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Classover Holdings (KIDZ)
NASDAQ:KIDZ
US Market
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Classover Holdings (KIDZ) AI Stock Analysis

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KIDZ

Classover Holdings

(NASDAQ:KIDZ)

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Underperform 40 (OpenAI - 5.2)
Rating:40Underperform
Price Target:
$0.38
▼(-88.75% Downside)
Action:Downgraded
Date:08/08/26
KIDZ scores low primarily due to very weak financial performance (shrinking revenue, extremely large losses, and ongoing cash burn) and bearish technicals (below major moving averages with negative MACD). Valuation is not a clear positive because profitability is negative and there is no dividend, while recent corporate actions increase flexibility but elevate dilution/restructuring risk.
Positive Factors
Gross margin stability
A roughly 58% gross margin indicates the core unit economics for Classover’s live online K–12 classes are viable. Stable gross margins give the company structural leverage to improve operating profitability if it can control operating expenses or scale revenue, supporting longer-term recovery.
Negative Factors
Persistent cash burn
Sustained negative operating and free cash flow indicate the business is not self-funding and will rely on external financing to sustain operations. Continued cash burn increases refinancing risk, limits reinvestment, and can force dilutive or costly financing choices over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Gross margin stability
A roughly 58% gross margin indicates the core unit economics for Classover’s live online K–12 classes are viable. Stable gross margins give the company structural leverage to improve operating profitability if it can control operating expenses or scale revenue, supporting longer-term recovery.
Read all positive factors

Classover Holdings (KIDZ) vs. SPDR S&P 500 ETF (SPY)

Classover Holdings Business Overview & Revenue Model

Company Description
KIDZ AI Inc., a technology-driven education company, operates an online enrichment class platform for children aged 4 to 17. The company’s platform offers various enrichment programs, including language, science, technology, engineering, arts, mat...
How the Company Makes Money
Public, reliably verifiable detail on Classover Holdings’ exact revenue breakdown, pricing structure, and contractual arrangements is limited in the information available to me here. At a high level, the business model for Classover-branded servic...

Classover Holdings Financial Statement Overview

Summary
Financial statements indicate significant fundamental weakness: TTM revenue fell ~8.8%, losses widened sharply (net margin around -356%), and operating profitability is deeply negative. Cash flow is also weak with sizable TTM operating cash flow (~-$4.1M) and free cash flow (~-$4.2M), increasing reliance on external funding. While gross margin (~58%) is relatively stable and equity is positive recently, leverage remains elevated (debt-to-equity ~1.7x) versus the company’s loss profile.
Income Statement
18
Very Negative
Balance Sheet
32
Negative
Cash Flow
16
Very Negative
BreakdownTTMMar 2026Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.83M3.37M3.68M3.10M1.90M0.00
Gross Profit1.66M1.92M2.06M1.66M34.97K0.00
EBITDA-2.53M-6.39M-485.48K-114.97K-2.26M6.38M
Net Income-9.57M-7.04M-843.05K-433.06K-2.33M6.38M
Balance Sheet
Total Assets14.00M15.54M1.85M2.75M2.90M353.68M
Cash, Cash Equivalents and Short-Term Investments5.88M2.75M50.68K787.65K645.43K925.76K
Total Debt1.88M9.44M3.44M3.50M3.58M0.00
Total Liabilities4.05M11.77M6.36M6.45M6.17M20.11M
Stockholders Equity9.95M3.78M-4.52M-3.70M-3.27M333.57M
Cash Flow
Free Cash Flow-4.69M-3.83M-966.97K-1.26M-1.02M-892.01K
Operating Cash Flow-4.65M-3.83M-781.26K-1.26M-934.88K-892.01K
Investing Cash Flow3.93M-2.33M-185.71K310.22M-88.71K-351.90M
Financing Cash Flow3.63M8.85M230.00K-309.15M1.45M353.72M

Classover Holdings Risk Analysis

Classover Holdings disclosed 20 risk factors in its most recent earnings report. Classover Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Classover Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
64
Neutral
$20.92M0.775.36%2.34%3245.03%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
49
Neutral
$6.08M-1.3819.78%
48
Neutral
$25.21M-1.14-46.01%1.78%31.44%
43
Neutral
$41.31M-2.13-90.11%0.28%-32.56%
40
Underperform
$3.46M-0.32-281.11%17.13%57.16%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
KIDZ
Classover Holdings
3.96
-9,521.04
-99.96%
AACG
ATA Creativity Global
0.96
-1.04
-52.00%
FEDU
Four Seasons Education (Cayman)
9.25
-6.05
-39.54%
AMBO
Ambow Education Holding
2.13
-1.64
-43.55%
EDTK
Skillful Craftsman Education Technology
0.88
-0.22
-20.00%
YQ
17 Education & Technology Group
2.33
0.39
19.85%

Classover Holdings Corporate Events

Business Operations and StrategyExecutive/Board ChangesPrivate Placements and FinancingRegulatory Filings and ComplianceShareholder MeetingsStock Split
Classover Shareholders Approve Stock Increases and Governance Changes
Positive
Jun 10, 2026
On June 10, 2026, after adjourning its annual meeting initially scheduled for June 4, 2026, KIDZ AI Inc. shareholders approved an amendment to increase authorized Class B common stock to 2.5 billion shares and the company has already filed a Certi...
Private Placements and FinancingRegulatory Filings and Compliance
Classover Launches At-The-Market Equity Offering Program
Neutral
May 14, 2026
On May 14, 2026, Classover Holdings, Inc. entered into an at-the-market sales agreement with Chardan Capital Markets, allowing the company to sell up to $9,115,000 of its Class B common stock from time to time. The shares are being offered under a...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 08, 2026