111 Inc. American Depositary Shares (YI)

FairStock Score: 25/100 — RISKY

Key Financials

Strengths

• Generates $298 million in annual free cash flow (526.5% yield on market cap)

Concerns

• Revenue declining at 16.7% 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

111 Inc. American Depositary Shares is a micro-cap healthcare company valued at $57 million. Revenue stands at $12.6 billion. From a quality standpoint, 111 shows distressed Altman Z-Score of -0.9 warrants caution and negative ROE indicating losses. On valuation, the stock is strong 67.3% free cash flow yield. Growth dynamics show revenue growing at -16.7% and profit growth of 24.2%. Our composite FairStock Score of 25/100 reflects below-average 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. With $298 million in annual free cash flow (526.5% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the healthcare 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