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6068

Wisdom Education International Holdings SEHK:6068 Stock Report

Last Price

HK$0.15

Market Cap

HK$322.4m

7D

-9.2%

1Y

-90.0%

Updated

02 Oct, 2022

Data

Company Financials
6068 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance0/6
Financial Health3/6
Dividends0/6

6068 Stock Overview

Wisdom Education International Holdings Company Limited, an investment holding company, operates primary and secondary schools in the People’s Republic of China and Hong Kong.

Wisdom Education International Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Wisdom Education International Holdings
Historical stock prices
Current Share PriceHK$0.15
52 Week HighHK$1.62
52 Week LowHK$0.10
Beta0.92
1 Month Change-30.19%
3 Month Change-47.14%
1 Year Change-90.00%
3 Year Change-95.33%
5 Year Change-96.98%
Change since IPO-91.24%

Recent News & Updates

Dec 30
Here's Why Wisdom Education International Holdings (HKG:6068) Can Manage Its Debt Responsibly

Here's Why Wisdom Education International Holdings (HKG:6068) Can Manage Its Debt Responsibly

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

6068HK Consumer ServicesHK Market
7D-9.2%2.7%-4.4%
1Y-90.0%-33.8%-28.8%

Return vs Industry: 6068 underperformed the Hong Kong Consumer Services industry which returned -33.8% over the past year.

Return vs Market: 6068 underperformed the Hong Kong Market which returned -28.8% over the past year.

Price Volatility

Is 6068's price volatile compared to industry and market?
6068 volatility
6068 Average Weekly Movement9.1%
Consumer Services Industry Average Movement7.6%
Market Average Movement6.4%
10% most volatile stocks in HK Market12.6%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 6068 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 6068's weekly volatility has decreased from 17% to 9% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002808Suwen Lihttps://www.wisdomeducationintl.com

Wisdom Education International Holdings Company Limited, an investment holding company, operates primary and secondary schools in the People’s Republic of China and Hong Kong. The company offers private education for primary, middle, and high schools. It also provides international programs; and school-based elective courses, including courses for sports, arts, music, and Chinese culture.

Wisdom Education International Holdings Fundamentals Summary

How do Wisdom Education International Holdings's earnings and revenue compare to its market cap?
6068 fundamental statistics
Market CapHK$322.37m
Earnings (TTM)-HK$2.64b
Revenue (TTM)HK$1.42b

0.2x

P/S Ratio

-0.1x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6068 income statement (TTM)
RevenueCN¥1.29b
Cost of RevenueCN¥712.01m
Gross ProfitCN¥576.70m
Other ExpensesCN¥2.97b
Earnings-CN¥2.39b

Last Reported Earnings

Feb 28, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.10
Gross Margin44.75%
Net Profit Margin-185.45%
Debt/Equity Ratio93.6%

How did 6068 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 6068 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6068?

Other financial metrics that can be useful for relative valuation.

6068 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.2x
Enterprise Value/EBITDA0.6x
PEG Ration/a

Price to Sales Ratio vs Peers

How does 6068's PS Ratio compare to its peers?

6068 PS Ratio vs Peers
The above table shows the PS ratio for 6068 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.8x
1769 Scholar Education Group
0.8xn/aHK$422.3m
3978 China Beststudy Education Group
0.3xn/aHK$376.3m
1851 China Gingko Education Group
1.1xn/aHK$300.0m
1598 China 21st Century Education Group
1.2x15.2%HK$406.4m
6068 Wisdom Education International Holdings
0.2xn/aHK$322.4m

Price-To-Sales vs Peers: 6068 is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (0.8x).


Price to Earnings Ratio vs Industry

How does 6068's PE Ratio compare vs other companies in the HK Consumer Services Industry?

Price-To-Sales vs Industry: 6068 is good value based on its Price-To-Sales Ratio (0.2x) compared to the Hong Kong Consumer Services industry average (1.3x)


Price to Sales Ratio vs Fair Ratio

What is 6068's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6068 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.2x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 6068's Price-To-Sales Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 6068 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6068 (HK$0.15) is trading below our estimate of fair value (HK$1.78)

Significantly Below Fair Value: 6068 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is Wisdom Education International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


28.3%

Forecasted Consumer Services industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Wisdom Education International Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

  • Examine whether Wisdom Education International Holdings is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • Wisdom Education International Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Wisdom Education International Holdings performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-55.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6068 is currently unprofitable.

Growing Profit Margin: 6068 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 6068 is unprofitable, and losses have increased over the past 5 years at a rate of 55.4% per year.

Accelerating Growth: Unable to compare 6068's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 6068 is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (23%).


Return on Equity

High ROE: 6068 has a negative Return on Equity (-629.46%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Wisdom Education International Holdings's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: 6068's short term assets (CN¥1.0B) exceed its short term liabilities (CN¥696.8M).

Long Term Liabilities: 6068's short term assets (CN¥1.0B) exceed its long term liabilities (CN¥225.8M).


Debt to Equity History and Analysis

Debt Level: 6068's net debt to equity ratio (4.1%) is considered satisfactory.

Reducing Debt: 6068's debt to equity ratio has increased from 19.3% to 93.6% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if 6068 has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 6068 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


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Dividend

What is Wisdom Education International Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Wisdom Education International Holdings Dividend Yield vs Market
How does Wisdom Education International Holdings dividend yield compare to the market?
SegmentDividend Yield
Company (Wisdom Education International Holdings)0%
Market Bottom 25% (HK)3.0%
Market Top 25% (HK)8.9%
Industry Average (Consumer Services)5.6%
Analyst forecast in 3 Years (Wisdom Education International Holdings)n/a

Notable Dividend: Unable to evaluate 6068's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 6068's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 6068's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 6068's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 6068 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 6068 has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure


CEO

Suwen Li (48 yo)

12.25yrs

Tenure

CN¥2,095,000

Compensation

Ms. Suwen Li serves as the Chief Executive Officer of Wisdom Education International Holdings Company Limited and was its Director since July 13, 2010 until June 7, 2016 and as has been Executive Director...


CEO Compensation Analysis

Suwen Li's Compensation vs Wisdom Education International Holdings Earnings
How has Suwen Li's remuneration changed compared to Wisdom Education International Holdings's earnings?
DateTotal Comp.SalaryCompany Earnings
Feb 28 2022n/an/a

-CN¥2b

Nov 30 2021n/an/a

-CN¥2b

Aug 31 2021CN¥2mCN¥60k

-CN¥2b

May 31 2021n/an/a

-CN¥775m

Feb 28 2021n/an/a

CN¥570m

Nov 30 2020n/an/a

CN¥541m

Aug 31 2020CN¥2mCN¥53k

CN¥512m

May 31 2020n/an/a

CN¥472m

Feb 29 2020n/an/a

CN¥433m

Nov 30 2019n/an/a

CN¥396m

Aug 31 2019CN¥2mCN¥60k

CN¥359m

May 31 2019n/an/a

CN¥359m

Feb 28 2019n/an/a

CN¥358m

Nov 30 2018n/an/a

CN¥334m

Aug 31 2018CN¥1mCN¥60k

CN¥310m

May 31 2018n/an/a

CN¥274m

Feb 28 2018n/an/a

CN¥238m

Nov 30 2017n/an/a

CN¥219m

Aug 31 2017CN¥2mCN¥360k

CN¥200m

May 31 2017n/an/a

CN¥189m

Feb 28 2017n/an/a

CN¥176m

Nov 30 2016n/an/a

CN¥165m

Aug 31 2016CN¥300kCN¥300k

CN¥154m

Compensation vs Market: Suwen's total compensation ($USD294.48K) is about average for companies of similar size in the Hong Kong market ($USD244.54K).

Compensation vs Earnings: Suwen's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: 6068's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: 6068's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

What is the ownership structure of 6068?
Owner TypeNumber of SharesOwnership Percentage
Institutions11,039,2270.5%
General Public659,648,77330.3%
Individual Insiders1,507,466,00069.2%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 4 shareholders own 69.2% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
42.86%
Xuebin Liu
933,498,000CN¥138.2m0%no data
26.33%
Suwen Li
573,428,000CN¥84.9m0%no data
0.014%
Jiuchang Li
300,000CN¥44.4k0%no data
0.00009%
Dacheng Fund Management Company Limited
2,000CN¥296.00%no data

Company Information

Wisdom Education International Holdings Company Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Wisdom Education International Holdings Company Limited
  • Ticker: 6068
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Education Services
  • Sector: Consumer Services
  • Implied Market Cap: HK$322.367m
  • Shares outstanding: 2.18b
  • Website: https://www.wisdomeducationintl.com

Number of Employees


Location

  • Wisdom Education International Holdings Company Limited
  • No. 68 Guangming Da Dao
  • Dongcheng District
  • Dongguan
  • Guangdong Province
  • China


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6068SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2017
5Q4DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 2017

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/02 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/02/28
Annual Earnings2021/08/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.