China Chunlai Education Group Co., Ltd. (1969) AI Stock Analysis

• Market Cap: HK$5.34B
• Dividend Yield: 4.49%
• Average Volume (3M): 5.06M
• Price to Earnings (P/E): 6.2
• Beta (1Y): 0.28
• Revenue Growth: 7.87%
• EPS Growth: 7.13%
• Country: HK
• Employees: 5,100
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Education & Training Services
• EPS (TTM): 0.35
• Shares Outstanding: 1,200,000,000
• 10 Day Avg. Volume: 9,140,200
• 30 Day Avg. Volume: 5,057,733
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• 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: HK$5.00
• Price Target Upside: 12.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: HK$5.00 ▲(12.36% Upside)

The overall stock score of 72 reflects strong financial performance and attractive valuation, which are the most significant factors. The technical analysis indicates a stable trend, contributing positively but less significantly. The absence of earnings call and corporate events data means these factors do not influence the score.

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

Company Description

China Chunlai Education Group Co., Ltd., together with its subsidiaries, provides private higher education services in the People's Republic of China. It operates three colleges in Henan Province; two college in Hubei Province; and one college in Jiangsu Province. The company was founded in 2004 and is headquartered in Shangqiu, the People's Republic of China. China Chunlai Education Group Co., Ltd. is a subsidiary of Chunlai Investment Co., Limited.

How the Company Makes Money

China Chunlai Education Group Co., Ltd. generates revenue primarily through tuition fees collected from its students enrolled in various undergraduate and junior college programs. The company also earns income from boarding fees for students residing in on-campus accommodations. Additionally, Chunlai Education may engage in partnerships with educational institutions and organizations to enhance its curriculum and expand its educational services, although specific partnerships contributing to revenue are not detailed. The company's financial performance is further supported by its ability to maintain high enrollment numbers and expand its educational facilities and program offerings.

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

Summary

China Chunlai Education Group Co., Ltd. exhibits strong financial performance with significant revenue growth and profitability. The balance sheet is well-balanced with moderate leverage and a strong equity base. Cash flow generation is solid, though there is potential for improving free cash flow conversion. Overall, the company is on a positive financial trajectory, supported by robust margins and efficient capital management.

Income Statement

The company has demonstrated strong revenue growth with a 8.9% increase from the previous year, indicating a solid growth trajectory. The gross profit margin stands at 58.6% and the net profit margin at 47.7%, both reflecting strong profitability. The EBIT margin is 54.1%, and the EBITDA margin is 70.2%, showcasing efficient operations and cost management.

Balance Sheet

The balance sheet is stable with a debt-to-equity ratio of 0.58, indicating moderate leverage. The return on equity (ROE) is a robust 20.0%, signifying effective use of equity capital. The equity ratio is 53.6%, suggesting a strong equity base relative to total assets, which provides financial stability.

Cash Flow

The company's free cash flow grew by 8.7%, reflecting positive cash generation trends. The operating cash flow to net income ratio of 1.3 indicates strong cash flow relative to earnings. However, the free cash flow to net income ratio is 0.73, suggesting room for improvement in converting earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.63B	1.63B	1.50B	1.31B	1.04B	702.49M
Gross Profit	955.50M	955.50M	890.05M	826.70M	631.44M	369.58M
EBITDA	1.10B	1.15B	1.04B	907.77M	619.21M	363.78M
Net Income	778.17M	778.17M	684.39M	552.26M	606.92M	141.33M
Balance Sheet
Total Assets	7.25B	7.25B	6.46B	5.87B	5.05B	3.75B
Cash, Cash Equivalents and Short-Term Investments	675.90M	675.90M	789.72M	630.93M	399.60M	204.01M
Total Debt	2.25B	2.25B	2.17B	2.39B	2.37B	1.79B
Total Liabilities	3.37B	3.37B	3.18B	3.25B	2.99B	2.31B
Stockholders Equity	3.88B	3.88B	3.28B	2.62B	2.06B	1.44B
Cash Flow
Free Cash Flow	710.91M	570.92M	525.29M	843.43M	191.87M	-519.58M
Operating Cash Flow	1.03B	1.03B	1.07B	1.16B	741.60M	8.99M
Investing Cash Flow	-953.53M	-953.53M	-531.69M	-814.38M	-897.98M	-448.16M
Financing Cash Flow	-194.51M	-194.51M	-383.75M	-114.34M	351.97M	169.56M

China Chunlai Education Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.45
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1969, the sentiment is Positive. The current price of 4.45 is above the 20-day moving average (MA) of 4.37, below the 50-day MA of 4.45, and above the 200-day MA of 4.29, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 52.03 is Neutral, neither overbought nor oversold. The STOCH value of 16.64 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1969.

China Chunlai Education Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2001	81 Outperform	2.31B	2.70	18.39%	7.24%	9.07%	5.93%
1890	80 Outperform	2.99B	3.46	16.17%	8.72%	7.37%	2.70%
0382	78 Outperform	1.76B	2.55	17.58%	11.14%	9.66%	-8.34%
0839	76 Outperform	8.93B	25.60	2.64%	9.97%	12.33%	-80.20%
2779	75 Outperform	1.09B	2.72	8.88%	9.29%	0.87%	9.69%
1969	72 Outperform	HK$5.34B	6.17	20.65%	4.49%	7.87%	7.13%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

China Chunlai Education Group Co., Ltd. Corporate Events

China Chunlai Education Advances Tianping College Acquisition with New Campus

China Chunlai Education Group Co., Ltd. has announced the progress of its acquisition of the school sponsor interest of Tianping College. The company has completed the construction of a new campus in Nanjing, Jiangsu Province, which is set to begin operations in September 2025. This development is expected to accommodate at least 16,000 students, and the company plans to convert Tianping College into a standalone private ordinary college. This strategic move is anticipated to enhance the company’s educational offerings and market presence.