Gaotu Techedu (18WA) Stock Price & Analysis
18WA Stock Chart & Stats
- Day’s Range
- EUR 1.97 - EUR 2.00
- 52-Week Range
- EUR 1.17 - EUR 2.48
- Previous Close
- EUR 2.08
- Volume
- N/A
- Average Volume (3M)
- 75
- Market Cap
- EUR 475.66M
- Enterprise Value
- EUR 43.04M
- Total Cash (Recent Filing)
- EUR 2.73B
- Total Debt (Recent Filing)
- EUR 860.72M
- Price to Earnings (P/E)
- ―
- Beta
- 1.12
- Next Earnings
- Nov 25, 2026 (Est.)
- EPS Estimate
- N/A
- Next Dividend Ex-Date
- N/A
- Dividend Yield
- N/A
Bulls Say, Bears Say
Bulls Say
Revenue Growth
Sustained double-digit revenue growth, supported by both reported results and forward guidance, indicates continuing demand for Gaotu’s education offerings. This creates operating scale, supports investment in content and technology, and provides a durable foundation for improving earnings over the next several quarters.
Cash Generation
Strong operating cash generation alongside substantial cash and investments gives Gaotu financial flexibility to fund course development, selective expansion, and technology initiatives. Positive cash flow despite reported losses also indicates that current operations can support liquidity while the company works toward profitability.
Unit Economics And Productivity
A high gross margin combined with measurable AI-driven efficiency gains supports attractive underlying unit economics. Better curriculum productivity, automated processes, and faster tutor ramp-up can lower delivery costs over time, helping Gaotu scale its digital and blended education model more efficiently.
Bears Say
Persistent Unprofitability
Gaotu remains loss-making under both GAAP and non-GAAP measures despite revenue growth and narrower losses. Continued operating losses reduce the certainty that current growth converts into durable earnings, and they leave future profitability dependent on sustained scale benefits and disciplined expense management.
High Customer Acquisition Spend
Selling expenses consume more than half of quarterly revenue, showing that growth still requires substantial acquisition spending. Unless retention, brand efficiency, or customer lifetime value improve enough to offset this burden, elevated selling costs can continue to suppress margins and delay sustainable profitability.
Offline Expansion Execution
The offline model can broaden Gaotu’s reach, but upfront spending on teams, teaching space, and curriculum creates execution and payback risk. If new centers take longer to fill or fail profitability targets, expansion could absorb cash, increase operating losses, and weaken the consistency of returns.
Gaotu Techedu News
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Gaotu Techedu Stock Smart Score
Company Description
Gaotu Techedu
Gaotu Techedu Inc. operates as a tech-focused educational enterprise, delivering online K-12 supplementary instruction across the People's Republic of China. Its curriculum for students from kindergarten through twelfth grade encompasses a broad spectrum of academic disciplines, such as mathematics, English language, Chinese language, physics, chemistry, biology, history, geography, and political studies. Beyond K-12, the firm extends its educational offerings to include foreign language instruction in English and Japanese. It also offers specialized English preparation for post-graduate entrance examinations. Furthermore, Gaotu Techedu caters to working professionals with courses designed for various certification and qualification assessments, including those for teaching, Chartered Financial Analyst (CFA), and securities licenses, among others. Admission-focused programs are also available for tests like the national graduate entrance exam and civil service examinations. An interactive learning platform, the Gaotu App, serves diverse student populations. Moreover, the company delivers offline business consulting, aiming to bolster the management capabilities of leaders and administrators within private educational organizations. It also engages in the development and sale of intelligent devices, such as multi-functional translation pens, alongside educational aids like smart learning machines. Initially established in 2014, the firm was formerly recognized as GSX Techedu Inc., before rebranding to Gaotu Techedu Inc. in June 2021. Its main operational base is situated in Beijing, People's Republic of China.
- Sector
- Consumerdefensive
- Industry
- Education & Training Services
- CEO
- Xiangdong Chen
- Employees
- 17,483
- Website
- ir.gaotu.cn
- Address
- Gientech Building, Beijing, BE, 100193, CN
Gaotu Techedu (18WA) Earnings & Revenues
18WA Company Deck
18WA Earnings Call
Earnings Call SentimentPositive
The call conveyed a cautiously positive tone: strong top-line growth (net revenues +20.2%; gross billings +19.4%), robust cash flow improvement (+46.3% operating cash inflow) and meaningful AI-driven productivity gains underpin solid operational progress. Several segments—non-academic tutoring, online one-on-one, college/adult services and offline Dream Centers—showed notable expansion and improved unit economics. However, the company remains unprofitable on both GAAP and non-GAAP bases, with sizable selling expenses (54.7% of revenues) and front-loaded offline investments that require time to convert into consistent profitability. Management emphasized disciplined, selective expansion and resource allocation. Overall, highlights materially outweigh lowlights, but persistent losses and high acquisition spend warrant continued monitoring.
View all DE:18WA earnings summariesTechnical Analysis
Overall Consensus
| Indicator | Bullish | Neutral | Bearish |
|---|---|---|---|
| Overall Consensus | 10 | 2 | 10 |
| Technical Analysis | 5 | 2 | 3 |
| Moving Averages | 5 | 0 | 7 |
