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6068

Wisdom Education International HoldingsSEHK:6068 Stock Report

Last Price

HK$0.56

Market Cap

HK$1.2b

7D

-8.2%

1Y

-86.6%

Updated

22 Jan, 2022

Data

Company Financials +
6068 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance0/6
Financial Health6/6
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

China Maple Leaf Educational Systems

SEHK:1317

HK$1.7b

Virscend Education

SEHK:1565

HK$1.4b

Hailiang Education Group

NasdaqGM:HLG

US$284.3m

Bright Scholar Education Holdings

NYSE:BEDU

US$107.3m

Price History & Performance

Summary of all time highs, changes and price drops for Wisdom Education International Holdings
Historical stock prices
Current Share PriceHK$0.56
52 Week HighHK$4.37
52 Week LowHK$0.54
Beta1.5
1 Month Change-29.11%
3 Month Change-63.64%
1 Year Change-86.60%
3 Year Change-81.70%
5 Year Change-67.06%
Change since IPO-66.86%

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...

Oct 28
Wisdom Education International Holdings' (HKG:6068) Returns On Capital Not Reflecting Well On The Business

Wisdom Education International Holdings' (HKG:6068) Returns On Capital Not Reflecting Well On The Business

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...

Shareholder Returns

6068HK Consumer ServicesHK Market
7D-8.2%-1.7%1.9%
1Y-86.6%-50.9%-13.4%

Return vs Industry: 6068 underperformed the Hong Kong Consumer Services industry which returned -50.9% over the past year.

Return vs Market: 6068 underperformed the Hong Kong Market which returned -13.4% over the past year.

Price Volatility

Is 6068's price volatile compared to industry and market?
6068 volatility
6068 Average Weekly Movement16.4%
Consumer Services Industry Average Movement8.0%
Market Average Movement6.7%
10% most volatile stocks in HK Market13.1%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 6068 is more volatile than 90% of Hong Kong stocks over the past 3 months, typically moving +/- 16% a week.

Volatility Over Time: 6068's weekly volatility has increased from 10% to 16% over the past year.

About the Company

FoundedEmployeesCEOWebsite
20026,800Suwen 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 CapCN¥993.06m
Earnings (TTM)-CN¥2.12b
Revenue (TTM)CN¥2.26b

0.4x

P/S Ratio

-0.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6068 income statement (TTM)
RevenueCN¥2.26b
Cost of RevenueCN¥1.26b
Gross ProfitCN¥1.00b
ExpensesCN¥3.12b
Earnings-CN¥2.12b

Last Reported Earnings

Aug 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.97
Gross Margin44.39%
Net Profit Margin-93.64%
Debt/Equity Ratio30.1%

How did 6068 perform over the long term?

See historical performance and comparison

Valuation

Is Wisdom Education International Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6068 (HK$0.56) is trading below our estimate of fair value (HK$14.17)

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


Price To Earnings Ratio

PE vs Industry: 6068 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Consumer Services industry average.

PE vs Market: 6068 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 6068's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 6068 is overvalued based on its PB Ratio (1.7x) compared to the HK Consumer Services industry average (1.3x).


Future Growth

How is Wisdom Education International Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

125.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6068 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.5%).

Earnings vs Market: 6068 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 6068's is expected to become profitable in the next 3 years.

Revenue vs Market: 6068's revenue (11.3% per year) is forecast to grow slower than the Hong Kong market (11.6% per year).

High Growth Revenue: 6068's revenue (11.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6068's Return on Equity is forecast to be low in 3 years time (19.6%).


Past Performance

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

-25.3%

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 25.3% 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 (29.2%).


Return on Equity

High ROE: 6068 has a negative Return on Equity (-393.77%), as it is currently unprofitable.


Financial Health

How is Wisdom Education International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 6068's short term assets (CN¥1.4B) exceed its short term liabilities (CN¥824.6M).

Long Term Liabilities: 6068's short term assets (CN¥1.4B) exceed its long term liabilities (CN¥2.2M).


Debt to Equity History and Analysis

Debt Level: 6068 has more cash than its total debt.

Reducing Debt: 6068's debt to equity ratio has reduced from 71.9% to 30.1% over the past 5 years.

Debt Coverage: 6068's debt is well covered by operating cash flow (575.9%).

Interest Coverage: 6068's interest payments on its debt are well covered by EBIT (19.5x coverage).


Balance Sheet


Dividend

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

31.54%

Forecast Dividend Yield


Dividend Yield vs Market

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.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 6068's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

4.4yrs

Average management tenure


CEO

Suwen Li (47 yo)

no data

Tenure

CN¥2,095,000

Compensation

Ms. Suwen Li serves as the Chief Executive Officer of Wisdom Education International Holdings Company Limited and has been its Director on 13 July 2010 and as an executive Director on 7 June 2016. Ms. Li h...


CEO Compensation Analysis

Compensation vs Market: Suwen's total compensation ($USD330.49K) is about average for companies of similar size in the Hong Kong market ($USD283.84K).

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 considered experienced (4.4 years average tenure).


Board Members

Experienced Board: 6068's board of directors are considered experienced (5 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

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$1.220b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/22 10:06
End of Day Share Price2022/01/21 00:00
Earnings2021/08/31
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.