Wisdom Education International Holdings (P Chip)

Wisdom Education International Holdings Co Ltd. Wisdom Education International Holdings Company Limited is an education company in South China operating primary and secondary schools. Along with the People's Republic of China educational programs, the Company provides international programs for its high school students. The Company offers a range of school-based elective courses, including courses for sports, art, music and Chinese culture. The Company operates approximately five private schools on over four campuses, including approximately four schools located in Guangdong province in the Pearl River Delta economic zone and a school located in Liaoning province in the Northeast Three Provinces economic zone. The Company's schools have a total student enrolment of approximately 27,640. The Company's schools include Dongguan Guangming School, Dongguan Guangming Primary School, Dongguan Guangzheng Preparatory School, Huizhou Guangzheng Preparatory School and Panjin Guangzheng Preparatory School.
  • Ticker6068
  • ISINKYG972281037
  • ExchangeHong Kong Stock Exchange
  • SectorGeneral Retailers
  • CountryCayman Islands

Analysts

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - Online K12 AST regulations have minimal impact on leading K12 AST players.

The long anticipated online K12 regulations have finally been announced, and remove some of the regulatory overhang on the K12 AST segment. We view the regulations as mildly negative as rules on teaching hours and prepaid fee collection are slightly more stringent than offline K12 AST. Similar to management guidance, we think both leading K12 AST players will be able to meet regulatory requirements and expect strong results to be announced next week. Excluding the post-K12 segment in the education sector, we prefer EDU over TAL. Maintain OVERWEIGHT.

UOB
Julia Pan Mengyao

Education - Investors still positive on China’s education sector on solid demand.

On our recent marketing trip, investors agreed that the fundamental growth of education companies remains unchanged. However, the major concerns are the uncertainties ahead of the launch of the final draft of the Private Education Promotion Law. Our top picks are Minsheng and New Oriental. Maintain OVERWEIGHT on the sector.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - Opportunity to accumulate amid policy uncertainty.

We think recent developments in vocational education are encouraging. The anticipated upgrade of Nanchang Vocational College to university status supports management’s expectation of 20-23% yoy enrolment growth in vocational education, which represents 20% of total enrolment in 2018. However, investors are concerned about the ever-pending finalisation of the private education promotion law which we believe has less impact on the post-K12 segment. Our top picks remain Minsheng and EDU. Maintain OVERWEIGHT.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

WISDOM EDUCATION (6068 HK): 3-page Update - Price = US$250:-

* HIGHLIGHTS: UOB Kay Hian published this update on Wisdom Education International Holdings (6068 HK) on 26th April to review the 2018 results and assess the outlook for 2019-2020. This company update, which contains an actionable investment idea, can be purchased today for US$250. In 1HFY19 net profit increased 33.1% yoy to Rmb193.0m. In the next 2 – 3 years, Wisdom Education targets to triple its current enrolment in 2-3 years to about 135,000 students. Our 5-page company update (including the 2-page disclaimer) contains forecasts for 2019, 2020 and 2021 for the Wisdom’s key data, including ...

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Wisdom Education International Holdings - 1HFY19: Results in line; ambitious target for enrolment growth, upgrade to BUY.

Revenue grew 41.1% yoy to Rmb835.6m, representing about 49% of our FY19 estimate. Net profit increased 33.1% yoy to Rmb193.0m. Excluding amortisation of intangible assets and theoretical interest costs from convertible loans (Rmb10m) and others, adjusted net profit increased 33.0% yoy to Rmb216.4m, in line with our and consensus estimates. Upgrade to BUY with a higher target price of HK$5.00.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

WISDOM EDUCATION (6068 HK): 3-page Update - Price = US$250:-

* HIGHLIGHTS: UOB Kay Hian published this update on Wisdom Education International Holdings (6068 HK) on 26th April to review the 2018 results and assess the outlook for 2019-2020. This company update, which contains an actionable investment idea, can be purchased today for US$250. In 1HFY19 net profit increased 33.1% yoy to Rmb193.0m. In the next 2 – 3 years, Wisdom Education targets to triple its current enrolment in 2-3 years to about 135,000 students. Our 5-page company update (including the 2-page disclaimer) contains forecasts for 2019, 2020 and 2021 for the Wisdom’s key data, including ...

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Wisdom Education International Holdings - 1HFY19: Results in line; ambitious target for enrolment growth, upgrade to BUY.

Revenue grew 41.1% yoy to Rmb835.6m, representing about 49% of our FY19 estimate. Net profit increased 33.1% yoy to Rmb193.0m. Excluding amortisation of intangible assets and theoretical interest costs from convertible loans (Rmb10m) and others, adjusted net profit increased 33.0% yoy to Rmb216.4m, in line with our and consensus estimates. Upgrade to BUY with a higher target price of HK$5.00.

UOB
Carol Dou Xiao Qin ...
  • Chaiwat Arsirawichai
  • Charles Wong Kok Min
  • John Cheong Ming Chern
  • Joohijit Kaur Jaztar Singh
  • Julia Pan Mengyao
  • Keith Wee Teck Keong
  • Kowit Pongwinyoo
  • Leow Huey Chuen
  • Malaysia Research Team
  • Michael Cheung Ho Bun
  • Napat Vorajanyavong
  • Raphon Prima
  • Tanaporn Visaruthaphong

Regional Morning Notes - Friday, April 26, 2019

CHINA Sector Healthcare: GPO spillover effect appears in more provinces. Results Baoshan Iron & Steel (600019 CH/BUY/Rmb7.23/Target: Rmb8.10): 2018: Strong results, in line; challenging year ahead. TAL Education Group (TAL US/BUY/US$34.42/Target: US$43.00): 4QFY19: Earnings beat on operating leverage; diversified revenue streams. Wisdom Education International Holdings (6068 HK/BUY/HK$4.35/Target: HK$5.00): 1HFY19: Results in line; ambitious target for enrolment growth, upgrade to BUY. Update China Molybdenum (3993 HK/HOLD/HK$3.16/Target: HK$3.08): 1Q19 profit warning on weaker copper and co...

1 director bought

A director at Wisdom Ed Intl Hldgs Co Ltd bought 1,000,000 shares at 4.835HKD and the significance rating of the trade was 67/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly showing Close periods where trading activity is restricted under listing rules. T...

UOB
Carol Dou Xiao Qin ...
  • Charles Wong Kok Min
  • Joyce Chan Pui Lai
  • Julia Pan Mengyao
  • Michael Cheung Ho Bun
  • Neo Chen Wentao
  • Sandra Huang Jieqiong

Greater China Daily: Friday, April, 26, 2019

KEY HIGHLIGHTS CHINA Sector Healthcare GPO spillover effect appears in more provinces. Results Baoshan Iron & Steel (600019 CH/BUY/Rmb7.23/Target: Rmb8.10) 2018: Strong results, in line; challenging year ahead. TAL Education Group (TAL US/BUY/US$34.42/Target: US$43.00) 4QFY19: Earnings beat on operating leverage; diversified revenue streams. Wisdom Education International Holdings (6068 HK/BUY/HK$4.35/Target: HK$5.00) 1HFY19: Results in line; ambitious target for enrolment growth, upgrade to BUY. Update China Molybdenum (3993 HK/HOLD/HK$3.16/Target: HK$3.08) 1Q19 profit warning on ...

UOB
Charles Wong Kok Min ...
  • Joyce Chan Pui Lai
  • K Ajith

Greater China Daily: Monday, April, 8, 2019

KEY HIGHLIGHTS CHINA Sector Aviation Cut in civil aviation development fees likely to boost airlines’ pricing and potentially lead to cost savings. TRADERS’ CORNER Maple Leaf Education (1317 HK): Trading Buy Range Wisdom Education (6068 HK): Trading Buy Range

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - Online K12 AST regulations have minimal impact on leading K12 AST players.

The long anticipated online K12 regulations have finally been announced, and remove some of the regulatory overhang on the K12 AST segment. We view the regulations as mildly negative as rules on teaching hours and prepaid fee collection are slightly more stringent than offline K12 AST. Similar to management guidance, we think both leading K12 AST players will be able to meet regulatory requirements and expect strong results to be announced next week. Excluding the post-K12 segment in the education sector, we prefer EDU over TAL. Maintain OVERWEIGHT.

UOB
Julia Pan Mengyao

Education - Investors still positive on China’s education sector on solid demand.

On our recent marketing trip, investors agreed that the fundamental growth of education companies remains unchanged. However, the major concerns are the uncertainties ahead of the launch of the final draft of the Private Education Promotion Law. Our top picks are Minsheng and New Oriental. Maintain OVERWEIGHT on the sector.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - Opportunity to accumulate amid policy uncertainty.

We think recent developments in vocational education are encouraging. The anticipated upgrade of Nanchang Vocational College to university status supports management’s expectation of 20-23% yoy enrolment growth in vocational education, which represents 20% of total enrolment in 2018. However, investors are concerned about the ever-pending finalisation of the private education promotion law which we believe has less impact on the post-K12 segment. Our top picks remain Minsheng and EDU. Maintain OVERWEIGHT.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - 2018 results wrap-up.

Major post-K12 operators reported in-line results for 2018 although gross margins were weak due to M&A activities. K12 AST players beat bottom-line estimates on the back of operating leverage from slower expansion of learning centres. For 2019, we expect stronger organic growth and further market consolidation for post-K12 operators and continued operating margin recovery for K12 AST players. We prefer EDU and Minsheng in their respective segments. Maintain OVERWEIGHT.

UOB
Charles Wong Kok Min ...
  • Julia Pan Mengyao

Education - Tight regulations behind K12 AST, maintain OVERWEIGHT.

EDU and TAL will report their quarterly earnings on 23 April and 25 April respectively. We think both players may outperform consensus estimates as EDU management has guided that its K12 AST revenue growth was strong at 45-50% yoy and operating margin would turn around. For TAL, we roll valuation to FY20 and upgrade TAL to BUY with a higher target price of US$43.00. Top picks are EDU and Minsheng Education for their relatively cheap valuations among peers. Maintain OVERWEIGHT.

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