Ambow Education Valuation

AMBO Stock  USD 2.63  0.07  2.73%   
Based on Macroaxis valuation methodology, the firm appears to be fairly valued. Ambow Education Holding shows a prevailing Real Value of $2.52 per share. The current price of the firm is $2.63. Our model approximates the value of Ambow Education Holding from analyzing the firm fundamentals such as return on equity of 0.26, and Profit Margin of 0.20 % as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
2.63
Please note that Ambow Education's price fluctuation is very risky at this time. Calculation of the real value of Ambow Education Holding is based on 3 months time horizon. Increasing Ambow Education's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Ambow Education is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Ambow Stock. However, Ambow Education's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  2.63 Real  2.52 Hype  2.63 Naive  2.37
The intrinsic value of Ambow Education's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Ambow Education's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
2.52
Real Value
7.65
Upside
Estimating the potential upside or downside of Ambow Education Holding helps investors to forecast how Ambow stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Ambow Education more accurately as focusing exclusively on Ambow Education's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
2.562.793.01
Details
Hype
Prediction
LowEstimatedHigh
0.132.637.76
Details
Naive
Forecast
LowNext ValueHigh
0.052.377.49
Details

About Ambow Education Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Ambow Education Holding. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Ambow Education Holding based exclusively on its fundamental and basic technical indicators. By analyzing Ambow Education's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Ambow Education's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ambow Education. We calculate exposure to Ambow Education's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Ambow Education's related companies.
Ambow Education Holding Ltd. provides a range of educational and career enhancement services and products to students, recent graduates, and corporate employees and management professionals in the Peoples Republic of China. The company was founded in 2000 and is headquartered in Beijing, the Peoples Republic of China. Ambow Education operates under Education Training Services classification in the United States and is traded on AMEX Exchange. It employs 1088 people.

Ambow Education Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding142.8 K
Quarterly Earnings Growth Y O Y13.431
When determining whether Ambow Education Holding offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Ambow Education's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Ambow Education Holding Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ambow Education Holding Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Ambow Education Holding. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as various price indices.
You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Will Stock sector continue expanding? Could Ambow diversify its offerings? Factors like these will boost the valuation of Ambow Education. If investors know Ambow will grow in the future, the company's valuation will be higher. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Ambow Education data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Ambow Education Holding's market price often diverges from its book value, the accounting figure shown on Ambow's balance sheet. Smart investors calculate Ambow Education's intrinsic value—its true economic worth—which may differ significantly from both market price and book value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Since Ambow Education's trading price responds to investor sentiment, macroeconomic conditions, and market psychology, it can swing far from fundamental value.
Understanding that Ambow Education's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Ambow Education represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. However, Ambow Education's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.