- Qudian is currently trading at 80% below its book value and has a PE ratio of 1.3.
- However, the CEO owns over 75% of the voting rights and does not seem to be willing to payout the book value via a cash dividend or share buybacks.
- The company's terrible track record makes me worried that the company will mismanage its assets and possibly not return any money to its shareholders.
- Investors have to pray for a change of heart of the CEO regarding the use of the company's cash, a rebound of the core business, or an unexpected success of Wanlimu kid's club, Qudian's latest business venture.
For further details see:
Qudian Stock: Risky Bet On A Great Balance Sheet