China Gingko Education Group Co., Ltd. (1851) AI Stock Analysis

• Market Cap: HK$735.00M
• Dividend Yield: N/A
• Average Volume (3M): 116.73K
• Price to Earnings (P/E): 4.4
• Beta (1Y): 0.18
• Revenue Growth: 2.89%
• EPS Growth: 1.19%
• Country: HK
• Employees: 1,106
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Education & Training Services
• EPS (TTM): 0.33
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 41,600
• 30 Day Avg. Volume: 116,733
• PEG Ratio: 0.03
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.65
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: ―

China Gingko Education Group Co., Ltd. achieves a strong overall stock score, primarily driven by solid financial performance and attractive valuation. The company's consistent revenue growth and robust profitability margins are significant strengths, along with its stable balance sheet. The technical analysis supports the positive outlook with favorable momentum indicators. Although the lack of cash flow data for 2024 presents a minor risk, the overall fundamentals remain strong.

China Gingko Education Group Co., Ltd. Business Overview & Revenue Model

Company Description

China Gingko Education Group Co., Ltd. (1851) is a China-based company primarily engaged in providing educational services. The company operates through its main subsidiary, Yunnan College of Business Management, which focuses on offering higher education programs. These programs are designed to equip students with practical skills and knowledge in various fields, including business management, hospitality, and tourism.

How the Company Makes Money

The company generates revenue primarily through tuition fees charged to students enrolled in its educational programs. These fees are collected based on the number of students and the specific courses they take. Additionally, the company may also earn income from other educational-related services, such as student accommodation and other ancillary educational services. Partnerships with educational institutions and industry bodies could further augment its revenue streams, though specific details on such partnerships are not available.

China Gingko Education Group Co., Ltd. Financial Statement Overview

Summary

China Gingko Education Group Co., Ltd. demonstrates strong financial performance with consistent revenue growth and robust profitability margins, as indicated by the high income statement score. The balance sheet shows a stable financial position with decreasing leverage and solid equity. However, the cash flow score is lower due to missing data for 2024, limiting the assessment of current liquidity and cash generation. Overall, the company is on a positive growth trajectory with stable financial fundamentals.

Income Statement

The company has shown consistent revenue growth over the years, with a revenue growth rate of 5.02% from 2023 to 2024. Gross profit margin remains strong at 56.35% in 2024, indicating efficient cost management. The net profit margin has improved slightly to 41.11%, reflecting robust profitability. Both EBIT and EBITDA margins are impressive at 41.72% and 52.94%, respectively, showcasing operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a decreasing debt-to-equity ratio of 0.33 in 2024, indicating reduced financial leverage. The return on equity (ROE) has increased to 16.34%, highlighting effective use of equity capital. The equity ratio has remained stable at around 59.12%, suggesting solid financial stability and lower financial risk.

Cash Flow

Cash flow metrics are limited due to missing data for 2024. However, the 2023 data shows a strong operating cash flow to net income ratio of 1.60, indicating healthy cash generation. The free cash flow to net income ratio was 0.65 in 2023, reflecting adequate free cash flow generation relative to net income. The absence of cash flow data for 2024 poses a risk in assessing current liquidity.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
372.69M	354.86M	286.19M	226.74M	176.90M
	Gross Profit
209.96M	213.11M	162.24M	103.92M	76.11M
	EBIT
155.47M	163.40M	113.94M	48.73M	22.70M
	EBITDA
197.29M	209.19M	152.80M	83.94M	51.68M
	Net Income Common Stockholders
153.21M	148.03M	85.01M	38.68M	16.93M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
273.87M	217.87M	199.85M	156.31M	152.53M
	Total Assets
1.59B	1.46B	1.41B	1.20B	1.17B
	Total Debt
311.01M	339.95M	401.29M	389.66M	399.64M
	Net Debt
39.29M	124.24M	201.43M	233.36M	247.12M
	Total Liabilities
648.53M	674.70M	772.22M	649.93M	657.89M
	Stockholders Equity
937.91M	784.70M	636.67M	551.66M	512.98M
Cash Flow		Free Cash Flow
0.00	96.36M	58.63M	37.70M	-42.39M
	Operating Cash Flow
0.00	237.36M	212.00M	119.35M	78.56M
	Investing Cash Flow
0.00	-140.99M	-153.37M	-76.66M	-95.95M
	Financing Cash Flow
0.00	-81.75M	-19.67M	-37.75M	-54.03M

China Gingko Education Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.47
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1851, the sentiment is Positive. The current price of 1.47 is above the 20-day moving average (MA) of 1.35, above the 50-day MA of 1.16, and above the 200-day MA of 0.85, indicating a bullish trend. The MACD of 0.08 indicates Positive momentum. The RSI at 61.11 is Neutral, neither overbought nor oversold. The STOCH value of 61.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1851.

China Gingko Education Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1851	80 Outperform	HK$735.00M	4.43	17.84%	―	2.89%	1.19%
6069	70 Outperform	HK$11.11B	26.10	9.53%	3.37%	-6.00%	39.70%
Sector *	62 Neutral	$6.76B	11.06	2.80%	6.66%	2.68%	-24.89%
6068	57 Neutral	HK$227.48M	2.09	16.80%	52.38%	-41.24%	-36.17%

China Gingko Education Group Co., Ltd. Corporate Events

China Gingko Education Announces Change in Book Closure Period

China Gingko Education Group Co., Ltd. announced a change in the book closure period for determining shareholder entitlements to attend and vote at the upcoming annual general meeting. The new closure period is set from June 16 to June 20, 2025, during which no share transfers will be registered. This adjustment ensures that shareholders have clarity on their voting rights and participation in the AGM, maintaining transparency and orderly management of shareholder affairs.

China Gingko Education Group Schedules 2025 AGM with Key Resolutions

China Gingko Education Group Co., Ltd. has announced its upcoming annual general meeting (AGM) scheduled for June 20, 2025, in Chengdu, China. The meeting will address ordinary business matters such as reviewing the company’s financial statements, re-electing directors, and appointing auditors. Additionally, special business resolutions will be considered, including granting the board the authority to issue additional shares or securities. This AGM is significant for the company’s governance and strategic planning, potentially impacting its financial operations and shareholder value.

China Gingko Education Group Announces Executive Leadership Change

China Gingko Education Group Co., Ltd. has announced a change in its executive leadership, with Ms. Yu Yuan resigning as an executive director and member of the remuneration committee, effective March 28, 2025. Ms. Zeng Qin, who has over 24 years of experience in finance and asset management, has been appointed as the new executive director and member of the remuneration committee. This transition is expected to leverage Ms. Zeng’s extensive experience to strengthen the company’s financial and asset management operations, potentially impacting the company’s strategic direction and stakeholder interests.

China Gingko Education Group Announces Board Composition

China Gingko Education Group Co., Ltd. has announced the composition of its board of directors and their respective roles within the company. The announcement outlines the executive and independent non-executive directors, as well as their membership in the audit, remuneration, and nomination committees, which may influence the company’s governance and strategic direction.

China Gingko Education Group Reports Stable Growth in 2024 Annual Results

China Gingko Education Group Co., Ltd. announced its annual results for the year ended December 31, 2024, reporting a slight increase in revenue to RMB 372.7 million and a profit of RMB 153.2 million. Despite a minor decrease in gross profit, the company saw a rise in student enrollment, indicating stable growth and a positive outlook for stakeholders.

China Gingko Education Group Schedules Board Meeting to Approve Financial Results

China Gingko Education Group Co., Ltd. has announced that its board of directors will meet on March 28, 2025, to consider and approve the audited consolidated financial results for the year ended December 31, 2024. The meeting will also discuss the recommendation of a final dividend payment, which could impact the company’s financial strategy and shareholder returns.