olivLaw · US equity research
Yatsen Holding Limited YSG
Perfumes, Cosmetics & Other Toilet Preparations · SIC 2844 · Vertical: Perfumes, Cosmetics & Other Toilet Preparations (SIC 2844)
Yatsen Holding Limited is a Guangzhou-based beauty group that owns color cosmetics brands such as Perfect Diary and skincare brands such as Galénic and DR.WU. By fiscal 2025 skincare had become the majority of sales, which changed the company's margin structure, and its net loss had narrowed considerably from earlier years.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Yatsen Holding Limited (YSG) stock was 2.04 USD (+11.48% on the day), with beta 1.09, 52-week range 1.79–6.99 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 36.1
- weak (30–45)
- Bollinger (20, 2)
- 1.92 – 2.85
- in the lower half of the band · %B 0.13 · band width 39.3%
- SMA 50 / 200
- 2.55 / 3.20
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.17 / -0.11
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −20.9% | −1.1% | −19.8 pp | — |
| 3 months | −36.3% | −0.5% | −35.8 pp | — |
| 6 months | −29.2% | +4.4% | −33.6 pp | — |
| Year to date | −47.6% | +12.3% | −59.9 pp | — |
| 1 year | −69.7% | +13.5% | −83.2 pp | +9.7% |
| 3 years | −55.4% | +76.4% | −131.8 pp | −12.3% |
| 5 years | −85.2% | +63.7% | −148.9 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | unavailable | unavailable | 802.0 m | 916.4 m | 537.3 m | 481.0 m | 464.9 m | 614.6 m |
| Revenue YoY | unavailable | unavailable | unavailable | +14.3% | −41.4% | −10.5% | −3.3% | +32.2% |
| Net income | unavailable | unavailable | -411.9 m | -241.8 m | -118.2 m | -747.8 m | -97.0 m | -11.6 m |
| Net income YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| Diluted EPS | unavailable | unavailable | -0.73 | -0.10 | -0.05 | -0.05 | -0.05 | -0.01 |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| net % | unavailable | unavailable | -51.4% | -26.4% | -22.0% | -155.5% | -20.9% | -1.9% |
| Free cash flow | unavailable | unavailable | -185.3 m | -182.3 m | 12.4 m | -21.3 m | -40.6 m | -19.6 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 109.4 m USD
- Financial debt
- unavailable USD
- Net debt
- unavailable USD
- Equity
- 428.9 m USD
- Total assets
- 550.1 m USD
- Debt / equity
- unavailable
- Current ratio
- 3.63x
- ROE
- -2.7%
- ROA
- -2.1%
- FCF margin
- -3.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 802.0 m | 916.4 m | 537.3 m | 481.0 m | 464.9 m | 614.6 m | SEC (XBRL)· 29 Apr 2026verified |
| Cost of revenue | 286.5 m | 304.6 m | 172.2 m | 127.0 m | 106.3 m | 134.0 m | SEC (XBRL)· 29 Apr 2026verified |
| Gross profit | 515.6 m | 611.8 m | 365.2 m | 354.0 m | 358.6 m | 480.7 m | SEC (XBRL)· 29 Apr 2026verified |
| Research & development | 10.2 m | 22.3 m | 18.4 m | 15.7 m | 15.0 m | 19.6 m | SEC (XBRL)· 29 Apr 2026verified |
| Operating income | -411.1 m | -254.9 m | -134.7 m | -128.6 m | -113.0 m | -26.6 m | SEC (XBRL)· 29 Apr 2026verified |
| Pre-tax income | -410.9 m | -242.9 m | -118.7 m | -106.1 m | -97.7 m | -13.2 m | SEC (XBRL)· 29 Apr 2026verified |
| Income tax | 1.1 m | -145.0 k | 392.0 k | -452.0 k | -423.0 k | -15.0 k | SEC (XBRL)· 29 Apr 2026verified |
| Net income | -411.9 m | -241.8 m | -118.2 m | -747.8 m | -97.0 m | -11.6 m | SEC (XBRL)· 29 Apr 2026verified |
| Diluted EPS | -0.73 | -0.10 | -0.05 | -0.05 | -0.05 | -0.01 | SEC (XBRL)· 29 Apr 2026verified |
| Weighted average diluted shares | 833.7 m | 2.5 bn | 2.4 bn | 2.2 bn | 2.0 bn | 1.9 bn | SEC (XBRL)· 29 Apr 2026verified |
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 877.7 m | 492.4 m | 219.4 m | 117.9 m | 112.0 m | 109.4 m | SEC (XBRL)· 29 Apr 2026verified |
| Receivables | 64.3 m | 55.8 m | 29.1 m | 28.0 m | 29.4 m | 31.6 m | SEC (XBRL)· 29 Apr 2026verified |
| Inventories | 94.5 m | 109.2 m | 61.4 m | 49.6 m | 52.9 m | 72.7 m | SEC (XBRL)· 29 Apr 2026verified |
| Current assets | 1.1 bn | 714.9 m | 508.7 m | 415.7 m | 321.6 m | 319.5 m | SEC (XBRL)· 29 Apr 2026verified |
| Property, plant & equipment, net | 43.7 m | 38.5 m | 11.0 m | 9.1 m | 10.2 m | 11.0 m | SEC (XBRL)· 29 Apr 2026verified |
| Goodwill | 3.2 m | 136.4 m | 124.3 m | 78.4 m | 21.2 m | 22.2 m | SEC (XBRL)· 29 Apr 2026verified |
| Intangibles (excl. goodwill) | 29.0 m | 117.0 m | 100.0 m | 94.6 m | 76.7 m | 76.9 m | SEC (XBRL)· 29 Apr 2026verified |
| Total assets | 1.3 bn | 1.1 bn | 850.0 m | 705.1 m | 544.0 m | 550.1 m | SEC (XBRL)· 29 Apr 2026verified |
| Accounts payable | 71.5 m | 37.8 m | 17.4 m | 14.9 m | 9.9 m | — | SEC (XBRL)· 22 Apr 2025verified |
| Current liabilities | 173.3 m | 137.7 m | 85.3 m | 86.1 m | 87.7 m | 88.0 m | SEC (XBRL)· 29 Apr 2026verified |
| Total liabilities | 221.3 m | 198.4 m | 116.0 m | 115.7 m | 118.9 m | 121.0 m | SEC (XBRL)· 29 Apr 2026verified |
| Equity | 1.1 bn | 889.6 m | 684.7 m | 582.2 m | 418.1 m | 428.9 m | SEC (XBRL)· 29 Apr 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -150.7 m | -160.1 m | 19.7 m | -15.1 m | -33.4 m | -13.5 m | SEC (XBRL)· 29 Apr 2026verified |
| Capex | 34.6 m | 22.2 m | 7.4 m | 6.1 m | 7.2 m | 6.0 m | SEC (XBRL)· 29 Apr 2026verified |
| Free cash flow | -185.3 m ≈ | -182.3 m ≈ | 12.4 m ≈ | -21.3 m ≈ | -40.6 m ≈ | -19.6 m ≈ | SEC (XBRL)· 29 Apr 2026derived |
| Investing cash flow | -78.0 m | -232.9 m | -167.5 m | -36.7 m | 81.1 m | 35.3 m | SEC (XBRL)· 29 Apr 2026verified |
| Financing cash flow | 1.0 bn | -267.0 k | -94.9 m | -48.2 m | -54.0 m | -21.7 m | SEC (XBRL)· 29 Apr 2026verified |
| Share repurchases | 75.3 m | 2.4 m | 94.9 m | 30.0 m | 55.6 m | 15.9 m | SEC (XBRL)· 29 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 3 of at least 6
- score weight coverage: 18.8% of at least 60%
- valuation methods computed: 0 of at least 1
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: unavailable
Key indicators
Coverage and freshness
Score by group
19% · Insufficient data
Estimated value range
unavailable — no valuation method could be computed
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
no valuation method could be computed
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 3 of at least 6; score weight coverage: 18.8% of at least 60%; valuation methods computed: 0 of at least 1
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | -1.9% | 40 (vs peers) | 33% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 4.6% | 38 (on a fixed band) | 44% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 3.6x | 100 (on a fixed band) | 22% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial100/100 · 1/3 factors with a value
- Growth· partial38/100 · 1/2 factors with a value
- Quality· partial40/100 · 1/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation· partialunavailable · 0/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Yatsen Holding Limited (YSG). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 614.6 m USD in 2025; YoY growth 32.2%; net margin -1.9%; ROE -2.7%.
Valuation cannot be computed from the available data.
Insufficient data for a verdict (indicators available: 3 of at least 6; score weight coverage: 18.8% of at least 60%; valuation methods computed: 0 of at least 1).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Current ratio: 3.6x
What contradicts it
No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.
Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Perfumes, Cosmetics & Other Toilet Preparations (SIC 2844) · same industry (4-digit SIC) · compared with 15 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| CLColgate-Palmolive Company | 78.5 bn | 38.7 | 358.9% | 9.6% | +1.4% | +23% / +25% |
| KVUEKenvue Inc. | 37.1 bn | 21.9 | 16.3% | 10.9% | −2.1% | +34% / +4% |
| ELFe.l.f. Beauty, Inc. | 6.7 bn | 113.6 | 6.0% | 3.4% | +24.6% | +49% / −4% |
| IPARInterparfums, Inc. | 4.0 bn | 23.3 | 19.5% | 11.3% | +2.5% | +52% / −1% |
| COTYCoty Inc. | 3.1 bn | — | -18.5% | -10.4% | −1.5% | +5% / −70% |
| EPCEdgewell Personal Care Company | 1.4 bn | — | -6.2% | -4.2% | −1.3% | +66% / −15% |
| SLSNSolesence, Inc. | 64.6 m | — | -15.1% | -3.8% | +18.6% | −60% / +22% |
| AXILAxil Brands, Inc. | 38.2 m | 16.7 | 23.3% | 9.3% | +17.5% | +10% / unavailable |
| UGUnited-Guardian, Inc. | 31.5 m | 12.8 | 21.4% | 22.0% | −13.4% | +18% / −16% |
| CABRCaring Brands, Inc. | 9.3 m | — | -3,889.1% | -183,298.7% | unavailable | −13% / unavailable |
| BNKKBonk, Inc. | 9.3 m | — | -332.4% | -2,330.4% | +201.6% | −82% / −99% |
| YCBDcbdMD, Inc. | 4.5 m | — | -40.3% | -13.8% | −1.5% | −34% / −93% |
| HLNHaleon plc | — | — | 10.2% | 15.1% | −1.8% | −6% / +8% |
| ODDOddity Tech Ltd | — | 12.0 | 32.6% | 13.7% | +25.2% | −50% / −37% |
| ELEstee Lauder Companies Inc | — | 111.7 | 9.3% | 2.4% | +5.0% | +19% / −12% |
| YSGYatsen Holding Limited | — | — | -2.7% | -1.9% | +32.2% | −70% / −55% |
1- and 3-year price returns: for YSG from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Scenarios are not available. input data missing
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Apr 2026; since then the company filed 6-K (02 Sept 2026), 6-K (26 May 2026), 6-K (21 May 2026).
In brief
Yatsen Holding Limited is a Guangzhou-based beauty group that owns color cosmetics brands such as Perfect Diary and skincare brands such as Galénic and DR.WU. By fiscal 2025 skincare had become the majority of sales, which changed the company's margin structure, and its net loss had narrowed considerably from earlier years.
SWOT
Strengths
- A diversified brand portfolio positioned across several price segments and a rising gross margin.
- Steady investment in research and development and a technology platform used across several product lines.
- A large share of direct-to-consumer sales, which provides customer data and control over the experience.
Weaknesses
- A history of net losses and difficulty in achieving consistent profitability.
- Heavy dependence on third-party e-commerce platforms and distributors for sales.
- Marketing spend very high relative to revenue, which limits operating margin.
Opportunities
- Expanding skincare brands into markets outside China and growing sales through new channels.
- Developing the offline store network for Galénic and strengthening the premium segment.
- Launching new products built on proprietary technology that could increase customer loyalty.
Threats
- Strong competition from multinational companies that could cut prices or launch similar products.
- Risks tied to the VIE structure and possible changes in Chinese regulation.
- Risk of delisting of the ADSs from the NYSE if listing requirements are not met.
Risks
- VIE structurehigh
If Chinese authorities judge the contractual arrangements non-compliant with law, the company could lose control of some operations.
- Intense competitionhigh
Loss of market share could follow if larger competitors cut prices or launch similar products.
- Dependence on third-party platformsmedium
Interruptions or worsening terms with e-commerce platforms could affect online sales.
- Success of product launchesmedium
New products might not perform as expected, which could slow growth of the brands.
- US listing riskmedium
If auditor inspections in China remain incomplete, the ADSs could be barred from trading in the US under the HFCAA.
Investment thesis
What would need to be true (bull case)
- If the skincare share keeps rising, gross margin could continue to expand and support a return to profitability.
- Galénic and DR.WU grew strongly in fiscal 2025, and their expansion could add further revenue.
- The narrowing of the net loss in recent years shows that efficiency measures have affected the cost structure.
What would break the thesis
- The company has posted net losses across several years, and consistent profitability remains unproven.
- High marketing spend could limit the margin benefit if price pressure increases.
- The VIE structure and Chinese regulatory risks could affect the value of the ADSs for investors.
What to watch
- Trend in gross margin and marketing expense ratioQ1 2027
- Revenue growth from skincare, especially Galénic and DR.WU2027
- Results of the offline store network and changes in store count2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Apr 2026; since then the company filed 6-K (02 Sept 2026), 6-K (26 May 2026), 6-K (21 May 2026).
The business
Yatsen was founded in 2016 and describes its model as built on proprietary brands, with a portfolio covering the mass, premium and clinical segments. The company sells mainly directly to consumers through DTC online channels and offline stores, while part of its sales goes through e-commerce platform distributors. In fiscal 2025 DTC channels accounted for 84.9% of net revenues, and its strategy prioritizes research and development, with R&D expenses consistently above 3.0% of net revenues.
Segments
Color Cosmetics Brands
Includes Perfect Diary, Little Ondine and Pink Bear. The segment was roughly stable in absolute terms, but its share of sales fell to 46.7% in fiscal 2025 as skincare grew faster.
Others
Includes categories such as beauty tools, sunscreen and beauty devices, with a very small share of total sales.
Market context
The company operates in China's beauty products market, competing with multinational groups and local brands. Sales rely on e-commerce, particularly Douyin and Tmall, as well as distributors such as JD.com and Vipshop. Market share and sector dynamics depend on domestic consumption and digital consumer behavior, which the company describes as changing.
Trends
- Shift toward higher-margin skincaretailwind
A rising skincare share has lifted gross margin, which could support profitability if the trend continues.
- Price pressure from competitorsheadwind
Larger rivals may cut prices or launch low-priced products for young consumers, which could affect the company's sales.
- Digital sales on content platformsmixed
Livestreaming and video-based sales depend on algorithms and platform popularity, which can change quickly.
- Marketing costmixed
Marketing spend remains very high relative to revenue, and reducing it depends on moving budgets toward higher-return channels.
Competitive position
Yatsen faces intense competition from multinational consumer goods companies with established distribution networks and stronger brands. The company says these competitors have greater financial and marketing resources and can respond more quickly to market changes.
- L'Oréal
Multi-brand global beauty group cited in the filing as a competitor with greater resources.
- Multinational consumer goods companies
Groups with mass and premium brands that can offer low-priced products for young consumers or cut prices.
- Dermatological skincare brands
Competitors in the dermo-cosmetics segment where Galénic and DR.WU seek their position.
- Local color cosmetics brands
Chinese mass color cosmetics rivals competing for the same e-commerce channels.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- Yatsen (YSG) Q2 2026 Earnings Call TranscriptYahoo Finance — News · 09 Sept 2026 · EN
- Yatsen (YSG) Reported 40.4% Skincare Growth but a Larger GAAP Operating Loss. Can Portfolio Mix Outrun Marketing Intensity?Yahoo Finance — News · 09 Sept 2026 · EN
SEC filings
- Current report (foreign issuer)02 Sept 2026
- Current report (foreign issuer)26 May 2026
- Current report (foreign issuer)21 May 2026
- Annual report (foreign issuer)29 Apr 2026
- Current report (foreign issuer)11 Mar 2026
- Current report (foreign issuer)02 Mar 2026
- Current report (foreign issuer)02 Mar 2026
- Current report (foreign issuer)17 Nov 2025
- Current report (foreign issuer)21 Aug 2025
- Current report (foreign issuer)16 May 2025
Sources
- [1] Form 20-F, fiscal year ended 2025-12-31 · SEC / Yatsen Holding Limited · 29 Apr 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.