Shares of the Uxin Limited stock, a leading used car eCommerce platform in China, continued to decline in the pre-market trading session today after facing the downtrend of 4.07% at the previous closing. In the pre-market today, UXIN stock price saw a downtrend of 5.30% to drop at $$2.68 a share as of this writing. Let’s try to figure out the reason behind this fall.
Individuals eyeing Uxin stock are looking for some reason behind this fall to calm themselves, but the reality is somewhat different as there is no major culprit behind the falling UXIN stock price in today’s date. No analyst’s downgrades of or shrank targeted per share price of the Uxin stock have been in the recent news to justify the bearish sentiment. So what you need to know now at this point? Let’s discuss some recent past events of Uxin Limited.
On April 28, 2021, UXIN stock did announce its unaudited third quarter of the fiscal year 2021 financial results the summary of which is given below.
- Revenue for the three months ended December 31, 2020, decreased to RMB322.9 million from RMB466.4 million in the same tenure of the previous year.
- The gross margin for the reported quarter was 2.9% in comparison with 59.2% in the same quarter of last year.
- Non-GAAP adjusted loss from continuing operations reduced to MB162.5 million from RMB576.5 million in the same period of the prior year.
- Uxin stock suffered a net loss of RMB172.9 million in the reported quarter while the net loss in the same period of last year reached RMB966.7 million.
Uxin Limited Business Developments:
Uxin Limited had completed its transformation to inventory owning model during the last three months period of 2020 and initiated the process of building its first inspection and reconditioning center (IRC) in Xi’an.
On April 22, 2021, Uxin signed the strategic partnership agreement with JD.com pursuant to which both Uxin and JD will work together in order to provide consumers the facility of used car transactions in one platform i.e. Jd’s platform, via the launch of a self-operated online store.
Things are not going well for UXIN stock as far as market sentiment is concerned. The recently announced financial results were far less as compared to the same period of the prior year but this happened due to Uxin’s complete transformation to the inventory owning model and management is optimistic that the UXIN stock would again find momentum in the future.