Ambow Education Holding (AMBO) AI Stock Analysis

• Market Cap: $8.08M
• Dividend Yield: N/A
• Average Volume (3M): 23.15K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.14
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 35
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 0.62
• Shares Outstanding: 2,620,956
• 10 Day Avg. Volume: 14,391
• 30 Day Avg. Volume: 23,147
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.04
• Price to Sales (P/S): 0.00438
• P/FCF Ratio: 0.69
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 0.17
• Enterprise Value/Gross Profit: 0.57
• Enterprise Value/Ebitda: -0.31
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: $2.50 ▼(-10.39% Downside)

The score is held down primarily by a still-fragile financial profile (negative operating profitability, high leverage, weak cash conversion) and bearish technical trends (below major moving averages with negative MACD). The 2024 turnaround in revenue, margins, and return to net profit/positive cash flow provides some support, but valuation and earnings-call context are not available to strengthen the outlook.

Positive Factors

Profitability Improvement

The improvement in return on equity suggests that Ambow is becoming more efficient in generating profits from its equity base, which can enhance investor confidence and support long-term growth.

Cash Flow Improvement

Improved cash flow indicates better financial health and operational efficiency, providing Ambow with more flexibility to invest in growth opportunities and manage debt.

Gross Profit Margin

A higher gross profit margin reflects Ambow's ability to manage costs effectively, which can lead to better profitability if operational efficiencies continue to improve.

Negative Factors

Declining Revenue

The persistent decline in revenue indicates challenges in maintaining market share and customer engagement, which could hinder long-term growth prospects if not addressed.

High Leverage

High leverage can increase financial risk and limit Ambow's ability to invest in growth initiatives, potentially impacting its long-term financial stability.

Weak Net Profit Margin

A weak net profit margin suggests that Ambow struggles to convert revenue into profit, which could affect its ability to sustain operations and invest in future growth.

Ambow Education Holding Business Overview & Revenue Model

Company Description

Ambow Education Holding Ltd. provides a range of educational and career enhancement services and products to students, recent graduates, and corporate employees and management professionals in the People's Republic of China. The company operates through two segments, K-12 Schools and CP&CE Programs. The K-12 Schools segment provides educational services covering K-12 programs and tutoring services; and international education programs. The CP&CE Programs segment operates tutoring centers that provide classroom instruction, small class, and one-on-one tutoring services for students to perform better in school and prepare for important tests, primarily high school and university entrance exams; and educational curriculum through its web-based applications. This segment also offers educational software products include eBoPo, which offers full subjects, online practice tests, and instructions for K-12 level students; career enhancement services and products focusing on improving educational opportunities for primary and advanced degree school students, and employment opportunities for university graduates; and outbound and in-house management trainings for corporate clients. In addition, this segment provides students with training for professional skills, such as case studies, job environment simulation, and technical skills; soft skills, including time management, presentation, leadership, and interview techniques; and intellectualized operational services to corporate clients, colleges, and universities. As of December 31, 2021, the company had 18 centers and schools comprising 5 tutoring centers, 2 K-12 schools, 3 career enhancement centers, and 8 training offices. The company was founded in 2000 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Ambow Education Holding generates revenue primarily through the tuition fees charged for its educational and career enhancement programs. The Better Schools segment contributes by offering K-12 tutoring services, which helps students improve their academic performance. The Better Jobs segment focuses on providing vocational training and career development services to individuals seeking to enhance their job prospects. Additionally, Ambow collaborates with educational institutions and corporations, offering tailored training programs that align with market demands. Key factors contributing to its earnings include the growing demand for quality education and skills development in China, as well as the company's strategic partnerships with educational and corporate entities.

Ambow Education Holding Financial Statement Overview

Summary

Ambow Education Holding faces financial challenges with declining revenues and high leverage. Despite improvements in profitability and cash flow, the company needs to address its debt levels and stabilize revenue for sustained growth.

Income Statement

Ambow Education Holding's revenue shows a declining trend over the past five years, with a notable decrease from 18.4M in 2020 to 9.4M in 2024. Despite improved gross profit margins to 53.1% in 2024, the net profit margin remains weak at 3.3% due to persistent EBIT losses, although showing some recovery from previous years.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.31 in 2024, reflecting significant leverage. Stockholders' equity has decreased over the years, and the equity ratio is moderate at 38.8%. Return on equity improved to 4.6% in 2024, indicating some recovery in profitability.

Cash Flow

The cash flow statement shows positive free cash flow growth in 2024, with operating cash flow to net income ratio improving significantly. However, free cash flow remains relatively low compared to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.87M	68.55M	65.04M	102.35M	113.22M	120.17M
Gross Profit	12.30M	36.40M	17.70M	1.96M	15.40M	14.65M
EBITDA	-22.25M	-5.15M	-30.43M	-59.35M	-52.45M	-40.42M
Net Income	-14.32M	2.26M	-22.54M	-97.06M	2.99M	-62.71M
Balance Sheet
Total Assets	20.57M	17.37M	20.57M	25.52M	152.20M	160.67M
Cash, Cash Equivalents and Short-Term Investments	4.83M	1.12M	4.83M	3.31M	26.80M	43.11M
Total Debt	10.77M	8.84M	10.77M	11.70M	24.67M	44.94M
Total Liabilities	14.14M	10.63M	14.14M	17.65M	129.19M	139.07M
Stockholders Equity	6.43M	6.74M	6.43M	7.87M	22.94M	21.91M
Cash Flow
Free Cash Flow	1.18M	435.00K	-290.00K	-9.25M	-15.88M	697.81K
Operating Cash Flow	1.18M	1.64M	-290.00K	-9.25M	-2.50M	736.53K
Investing Cash Flow	0.00	-2.01M	0.00	-19.49M	16.82M	-15.08M
Financing Cash Flow	-1.07M	-1.24M	2.80M	5.05M	916.00K	8.44M

Ambow Education Holding Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.79
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMBO, the sentiment is Negative. The current price of 2.79 is below the 20-day moving average (MA) of 3.20, below the 50-day MA of 3.71, and below the 200-day MA of 3.29, indicating a bearish trend. The MACD of -0.28 indicates Negative momentum. The RSI at 36.84 is Neutral, neither overbought nor oversold. The STOCH value of 34.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AMBO.

Ambow Education Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
WAFU	45 Neutral	$7.15M	-15.36	-4.26%	―	-14.35%	-744.00%
AMBO	43 Neutral	$8.08M	―	―	―	―	―
JZ	42 Neutral	$8.48M	-0.25	-238.22%	―	-87.12%	74.35%
EEIQ	38 Underperform	$7.35M	-1.35	-48.49%	―	44.99%	61.58%
GV	37 Underperform	$5.37M	-0.50	―	―	―	―

Ambow Education Holding Corporate Events

Ambow Education Shareholders Approve New Director and 2025 Auditor at December AGM

On December 19, 2025, Ambow Education Holding Ltd. held its Annual General Meeting of Shareholders, at which shareholders approved the election of Mingjun Wang as a Class II director to serve on the board until the 2028 annual meeting or until a successor is duly appointed and qualified. Shareholders also ratified the appointment of Guangdong Prouden CPAs GP as the company’s independent auditor for the fiscal year ending December 31, 2025, reinforcing Ambow’s board composition and confirming its external auditor for upcoming U.S. GAAP financial reporting.

Ambow Education Announces 2025 Annual General Meeting

Ambow Education Holding Ltd. has announced its 2025 Annual General Meeting of Shareholders, scheduled for December 19, 2025, in San Diego, California. The meeting will address key agenda items, including the election of Mingjun Wang as a Class II director and the ratification of Guangdong Prouden CPAs GP as the independent auditor for the fiscal year ending December 31, 2025. This meeting is significant for stakeholders as it involves decisions that will influence the company’s governance and financial oversight.

Ambow Education Unveils WeSpeak™: A New Era in Real-Time Translation

On September 30, 2025, Ambow Education Holding Ltd. announced the launch of WeSpeak™, an AI-driven, real-time translation platform designed for global events. This platform offers a subscription-based service that provides unlimited multilingual translation, aiming to eliminate the high costs and logistical challenges of traditional interpretation services. Built on Ambow’s HybriU® technology, WeSpeak™ is scalable and device-agnostic, supporting a wide range of applications from education to corporate and government use. The launch positions Ambow to tap into the growing language services market, expected to surpass $30 billion in 2025, enhancing its phygital ecosystem and creating new revenue streams.