Youlife Group Inc. (YOUL) AI Stock Analysis
YOUL AI stock analysis summary
AI ResearchYoulife Group Inc. (YOUL) provides vocational education, recruitment, and employee management services for blue-collar workers in China. The company grew revenue from $724.1M in FY2022 to $1.85B in FY2025, returning to profitability with net income of $43.1M. Despite this expansion, the stock fell 83.0% over the past year to close at $0.29, trading at a trailing P/E of 4.9x.
- Market cap
- $23.8M
- Revenue (TTM)
- $2.90B
- P/E
- 4.9x
- 1Y return
- -83.0% S&P 500 16.8%
- Avg. target
- $2.00 580.3% vs last close
Bull case
- Revenue expanded from $724.1M in FY2022 to $1.85B in FY2025, achieving a 3-year revenue CAGR of 36.8%.
- The company produced positive free cash flow of $12.0M and net income of $43.1M in FY2025.
- The analyst mean price target of $2.00 reflects a 580.3% premium over the last close of $0.29.
Bear case
- YOUL shares dropped 83.0% over the past year, significantly underperforming the S&P 500 gain of 16.8%.
- Gross margin compressed from 17.6% in FY2022 to 10.4% in FY2025, leaving operating margin at 0.4%.
- Quarterly earnings declined 29.5% year-over-year in the latest quarter ended June 30, 2024.
What Youlife Group Inc. does
Youlife Group Inc., based in Shanghai, operates as a blue-collar lifetime service provider in the People's Republic of China across four segments: Vocational Education, HR Recruitment, Employee Management, and Market Service. The company provides entrusted vocational education management, self-operated vocational schools, curriculum co-development projects, and vocational training services. It also delivers HR recruitment services, labor outsourcing and dispatch services, and value-added services. In addition, Youlife Group Inc. maintains a strategic partnership with Anhui Thingo Intelligent Technology Co. Ltd to develop a recruitment platform featuring AI-powered candidate sourcing and matching, as well as RPA-driven recruitment automation.
Growth and profitability
Youlife grew revenue from $724.1M in FY2022 to $1.85B in FY2025, generating a 3-year revenue CAGR of 36.8%. After posting net income of -$93.5M in FY2022 and $99.3M in FY2023, the company recorded net income of -$52.4M in FY2024 before finishing FY2025 with $43.1M. Gross margin trended downward from 17.6% in FY2022 to 10.4% in FY2025, while operating margin fell from 2.6% in FY2024 to 0.4% in FY2025. Over the trailing twelve months, revenue totaled $2.90B with a profit margin of 1.2%. In the latest quarter ended June 30, 2024, quarterly revenue grew 114.8% year-over-year, while quarterly earnings declined 29.5%.
Balance sheet and cash flow
As of March 31, 2026, Youlife held $144.2M in cash and short-term investments against total debt of $158.3M, leaving net debt at $14.1M. Total assets stood at $1.24B and shareholders' equity was $734.3M. The company maintains a current ratio of 2.02 and a debt-to-equity ratio of 0.22. Operating cash flow improved to $12.0M in FY2025 from $6.3M in FY2024, matching free cash flow of $12.0M. Capital expenditures in FY2025 were $27,000.
Valuation and performance
YOUL trades at a trailing P/E of 4.9x, an EV/EBITDA of 8.1x, and a price-to-book ratio of 0.3x, below the median of its US-listed Consumer Defensive peers of 18.6x P/E, 11.7x EV/EBITDA, and 0.7x price-to-sales. The company carries an enterprise value of $40.3M on a market cap of $23.8M. Over the past year, YOUL dropped 83.0% and is down 79.5% year-to-date, closing at $0.29 on October 16, 2026, while the S&P 500 gained 16.8% over the same 1-year period.
What analysts expect
Wall Street coverage includes a mean price target of $2.00, which is 580.3% above the last close of $0.29. For the current fiscal year ending December 31, 2026, estimates project revenue of $312.0M and EPS of $0.04. Looking ahead to the next fiscal year, 1 analyst forecasts revenue to increase 10.0% to $343.3M and EPS to grow 175.0% to $0.11.
Key risks and what to watch
- Total debt of $158.3M exceeds cash and short-term investments of $144.2M, resulting in net debt of $14.1M as of March 31, 2026.
- Analyst revenue estimates for the fiscal year ending December 31, 2026 are $312.0M, significantly below FY2025 revenue of $1.85B.
- Institutional ownership is limited at 1.4%, which may contribute to lower trading liquidity.
- The company generated a negative return on assets of -0.4% over the trailing twelve months.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this YOUL AI stock analysis
This page is an AI-written research summary of Youlife Group Inc. (YOUL). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: YOUL income statement, YOUL balance sheet, YOUL key metrics, YOUL analyst forecast, YOUL chart. See the YOUL stock overview for the latest quote and news.
YOUL AI stock analysis FAQ
What does Youlife Group Inc. do?
Youlife Group Inc. is a blue-collar lifetime service provider in China operating across Vocational Education, HR Recruitment, Employee Management, and Market Service segments. Its services include vocational training, school management, recruitment, and labor outsourcing.
Does YOUL pay a dividend?
YOUL does not pay a dividend.
What is the analyst price target for YOUL?
The mean analyst price target for YOUL is $2.00, representing a 580.3% upside from its last close of $0.29.
What is Youlife Group's financial position regarding debt and cash?
As of March 31, 2026, Youlife had $144.2M in cash and short-term investments against $158.3M in total debt, yielding net debt of $14.1M. It maintained a current ratio of 2.02 and a debt-to-equity ratio of 0.22.