Bojun Education Company Limited (1758) AI Stock Analysis

• Market Cap: HK$113.80M
• Dividend Yield: N/A
• Average Volume (3M): 48.13K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.28
• Revenue Growth: 52.66%
• EPS Growth: -172.14%
• Country: HK
• Employees: 2,116
• Sector: Consumer Cyclical
• Sector Strength: 66
• Industry: Education & Training Services
• EPS (TTM): >-0.01
• Shares Outstanding: 903,138,500
• 10 Day Avg. Volume: 25,400
• 30 Day Avg. Volume: 48,133
• PEG Ratio: 0.02
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -88.07
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 43 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

Bojun Education's overall stock score is primarily impacted by its financial performance, which shows strong revenue growth but significant challenges in profitability and leverage. The technical analysis indicates bearish trends, exacerbating concerns. The company's valuation is weak due to negative earnings, further lowering the score.

Bojun Education Company Limited Business Overview & Revenue Model

Company Description

Bojun Education Company Limited (1758) is a China-based company primarily engaged in providing education services and school management. The company operates schools offering K-12 education, including kindergartens, primary schools, and secondary schools. It is committed to delivering quality education and fostering innovation in teaching methodologies to enhance the learning experience of students.

How the Company Makes Money

Bojun Education Company Limited generates revenue primarily through tuition fees collected from students enrolled in its various educational institutions. The company may also earn additional income from ancillary services such as after-school programs, extracurricular activities, and school facility rentals. Partnerships with educational material suppliers and technology providers can contribute to reducing operational costs or generating joint revenue through co-branded educational products or services. The company's focus on maintaining high educational standards and expanding its network of schools plays a significant role in attracting more students and maximizing its revenue potential.

Bojun Education Company Limited Financial Statement Overview

Summary

Bojun Education exhibits robust revenue growth but struggles with profitability and high leverage. The income statement shows a significant revenue increase but negative net income, indicating operational inefficiencies. The balance sheet reflects high debt levels, suggesting financial risk, while the cash flow statement shows positive operating cash flow but negative free cash flow due to high capital expenditures.

Income Statement

Bojun Education has shown significant revenue growth, with an increase from 81.3M to 429.8M, indicating a positive trajectory. However, the company struggles with profitability, as evidenced by a negative net income of -39.6M and zero EBIT, suggesting operational inefficiencies or high costs. The gross profit margin is strong at 47.7%, but the net profit margin is negative, reflecting challenges in controlling expenses or other cost pressures.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 7.57, implying significant leverage and potential financial risk. Stockholders' equity has decreased, which may concern investors. The equity ratio stands at just 4.94%, indicating a low proportion of assets funded by equity, which could limit financial flexibility.

Cash Flow

The cash flow statement presents a mixed picture. Operating cash flow is positive at 175.3M, yet free cash flow is negative at -169.2M due to high capital expenditures, suggesting a focus on growth but also indicating cash constraints. The operating cash flow to net income ratio is robust at -4.43, showing strong operating performance despite net losses.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	429.76M	81.31M	33.60M	0.00	375.74M
Gross Profit	204.90M	11.92M	16.77M	-23.70M	363.62M
EBITDA	191.32M	-15.11M	10.32M	-37.60M	29.27M
Net Income	-39.57M	51.05M	-9.40M	-629.02M	-39.05M
Balance Sheet
Total Assets	4.02B	4.06B	1.17B	1.20B	2.21B
Cash, Cash Equivalents and Short-Term Investments	225.80M	346.55M	155.07M	93.21M	426.77M
Total Debt	1.50B	1.51B	160.84M	180.54M	548.19M
Total Liabilities	3.50B	3.52B	989.84M	1.11B	1.35B
Stockholders Equity	198.41M	237.68M	179.26M	84.02M	847.04M
Cash Flow
Free Cash Flow	-169.23M	7.88M	-114.06M	-72.18M	-119.29M
Operating Cash Flow	175.25M	13.12M	25.86M	127.68M	125.52M
Investing Cash Flow	-385.81M	346.54M	-53.74M	-472.41M	-273.69M
Financing Cash Flow	89.91M	-168.54M	89.45M	20.84M	241.86M

Bojun Education Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1758, the sentiment is Negative. The current price of 0.13 is below the 20-day moving average (MA) of 0.13, below the 50-day MA of 0.14, and below the 200-day MA of 0.17, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.37 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1758.

Bojun Education Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1449	71 Outperform	HK$176.67M	10.47	1.65%	―	8.89%	-65.76%
1752	69 Neutral	HK$117.31M	10.38	5.04%	5.45%	3.75%	8.16%
Sector *	57 Neutral	HK$25.10B	4.09	-2.03%	5.85%	-0.24%	-68.05%
1871	47 Neutral	HK$147.00M	―	-4.45%	―	-20.91%	3.67%
1775	45 Neutral	HK$87.31M	―	-47.25%	―	20.36%	-38.36%
1758	43 Neutral	HK$113.80M	―	-23.91%	―	52.66%	-172.14%

Bojun Education Company Limited Corporate Events

Bojun Education Announces Board Composition and Roles

Bojun Education Company Limited has announced the composition of its board of directors and their roles within the company. The board includes executive, non-executive, and independent non-executive directors, with established committees for audit, remuneration, and nomination. This announcement is crucial for stakeholders as it outlines the leadership structure and governance, potentially impacting the company’s strategic direction and operational efficiency.

Bojun Education Updates Nomination Committee for Enhanced Governance

Bojun Education Company Limited announced changes to its nomination committee to align with the revised Corporate Governance Code effective from July 2025. The appointment of Ms. Tang Hui and Mr. Cheng Tai Kwan Sunny to the committee is expected to enhance the board’s diversity and governance, leveraging their extensive experience and expertise.

Bojun Education Forms Nomination Committee to Enhance Governance

Bojun Education Company Limited has established a Nomination Committee to oversee the selection and evaluation of its board members. This committee, comprising a majority of independent non-executive directors, aims to ensure compliance with relevant laws and listing standards, potentially strengthening the company’s governance and enhancing its market position.