After the announcement of Shuidi's results for the second quarter of 2024, Goldman Sachs's latest research report maintained Shuidi's “buy” rating and gave Shuidi a target price of 1.9 US dollars within the next 12 months.

In the second quarter of 2024, Shuidi's net profit to mother was 88.29 million yuan, a year-on-year increase of 306.9%, exceeding expectations by 21%. According to the Goldman Sachs research report, exceeding expectations was mainly due to stable profits in the insurance business and continued loss reduction in the non-insurance business sector. Goldman Sachs gave positive reviews of Water Drop's steady profitability and positive shareholder return policy.

In terms of share repurchases, since announcing the launch of the share repurchase program in September 2021, as of August 31, 2024, Shuidi has spent a total of about 0.1 billion US dollars to repurchase approximately 49.3 million ADS (American Depositary Receipts) shares from the open market. In addition, Shuidi also announced a new share repurchase plan. With the approval of the board of directors, Shuidi will repurchase shares with a total amount of not more than 50 million US dollars in the open market within the next 1 year.

Goldman Sachs analysts believe that Shuidi has achieved a good balance between acquiring new customers and retaining existing customers, and that the insurance business continues to have an operating profit margin of more than 20%. At the same time, the company is working to reduce losses in non-insurance businesses. Goldman Sachs expects this strategy to increase Shuidi's overall profit margin, so it gave it a buy rating.