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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#3192
Positioning
Market Dominance
Services
Personal Services
$0
Zaichang Ye
SunCar Technology Group Inc., through its subsidiaries, provides digitalized automotive after-sales service and online insurance intermediation services in the People's Republic of China. SunCar Technology Group Inc. was founded in 2007 and is based in Shanghai, China.
Headcount
—
HQ Base
Pending Verification
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X-AXIS: EV/EBITDA (LOWER = CHEAPER) | Y-AXIS: ROE (HIGHER = ELITE) | RED CIRCLE = SDA ANALYSIS TARGET
| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$YALA Yalla Group Ltd | 75 | 89 | 99 | 80 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$GRVY GRAVITY Co., Ltd. | 75 | 82 | 96 | 71 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ISSC INNOVATIVE SOLUTIONS & SUPPORT INC | 73 | 81 | 88 | 94 | 25.0x | 14.1x | 17.1% | 10.3% | 35.5% | 14.6% | 10.1% | 105.2% | 0.0% | 41.0x | $244M | VS | |
$AER AerCap Holdings N.V. | 72 | 60 | 87 | 84 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$HCSG HEALTHCARE SERVICES GROUP INC | 72 | 74 | 88 | 88 | 7.1x | 6.1x | 28.9% | 20.8% | 20.8% | 9.9% | 9.3% | 8.5% | 0.0% | 1.0x | $1.2B | VS | |
$LQDT LIQUIDITY SERVICES INC | 72 | 90 | 88 | 68 | 24.9x | 14.3x | 14.1% | 8.3% | 45.7% | 8.5% | 6.2% | 28.1% | 0.0% | 0.0x | $736M | VS | |
$TRTNpA Triton International Ltd | 71 | 70 | 89 | 70 | - | 1.7x | 0.0% | - | 97.4% | 58.0% | 37.4% | - | 8.8% | 264.0x | $2.5B | VS | |
$EDU New Oriental Education & Technology Group Inc. | 71 | 83 | 52 | 77 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$NTES NetEase, Inc. | 71 | 88 | 93 | 68 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$UTI UNIVERSAL TECHNICAL INSTITUTE INC | 70 | 86 | 86 | 72 | 43.2x | 16.0x | 15.3% | 5.8% | 100.0% | 6.9% | 5.2% | 15.1% | 0.0% | 24.0x | $1.8B | VS | |
$SDA SunCar Technology Group Inc. | 43 | 43 | 19 | 44 | - | - | -2167.9% | -104.5% | 100.0% | -13.2% | -14.6% | - | - | 703.0x | $0 | ||
| SECTOR BENCH | - | - | - | - | - | 23.7x | 11.7x | 5.7% | 2.4% | 64.6% | 4.5% | 2.8% | 8.6% | 0.0% | 0.3x | - | REF |
SunCar Technology Group Inc. (SDA) receives a "Reduce" rating with a composite score of 42.5/100. It ranks #3192 out of 7,333 stocks in our coverage universe and carries a 2-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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In-line with peers — no strong momentum signal
Expensive relative to fundamentals — limited margin of safety
Average quality profile
Average volatility — neutral timing signal
Aggressive spending — empire-building risk, dilutive growth
Mid-range overall rating
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Relative valuation derived from Services sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for SDA.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 43 | 41 | +2NEUTRAL |
| MOMENTUM | 44 | 41 | +3NEUTRAL |
| VALUATION | 19 | 10 | +9ALPHA |
| INVESTMENT | 24 | 11 | +13ALPHA |
| STABILITY | 50 | 51 | -1NEUTRAL |
| SHORT INT | 36 | 27 | +9ALPHA |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROIC -81.3% vs WACC 8.2% (spread -89.5%)
GM 100% vs sector 65%, OM -13% vs sector 5%
Capital turnover 7.79x
Rev growth N/A, 2yr history
Interest coverage N/A
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate SunCar Technology Group Inc. (SDA) as a Reduce with a composite score of 42.5/100 at a current price of $2.36. The quantitative profile shows weakness across multiple dimensions, suggesting limited upside potential.
SunCar Technology Group Inc. holds a top-quartile position (#0 of 50) within the Services sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 42.5/100 places it at rank #3192 in our full universe.
No Moat
Very High
Poor
Fair Value
Gross margins of 100% signal strong pricing power.
Stable competitive position in a defensive sector.
Leverage of 703% D/E amplifies downside risk.
Vulnerability to macroeconomic shocks and interest rate volatility.
SunCar Technology Group Inc. represents a reduce based on multi-factor quantitative performance.
SunCar Technology Group Inc. receives a Reduce rating from our analysis, with a composite score of 42.5/100 and 2 out of 5 stars, ranking #3192 out of 7,333 stocks. SDA's factor profile shows weakness across multiple dimensions, suggesting the stock may underperform going forward. Existing holders may want to consider trimming positions or tightening stop-losses.
SDA's quality score of 43/100 is below average, suggesting challenges with profitability or capital efficiency. The company reports a return on equity of -2167.9% (sector avg: 5.7%), gross margins of 100.0% (sector avg: 64.6%), net margins of -14.6% (sector avg: 2.8%). Investors should examine whether management is actively addressing these weaknesses or if they reflect structural industry headwinds.
SDA registers a value score of just 19/100, suggesting the stock trades at a significant premium to its fundamental metrics. Key valuation metrics include a P/B ratio of 19.39x. High-premium valuations like this require strong future execution to avoid multiple compression, and downside risk is elevated if growth disappoints.
SunCar Technology Group Inc.'s investment score of 24/100 suggests limited reinvestment activity. Key growth metrics include a return on assets of -104.5% (sector: 2.4%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
SDA is currently showing below-average momentum at 44/100, which may indicate weakening institutional interest or negative sentiment shifts. Revenue growth data is not currently available, while a beta of 0.95 reflects its sensitivity to broader market moves. Investors should note that declining momentum can precede further price weakness, though contrarian opportunities sometimes emerge at these levels.
With a stability score of 50/100, SDA exhibits average financial resilience. Key stability metrics include a beta of 0.95 and a debt-to-equity ratio of 703.00x (sector avg: 0.3x). While the balance sheet is not a major concern, the stock is subject to typical market volatility and may experience sharper drawdowns during risk-off episodes.
SunCar Technology Group Inc.'s short interest score of 36/100 reveals significant bearish positioning, suggesting institutional investors are actively betting against the stock. Specific risk factors include elevated leverage (D/E: 703.00x), micro-cap liquidity risk. At $0 (micro-cap), SDA carries meaningful risk and is best suited for investors with high risk tolerance who have thoroughly evaluated the bear thesis.
SunCar Technology Group Inc. is a micro-cap company in the Services sector, ranked #0 of 50 in its sector (100th percentile) and #3192 of 7,333 overall (56th percentile). Key comparisons include ROE of -2167.9% trailing the 5.7% sector median and operating margins of -13.2% below the 4.5% sector average. This top-quartile standing reflects exceptional competitive strength relative to Services peers.
While SDA currently exhibits a REDUCE profile, superior opportunities exist within the SERVICES sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Services Alpha →Quant Factor Profile
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Improvement in Value (19) would have the largest impact on the composite score.
ROE 37869% BELOW SECTOR MEDIAN
Gross Margin 55% ABOVE SECTOR MEDIAN (FAVORABLE)
Op. Margin 394% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081
NEW YORK, Feb. 18, 2026 (GLOBE NEWSWIRE) -- SunCar Technology Group Inc. (the "Company" or "SunCar") (NASDAQ: SDA), a leader in digitalizing auto insurance in China, integrated ByteDance's Doubao LLM ("Doubao") into its digital auto insurance platform beginning in Q3 2025. SunCar is now expanding this integration with the launch of its Personalized Auto Insurance AI Agent. Recently, US Insurtech company, Insurify, launched its ChatGPT app to provide AI-powered insurance shopping for consumers. S

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