Gaotu Techedu (Gaotu Techedu) Risk Assessment

View and export this data going back to 2019. Start your Free Trial

What is Gaotu Techedu Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Gaotu Techedu is: High Risk: High uncertainty with risk-return tradeoff.

Competitive Comparison of Gaotu Techedu's Risk Assessment

For the Education & Training Services subindustry, Gaotu Techedu's Risk Assessment, along with its competitors' market caps and Risk Assessment data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Gaotu Techedu's Risk Assessment Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Gaotu Techedu's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Gaotu Techedu's Risk Assessment falls into.

Gaotu Techedu (NYSE:GOTU) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Gaotu Techedu Risk Assessment Related Terms

Thank you for viewing the detailed overview of Gaotu Techedu's Risk Assessment provided by GuruFocus.com. Please click on the following links to see related term pages.

Gaotu Techedu (Gaotu Techedu) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Education » Gaotu Techedu Inc (NYSE:GOTU) » Definitions » Risk Assessment

Comparable Companies

Traded in Other Exchanges

18WA:Germany

Address

10 Xibeiwang East Road, 5th Floor, Gientech Building, 17 East Zone, Haidian District, Beijing, CHN, 100193

Website

https://ir.gaotu.cn

Gaotu Techedu Inc is a technology-driven education company with core expertise in online K-12 courses. Its K-12 courses cover all primary and secondary grades. It also offers foreign language, professional, and interest courses. The company's segment includes the provision of education services. It operates solely in the PRC and all assets are located in the PRC.