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Consumer Defensive - Education & Training Services - NYSE - CN
$ 2.75
-5.82 %
$ 1.04 B
Market Cap
-4.91
P/E
1. INTRINSIC VALUE

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one GOTU stock under the worst case scenario is HIDDEN Compared to the current market price of 2.75 USD, Gaotu Techedu Inc. is HIDDEN

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one GOTU stock under the base case scenario is HIDDEN Compared to the current market price of 2.75 USD, Gaotu Techedu Inc. is HIDDEN

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one GOTU stock under the best case scenario is HIDDEN Compared to the current market price of 2.75 USD, Gaotu Techedu Inc. is HIDDEN

2. FUNDAMENTAL ANALYSIS

Price Chart GOTU

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$4.0$4.0$3.5$3.5$3.0$3.0$2.5$2.5$2.0$2.0$1.5$1.515 Oct15 OctNov '24Nov '2415 Nov15 NovDec '24Dec '2415 Dec15 DecJan '25Jan '2515 Jan15 JanFeb '25Feb '2515 Feb15 FebMar '25Mar '2515 Mar15 MarApr '25Apr '25
FINANCIALS
4.55 B REVENUE
53.79%
-1.18 B OPERATING INCOME
-693.14%
-1.05 B NET INCOME
-14273.17%
0 OPERATING CASH FLOW
0.00%
0 INVESTING CASH FLOW
100.00%
0 FINANCING CASH FLOW
100.00%
1.39 B REVENUE
14.93%
-149 M OPERATING INCOME
69.54%
-136 M NET INCOME
71.18%
0 OPERATING CASH FLOW
0.00%
0 INVESTING CASH FLOW
0.00%
0 FINANCING CASH FLOW
0.00%
Balance Sheet Gaotu Techedu Inc.
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Current Assets 3.64 B
Cash & Short-Term Investments 3.17 B
Receivables 0
Other Current Assets 473 M
Non-Current Assets 2.19 B
Long-Term Investments 923 M
PP&E 1.17 B
Other Non-Current Assets 91.7 M
54.33 %8.12 %15.83 %20.14 %Total Assets$5.8b
Current Liabilities 3.26 B
Accounts Payable 0
Short-Term Debt 148 M
Other Current Liabilities 3.11 B
Non-Current Liabilities 634 M
Long-Term Debt 345 M
Other Non-Current Liabilities 289 M
3.79 %79.93 %8.85 %7.43 %Total Liabilities$3.9b
EFFICIENCY
Earnings Waterfall Gaotu Techedu Inc.
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Revenue 4.55 B
Cost Of Revenue 1.45 B
Gross Profit 3.1 B
Operating Expenses 4.28 B
Operating Income -1.18 B
Other Expenses -133 M
Net Income -1.05 B
5b5b4b4b3b3b2b2b1b1b00(1b)(1b)(2b)(2b)5b(1b)3b(4b)(1b)133m(1b)RevenueRevenueCost Of RevenueCost Of RevenueGross ProfitGross ProfitOperating ExpensesOperating ExpensesOperating IncomeOperating IncomeOther ExpensesOther ExpensesNet IncomeNet Income
RATIOS
68.05% GROSS MARGIN
68.05%
-25.95% OPERATING MARGIN
-25.95%
-23.04% NET MARGIN
-23.04%
-54.25% ROE
-54.25%
-18.00% ROA
-18.00%
-43.89% ROIC
-43.89%
FREE CASH FLOW ANALYSIS
Free Cash Flow Analysis Gaotu Techedu Inc.
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2b2b1b1b00(1b)(1b)(2b)(2b)(3b)(3b)(4b)(4b)(5b)(5b)2018201820192019202020202021202120222022202320232024202420252025
Net Income -1.05 B
Depreciation & Amortization 54.2 M
Capital Expenditures 0
Stock-Based Compensation 53.2 M
Change in Working Capital 0
Others 996 M
Free Cash Flow 0
3. WALL STREET ANALYSTS ESTIMATES
Wall Street Analysts Price Targets Gaotu Techedu Inc.
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Wall Street analysts predict an average 1-year price target for GOTU of $2.94 , with forecasts ranging from a low of $2.94 to a high of $2.94 .
GOTU Lowest Price Target Wall Street Target
2.94 USD 6.91%
GOTU Average Price Target Wall Street Target
2.94 USD 6.91%
GOTU Highest Price Target Wall Street Target
2.94 USD 6.91%
Price
Max Price Target
Min Price Target
Average Price Target
998877665544332211May '24May '24Jul '24Jul '24Aug '24Aug '24Oct '24Oct '24Nov '24Nov '2420252025Feb '25Feb '25Apr '25Apr '25Jun '25Jun '25Jul '25Jul '25Aug '25Aug '25Oct '25Oct '25Nov '25Nov '2520262026Feb '26Feb '26Apr '26Apr '26
4. DIVIDEND ANALYSIS
5. COMPETITION
slide 2 of 5
6. Ownership
Insider Ownership Gaotu Techedu Inc.
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Sold
0-3 MONTHS
0 USD 0
3-6 MONTHS
0 USD 0
6-9 MONTHS
0 USD 0
9-12 MONTHS
0 USD 0
Bought
0 USD 0
0-3 MONTHS
0 USD 0
3-6 MONTHS
0 USD 0
6-9 MONTHS
0 USD 0
9-12 MONTHS
7. News
Gaotu Techedu Projects a Meaningful Reduction in Non-GAAP Operating Loss for 2025 BEIJING , March 11, 2025 /PRNewswire/ -- Gaotu Techedu Inc. (NYSE: GOTU) ("Gaotu" or the "Company"), a technology-driven education company and online large-class tutoring service provider in China, today announced that it expects a meaningful reduction in its non-GAAP operating loss for 2025 compared to 2024. The Company's 2025 financial projections reflect anticipated cost and expense trends, including, among others, the impact of lease commitments, ensuring a well-measured outlook for business growth across both online and offline operations. prnewswire.com - 1 month ago
Gaotu Techedu All Set To Thrive In China's AI Era Gaotu Techedu's strategic pivot to adult and vocational training amid disruptive policy changes in China's EdTech market has been a smart move. The company leverages AI-powered features to enhance learning engagement and operational efficiency. Recent financials show strong growth, with an 83% revenue jump and improved cash generation. seekingalpha.com - 1 month ago
Gaotu Techedu: Strong Growth And Improved Profitability, Maintain 'Buy' Gaotu Techedu: Strong Growth And Improved Profitability, Maintain 'Buy' seekingalpha.com - 1 month ago
Gaotu Techedu Inc. (GOTU) Q4 2024 Earnings Call Transcript Gaotu Techedu Inc. (NYSE:GOTU ) Q4 2024 Earnings Conference Call February 26, 2025 8:00 AM ET Company Participants Catherine Chen - Head, Investor Relations Larry Chen - Founder, Chairman & Chief Executive Officer Shannon Shen - Chief Financial Officer Conference Call Participants Crystal Li - China Merchant Securities Operator Ladies and gentlemen, thank you for standing by, and welcome to the Gaotu Techedu Fourth Quarter and Fiscal Year 2024 Earnings Conference Call. All participants will be in listen-only mode. seekingalpha.com - 1 month ago
Gaotu Techedu Announces Fourth Quarter and Fiscal Year 2024 Unaudited Financial Results BEIJING , Feb. 26, 2025 /PRNewswire/ -- Gaotu Techedu Inc. (NYSE: GOTU) ("Gaotu" or the "Company"), a technology-driven education company and online large-class tutoring service provider in China, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2024. Fourth Quarter 2024 Highlights[1] Net revenues were RMB1,388.6 million, increased by 82.5% from RMB761.0 million in the same period of 2023. prnewswire.com - 1 month ago
Gaotu Techedu to Report Fourth Quarter and Fiscal Year 2024 Financial Results on February 26, 2025 BEIJING , Feb. 13, 2025 /PRNewswire/ -- Gaotu Techedu Inc. ("Gaotu" or the "Company") (NYSE: GOTU), a technology-driven education company and online large-class tutoring service provider in China, today announced that it will report its financial results for the fourth quarter and fiscal year 2024 ended December 31, 2024, before U.S. markets open on Wednesday, February 26, 2025. Gaotu's management will hold an earnings conference call at 8:00 AM U.S. Eastern Time on Wednesday, February 26, 2025 (9:00 PM on the same day, Beijing/Hong Kong Time). prnewswire.com - 2 months ago
Gaotu Techedu: Profitability Has Reached Bottom, Maintain 'Buy' Gaotu's Q3 2024 revenue growth was robust at 53.1% YoY, but profitability declined due to heavy investments in workforce and marketing. Despite the stock's 11% drop post-earnings, I maintain a "buy" rating due to Gaotu's strong balance sheet and significant undervaluation. Management expects Q4 revenue growth of 69.2%-71.9% YoY, driven by aggressive offline expansion and diversified revenue streams. seekingalpha.com - 4 months ago
Gaotu Techedu Inc. (GOTU) Q3 2024 Earnings Call Transcript Gaotu Techedu Inc. (NYSE:GOTU ) Q3 2024 Earnings Conference Call December 4, 2024 8:00 AM ET Company Participants Catherine Chen - Head, Investor Relations Larry Chen - Founder, Chairman and Chief Executive Officer Shannon Shen - Chief Financial Officer Conference Call Participants Crystal Li - CMS Operator Ladies and gentlemen, thank you for standing by, and welcome to the Gaotu Techedu Third Quarter 2024 Earnings Conference Call. All participants will be in a listen-only mode. seekingalpha.com - 4 months ago
Gaotu Techedu Announces Third Quarter 2024 Unaudited Financial Results BEIJING , Dec. 4, 2024 /PRNewswire/ -- Gaotu Techedu Inc. (NYSE: GOTU) ("Gaotu" or the "Company"), a technology-driven education company and online large-class tutoring service provider in China, today announced its unaudited financial results for the third quarter ended September 30, 2024. Third Quarter 2024 Highlights[1] Net revenues were RMB1,208.3 million, increased by 53.1% from RMB789.4 million in the same period of 2023. prnewswire.com - 4 months ago
Gaotu Techedu to Report Third Quarter 2024 Financial Results on December 4, 2024 BEIJING , Nov. 19, 2024 /PRNewswire/ -- Gaotu Techedu Inc. ("Gaotu" or the "Company") (NYSE: GOTU), a technology-driven education company and online large-class tutoring service provider in China, today announced that it will report its financial results for the third quarter ended September 30, 2024, before U.S. markets open on Wednesday, December 4, 2024. Gaotu's management will hold an earnings conference call at 8:00 AM U.S. Eastern Time on Wednesday, December 4, 2024 (9:00 PM on the same day, Beijing/Hong Kong Time). prnewswire.com - 5 months ago
Gaotu Techedu: Recent Sell-Off Creates Another Buying Opportunity I maintain my "buy" rating for GOTU due to its significant undervaluation and potential for dramatic positive fundamental change. Gaotu's rapid offline expansion, especially in Guangzhou, positions it to capture market share from competitors like TAL and EDU. Exiting the loss-making Gaotu Jiapin business will enhance profitability starting Q4 2024, improving the company's financial outlook. seekingalpha.com - 5 months ago
TAL, EDU, GOTU Rally as China's Education Policy Boosts Employment Focus U.S.-listed Chinese education stocks surged following the release of a new policy focusing on employment and education integration. TAL Education Group (TAL, Financial) saw its shares rise over 4%, New Oriental Education & Technology Group (EDU) gained more than 3%, and Gaotu Techedu Inc. (GOTU) increased nearly 1%. gurufocus.com - 6 months ago
8. Profile Summary

Gaotu Techedu Inc. GOTU

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COUNTRY CN
INDUSTRY Education & Training Services
MARKET CAP $ 1.04 B
Dividend Yield 0.00%
Description Gaotu Techedu Inc., a technology-driven education company, provides online K-12 after-school tutoring services in the People's Republic of China. Its K-12 after-school tutoring courses cover various K-12 academic subjects, including mathematics, English, Chinese, physics, chemistry, biology, history, geography, and political science. The company also provides foreign language courses comprising English and Japanese, as well as English test preparation courses for students taking post-graduate entrance exams; and professional courses primarily for working adults preparing for professional qualification exams, such as teacher's qualification, the Chartered Financial Analyst designation, securities qualification exams, and other exams. In addition, it offers admission courses for admission tests, including national graduate entrance examination, civil service examinations, and others; and Gaotu App, an interactive learning app to various student groups. Further, the company provides other courses, including offline business consulting courses to enhance management skills for principals and other officers of private education institutions; and develops and sells smart devices, such as multi-function translation pen, as well as teaching and learning tools, which includes smart learning machine. The company was formerly known as GSX Techedu Inc. and changed its name to Gaotu Techedu Inc. in June 2021. Gaotu Techedu Inc. was incorporated in 2014 and is headquartered in Beijing, the People's Republic of China.
Contact Gientech Building, Beijing, 100193 https://ir.gaotu.cn
IPO Date June 6, 2019
Employees 7767
Officers Mr. Xiangdong Chen Ph.D. Founder, Chairman & Chief Executive Officer Mr. Bin Luo Senior Vice President and Head of College Students & Adults Business Ms. Sherry Liu IR Manager Ms. Nan Shen CPA Chief Financial Officer & Senior Vice President