TCTM Kids IT Education (VSA) AI Stock Analysis

• Market Cap: $1.97M
• Dividend Yield: N/A
• Average Volume (3M): 426.87K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.99
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 5,385
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): N/A
• Shares Outstanding: 44,907,000
• 10 Day Avg. Volume: 90,873
• 30 Day Avg. Volume: 426,871
• PEG Ratio: <0.01
• Price to Book (P/B): -0.02
• Price to Sales (P/S): 0.03
• P/FCF Ratio: -0.16
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $1.50 ▼(-12.28% Downside)

VSA's overall stock score is heavily impacted by its poor financial performance, which is the most significant factor. Although there are some positive technical indicators, the company's valuation metrics are weak, further dragging down the score. Addressing financial challenges is crucial for improving its investment appeal.

TCTM Kids IT Education Business Overview & Revenue Model

Company Description

TCTM Kids IT Education (VSA) is an innovative educational organization focused on providing technology and IT education for children. Operating in the edtech sector, the company offers a range of products and services including coding classes, robotics workshops, and digital literacy programs designed to equip young learners with essential skills for the digital age. TCTM Kids emphasizes hands-on learning and interactive experiences, making IT education engaging and accessible for children of various age groups.

How the Company Makes Money

TCTM Kids generates revenue through several key streams. Primarily, the company earns money by charging tuition fees for its coding and robotics classes, which are offered in various formats, including in-person and online sessions. Additionally, TCTM Kids may sell educational materials and resources, such as workbooks and software tools, to enhance the learning experience. The company may also engage in partnerships with schools and educational institutions, providing tailored programs that generate further income. Furthermore, TCTM Kids might explore grant opportunities and sponsorships from tech companies interested in supporting children's education in IT, which can contribute to its overall revenue.

TCTM Kids IT Education Financial Statement Overview

Summary

VSA is experiencing significant financial instability with declining revenues, persistent losses, and a highly leveraged balance sheet. The negative cash flows further exacerbate these issues, highlighting the urgent need for cost restructuring and revenue improvement.

Income Statement

The company has experienced declining revenues over recent years, with revenue decreasing from $2.05 billion in 2019 to $1.17 billion in 2024. Gross profit margins have also decreased significantly, although they were relatively high at 41% in 2019. The company has been consistently unprofitable, with negative net income and EBIT over multiple years. This indicates significant challenges in achieving cost efficiency and revenue growth.

Balance Sheet

The balance sheet reveals a highly leveraged position, with negative stockholders' equity and increasing total liabilities. The debt-to-equity ratio is concerning due to the negative equity, suggesting financial instability. Additionally, the company has been unable to improve its equity position over the years, indicating potential solvency issues.

Cash Flow

Cash flow from operations has been negative in most years, highlighting difficulties in generating cash internally. Free cash flow has also been negative consistently, leading to reliance on external financing. The company's inability to convert net income into cash flow is a significant risk, especially given the ongoing operational losses.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.17B	1.38B	1.40B	1.24B	1.90B
Gross Profit	423.70M	624.35M	671.43M	440.60M	831.04M
EBITDA	-377.50M	181.63M	178.23M	-175.35M	-458.88M
Net Income	-586.54M	8.93M	83.52M	-474.55M	-766.64M
Balance Sheet
Total Assets	100.62M	1.02B	1.34B	1.64B	1.96B
Cash, Cash Equivalents and Short-Term Investments	15.30M	220.99M	198.53M	430.02M	326.44M
Total Debt	223.20M	219.64M	287.69M	542.51M	616.04M
Total Liabilities	1.90B	2.52B	2.84B	3.23B	3.10B
Stockholders Equity	-1.80B	-1.50B	-1.50B	-1.58B	-1.13B
Cash Flow
Free Cash Flow	-187.01M	-153.64M	-56.93M	-38.30M	-188.24M
Operating Cash Flow	-121.45M	-118.94M	-27.53M	8.61M	-108.82M
Investing Cash Flow	-91.04M	72.05M	-22.71M	33.69M	-657.00K
Financing Cash Flow	10.84M	-35.78M	-2.10M	23.24M	-68.30M

TCTM Kids IT Education Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.71
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VSA, the sentiment is Negative. The current price of 1.71 is below the 20-day moving average (MA) of 2.62, below the 50-day MA of 2.79, and above the 200-day MA of 1.34, indicating a neutral trend. The MACD of -0.22 indicates Positive momentum. The RSI at 31.99 is Neutral, neither overbought nor oversold. The STOCH value of 5.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VSA.

TCTM Kids IT Education Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
VSA	51 Neutral	$1.97M	-0.37	―	―	―	―
CLEUF	44 Neutral	$50.67K	―	―	―	―	―
WAFU	43 Neutral	$7.10M	-15.26	-4.26%	―	-14.35%	-744.00%
EEIQ	38 Underperform	$8.56M	-1.58	-48.49%	―	44.99%	61.58%