Why Is YRD Stock Surging Today?

Yiren Digital plans to use its cash balance to repurchase up to $20 million of its own shares.

• Yiren said it will execute the buybacks through various means, including block trades, open-market purchases, and private transactions.
• The company’s cash and cash equivalents stood at RMB 2.45 billion ($355.6 million) at the end of the latest quarter.
• It temporarily halted payments for the second half of fiscal 2025 earlier this year.

Shares of Yiren Digital (YRD) surged in premarket trade on Thursday after the Beijing-based fintech company announced a share buyback program.

At the time of writing, YRD stock was up more than 20% in premarket trading.

YRD’s Latest Buyback Plan

The company said that over the next 12 months, it plans to buy back up to 10% of its ordinary shares, or American Depositary Shares, or a combination of both, for up to $20 million.

Yiren said it will execute the buybacks through various means, including block trades, open-market purchases, and private transactions. It will utilize its existing cash balance to repurchase shares.

According to the company’s latest earnings report from last month for the fiscal fourth quarter of 2025, Yiren’s cash and cash equivalents stood at RMB 2.45 billion ($355.6 million) at the end of the quarter.

YRD Suspended Dividends

Yiren, which follows a semi-annual dividend policy, temporarily halted payments for the second half of fiscal 2025 earlier this year. The company at that time said the move was driven by its capital priorities, including maintaining sufficient cash to weather potential credit fluctuations in its lending business and to support technology development initiatives.

The company executives had then said that 2025 was a period of elevated credit risk across the consumer lending industry, and that from 2026 onwards they plan to deploy their AI-driven operating model to serve enterprises and individuals better and to pursue additional revenue streams.

What Retail Traders Think About YRD

On Stocktwits, retail sentiment toward the stock remained in ‘bullish’ territory over the last 24 hours.

One bullish user on the platform said the buyback may signal management confidence in the stock’s intrinsic value.

View this Stocktwits post

YRD shares have fallen more than 75% so far this year and 85% over the past 12 months, underperforming the benchmark S&P index.

(RMB 1 = $0.15)<

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