NYSE:NEW

Stock Analysis Report

Executive Summary

Puxin Limited, through its subsidiaries, provides K-12 and study-abroad tutoring services in the People’s Republic of China.


Snowflake Analysis

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

How has Puxin's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.1%

NEW

-5.8%

US Consumer Services

-10.6%

US Market


1 Year Return

23.8%

NEW

19.0%

US Consumer Services

5.2%

US Market

Return vs Industry: NEW exceeded the US Consumer Services industry which returned 21.4% over the past year.

Return vs Market: NEW exceeded the US Market which returned 10.2% over the past year.


Shareholder returns

NEWIndustryMarket
7 Day-1.1%-5.8%-10.6%
30 Day-6.5%1.6%-8.5%
90 Day-18.4%12.8%-4.6%
1 Year23.8%23.8%19.3%19.0%7.4%5.2%
3 Yearn/a108.7%99.1%31.7%23.2%
5 Yearn/a177.7%145.5%56.4%39.3%

Price Volatility Vs. Market

How volatile is Puxin's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Puxin undervalued compared to its fair value and its price relative to the market?

13.05x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

PE vs Market: NEW 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 NEW's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NEW is overvalued based on its PB Ratio (13.1x) compared to the US Consumer Services industry average (2.3x).


Next Steps

Future Growth

How is Puxin forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

42.6%

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 Puxin 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 Puxin performed over the past 5 years?

19.9%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: NEW is currently unprofitable.

Growing Profit Margin: NEW is currently unprofitable.


Past Earnings Growth Analysis

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

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

Earnings vs Industry: NEW is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (20.1%).


Return on Equity

High ROE: NEW has a negative Return on Equity (-178.11%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Puxin's financial position?


Financial Position Analysis

Short Term Liabilities: NEW's short term assets (CN¥994.0M) do not cover its short term liabilities (CN¥3.1B).

Long Term Liabilities: NEW's short term assets (CN¥994.0M) do not cover its long term liabilities (CN¥1.1B).


Debt to Equity History and Analysis

Debt Level: NEW's debt to equity ratio (146.4%) is considered high.

Reducing Debt: Insufficient data to determine if NEW's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: NEW has a high level of physical assets or inventory.

Debt Coverage by Assets: NEW's debt is covered by short term assets (assets are 1.9x debt).


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 NEW has enough cash runway based on its current free cash flow.

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


Next Steps

Dividend

What is Puxin's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.6%markettop25%4.1%industryaverage1.6%forecastin3Years0%

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate NEW'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 NEW's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NEW'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 NEW's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

5.6yrs

Average board tenure


CEO

Yunlong Sha (43yo)

6.1yrs

Tenure

0

Mr. Yunlong Sha is the Founder of Puxin Limited and has been its Chairman and Chief Executive Officer since 2014. Mr. Sha served as a Senior Vice President of New Oriental Education & Technology Group from ...


Board Members

NamePositionTenureCompensationOwnership
Yunlong Sha
Founder6.1yrsno data44.6% CN¥303.0m
Ming Hu
Independent Director5.1yrsno datano data
Neng Wang
Independent Director1yrsno datano data
Kehai Xie
Independent Director6.1yrsno datano data

5.6yrs

Average Tenure

46.5yo

Average Age

Experienced Board: NEW's board of directors are considered experienced (5.6 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

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.1%.


Top Shareholders

Company Information

Puxin Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Puxin Limited
  • Ticker: NEW
  • Exchange: NYSE
  • Founded: 2014
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: US$679.295m
  • Shares outstanding: 86.98m
  • Website: https://www.pxjy.com

Number of Employees


Location

  • Puxin Limited
  • Chuangfu Mansion
  • Floor 16
  • Beijing
  • 100080
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NEWNYSE (New York Stock Exchange)YesADSUSUSDJun 2018

Biography

Puxin Limited, through its subsidiaries, provides K-12 and study-abroad tutoring services in the People’s Republic of China. Its K-12 tutoring services provides result-oriented educational services to enhance academic results through group class and personal tutoring courses; and English tutoring services for children from kindergarten to grade six; and extra-curricular courses, such as painting, calligraphy, music, debate, and science. The company’s study-abroad tutoring services helps students to prepare for admission tests and applications for high schools, universities, and graduate programs primarily in English-speaking countries through study-abroad test preparation courses and study-abroad consulting services. It also provides Web-based and mobile-based platforms for K-12 tutoring services; and cloud-based products and services for K-12 tutoring and study-abroad tutoring services. As of December 31, 2018, it operated 275 K-12 learning centers and 111 study-abroad learning centers. Puxin Limited was founded in 2014 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 Analysis2020/02/28 02:24
End of Day Share Price2020/02/27 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.