GSX Techedu Inc. [NYSE: GSX] slipped around -3.42 points on Monday, while shares priced at $28.76 at the close of the session, down -10.63%. The company report on March 30, 2021 that GSX Announces Mr. Larry Xiangdong Chen’s Share Purchase Plan of up to US$50 Million Shares.
GSX Techedu Inc. (NYSE: GSX) (“GSX” or the “Company”), a leading online K-12 large-class after-school tutoring service provider in China, announced that Mr. Larry Xiangdong Chen, the Company’s founder, Chairman and CEO, intends to use his personal funds to purchase up to US$50 million of the Company’s shares over the next 12 months. Mr. Larry Xiangdong Chen currently has not pledged any of his equity interest in the Company as security or collateral to any third party.
In May 2020, the Company’s board of directors had authorized a share repurchase program, under which the Company may repurchase up to US$150 million of its shares, effective until May 6, 2022. As of March 30, 2021, the Company had repurchased US$39.8 million of its shares under the share repurchase program. The Company is still authorized to use the remaining quota for repurchase within the term of the plan.
GSX Techedu Inc. stock is now -44.38% down from its year-to-date (YTD) trading value. GSX Stock saw the intraday high of $32.35 and lowest of $28.22 per share. The company’s 52-week high price is 149.05, which means current price is +1.91% above from all time high which was touched on 01/27/21.
Compared to the average trading volume of 10.19M shares, GSX reached a trading volume of 19395307 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about GSX Techedu Inc. [GSX]?
Citigroup have made an estimate for GSX Techedu Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on March 29, 2021. While these analysts kept the previous recommendation, CLSA raised their target price from $68 to $76. The new note on the price target was released on March 08, 2021, representing the official price target for GSX Techedu Inc. stock. Previously, the target price had yet another raise to $63, while JP Morgan analysts kept a Underweight rating on GSX stock.
The Average True Range (ATR) for GSX Techedu Inc. is set at 8.31, with the Price to Sales ratio for GSX stock in the period of the last 12 months amounting to 7.09. The Price to Book ratio for the last quarter was 7.97, with the Price to Cash per share for the same quarter was set at 4.38.
How has GSX stock performed recently?
GSX Techedu Inc. [GSX] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -26.28. With this latest performance, GSX shares dropped by -65.74% in over the last four-week period, additionally sinking by -69.14% over the last 6 months – not to mention a drop of -26.22% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GSX stock in for the last two-week period is set at 20.94, with the RSI for the last a single of trading hit 13.74, and the three-weeks RSI is set at 27.37 for GSX Techedu Inc. [GSX]. The present Moving Average for the last 50 days of trading for this stock 86.14, while it was recorded at 31.98 for the last single week of trading, and 79.56 for the last 200 days.
GSX Techedu Inc. [GSX]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and GSX Techedu Inc. [GSX] shares currently have an operating margin of -24.63 and a Gross Margin at +75.26. GSX Techedu Inc.’s Net Margin is presently recorded at -19.55.
Return on Total Capital for GSX is now -40.42, given the latest momentum, and Return on Invested Capital for the company is -32.92. Return on Equity for this stock declined to -36.70, with Return on Assets sitting at -19.03. When it comes to the capital structure of this company, GSX Techedu Inc. [GSX] has a Total Debt to Total Equity ratio set at 13.91. Additionally, GSX Total Debt to Total Capital is recorded at 12.21, with Total Debt to Total Assets ending up at 7.46. Long-Term Debt to Equity for the company is recorded at 11.24, with the Long-Term Debt to Total Capital now at 9.87.
GSX Techedu Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.00 and a Current Ratio set at 2.00.
Earnings analysis for GSX Techedu Inc. [GSX]
With the latest financial reports released by the company, GSX Techedu Inc. posted 0.76/share EPS, while the average EPS was predicted by analysts to be reported at 0.57/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 33.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for GSX. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for GSX Techedu Inc. go to 16.03%.
Insider trade positions for GSX Techedu Inc. [GSX]
Positions in GSX Techedu Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 93 institutional holders increased their position in GSX Techedu Inc. [NYSE:GSX] by around 37,515,732 shares. Additionally, 71 investors decreased positions by around 9,720,955 shares, while 15 investors held positions by with 62,801,662 shares. The mentioned changes placed institutional holdings at 110,038,349 shares, according to the latest SEC report filing. GSX stock had 37 new institutional investments in for a total of 6,632,633 shares, while 34 institutional investors sold positions of 2,934,848 shares during the same period.