EHang Holdings, Ltd. EH
EHang is an elaborate stock promotion built on sham sales contracts with a pre-IPO investor masquerading as its main customer, with hobby-grade hardware and a court-frozen China entity that could leave ADRs worthless.
Thesis
Wolfpack argues EHang (NASDAQ: EH) is a fabricated-revenue stock promotion rather than a real autonomous-AAV manufacturer. Its only disclosed distributor, Shanghai Kunxiang, is a pre-IPO equity holder whose physical operations are a fraction of what it claims, and it signed two sales contracts with EH at wildly inconsistent unit prices (RMB150M then RMB1.5M, a 100x gap) that EH later asked the SEC to redact. Only 20% of reported revenue has been collected and DSOs run near 200 days. On-the-ground visits found EH's Guangzhou factory practically empty, using hobby-grade T-Motor motors that an ex-Uber Elevate engineer says are unsafe for passenger flight. English vs. Chinese press releases overstate regulatory approvals in the US, Canada, Austria, Norway and China. Finally, a Shenzhen creditor has secured a 95% judicial freeze on EH Guangzhou's equity, which holds essentially all of EH's assets — potentially leaving ADR holders with no recourse.
SCQA
EHang trades at $124 and a $6.8B market cap as the supposed leader in autonomous passenger-grade AAVs (eVTOL air taxis), pitching a Chinese ridesharing network built around its EH216 vehicle.
Its sole disclosed customer is a sham pre-IPO investor signing contracts at impossible prices, the Guangzhou factory is empty and uses hobby-grade motors, English vs. Chinese press releases inflate regulatory approvals, and a Chinese court has frozen 95% of the operating entity's equity.
Wolfpack publishes the field investigation, redacted-vs-unredacted SEC contracts, expert quotes from a former NASA/Uber Elevate aviation engineer and Chinese court records — implying investors should exit before the fraud unwinds.
If the thesis is correct EH's reported revenue base is largely fictitious and the China-domiciled assets may be liquidated to repay creditors, implying a stock destined to 'crash and burn' from $124 toward zero.
The three reasons
- 1
EH's main 'customer' Shanghai Kunxiang is a sham — empty offices and a pre-IPO investor in EH
- 2
Sales contracts show RMB150M per unit then RMB1.5M per unit — a 100x price discrepancy
- 3
95% of EH Guangzhou equity frozen by a Chinese court could render ADRs worthless
Primary demands
- Investors should recognize EH's revenues are largely fabricated via sham sales contracts with Shanghai Kunxiang
- Recognize that EH's manufacturing facility, R&D center and product (hobby-grade motors) cannot support its 'world-class autonomous AAV' narrative
- Recognize that 95% of EH Guangzhou's equity has been frozen by a Chinese court, putting ADR holders at risk of total loss
KPIs cited
Pattern membership
Precedents cited
- Prior China-based fraud exposes by Wolfpack (decade-old precedents referenced re: empty facilities)
Composition what's on the 26 slides
Slide gallery ·
Notes
Classic Wolfpack short-report format: Word-style document with cover header (date/company/ticker/industry/price/market cap + Wolfpack logo), bulleted 4-page executive summary, then evidence sections with site-visit photos, contract screenshots, and Qichacha court records. Strong use of bilingual press-release contradictions (English vs Chinese versions) in a 3-column comparison table on pp.26-27. No SCQA structure, no peer-gap chart, no sum-of-parts — just claim/evidence pattern. No explicit price target or upside figure beyond the title 'destined to crash and burn'. No explicit short-position size disclosed; standard WPR disclaimer states they may be long, short or neutral. No single named human author/signatory on the cover.