NasdaqCM:WAFU

Stock Analysis Report

Executive Summary

Wah Fu Education Group Limited, through its subsidiaries, provides online exam preparation services and related technology solutions in the People’s Republic of China.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

How has Wah Fu Education Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WAFU's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.1%

WAFU

0.8%

US Consumer Services

1.2%

US Market


1 Year Return

n/a

WAFU

36.7%

US Consumer Services

24.2%

US Market

Return vs Industry: Insufficient data to determine how WAFU performed against the US Consumer Services industry.

Return vs Market: Insufficient data to determine how WAFU performed against the US Market.


Shareholder returns

WAFUIndustryMarket
7 Day5.1%0.8%1.2%
30 Day38.4%9.4%3.5%
90 Day-5.0%20.6%11.7%
1 Yearn/a37.0%36.7%26.9%24.2%
3 Yearn/a130.5%119.4%53.0%43.2%
5 Yearn/a195.8%163.7%75.3%56.0%

Price Volatility Vs. Market

How volatile is Wah Fu Education Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Wah Fu Education Group undervalued compared to its fair value and its price relative to the market?

1.21x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate WAFU's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate WAFU's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

PE vs Market: WAFU is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: WAFU is good value based on its PB Ratio (1.1x) compared to the US Consumer Services industry average (2.1x).


Next Steps

Future Growth

How is Wah Fu Education Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

39.6%

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 Wah Fu Education Group 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.


Next Steps

Past Performance

How has Wah Fu Education Group performed over the past 5 years?

-182.7%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: WAFU is currently unprofitable.

Growing Profit Margin: WAFU is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if WAFU's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: WAFU is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (16.4%).


Return on Equity

High ROE: WAFU has a negative Return on Equity (-15.21%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Wah Fu Education Group's financial position?


Financial Position Analysis

Short Term Liabilities: WAFU's short term assets ($6.8M) exceed its short term liabilities ($1.8M).

Long Term Liabilities: WAFU has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: WAFU is debt free.

Reducing Debt: WAFU has not had any debt for past 5 years.

Debt Coverage: WAFU has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: WAFU has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: WAFU has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if WAFU's debt is covered by short term assets.


Next Steps

Dividend

What is Wah Fu Education Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Wah Fu Education Group's salary, the management and board of directors tenure and is there insider trading?

1.4yrs

Average board tenure


CEO

Xinghui Yang (48yo)

3.2yrs

Tenure

0

Mr. Xinghui Yang serves as Chief Executive Officer of Wah Fu Education Group Limited since November 2016 and serves its Director since March 2013. Mr. Yang serves as Chief Executive Officer of Beijing Dis ...


Board Age and Tenure

1.4yrs

Average Tenure

56yo

Average Age

Experienced Board: WAFU's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown

Dilution of Shares: WAFU only recently listed within the past 12 months, with total shares outstanding growing by 0% in the past year..


Management Team

  • Gang Yao (46yo)

    Chief Financial Officer

    • Tenure: 1.4yrs
  • Xinghui Yang (48yo)

    CEO & Director

    • Tenure: 3.2yrs
  • Yang Yu (47yo)

    Chairman of the Board

    • Tenure: 3.2yrs

Board Members

  • Xinghui Yang (48yo)

    CEO & Director

    • Tenure: 3.2yrs
  • Yang Yu (47yo)

    Chairman of the Board

    • Tenure: 3.2yrs
  • Defang Li (74yo)

    Independent Director

    • Tenure: 1.4yrs
  • Yik C Chan (61yo)

    Independent Director

    • Tenure: 1.4yrs
  • Wenxiang Xing (56yo)

    Independent Director

    • Tenure: 1.1yrs

Company Information

Wah Fu Education Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wah Fu Education Group Limited
  • Ticker: WAFU
  • Exchange: NasdaqCM
  • Founded: 1999
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: US$10.734m
  • Shares outstanding: 4.38m
  • Website: https://www.edu-edu.com

Number of Employees


Location

  • Wah Fu Education Group Limited
  • Building No. 40
  • Room 505
  • Beijing
  • 100176
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WAFUNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDApr 2019

Biography

Wah Fu Education Group Limited, through its subsidiaries, provides online exam preparation services and related technology solutions in the People’s Republic of China. The company operates in two segments, Online Education Services; and Technological Development and Operation Services. The Online Education Services segment offers online education platforms to institutions, such as universities and training institutions, and online course development service companies. This segment provides self-study examination, continuing education, and non-diploma training platforms that allow students to enroll in courses for college credit; and online training and examination preparation services directly to students. The Technological Development and Operation Services segment develops and maintains online education platforms and online courses for its clients, including universities and government agencies, as well as private clients, such as publishers; and provides consulting, maintenance, and updating services related to online education programs. Wah Fu Education Group Limited was founded in 1999 and is headquartered in Beijing, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/21 01:09
End of Day Share Price2020/01/17 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.