Nido Education Limited (NDO) AI Stock Analysis

• Market Cap: AU$138.48M
• Dividend Yield: 12.81%
• Average Volume (3M): 87.02K
• Price to Earnings (P/E): 10.1
• Beta (1Y): -0.17
• Revenue Growth: 26.16%
• EPS Growth: N/A
• Country: AU
• Employees: N/A
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 0.01
• Shares Outstanding: 227,023,120
• 10 Day Avg. Volume: 57,319
• 30 Day Avg. Volume: 87,016
• PEG Ratio: -0.08
• Price to Book (P/B): 1.40
• Price to Sales (P/S): 1.06
• P/FCF Ratio: 6.33
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$0.84
• Price Target Upside: 42.37% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: AU$0.50 ▼(-15.25% Downside)

Nido Education Limited's overall score is driven by strong financial performance, particularly in revenue growth and profitability improvements. However, high leverage and past operational challenges pose risks. The technical analysis indicates a bearish trend, while the valuation is attractive due to a low P/E ratio and high dividend yield.

Nido Education Limited Business Overview & Revenue Model

Company Description

Nido Education Limited owns, operates, and manages long day early childhood education and care centers under the Nido Early School brand name in Australia. The company was incorporated in 2021 and is based in Drummoyne, Australia.

How the Company Makes Money

Nido Education generates revenue primarily through subscription fees for its online courses and educational platforms. Users pay for access to a wide range of courses tailored to different educational levels and subjects. Additionally, the company may earn revenue through partnerships with educational institutions, licensing its technology and content, and offering professional development programs for educators. Other potential revenue streams could include sponsored content, affiliate marketing, and sales of educational materials. The company's focus on scalable digital solutions allows it to reach a broader audience, contributing to consistent revenue growth.

Nido Education Limited Financial Statement Overview

Summary

Nido Education Limited shows strong revenue growth and improved profitability, with a significant increase in total revenue and a robust gross profit margin. However, the high debt-to-equity ratio poses financial risk, and past operational challenges are evident in historical EBIT and EBITDA margins.

Income Statement

Nido Education Limited shows a strong revenue growth trajectory, with a significant increase in total revenue from $57.9M in 2022 to $163.6M in 2024. The gross profit margin is robust at 94.5% in 2024, indicating effective cost management. The net profit margin improved to 8.95% in 2024 from negative in previous years, reflecting a turnaround in profitability. However, the EBIT and EBITDA margins, while positive in 2024, were negative in prior years, suggesting past operational challenges.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 1.49 in 2024, indicating significant leverage, which could pose financial risk. The equity ratio is 38.2%, suggesting a moderate reliance on equity financing. Return on equity is 11.84% in 2024, demonstrating a decent return for shareholders. However, the high level of debt remains a concern for financial stability.

Cash Flow

Nido Education Limited has shown improvement in cash flow generation, with a substantial increase in free cash flow to $27.3M in 2024. The operating cash flow to net income ratio is 1.94, indicating strong cash generation relative to net income. However, the free cash flow to net income ratio is 1.86, suggesting efficient capital expenditure management. Despite these strengths, previous years showed negative free cash flow, highlighting past cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	169.30M	163.63M	93.37M	57.94M	19.22M
Gross Profit	41.04M	154.59M	86.66M	6.64M	5.19M
EBITDA	42.54M	25.95M	-13.58M	5.25M	4.77M
Net Income	13.80M	14.65M	-18.11M	-6.78M	1.88M
Balance Sheet
Total Assets	326.18M	323.81M	323.88M	308.90M	20.91M
Cash, Cash Equivalents and Short-Term Investments	4.31M	3.51M	25.57M	23.20M	1.34M
Total Debt	197.46M	184.07M	189.98M	187.61M	2.24M
Total Liabilities	213.70M	200.13M	214.43M	197.10M	23.25M
Stockholders Equity	112.49M	123.68M	109.45M	111.80M	-2.34M
Cash Flow
Free Cash Flow	14.05M	27.33M	-58.00K	-2.33M	1.83M
Operating Cash Flow	17.78M	28.50M	293.00K	-2.66M	2.04M
Investing Cash Flow	-14.92M	-24.34M	-79.67M	-2.83M	-204.00K
Financing Cash Flow	-2.38M	-26.22M	102.63M	6.30M	-1.56M

Nido Education Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.59
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:NDO, the sentiment is Negative. The current price of 0.59 is below the 20-day moving average (MA) of 0.62, below the 50-day MA of 0.64, and below the 200-day MA of 0.70, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 35.01 is Neutral, neither overbought nor oversold. The STOCH value of 21.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:NDO.

Nido Education Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NDO	68 Neutral	AU$138.48M	10.08	12.24%	12.81%	26.16%	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
3PL	53 Neutral	AU$167.84M	768.75	0.15%	―	-1.08%	―
KME	53 Neutral	AU$32.79M	-6.26	10.80%	1.75%	-2.81%	-503.02%
AKG	49 Neutral	AU$16.58M	-13.02	-7.51%	―	1.42%	86.97%
CLU	41 Neutral	AU$26.80M	-4.64	-126.76%	―	-14.55%	71.13%

Nido Education Limited Corporate Events

Nido Education Announces Changes in Director Holdings

Nido Education Limited announced changes in its substantial holding and director’s interest notices. The changes involve the cessation of voluntary escrow on certain shares, impacting the holdings of directors Mathew Edwards and Mark Kerr. This announcement could influence stakeholder perceptions and the company’s market positioning.

The most recent analyst rating on (AU:NDO) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Limited Announces Cessation of Securities

Nido Education Limited announced the cessation of certain securities, including 572,986 ordinary fully paid shares due to an on-market buy-back and 25,414 options that lapsed because the conditions were not met. This move could impact the company’s capital structure and potentially influence its market positioning by reducing the number of outstanding shares.

The most recent analyst rating on (AU:NDO) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Limited Announces Changes in Director Shareholdings

Nido Education Limited has announced changes in the shareholdings of its key management personnel. Mr. Mathew Edwards acquired a total of 650,000 shares over two transactions, while Mr. Joe Dicks acquired 78,000 shares. Additionally, CFO Tom Herring purchased 152,500 shares, bringing the total shares held by key management personnel to 2,984,441. This increase in shareholdings by key management may indicate confidence in the company’s future prospects and could positively impact stakeholder perceptions.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$0.50 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education to Release Shares from Voluntary Escrow

Nido Education Limited announced the release of 114,908,768 fully paid ordinary shares from voluntary escrow on 12 October 2025. This release involves shares held by certain directors, management team executives, and an existing shareholder, potentially impacting the company’s market liquidity and shareholder composition.

The most recent analyst rating on (AU:NDO) stock is a Hold with a A$0.50 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Announces 2025 Interim Dividend

Nido Education Limited has announced a 2025 interim dividend of 1.5 cents per ordinary share, fully franked, to be paid on 16 September 2025. This dividend announcement reflects the company’s ongoing commitment to providing returns to its shareholders and may impact its financial positioning and stakeholder confidence.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$1.00 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Reports 2025 Half-Year Financial Results and Declares Dividend

Nido Education Limited announced its half-year financial results for 2025, reporting an 8% increase in Service EBITDA to $12.8 million, despite a decline in overall EBITDA and Net Profit After Tax due to increased support office costs and suppressed occupancy in the sector. The company declared a fully franked interim dividend of 1.5 cents per share, emphasizing its commitment to sustainable shareholder returns while navigating cost-of-living pressures and maintaining fee stability for families.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$1.00 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Limited Announces Dividend Distribution

Nido Education Limited has announced a dividend distribution of AUD 0.015 per share for its shareholders. The dividend relates to the six-month period ending June 30, 2025, with the ex-dividend date set for September 4, 2025, and the payment date on September 16, 2025. Shareholders are required to provide valid direct credit details to receive the payment, or their dividend will be withheld. This announcement reflects the company’s ongoing commitment to returning value to its shareholders.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$1.00 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Releases 2025 Half-Year Financial Report

Nido Education Limited has released its Interim Financial Report for the half year ending June 30, 2025, in compliance with ASX Listing Rule 4.2A. Shareholders are invited to join a conference call on August 28, 2025, to discuss the company’s financial and operational results. This announcement, authorized by the Board, reflects Nido’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$1.00 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.

Nido Education Limited Appoints New Director, Strengthening Leadership

Nido Education Limited has announced the appointment of Adam Nathan Lai as a new director, effective August 1, 2025. Mr. Lai holds significant interests in the company, including unlisted options and ordinary shares, and serves as the Chief Executive Officer. This appointment is expected to strengthen the company’s leadership and potentially impact its strategic direction and market positioning.

The most recent analyst rating on (AU:NDO) stock is a Buy with a A$1.25 price target. To see the full list of analyst forecasts on Nido Education Limited stock, see the AU:NDO Stock Forecast page.