iHuman (IH) AI Stock Analysis

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iHuman

(NYSE:IH)

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Rating:65Neutral

Price Target:$1.00▼(-0.99% Downside)

Action:reiterated

Date:08/28/26

The overall score of 65 reflects a company with a rock-solid balance sheet and extremely compelling valuation, offset by significant operational headwinds. The primary strengths are the minimal debt, high dividend yield, and a P/E ratio of just 1.23. The main risks are the consecutive years of declining revenue and weakening cash flow, which are also reflected in the stock's negative long-term price trend.

Positive Factors

Very Low LeverageMinimal leverage and a substantial equity cushion reduce balance-sheet risk and preserve financial flexibility. This gives iHuman more capacity to fund product development, withstand weaker demand, and allocate resources without the interest burden or refinancing pressure associated with significant debt.

Negative Factors

Revenue ContractionRecent revenue contraction indicates that iHuman is struggling to maintain demand despite its established digital learning portfolio. A shrinking top line can reduce operating leverage, limit investment capacity, and make it harder for the company to sustain earnings growth over the next several quarters.

iHuman (IH) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $10.94M
Dividend Yield: 9.35%
Average Volume (3M): 6,686
Price to Earnings (P/E): 3.0
Beta (1Y): 0.42
Revenue Growth: -12.17%
EPS Growth: -78.28%
Country: US
Employees: 558
Sector: Consumer Defensive
Sector Strength: 62
Industry: Education & Training Services

iHuman Business Overview & Revenue Model

Company Description

Operating within the People's Republic of China, iHuman Inc. specializes in delivering educational resources aimed at fostering cognitive growth. Their offerings reach a broad audience, encompassing individual consumers, early learning institutions,...

iHuman Financial Statement Overview

Summary

Financial performance is mixed. The balance sheet is exceptionally strong (Score 92) with minimal debt and high equity, providing a solid foundation. However, the income statement (Score 48) and cash flow (Score 52) show declining revenue and weakening cash generation. The overall financial health is stable but pressured by top-line contraction.

Income Statement

48Neutral

Balance Sheet

92Very Positive

Cash Flow

52Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Dec 2024	Dec 2023	Mar 2023	Dec 2021
Income Statement
Total Revenue	752.48M	807.02M	922.20M	1.02B	985.52M	944.72M
Gross Profit	501.39M	547.61M	640.15M	721.27M	691.17M	660.62M
EBITDA	8.97M	109.54M	124.26M	214.26M	143.60M	-30.78M
Net Income	23.96M	95.40M	98.59M	180.91M	109.82M	-37.05M
Balance Sheet
Total Assets	1.24B	1.37B	1.42B	1.45B	1.33B	1.10B
Cash, Cash Equivalents and Short-Term Investments	1.01B	1.15B	1.17B	1.21B	1.05B	855.36M
Total Debt	8.33M	11.38M	14.91M	3.86M	9.02M	34.25M
Total Liabilities	411.65M	373.42M	458.80M	492.69M	563.95M	492.51M
Stockholders Equity	832.18M	995.80M	960.85M	957.80M	769.45M	608.37M
Cash Flow
Free Cash Flow	0	45.15M	51.10M	165.61M	1.25B	5.93M
Operating Cash Flow	0	49.92M	58.55M	172.12M	1.29B	38.21M
Investing Cash Flow	0	39.45M	-52.76M	-6.51M	-225.03M	-31.95M
Financing Cash Flow	0	-54.56M	-102.28M	-9.45M	-47.66M	410.00K

iHuman Technical Analysis

Technical Analysis SentimentNegative

Last Price1.01

Price Trends

50DMA1.16Negative

100DMA1.26Negative

200DMA1.46Negative

Market Momentum

MACD-0.01Positive

RSI42.72Neutral

STOCH41.98Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IH, the sentiment is Negative. The current price of 1.01 is below the 20-day moving average (MA) of 1.15, below the 50-day MA of 1.16, and below the 200-day MA of 1.46, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 42.72 is Neutral, neither overbought nor oversold. The STOCH value of 41.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IH.

iHuman Risk Analysis

iHuman disclosed 87 risk factors in its most recent earnings report. iHuman reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

3 New Risks

1.We incurred net losses in the past, and we may not be able to remain profitable or increase profitability in the future.Q4, 2023

2.If we are unable to manage our growth effectively, our business and prospects may be materially and adversely affected.Q4, 2023

3.Uncertainties with respect to the legal system in mainland China, including uncertainties regarding the interpretation and enforcement of laws, regulations and policies of mainland China, could adversely affect us. As the legal system of mainland China is evolving, laws, regulations and rules in mainland China may change quickly with little advance notice, which may subject us to non-compliance due to unexpected changes to the laws, regulations and rules applicable to us.Q4, 2023

iHuman Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

IH against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TAL	73Outperform	$4.85B	2.50	19.00%	―	25.56%	350.25%
EDU	72Outperform	$7.43B	15.36	12.52%	2.27%	20.74%	41.78%
IH	65Neutral	$52.14M	3.05	2.54%	9.35%	-12.17%	-78.28%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
GOTU	61Neutral	$573.53M	-18.25	-26.92%	―	24.86%	48.69%
YQ	54Neutral	$29.00M	-1.57	-39.66%	―	80.33%	31.05%
COE	45Neutral	$66.79M	-0.06	52.88%	―	74.92%	-149.51%

* Consumer Defensive Sector Average

Performance Comparison

IH and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IH	Ihuman Inc.	1.01	-1.61	-61.44%
EDU	New Oriental Education & Technology	52.52	0.43	0.82%
COE	China Online Education Group	11.26	-30.82	-73.24%
TAL	TAL Education	9.95	-1.26	-11.24%
GOTU	Gaotu Techedu Inc.	2.46	-0.02	-0.81%
YQ	17 Education & Technology Group, Inc.	2.60	-2.37	-47.69%

iHuman Corporate Events

iHuman Posts Q2 2026 Loss as China Demographics Weigh, Bets on AI and Global Expansion

Sep 29, 2026

iHuman Inc., listed on the NYSE, is a Beijing-based provider of tech-powered knowledge and personal growth products, with a strong focus on children’s education and English literacy. The company operates a portfolio of learning apps and IP-driven con...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Aug 28, 2026

iHuman AI Stock Analysis