GAOTU TECHEDU INC (GOTU)
US36257Y1091 - ADR
GOTU gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 67 industry peers in the Diversified Consumer Services industry. GOTU scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. GOTU is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
GOTU had negative earnings in the past year.
In multiple years GOTU reported negative net income over the last 5 years.
In multiple years GOTU reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a Return On Assets value of -0.13%, GOTU perfoms like the industry average, outperforming 50.77% of the companies in the same industry.
GOTU has a Return On Equity (-0.23%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.13% | ||
| ROE | -0.23% | ||
| ROIC | N/A |
ROA(3y)-20.54%
ROA(5y)-13.82%
ROE(3y)-35.84%
ROE(5y)-23.95%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Gross Margin value of 73.31%, GOTU belongs to the best of the industry, outperforming 86.15% of the companies in the same industry.
GOTU's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for GOTU so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 73.31% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.87%
GM growth 5Y2.73%
2. Health
2.1 Basic Checks
GOTU does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for GOTU has been reduced compared to 1 year ago.
Compared to 5 years ago, GOTU has more shares outstanding
GOTU has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
GOTU has an Altman-Z score of 0.72. This is a bad value and indicates that GOTU is not financially healthy and even has some risk of bankruptcy.
GOTU has a Altman-Z score (0.72) which is comparable to the rest of the industry.
There is no outstanding debt for GOTU. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.72 |
ROIC/WACCN/A
WACC7.54%
2.3 Liquidity
A Current Ratio of 1.82 indicates that GOTU should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.82, GOTU is doing good in the industry, outperforming 66.15% of the companies in the same industry.
GOTU has a Quick Ratio of 1.81. This is a normal value and indicates that GOTU is financially healthy and should not expect problems in meeting its short term obligations.
GOTU's Quick ratio of 1.81 is fine compared to the rest of the industry. GOTU outperforms 67.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.81 |
3. Growth
3.1 Past
GOTU shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -123.05%.
The Revenue has decreased by -7.90% in the past year.
Measured over the past years, GOTU shows a very strong growth in Revenue. The Revenue has been growing by 154.66% on average per year.
EPS 1Y (TTM)-123.05%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-781.39%
Revenue 1Y (TTM)-7.9%
Revenue growth 3Y154.66%
Revenue growth 5YN/A
Sales Q2Q%61.83%
3.2 Future
GOTU is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.36% yearly.
GOTU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.94% yearly.
EPS Next Y98.57%
EPS Next 2Y41.59%
EPS Next 3Y19.02%
EPS Next 5Y13.36%
Revenue Next Year-67.39%
Revenue Next 2Y-37.43%
Revenue Next 3Y-15.8%
Revenue Next 5Y1.94%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for GOTU. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 322.65, the valuation of GOTU can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GOTU is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, GOTU is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 322.65 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GOTU does not grow enough to justify the current Price/Earnings ratio.
GOTU's earnings are expected to grow with 19.02% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.59%
EPS Next 3Y19.02%
5. Dividend
5.1 Amount
GOTU does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
GAOTU TECHEDU INC
NYSE:GOTU (12/20/2024, 8:15:19 PM)
After market: 2.33 +0.03 (+1.3%)2.3
-0.01 (-0.43%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners38.41%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap596.95M
Analysts77.14
Price Target5.11 (122.17%)
Short Float %6.27%
Short Ratio4.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-6.31%
PT rev (3m)-28.19%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-1.24%
Revenue NY rev (3m)-1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 322.65 | ||
| P/S | 1.47 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.4 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | N/A |
EPS(TTM)-0.53
EYN/A
EPS(NY)0.01
Fwd EY0.31%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS1.56
BVpS1.64
TBVpS1.64
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.13% | ||
| ROE | -0.23% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 73.31% | ||
| FCFM | N/A |
ROA(3y)-20.54%
ROA(5y)-13.82%
ROE(3y)-35.84%
ROE(5y)-23.95%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.87%
GM growth 5Y2.73%
F-ScoreN/A
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.81 | ||
| Altman-Z | 0.72 |
F-ScoreN/A
WACC7.54%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-123.05%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-781.39%
EPS Next Y98.57%
EPS Next 2Y41.59%
EPS Next 3Y19.02%
EPS Next 5Y13.36%
Revenue 1Y (TTM)-7.9%
Revenue growth 3Y154.66%
Revenue growth 5YN/A
Sales Q2Q%61.83%
Revenue Next Year-67.39%
Revenue Next 2Y-37.43%
Revenue Next 3Y-15.8%
Revenue Next 5Y1.94%
EBIT growth 1Y-26.31%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-286.94%
EBIT Next 3Y47.97%
EBIT Next 5YN/A
FCF growth 1YN/A
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1YN/A
OCF growth 3YN/A
OCF growth 5YN/A