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Aurora Mobile Ltd (JG)
NASDAQ:JG
US Market

Aurora Mobile (JG) AI Stock Analysis

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JG

Aurora Mobile

(NASDAQ:JG)

64Neutral
Aurora Mobile's overall stock score is driven by strong earnings call insights and technical momentum, offset by weak financial performance and concerning valuation metrics. The company's growth in subscription services and international expansion efforts are positive factors, while the ongoing financial instability and negative earnings highlight the risks. Investors should note the mixed signals, balancing growth potential against financial challenges.

Aurora Mobile (JG) vs. S&P 500 (SPY)

Aurora Mobile Business Overview & Revenue Model

Company DescriptionAurora Mobile Limited (JG) is a leading mobile developer service provider in China, specializing in providing push notification, analytics, and other marketing technology services. The company offers a suite of products and solutions designed to empower mobile applications with data-driven insights and personalized user engagement capabilities. Aurora Mobile's portfolio includes services like JPush, JAnalytics, and JMessage, which help developers optimize the performance and user experience of their applications.
How the Company Makes MoneyAurora Mobile makes money primarily through a subscription-based model and usage fees for its suite of developer services. The company's key revenue streams include fees from its push notification services, analytics platforms, and other software-as-a-service (SaaS) offerings. Aurora Mobile also generates income through partnerships with various technology companies, which enhance its service capabilities and expand its market reach. Additionally, the company may earn revenue from providing custom solutions and consulting services tailored to specific client needs. These diversified revenue streams enable Aurora Mobile to maintain a steady income while continuously innovating its product offerings.

Aurora Mobile Financial Statement Overview

Summary
Aurora Mobile faces challenges with declining revenues and persistent losses, affecting its profitability and cash generation capabilities. While leverage remains manageable, decreasing equity and negative returns highlight financial instability. The company needs to address operational inefficiencies to improve its financial health and return to a growth trajectory.
Income Statement
45
Neutral
Aurora Mobile's income statement shows a declining revenue trend, with a negative revenue growth rate due to consistent decreases over the past years. The company has experienced substantial net losses, resulting in negative net profit margins. Despite a high gross profit margin, the company struggles with significant operating losses, as indicated by negative EBIT and EBITDA margins.
Balance Sheet
55
Neutral
The balance sheet reveals a relatively low debt-to-equity ratio, indicating moderate leverage. However, the company's equity ratio has decreased over time, reflecting reduced financial stability. The negative return on equity suggests challenges in generating returns from shareholders' investments. The company possesses adequate cash reserves, but diminishing stockholder equity is a concern.
Cash Flow
50
Neutral
Aurora Mobile's cash flow statement indicates negative operating cash flow and free cash flow, suggesting difficulties in generating cash from operations. Despite this, the company has managed to maintain a stable free cash flow relative to net income, but overall free cash flow growth remains negative, signaling underlying cash generation issues.
Breakdown
TTMDec 2023Dec 2022Dec 2021Dec 2020Dec 2019
Income StatementTotal Revenue
299.74M290.23M328.82M357.32M471.61M906.46M
Gross Profit
205.80M199.29M225.80M264.93M206.18M256.74M
EBIT
-78.53M-50.88M-131.78M-138.13M-189.82M-147.35M
EBITDA
-78.70M-52.22M-103.14M-99.92M-171.19M-102.24M
Net Income Common Stockholders
-76.81M-62.10M-107.79M-140.58M-225.07M-109.97M
Balance SheetCash, Cash Equivalents and Short-Term Investments
576.56M114.52M116.13M120.55M436.12M431.46M
Total Assets
997.72M350.19M420.93M595.54M787.33M941.65M
Total Debt
216.18M4.64M5.00M150.00M225.23M230.03M
Net Debt
-360.38M-109.89M-111.13M59.45M-130.89M-201.43M
Total Liabilities
396.06M246.47M262.03M380.09M466.09M434.05M
Stockholders Equity
601.66M73.55M128.35M215.44M321.24M507.60M
Cash FlowFree Cash Flow
537.27M-18.43M-18.60M-95.59M53.48M-74.84M
Operating Cash Flow
217.01M-17.91M-17.48M-76.65M75.81M-25.76M
Investing Cash Flow
866.47M25.13M26.85M26.44M-144.41M-88.97M
Financing Cash Flow
-4.21B-8.65M-148.04M-54.52M315.00K-33.88M

Aurora Mobile Technical Analysis

Technical Analysis Sentiment
Positive
Last Price10.46
Price Trends
50DMA
9.95
Positive
100DMA
8.26
Positive
200DMA
6.30
Positive
Market Momentum
MACD
0.06
Negative
RSI
52.03
Neutral
STOCH
47.87
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JG, the sentiment is Positive. The current price of 10.46 is above the 20-day moving average (MA) of 10.17, above the 50-day MA of 9.95, and above the 200-day MA of 6.30, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 52.03 is Neutral, neither overbought nor oversold. The STOCH value of 47.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JG.

Aurora Mobile Risk Analysis

Aurora Mobile disclosed 80 risk factors in its most recent earnings report. Aurora Mobile reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Aurora Mobile Peers Comparison

Overall Rating
UnderperformOutperform
Sector (58)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TMTME
80
Outperform
$23.83B23.8110.75%0.92%0.63%34.09%
66
Neutral
$8.21B-9.43%17.42%72.64%
JGJG
64
Neutral
$61.43M-9.96%-1.79%69.80%
58
Neutral
$21.67B10.60-18.43%2.42%4.66%-24.45%
50
Neutral
$323.95M-101.69%-15.51%-54.09%
47
Neutral
$767.86M-1.59%-20.51%67.41%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JG
Aurora Mobile
10.46
6.99
201.44%
APPS
Digital Turbine
3.08
0.66
27.27%
BILI
Bilibili
19.22
8.06
72.22%
HUYA
Huya
3.40
0.17
5.26%
TME
Tencent Music Entertainment Group
14.38
3.35
30.37%

Aurora Mobile Earnings Call Summary

Earnings Call Date: Mar 13, 2025 | % Change Since: 15.96% | Next Earnings Date: Jun 5, 2025
Earnings Call Sentiment Positive
Aurora Mobile experienced a highly successful quarter and year, achieving its first full year of profitability and demonstrating robust revenue growth across all major business segments. The expansion of the overseas business and strong performance in developer services, fueled by AI integration, are particularly notable. However, the decline in market intelligence revenue highlights some challenges in specific areas.
Highlights
First Full Year of Profitability
Aurora Mobile recorded a full year adjusted EBITDA positive for 2024, marking the first full year of profitability since the company's inception 14 years ago.
Strong Revenue Growth
The group's revenue for Q4 was RMB 93.2 million, achieving a remarkable 20% growth year-over-year, with solid growth across all business lines.
Overseas Business Expansion
EngageLab, the overseas business unit, recorded a 200% increase in revenue year-over-year, with a newly signed contract value growing by RMB 10 million in Q4.
Positive Cash Flow
Aurora Mobile reported a net operating cash inflow of RMB 19.5 million, the highest in the past 17 quarters.
Developer Services Revenue Surge
Developer Services revenue increased by 28% year-over-year and 24% quarter-over-quarter, driven by subscription services and value-added services.
AI Integration and Strategy
Aurora Mobile remains committed to its AI First strategy, integrating AI into workflows and enhancing product capabilities, leading to strong revenue growth in AI-driven services.
Lowlights
Market Intelligence Revenue Decline
Market intelligence revenue decreased by 36% year-over-year and remained flat quarter-over-quarter due to weak market demand for Chinese APP data.
Company Guidance
In the earnings call for Aurora Mobile's fourth quarter and fiscal year 2024, the company provided guidance and highlighted key metrics indicating strong financial performance. The company achieved a remarkable 20% year-over-year revenue growth, reaching RMB 93.2 million, driven by robust performance across all business lines. The overseas business segment, EngageLab, recorded a significant 200% year-over-year revenue increase, fueled by new customer acquisitions. Aurora Mobile also achieved its first full-year positive adjusted EBITDA since inception, marking six consecutive quarters of positive adjusted EBITDA. The company reported net operating cash inflow of RMB 19.5 million, the highest in the past 17 quarters, with a cash balance nearing RMB 120 million by year-end. For Q1 2025, Aurora Mobile provided a revenue guidance range of RMB 74 million to RMB 77.5 million, representing a 15% to 20% year-over-year growth. The positive trends in developer subscription revenue, which surpassed RMB 50 million for two consecutive quarters, underscore a strong market demand and an expanding customer base.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.