ATA Creativity Global AI Stock Analysis
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ATA Creativity Global (AACG) AI Stock Analysis
ATA Creativity Global
(NASDAQ:AACG)
The score is primarily held down by weak financial performance (ongoing losses, rising leverage, and continued cash burn). Technical indicators are also soft (below the 200-day average with negative MACD), while valuation is only modestly supportive because the negative P/E is driven by losses and there is no dividend yield provided.
ATA Creativity Global (AACG) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $11.11M
- Dividend Yield
- ―
- Average Volume (3M)
- 142.45K
- Price to Earnings (P/E)
- -2.3
- Beta (1Y)
- 0.63
- Revenue Growth
- 0.28%
- EPS Growth
- -32.56%
- Country
- US
- Employees
- 489
- Sector
- Consumer Defensive
- Sector Strength
- 62
- Industry
- Education & Training Services
ATA Creativity Global Business Overview & Revenue Model
Company Description
Headquartered in Beijing, China, ATA Creativity Global, founded in 1999, delivers a broad spectrum of educational services to individual students across China and internationally. These services encompass specialized training in portfolio development...
ATA Creativity Global Earnings Call Summary
The earnings call reflected a positive outlook with significant revenue growth and improved financial performance. While there were some challenges, such as a decrease in student enrollment and minimal growth in credit hours delivered, the company showed strong progress with reduced losses and substantial growth in key revenue sectors.
Q2-2025 Updates
Positive Updates
Negative Updates
Company Guidance
During the ATA Creativity Global second quarter 2025 financial results call, key metrics highlighted a year-over-year increase in net revenues and gross profit, with a notable 50% growth in revenue from overseas study counseling, other educational services, and research-based learning services. Total net revenues for Q2 2025 were RMB 55.9 million, an 8% increase from Q2 2024, and gross profit rose by 10.2% to RMB 28.3 million. Operating expenses decreased by 9.4% to RMB 42.1 million, resulting in a narrowed operational loss of RMB 13.7 million. For the first half of 2025, net revenues increased by 11.8% to RMB 111.7 million, with gross profit up 12.8% to RMB 53.7 million. Total operating expenses for the half-year decreased by 6.4% to RMB 84.3 million. Looking ahead, the company expects total net revenues for the full year 2025 to be between RMB 276 million and RMB 281 million, reflecting a 3% to 5% year-over-year increase. ACG's focus remains on organic growth, enhancing cost discipline, and expanding international partnerships to maintain its position as a leader in creative art education services.
ATA Creativity Global Financial Statement Overview
Summary
Weak overall fundamentals: revenue declined in 2025 (-6.8%), operating and net losses persist despite solid gross margins, leverage increased sharply (debt-to-equity ~1.43 in 2025), and cash flow deteriorated with negative operating and free cash flow in 2024–2025 (2025 OCF about -15.8M; FCF about -17.1M).
Income Statement
26NegativeBalance Sheet
34NegativeCash Flow
22Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 268.11M | 268.11M | 268.06M | 221.62M | 206.82M | 202.21M |
| Gross Profit | 130.31M | 130.31M | 141.26M | 114.66M | 102.51M | 104.80M |
| EBITDA | -49.08M | -30.13M | -18.27M | -18.54M | -31.92M | -14.92M |
| Net Income | -48.05M | -48.05M | -36.10M | -33.66M | -47.89M | -33.65M |
Balance Sheet | ||||||
| Total Assets | 408.56M | 408.56M | 456.93M | 448.94M | 474.46M | 507.18M |
| Cash, Cash Equivalents and Short-Term Investments | 85.29M | 85.29M | 36.52M | 60.17M | 54.98M | 71.34M |
| Total Debt | 45.98M | 45.98M | 35.21M | 22.61M | 36.45M | 40.72M |
| Total Liabilities | 376.55M | 376.55M | 377.28M | 335.97M | 330.95M | 316.28M |
| Stockholders Equity | 32.07M | 32.07M | 79.71M | 113.04M | 143.10M | 187.77M |
Cash Flow | ||||||
| Free Cash Flow | 5.06M | -17.12M | -23.37M | 6.51M | -111.22M | -36.29M |
| Operating Cash Flow | 3.93M | -15.84M | -3.35M | 8.75M | -100.13M | -31.83M |
| Investing Cash Flow | 1.17M | 48.71M | -20.26M | -3.97M | -17.06M | -10.03M |
| Financing Cash Flow | -16.06M | 16.34M | -93.70K | 403.44K | 1.29M | 827.52K |
ATA Creativity Global Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AACG, the sentiment is Positive. The current price of 0.79 is above the 20-day moving average (MA) of 0.70, above the 50-day MA of 0.77, and below the 200-day MA of 0.95, indicating a neutral trend. The MACD of -0.00 indicates Negative momentum. The RSI at 54.17 is Neutral, neither overbought nor oversold. The STOCH value of 72.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AACG.
ATA Creativity Global Risk Analysis
ATA Creativity Global disclosed 64 risk factors in its most recent earnings report. ATA Creativity Global reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
0 New RisksATA Creativity Global Peers Comparison
Overall Rating
FEDU71Outperform
YQ54Neutral
EEIQ50Neutral
AMBO43Neutral- AACG42Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| FEDU | 71Outperform | $17.28M | 0.50 | 10.65% | ― | 2.34% | 3245.03% |
| Sector * | 62Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% |
| YQ | 54Neutral | $27.65M | -1.74 | -39.66% | ― | 80.33% | 31.05% |
| EEIQ | 50Neutral | $6.34M | -0.93 | -62.62% | ― | 5.19% | -11.78% |
| AMBO | 43Neutral | $3.71M | -0.68 | -9.07% | ― | ― | ― |
| AACG | 42Neutral | $36.19M | -2.33 | -70.90% | ― | 0.28% | -32.56% |
* Consumer Defensive Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| AACG | Ata Creativity Global | 0.79 | -0.44 | -36.18% | |
| FEDU | Four Seasons Education | 7.52 | -6.23 | -45.31% | |
| AMBO | Ambow Education Holding | 1.32 | -2.79 | -67.88% | |
| EDTK | Skillful Craftsman Education Technology Ltd. | 0.92 | -0.16 | -14.72% | |
| YQ | 17 Education & Technology Group, Inc. | 2.60 | -2.31 | -47.05% | |
| EEIQ | Elite Education Group International Ltd. | 3.86 | -1.40 | -26.60% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 11, 2026