<div id="readability-page-1"><div><h2>What recent performance says about WeRide stock</h2> <p>WeRide (WRD) has been on many investors’ watchlists after a period of weaker share performance, with the stock down 19% over the past month and 7% over the past 3 months.</p> <p>This softer run, alongside a year to date decline of 34%, comes as the Guangzhou based autonomous driving company reports revenue of CN¥726.29 and a net loss of CN¥1,658.91. This combination is raising questions about how investors should think about risk and potential reward from here.</p> <p>See our latest analysis for WeRide.</p> <p>With the share price at $6.17 and a year to date share price return down 34.29%, recent losses, including a 19.35% share price decline over the past month, suggest momentum has been fading despite earlier periods of relative resilience. This is reflected in a 1 year total shareholder return down 21.40%.</p> <p>If you are looking beyond WeRide for other AI focused opportunities, this could be a good moment to scan the market with our screener of 61 profitable AI stocks that aren't just burning cash</p> <p>With revenue at CN¥726.29 and a net loss of CN¥1,658.91, plus a share price that has already fallen sharply this year, is WeRide now trading below its potential or is the market already pricing in future growth?</p> <h2>Most Popular Narrative: 59.5% Undervalued</h2> <p>The most followed valuation story for WeRide suggests a fair value of $15.22 per share, compared with the recent close at $6.17, which is a sizable gap for investors to weigh.</p> <blockquote> <p><em>The global shortage of professional drivers in regions such as Europe and parts of the Middle East, combined with relatively high taxi fares, positions WeRide’s L4 robotaxi and robobus offerings as a possible substitute for human driven fleets. This may support recurring service revenue and improve earnings stability over a 5 to 7 year vehicle life.</em></p> </blockquote> <p><em>Read the complete narrative.</em></p> <p>Curious how a loss making autonomous driving company can still command a premium fair value? The core of this narrative rests on rapid revenue expansion, rising margins and a future earnings multiple more often associated with mature growth leaders.</p> <p>The narrative uses a discount rate of 8.78% to bring those future cash flows and earnings back to today, which is why the estimated fair value sits well above the current share price. Analysts feeding into this view are also assuming robust revenue growth and margin improvement over time, while still expecting the company to remain loss making over the next three years on their published forecasts.</p> <p>For investors comparing this story with the share price moves so far this year, the key question is whether the long term assumptions on revenue scale, profitability and capital needs feel realistic given an unprofitable starting point and a history of widening losses over the past five years.</p> <p><strong>Result: Fair Value of $15.22 (UNDERVALUED)</strong></p> <p>Have a read of the narrative in full and understand what's behind the forecasts.</p> <p>However, this story could be challenged if regulatory approvals slow, or if high R&amp;D spending keeps losses elevated without the expected lift in robotaxi and ADAS revenue.</p> <p>Find out about the key risks to this WeRide narrative.</p> <h2>Another angle on valuation</h2> <p>That first story leans heavily on future earnings and high P/E assumptions, but the current P/S of 19x tells a different story. It is far above the US Auto Components peer average of 0.6x and the 4.8x fair ratio, which points to meaningful valuation risk if sentiment cools.</p> <p>To see how that compares with a pricing approach based on sales multiples, and what the numbers imply if the market drifts toward the fair ratio, See what the numbers say about this price — find out in our valuation breakdown.</p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/79a998fa-83d8-43e5-9271-2f1e88a52eb1/chart/ps-multiple-vs-industry/query-ZGF0ZT0yMDI2LTA2LTEz?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/79a998fa-83d8-43e5-9271-2f1e88a52eb1/chart/ps-multiple-vs-industry/query-ZGF0ZT0yMDI2LTA2LTEz"/><figcaption>NasdaqGM:WRD P/S Ratio as at Jun 2026</figcaption></figure><h2>Next Steps</h2> <p>Unsure whether the mix of concerns and optimism in this story feels justified? Take a closer look at the full picture with 2 key rewards and 2 important warning signs.</p> <h2>Looking for more investment ideas?</h2> <p>If WeRide has sharpened your thinking, do not stop here. Fresh opportunities are often hiding in plain sight when you scan the market with a focused lens.</p> <ul> <li>Target potential mispriced opportunities by running the 44 high quality undervalued stocks and see which stocks stand out on your radar.</li> <li>Prioritise resilience and sleep easier at night by checking companies in the 70 resilient stocks with low risk scores that score well on stability.</li> <li>Spot future front runners early by scanning the screener containing 20 high quality undiscovered gems before they attract wider attention.</li> </ul> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data         and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your         financial situation. We aim to bring you long-term focused analysis driven by fundamental data.         Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.         Simply Wall St has no position in any stocks mentioned.</em></p><div><h3>Valuation is complex, but we're here to simplify it.</h3><p>Discover if WeRide might be undervalued or overvalued with our detailed analysis, featuring <strong>fair value estimates, potential risks, dividends, insider trades, and its financial condition.</strong></p><p>Access Free Analysis</p></div></div></div>

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<p>WeRide (WRD) stock has declined significantly, down 34% year-to-date, amid reported net losses of CN¥1,658.91. Despite current weakness, analysis suggests the stock is undervalued with a fair value estimate of $15.22 compared to its recent price of $6.17. This valuation relies on assumptions of future revenue expansion and margin improvement in the autonomous driving sector. However, risks include high R&D costs, potential regulatory delays, and a price-to-sales ratio far above industry peers.</p>

WeRide (WRD) Stock Valuation Check After Recent Share Price Weakness