Investment Rating - The report maintains a "Buy" rating for the company, Lexin Group (LX US), with a target price of $11.80, indicating a potential upside of 84.1% from the current price of $6.41 [1][2][9]. Core Insights - The company's profitability is on a continuous improvement path, driven by a decrease in provisioning costs and an increase in technology-enabled revenue [5]. - The net profit for Q2 2025 reached 511 million RMB, showing a significant year-on-year increase of 126% and a quarter-on-quarter increase of 19% [5]. - The report highlights the company's strong performance in the e-commerce sector, with transaction amounts significantly increasing year-on-year and quarter-on-quarter [5]. - Shareholder returns are expected to improve, with a dividend payout ratio increasing from 25% in the first half of 2025 to 30% in the second half [5]. - The asset quality is showing a positive trend, with a decrease in the overdue rate [5]. Financial Overview - Revenue projections for Lexin Group are as follows: 13,057 million RMB in 2023, 14,204 million RMB in 2024, and an estimated 13,871 million RMB in 2025, reflecting a year-on-year growth of 32.3% in 2023 and a decline of 2.3% in 2025 [4][13]. - The net profit is projected to be 2,008 million RMB in 2025, representing a year-on-year increase of 82.4% [5][8]. - The company's price-to-earnings ratio is expected to be below 4 times in 2025, indicating an attractive valuation [5]. - The report anticipates a net take rate improvement, with projections of 1.88% for 2025 and 2.47% for 2026 [8]. Market Performance - The stock has shown a year-to-date change of 10.52% and has a market capitalization of approximately 849.90 million USD [4]. - The stock's 52-week high and low are 11.43 USD and 1.63 USD, respectively, indicating significant volatility and potential for growth [4]. Conclusion - The report concludes that Lexin Group's improving profitability, strong revenue growth in technology-enabled services, and attractive valuation make it a compelling investment opportunity [5][8].

Core Viewpoint - The article introduces the "Six-Dimensional Investment Capability Analysis" feature in the Shenwan Hongyuan Shen Cai You Dao APP, aimed at helping investors manage risks in margin accounts by evaluating their investment performance across six key dimensions: profitability, risk control, return stability, timing ability, stock selection ability, and industry allocation [2][3]. Group 1: Six-Dimensional Investment Capability Analysis - The Six-Dimensional Radar Chart provides a comprehensive assessment of investment performance across six core dimensions [3]. - The analysis helps investors visualize their strengths and weaknesses in investment capabilities [3]. Group 2: Detailed Dimension Descriptions - **Profitability**: This dimension evaluates the investment return level through account yield, with higher yields indicating stronger profitability [6][9]. - **Risk Control**: Assessed based on the maximum drawdown during the investment period and any record of contract defaults, with lower drawdowns indicating better risk management [11][12]. - **Return Stability**: Calculated using the annualized volatility of the account during the investment period, with lower volatility suggesting more stable returns [15][16]. - **Timing Ability**: Judged by the trading win rate during the investment period, with higher win rates reflecting better timing skills [18]. - **Stock Selection Ability**: Evaluated through the distribution and performance of held stocks, as well as excess return rates, with higher excess returns indicating stronger stock selection [20][21][23]. - **Industry Allocation**: Displays the distribution and performance of holdings across industries, aiding in optimizing industry allocation strategies [24][25]. Group 3: Functionality and Usage - The analysis results are presented in a radar chart format, highlighting areas for improvement and providing objective suggestions for enhancement [27]. - Users can access the Six-Dimensional Investment Capability Analysis by downloading the Shenwan Hongyuan Shen Cai You Dao APP and navigating to the account analysis section [35][36].