Bright Scholar Education Holdings (BEDU) AI Stock Analysis

• Market Cap: $53.36M
• Dividend Yield: N/A
• Average Volume (3M): 2.46K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.01
• Revenue Growth: -23.75%
• EPS Growth: -201.80%
• Country: US
• Employees: 2,193
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Education & Training Services
• EPS (TTM): N/A
• Shares Outstanding: 7,828,704
• 10 Day Avg. Volume: 2,120
• 30 Day Avg. Volume: 2,458
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• 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: $2.00
• Price Target Upside: 11.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: $2.00 ▲(11.11%Upside)

Bright Scholar's stock score is primarily impacted by its challenging financial performance, with negative profit margins and high leverage weighing heavily. Technical analysis provides a neutral outlook, while valuation is constrained by a negative P/E ratio. Despite positive sentiment from the earnings call, the financial struggles dominate the score.

Bright Scholar Education Holdings Business Overview & Revenue Model

Company Description

Bright Scholar Education Holdings Limited, an education service provider, operates and provides K-12 schools and complementary education services in China, Canada, the United states, and the United Kingdom. Its schools comprise international and bilingual schools, and kindergartens. The company also offers a range of complementary education services, including camps and after-school programs, as well as international education consulting services. It operated 95 schools across 12 provinces in China, as well as 14 schools internationally with a total student capacity of approximately 56,000 students. The company was founded in 1994 and is based in Foshan, China.

How the Company Makes Money

Bright Scholar Education Holdings makes money through its tuition fees collected from students enrolled in its international and bilingual K-12 schools. The company also generates revenue from its overseas schools and complementary education services, which include after-school tutoring, test preparation, and language training programs. Key revenue streams are driven by the enrollment rates, tuition pricing, and the expansion of the company's educational services and facilities. Strategic partnerships with educational institutions and government entities further enhance its revenue potential by broadening its service offerings and expanding its market reach.

Bright Scholar Education Holdings Financial Statement Overview

Summary

Bright Scholar Education Holdings is facing severe financial challenges, with negative profitability margins, declining revenues, and high leverage. Negative net income and shrinking equity highlight financial instability despite positive operating cash flow.

Income Statement

Bright Scholar Education Holdings has faced significant challenges with negative profit margins over the recent periods. The TTM figures show a decline with a gross profit margin of approximately 24.3% and a net loss margin of -91.0%. The revenue trend shows volatility, with a notable decline in revenue growth from the previous periods. This indicates pressures on both revenue generation and cost management.

Balance Sheet

The company's balance sheet reveals high leverage with a concerning debt-to-equity ratio, exacerbated by declining equity levels. The equity ratio has decreased, indicating reduced financial stability. The return on equity is negative due to consistent net losses, signaling underperformance in generating returns from equity.

Cash Flow

Operating cash flow remains positive, providing some cushioning against financial instability. However, free cash flow growth has been inconsistent and the ratio of free cash flow to net income is negative, reflecting challenges in converting earnings into cash flow. The company's cash flow position requires careful monitoring given the negative net income trajectory.

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

Bright Scholar Education Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BEDU, the sentiment is Positive. The current price of 1.8 is above the 20-day moving average (MA) of 1.79, above the 50-day MA of 1.76, and above the 200-day MA of 1.75, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 52.02 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BEDU.

Bright Scholar Education Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$17.18B	10.68	-8.50%	2.94%	1.62%	-25.72%
FEDU	58 Neutral	$33.31M	293.04	0.17%	16.55%	98.22%	-82.71%
YQ	56 Neutral	$18.31M	―	-40.68%	―	-1.83%	37.23%
AMBO	52 Neutral	$7.40M	―	-49.39%	―	―	―
BEDU	47 Neutral	$53.36M	―	-97.59%	―	-23.75%	-201.80%