beat(8)8
Avg EPS beat(8)113.15%
EPS beat(12)11
Avg EPS beat(12)184.43%
EPS beat(16)14
Avg EPS beat(16)134.32%
Revenue beat(2)1
Avg Revenue beat(2)0.25%
Min Revenue beat(2)-0.91%
Max Revenue beat(2)1.41%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-0.93%
Max Revenue beat(4)1.41%
Revenue beat(8)2
Avg Revenue beat(8)-1.62%
Revenue beat(12)4
Avg Revenue beat(12)-0.82%
Revenue beat(16)4
Avg Revenue beat(16)-12.44%
PT rev (1m)28.15%
PT rev (3m)28.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)2.51%
EPS NY rev (3m)2.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.22%
Valuation
Industry RankSector Rank
PE 8.26
Fwd PE 9.14
P/S 0.99
P/FCF N/A
P/OCF N/A
P/B 0.43
P/tB 1.02
EV/EBITDA N/A
EPS(TTM)5.03
EY12.11%
EPS(NY)4.54
Fwd EY10.94%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS42.13
BVpS96.21
TBVpS40.79
PEG (NY)N/A
PEG (5Y)1.76
Profitability
Industry RankSector Rank
ROA 4.09%
ROE 6.71%
ROCE 0.65%
ROIC 0.51%
ROICexc 1.29%
ROICexgc N/A
OM 1.54%
PM (TTM) 15.31%
GM 35.85%
FCFM N/A
ROA(3y)1.48%
ROA(5y)5.59%
ROE(3y)2.46%
ROE(5y)7.87%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-40.05%
PM growth 5Y-40.06%
GM growth 3Y8.39%
GM growth 5Y23.42%
F-ScoreN/A
Asset Turnover0.27
Health
Industry RankSector Rank
Debt/Equity 0.01
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.32
Quick Ratio 1.32
Altman-Z 1.32
F-ScoreN/A
WACC8.26%
ROIC/WACC0.06
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)20.91%
EPS 3Y58.63%
EPS 5Y4.68%
EPS Q2Q%75.25%
EPS Next Y-9.66%
EPS Next 2Y3.25%
EPS Next 3Y6.18%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-3.58%
Revenue Next Year-3.1%
Revenue Next 2Y1.35%
Revenue Next 3Y2.18%
Revenue Next 5YN/A
EBIT growth 1Y-46.77%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year84.42%
EBIT Next 3Y40.93%
EBIT Next 5Y35.02%
FCF growth 1YN/A
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1YN/A
OCF growth 3YN/A
OCF growth 5YN/A