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Koolearn Technology Holding Ltd
HKEX:1797

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Koolearn Technology Holding Ltd
HKEX:1797
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Price: 25.82 HKD -6.18% Market Closed
Market Cap: HK$27.2B

EV/GP

12.3
Current
2%
More Expensive
vs 3-y average of 12

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
12.3
=
Enterprise Value
HK$25.7B
/
Gross Profit
¥1.5B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
12.3
=
Enterprise Value
HK$25.7B
/
Gross Profit
¥1.5B

Valuation Scenarios

Koolearn Technology Holding Ltd is trading above its 3-year average

If EV/GP returns to its 3-Year Average (12), the stock would be worth HK$25.27 (2% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-71%
Maximum Upside
+10%
Average Downside
16%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 12.3 HK$25.82
0%
3-Year Average 12 HK$25.27
-2%
5-Year Average 12.1 HK$25.34
-2%
Industry Average 3.6 HK$7.56
-71%
Country Average 13.6 HK$28.47
+10%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

In line with most companies in China
Percentile
46th
Based on 6 967 companies
46th percentile
12.3
Low
0 — 8
Typical Range
8 — 23.3
High
23.3 —
Distribution Statistics
China
Min 0
30th Percentile 8
Median 13.6
70th Percentile 23.3
Max 17 898 541.1

Koolearn Technology Holding Ltd
Glance View

Koolearn Technology Holding Ltd. has carved out a significant niche within China's vibrant online education landscape. Emerging from the larger umbrella of New Oriental Education & Technology Group, Koolearn started as a modest experiment in digital learning. Positioned to leverage technology's evolving possibilities, the company focused initially on offering online test preparation services, a pivot from the traditional classroom model that parents and students were accustomed to. The firm quickly capitalized on China's insatiable demand for quality educational resources and the growing internet penetration across the nation. Koolearn's virtual classrooms, accessible anytime and from anywhere, became a beacon for students preparing for various exams, pulling in audiences through their mix of interactive lessons and adaptive learning tools. In terms of revenue generation, Koolearn operates on a model that blends subscription fees with a pay-per-course structure. It ingeniously captured a diverse student base through a tiered pricing strategy, offering everything from comprehensive, bundled courses to stand-alone modules, catering to different learning needs and financial capabilities. The company also broadened its portfolio by venturing into K-12 education and English language training, thereby expanding its market reach beyond just test prep. With the growing integration of AI and big data analytics, Koolearn further enriched its educational offerings by optimizing content delivery and personalizing learning experiences, enhancing customer retention and attracting new enrollments in an increasingly competitive market.

Intrinsic Value
14.99 HKD
Overvaluation 42%
Intrinsic Value
Price HK$25.82
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