Waterdrop: Turnaround Story Supported By An Outsized Net Cash Balance

Dec. 22, 2022 8:00 PM ETWaterdrop Inc. (WDH) StockWDH
JP Research
5.35K Followers

Summary

  • The Waterdrop turnaround is taking shape.
  • In addition to its P&L strength, the growing net cash position provides downside protection.
  • There are regulatory risks here, but the cheap valuation makes the overall risk/reward very compelling.

Family car and home travel insurance concept on virtual screen

Funtap

Integrated Chinese insurtech platform Waterdrop (NYSE:WDH) continues to enjoy strong brand recognition through its medical crowdfunding and insurance marketplace platforms, delivering another strong beat-and-raise quarter in Q3. Beyond the P&L improvement, WDH’s growing cash position has largely been ignored by

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