REDU stock: buy or sell?
February 27th, 2020
RISE Education Cayman Ltd, through its subsidiaries, provides junior English language training services under the RISE brand name in the People's Republic of China.
Should I buy REDU stock?Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Following a trading strategy helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
Currently, RISE Education Cayman stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is RISE Education Cayman stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.Unfortunately, we couldn't find any rating for REDU stock for the last 30 days.
REDU stock analysis
RISE Education Cayman shares eased -1.88% to $5.73 today.
RISE Education Cayman shares eased -1.88% to $5.73 today. Since October when REDU stock price broke down the SMA100d line, it slid $-3.07 per share (-34.89%).
Shares of RISE Education Cayman closed this week at $5.73 and collapsed a chilling -6.83%. With this, it's been 5 red weeks in a row, sliding $-1.01 or a -14.17%.
Since price and 40-weeks moving average lines crossed down early July, REDU fell $-3.93 per share (-40.68%). Stocks under the 200d moving average line are usually not recommended for average traders.
REDU stock price history
REDU IPO was on October 20th, 2017 at $16.05 per share1. Since then, REDU stock sliced a -64.30%, with a yearly average of -32.20%.
1: Adjusted price after possible price splits or reverse-splits.
REDU stock historical price chart
REDU stock reached 52-week highs on March at $11.00, and all-time highs 2018-03-13 with a price of 18.6.
REDU stock price targetNobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we have not found any price prediction for RISE Education Cayman stock by any trusted analyst.
Financials and fundamental analysis
Earnings date and Earnings per ShareRISE Education Cayman let down analysts on March when it posted an Earnings per Share (EPS) of $0.09 when the analysts' forecast was $0.12.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw an exceptional increase of 31.22% to $1,271.89 M USD. Likewise, its profit margin (compared to sales) boosted to 11.24%, that is $142.96 million.
|2014||$407 M||-||$-65.17 M-16.0%||-|
|2015||$529 M||30.19%||$-26.29 M-5.0%||-59.67%|
|2016||$711 M||34.28%||$54 M7.6%||-305.15%|
|2017||$969 M||36.33%||$-47.97 M-4.9%||-188.97%|
|2018||$1,272 M||31.22%||$143 M11.2%||-397.99%|
Quarterly financial resultsRISE Education Cayman posted $354.17 million in revenues for 2018-Q4, a 1.95% up compared to previous quarter. Reported quarter earnings marked $31.51 M with a profit margin of 8.90%. Profit margin stayed stable a -0.57% compared to previous quarter when profit margin was 9.47%. When comparing sales to same quarter last year, RISE Education Cayman sales marked an astounding increase and skyrocketed a 30.13%. Looking back to recent quarterly results, RISE Education Cayman posted 3 positive quarters in a row.
|2017-Q1||$31 M||-||$4 M13.4%||-|
|2017-Q2||$33 M||8.57%||$5 M14.0%||13.38%|
|2017-Q3||$39 M||17.74%||$4 M11.5%||-3.46%|
|2017-Q4||$272 M||596.42%||$-138 M-50.7%||-3,167.31%|
|2018-Q1||$270 M||-0.75%||$36 M13.3%||-125.96%|
|2018-Q2||$300 M||11.13%||$43 M14.2%||19.32%|
|2018-Q3||$347 M||15.72%||$33 M9.5%||-23.05%|
|2018-Q4||$354 M||1.95%||$32 M8.9%||-4.21%|
RISE Education Cayman ownershipWhen you are planning to invest in shares of a company, it's worth to review its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For RISE Education Cayman, 6.83% of all outstanding shares are owned by its staff.
In case of RISE Education Cayman stock, 74.87% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for REDU stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to RISE Education Cayman:
|Market cap||$325.3 M|
|Total shares||56.8 M|
|Float shares||17.3 M|
|- Institutional holdings (%)||74.9%|
|- Insider holdings (%)||6.8%|
|Shares in short selling||0.0%|
|Thursday, February 27th, 2020|
|Day range||$5.70 - $6.26|
|Average true range||$0.22|
|50d mov avg||$6.66|
|100d mov avg||$7.01|
|200d mov avg||$7.88|
RISE Education Cayman performanceTo measure stock performance is always good to compare with competitors or related stocks. For RISE Education Cayman, the comparison is made against .
|REDURISE Education Ca...||-20.31%||-30.80%||-46.10%|