SunCar Technology, a provider of automotive services in China, has continued to grow rapidly in recent months, signing multiple business agreements with financial institutions. However, the company’s growth prospects could be impacted by a softening Chinese economy, particularly in the consumer discretionary sector. The stock’s market multiples now reflect fair valuation, considering both the company’s growth potential and risks to its growth. While SunCar may continue to grow, it remains to be seen if it will grow as fast as it has in the past. A potential slowdown in growth could increase risks, especially considering the company’s already declining profit margins. As a result, it is recommended to hold the stock and wait for more information from the company’s full-year results.