Uxin's Q2 results this morning were significantly affected by its spinoff of loan facilitation business, a "high financial risk business that enhanced near-term monetization," JPMorgan analyst Alex Yao tells investors in a research note. He believes the transition reduces Uxin's financial risk exposure and should increase business scalability in the long run. However, Yao points out that the transition could delay the company's path to profitability by four-to-six quarters. As such, he expects shares of Uxin to be under pressure in the near-term. Nonetheless, the analyst keeps an Overweight rating on Uxin shares with a $6 price target. The stock in morning trading is down 9% to $2.97.