Noah Holdings Limited American Depositary Shares (NOAH)

FairStock Score: 81/100 — HIGH CONVICTION

Key Financials

Strengths

• Conservative balance sheet with debt-to-equity of just 0.01, providing financial flexibility
• Attractive 5.7% dividend yield providing steady income returns
• FairStock composite score of 81/100 places it in the top tier across value, quality, and momentum factors

Concerns

• Revenue declining at 7.4% year-over-year signals potential demand weakness or market share loss
• Altman Z-Score of 0.9 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Noah Holdings Limited American Depositary Shares is a micro-cap financial services company valued at $829 million. The business generates $2.6 billion in annual revenue with a 6.8% net margin. From a quality standpoint, Noah shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 0.9 warrants caution. On valuation, the stock is deeply undervalued on a P/E basis at 8.6x, with offers a 64% margin of safety vs Graham Number of $28. Growth dynamics show revenue growing at -7.4% and profit growth of 62.5%. The 5.7% dividend yield adds an income component for patient holders. Our composite FairStock Score of 81/100 reflects strong fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the financial services space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer