Shentong Robot Education Group Co., Ltd. (8206) AI Stock Analysis

• Market Cap: HK$109.95M
• Dividend Yield: N/A
• Average Volume (3M): 3.40M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.82
• Revenue Growth: -51.85%
• EPS Growth: -50.00%
• Country: HK
• Employees: 49
• Sector: Technology
• Sector Strength: 84
• Industry: Specialty Business Services
• EPS (TTM): >-0.01
• Shares Outstanding: 1,895,697,000
• 10 Day Avg. Volume: 1,748,400
• 30 Day Avg. Volume: 3,397,800
• PEG Ratio: <0.01
• Price to Book (P/B): 10.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.92
• 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: 42 Neutral
• Price Target: ―

The stock's low score is primarily due to its weak financial performance, including significant revenue decline, persistent losses, and negative equity. Technical indicators suggest neutrality, providing no clear momentum. The negative P/E ratio further highlights valuation concerns.

Shentong Robot Education Group Co., Ltd. Business Overview & Revenue Model

Company Description

Shentong Robot Education Group Co., Ltd. (8206) is a company engaged in the education and technology sectors, focusing on providing robotics education and training services. The company aims to foster innovation and creativity by offering a range of educational programs and resources that integrate robotics and technology into learning environments. Its core products and services include robotics courses, educational workshops, and development programs designed to enhance students' skills in science, technology, engineering, and mathematics (STEM).

How the Company Makes Money

Shentong Robot Education Group Co., Ltd. generates revenue primarily through its educational services, which include tuition fees from students enrolled in its robotics and STEM courses. The company may also earn income from partnerships with educational institutions, government bodies, and technology companies that support its educational initiatives. Additionally, revenue might be derived from the sale of educational materials, such as robotics kits and software, used in its courses and workshops. These diverse revenue streams enable the company to maintain its operations and expand its educational offerings.

Shentong Robot Education Group Co., Ltd. Financial Statement Overview

Summary

The company faces significant financial challenges, including declining revenues, ongoing losses, and leverage concerns. Improved cost management has boosted gross profit margins, yet profitability remains elusive. Cash flow issues persist, and negative equity indicates financial distress.

Income Statement

The company's income statement shows declining revenue from $128.8M in 2020 to $16.6M in 2024, illustrating a significant contraction. Gross profit margins have improved from a negative position in 2021 to approximately 68.2% in 2024, indicating better cost management. However, persistent net losses and negative EBIT and EBITDA margins suggest ongoing profitability challenges. The revenue growth rate between 2023 and 2024 is about 6.4%, indicating very modest growth.

Balance Sheet

The balance sheet reflects a negative stockholders' equity position of $61.1M in 2024, indicating potential financial distress. The debt-to-equity ratio is not meaningful due to negative equity, but total liabilities exceed total assets, which is concerning. The equity ratio is negative, highlighting the company's leverage issues. Despite these challenges, cash holdings are relatively strong, reducing net debt significantly.

Cash Flow

Cash flow statements reveal negative operating cash flows consistently, with free cash flow turning more negative over time, from -$14.6M in 2023 to -$18.9M in 2024. The operating cash flow to net income ratio is negative, indicating inefficiencies in generating cash from operations. Cash reserves have decreased significantly, but remain enough to cover short-term liabilities.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	9.69M	16.60M	15.60M	12.16M	5.23M	128.84M
Gross Profit	5.06M	11.33M	8.00M	4.18M	-2.02M	84.45M
EBITDA	-8.33M	-1.61M	882.00K	-99.55M	-16.74M	-270.65M
Net Income	-7.41M	-4.16M	-3.58M	-82.85M	-23.20M	-233.03M
Balance Sheet
Total Assets	89.94M	87.88M	131.90M	275.05M	371.22M	368.37M
Cash, Cash Equivalents and Short-Term Investments	77.24M	77.75M	125.44M	269.44M	275.42M	262.60M
Total Debt	6.13M	4.55M	24.99M	133.38M	122.44M	116.23M
Total Liabilities	152.54M	148.99M	184.74M	309.10M	333.18M	330.62M
Stockholders Equity	-62.61M	-61.11M	-52.84M	-34.05M	38.04M	37.76M
Cash Flow
Free Cash Flow	-8.84M	-18.86M	-14.60M	-24.06M	-16.36M	65.36M
Operating Cash Flow	-8.82M	-18.86M	-14.60M	-24.04M	-16.36M	68.41M
Investing Cash Flow	182.00K	216.00K	715.00K	602.00K	647.00K	-2.19M
Financing Cash Flow	97.00K	-23.33M	-112.45M	5.90M	4.37M	-5.38M

Shentong Robot Education Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8206, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.10, and below the 200-day MA of 0.08, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 27.57 is Positive, neither overbought nor oversold. The STOCH value of 23.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8206.

Shentong Robot Education Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6093	67 Neutral	HK$733.60M	12.44	7.83%	―	1.96%	-32.15%
Sector *	56 Neutral	$3.18B	5.02	-5.68%	5.66%	8.05%	-41.83%
8083	51 Neutral	$3.12B	―	-16.87%	―	-2.35%	-837.50%
8206	42 Neutral	HK$109.95M	―		―	-51.85%	-50.00%