The company retains a Market Volatility (i.e., Beta) of 1.6581, which attests to a somewhat significant risk relative to the market. Let's try to break down what Gaotu's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Gaotu Techedu will likely underperform. Even though it is essential to pay attention to
Gaotu Techedu current price history, it is always good to be careful when utilizing equity current price movements. Our philosophy towards determining any stock's
future performance is to check both, its past performance charts as well as the business as a whole, including all available
technical indicators. Gaotu Techedu exposes twenty-six different technical indicators, which can help you to evaluate its performance.
Gaotu Techedu has an expected return of -0.0509%. Please be advised to check out Gaotu Techedu
information ratio,
value at risk, as well as the
relationship between the Value At Risk and
kurtosis to decide if
Gaotu Techedu performance from the past will be repeated at some point in the near future.
What is the right price you would pay to acquire a share of Gaotu Techedu? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the
future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our
stock advisor page.
What is happening with Gaotu Techedu DRC this year
Annual and quarterly reports issued by Gaotu Techedu DRC are formal
financial statements that are published yearly and quarterly and sent to Gaotu stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the
Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Gaotu Techedu often view their annual report as an effective marketing tool to disseminate their perspective on company
future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.
Gaotu Techedu Gross Profit
Gaotu Techedu Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Gaotu Techedu previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Gaotu Techedu Gross Profit growth over the last 10 years. Please check Gaotu Techedu's
gross profit and other
fundamental indicators for more details.
Detailed Perspective On Gaotu Techedu
Average experts consensus on Gaotu Techedu has changed. Currently, most analysts have less confidence in the entity as compared to a month ago. The current buy or sell recommendation of 3 analysts is Strong Sell.
Is Gaotu a risky opportunity?
Let's check the volatility. Gaotu is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Gaotu (NYSE:GOTU) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. acquiring a share of a Gaotu Techedu stock makes you a part-owner of that company.
Gaotu Techedu Current Consensus
Here is the newest trade recommendation based on an ongoing consensus estimate among financial analysis covering Gaotu Techedu. The Gaotu consensus assessment is calculated by taking the average estimates from all of the analysts covering Gaotu Techedu
| Strong Buy | 0 | 0.0 |
| Buy | 0 | 0.0 |
| Hold | 1 | 33.33 |
| Sell | 0 | 0.0 |
| Strong Sell | 2 | 66.67 |
Can Gaotu Techedu build up on the newest gain?
Maximum drawdown is down to 42.06. It may call for a possible volatility drop. Gaotu Techedu is displaying above-average volatility over the selected time horizon. Investors should scrutinize Gaotu Techedu independently to ensure intended market timing strategies are aligned with expectations about Gaotu Techedu volatility. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Gaotu Techedu's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Gaotu Techedu's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Gaotu Techedu Implied Volatility
Gaotu Techedu's implied volatility exposes the market's sentiment of Gaotu Techedu stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Gaotu Techedu's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Gaotu Techedu stock will not fluctuate a lot when Gaotu Techedu's options are near their expiration.
Whereas many of the other players under the education & training services industry are still a bit expensive, Gaotu Techedu may offer a potential longer-term growth to private investors. To conclude, as of the 27th of May 2022, we see that Gaotu Techedu actively responds to the market. The firm is
undervalued with
above average chance of financial distress within the next 24 months. However, our up-to-date 90 days advice on the firm is
Strong Sell.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Gaotu Techedu DRC. Please refer to our
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