iHuman (IH) AI Stock Analysis

• Market Cap: $138.63M
• Dividend Yield: 3.15%
• Average Volume (3M): 17.50K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.47
• Revenue Growth: -8.09%
• EPS Growth: -15.28%
• Country: US
• Employees: 723
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 0.08
• Shares Outstanding: 22,721,579
• 10 Day Avg. Volume: 15,971
• 30 Day Avg. Volume: 17,505
• PEG Ratio: -0.03
• Price to Book (P/B): 0.13
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 2.53
• Enterprise Value/Market Cap: -0.13
• Enterprise Value/Revenue: -0.02
• Enterprise Value/Gross Profit: -0.03
• Enterprise Value/Ebitda: -0.24
• 1Y Price Target: $3.00
• Price Target Upside: 11.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: $3.00 ▲(11.11% Upside)

iHuman's overall stock score reflects a balance between financial stability and valuation attractiveness, offset by challenges in growth and profitability. The company's strong balance sheet and low P/E ratio are significant positives, while the neutral technical indicators and declining cash flow generation present concerns. The absence of earnings call and corporate events data limits further insights.

iHuman Business Overview & Revenue Model

Company Description

iHuman Inc. provides intellectual development products to individual users, kindergartens, and distributors in the People's Republic of China. The company offers interactive and self-directed learning apps, including iHuman Chinese, iHuman ABC, iHuman Pinyin, iHuman Magic Thinking, iHuman Books, iHuman Stories, iHuman Reading, iHumanpedia, iHuman Kids Workout, iHuman Coding, iHuman Fun Idioms, iHuman Little Artists, and iHuman Readers. It also provides intellectually stimulating materials, including books, interactive materials, and smart devices that develop children's abilities in speaking, critical thinking, independent reading, and creativity. The company was founded in 1996 and is based in Beijing, the People's Republic of China.

How the Company Makes Money

iHuman makes money primarily through the sale of its educational apps and digital content subscriptions. The company generates revenue by offering various subscription plans that provide users access to its extensive library of interactive learning materials. Additionally, iHuman may collaborate with educational institutions or form partnerships to expand its user base and leverage distribution channels. Other potential revenue streams could include in-app purchases or premium content offerings, although specific details on these are null.

iHuman Financial Statement Overview

Summary

iHuman presents a mixed financial performance. Strong operational efficiency with healthy gross and EBIT margins. However, declines in revenue and net profit margins raise growth concerns. The balance sheet is strong with low leverage, indicating financial stability. Cash flow generation has weakened, posing potential risks for future investments.

Income Statement

The income statement shows a generally positive trend in profitability metrics. The company achieved a gross profit margin of approximately 69.4% in 2024, indicating efficient cost control relative to revenue. However, the net profit margin has declined from 17.8% in 2023 to 10.7% in 2024, suggesting pressure on bottom-line profitability. Revenue has decreased by 9.4% from 2023 to 2024, which is a concern for growth prospects. Despite these challenges, positive EBIT and EBITDA margins highlight operational efficiency improvements over the years.

Balance Sheet

The balance sheet reflects a strong financial position with a low debt-to-equity ratio of approximately 0.02 in 2024, indicating minimal reliance on debt financing. The equity ratio stands at about 67.7%, showcasing a robust equity base relative to total assets. However, there is a slight decrease in total assets and equity from 2023 to 2024, which may indicate reduced investment or asset turnover. Return on equity has decreased, reflecting reduced profitability.

Cash Flow

Cash flow analysis indicates a decrease in free cash flow from 2023 to 2024, with a growth rate of -69.2%. The operating cash flow to net income ratio is favorable at 0.59 in 2024, suggesting effective conversion of earnings into cash. However, the decline in free cash flow growth highlights potential challenges in cash generation or increased capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	897.64M	922.20M	1.02B	985.52M	944.72M	531.91M
Gross Profit	615.82M	640.15M	721.27M	691.17M	660.62M	365.44M
EBITDA	76.04M	85.57M	171.58M	122.41M	-47.83M	-41.64M
Net Income	102.81M	98.59M	180.91M	109.82M	-37.05M	-37.48M
Balance Sheet
Total Assets	1.37B	1.42B	1.45B	1.33B	1.10B	1.05B
Cash, Cash Equivalents and Short-Term Investments	1.12B	1.17B	1.21B	1.05B	855.36M	861.68M
Total Debt	14.16M	14.91M	3.86M	9.02M	34.25M	6.61M
Total Liabilities	431.15M	458.80M	492.69M	563.95M	492.51M	404.29M
Stockholders Equity	941.04M	960.85M	957.80M	769.45M	608.37M	642.65M
Cash Flow
Free Cash Flow	0.00	51.10M	165.61M	1.25B	5.93M	207.08M
Operating Cash Flow	0.00	58.55M	172.12M	1.29B	38.21M	222.99M
Investing Cash Flow	0.00	-52.76M	-6.51M	-225.03M	-31.95M	-15.91M
Financing Cash Flow	0.00	-102.28M	-9.45M	-47.66M	410.00K	571.96M

iHuman Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.70
• 50DMA: Negative
• 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 IH, the sentiment is Neutral. The current price of 2.7 is below the 20-day moving average (MA) of 2.86, below the 50-day MA of 2.83, and above the 200-day MA of 2.34, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.01 is Neutral, neither overbought nor oversold. The STOCH value of 32.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IH.

iHuman Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STG	73 Outperform	$97.98M	2.04	54.65%	―	-3.74%	-26.52%
IH	69 Neutral	$138.63M	9.53	11.71%	3.15%	-8.09%	-15.28%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SKIL	51 Neutral	$141.44M	―	-126.76%	―	-2.33%	66.82%
COE	48 Neutral	$290.28M	―	180.24%	―	91.86%	52.66%
GNS	40 Underperform	$69.36M	―	-62.24%	―	-64.39%	-305.82%

iHuman Corporate Events

iHuman Inc. Reports Q2 2025 Financial Results Amid Strategic Expansion

iHuman Inc. announced its unaudited financial results for the second quarter of 2025, showing a decrease in revenues to RMB200.2 million from RMB215.1 million the previous year, attributed to a decline in China’s newborn population and conservative consumer spending. Despite this, the company reported an increase in net income to RMB31.9 million, driven by strategic innovations and international expansion efforts, including a partnership with Cricket Media and enhancements to its flagship app and other products.