Gaotu Techedu Inc. (NYSE:GOTU) saw an upside of 0.60% to close Friday at $3.36 after adding $0.02 on the day. The 5-day average trading volume is 8,853,500 shares of the company’s common stock. It has gained $3.58 in the past week. An average of 10,158,620 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 10,728,804.
GOTU’s 1-month performance is 17.89% or $0.50 on its low of $2.26 reached on 09/20/21. The company’s shares have touched a 52-week low of $2.25 and high of $149.05, with the stock’s rally to the 52-week high happening on 01/27/21. YTD, GOTU has lost -93.50% or -$48.35. However, the current price is down -97.75%% from the 52-week high price.
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Gaotu Techedu Inc. (GOTU) has a trailing price-to-earnings (P/E) ratio of 24.50 for the broader industry and 24.58 for the sector. The company’s PE ratio for the last five years has touched a high of 1567.18 and a low of 152.51. GOTU stock has a beta of 0.00. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 0.32 while the price-to-book (PB) in the most recent quarter is 1.54.
Gaotu Techedu Inc.’s quick ratio for the period ended June 29 was 1.50, with the current ratio over the same period at 1.50 meaning that GOTU stock is able to fulfill its debt obligations. In terms of profitability, the gross margin trailing 12 months is 73.60%. The trailing 12-month EBITDA margin is -23.84% while for the period ending June 29; Gaotu Techedu Inc.’s operating margin was -49.30%. The firm’s gross profit as reported stood at $821.79 million against revenue of $1.09 billion.
For the quarterly period ending June 29 this year, Net income and sales went up compared to those figures reported in the previous quarter. Analysts expected GOTU to announce -$0.22 per share in earnings in its latest quarter, but it posted -$0.46, representing a -109.10% surprise. EBITDA for the quarter stood at more than -$124.15 million. GOTU stock balance sheet for the quarter ending June 29 shows that total liabilities totaled 688.65 million, with total debt at $856.74 million
Let’s look briefly at Gaotu Techedu Inc. (GOTU) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 08 October was 63.18% to suggest the stock is trending Neutral, with historical volatility in this time period at 104.68%.
The stock’s 5-day moving average is $3.16, reflecting a +13.51% or $0.40 change from its current price. GOTU is currently trading +27.27% above its 20-day SMA, -86.32% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 and SMA200 by +1.20% and -93.67% respectively.
Stochastic %K and %D was 84.33% and 78.56% and the average true range (ATR) pointed at 0.32. The RSI (14) points at 54.81%, while the 14-day stochastic is at 82.26% with the period’s ATR at 0.35. The stock’s 9-day MACD Oscillator is pointing at 0.26 and 0.29 on the 14-day charts.
In the most recent analyst report for Gaotu Techedu Inc. (NYSE: GOTU), Goldman downgraded it to a Sell rating. They previously had a Neutral rating on the stock. Analysts offering their rating for GOTU stock have a consensus rating for the stock as Underweight. Currently, 3 brokerage advisors rate GOTU as a “sell,”, while 0 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 0 rates the stock as overweight while 1 have offered a “buy” rating.
What is GOTU’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $12.90 and a high of $26.52, with their median price target at $16.18. Looking at these predictions, the average price target given by analysts is for Gaotu Techedu Inc. (GOTU) stock is $17.95.