Ambow Education Holding Ltd. (AMBO) AI Stock Analysis

Ambow Education Holding Ltd. offers educational and career development services and products for students, recent graduates, and corporate professionals across China. The company operates through two segments: K-12 Schools and CP&CE Programs. The K-12 Schools segment delivers K-12 schooling, tutoring services, and international programs. The CP&CE Programs segment manages tutoring centers offering classroom, small-group, and one-on-one instruction for high school and university entrance tests, as well as educational software such as eBoPo. In addition, Ambow provides career enhancement services, management training programs, and professional skill development for corporate clients, colleges, and universities.

Ambow's revenue contracted sharply from $113.2M in FY2021 and $102.4M in FY2022 to $9.2M in FY2023, reflecting a 5-year revenue CAGR of -12.4% from FY2020 to FY2025. Sales stabilized to $9.4M in FY2024 and reached $9.5M in FY2025, representing 0.9% growth. Gross margin improved from 13.6% in FY2021 to 53.1% in FY2024 and 54.8% in FY2025. Operating margin turned positive at 1.2% in FY2025, yielding net income of $1.4M and a net margin of 14.4%. Over the trailing twelve months, revenue was $9.6M with a profit margin of -2.6% and operating margin of 1.4%. In the quarter ended June 30, 2026, quarterly revenue fell 13.5% year-over-year, while quarterly earnings grew 289.5%.

As of June 30, 2026, Ambow held $7.2M in cash and short-term investments against total debt of $8.8M, resulting in net debt of $1.6M. Total assets stood at $19.2M alongside shareholders' equity of $8.6M, producing a debt-to-equity ratio of 1.02 and a current ratio of 2.44. In FY2025, the company generated $137,000 in operating cash flow, spent $987,000 on capital expenditures, and posted free cash flow of -$850,000.

Ambow carries a market cap of $5.0M and an enterprise value of $10.8M. The stock trades at a forward P/E of 2.9x, well below the 14.3x median of its US-listed Consumer Defensive peers. Its price-to-sales ratio of 0.5x is lower than the peer median of 0.7x, while its EV-to-EBITDA stands at 89.9x compared to the peer median of 11.7x. Over the past year, AMBO shares fell 56.1%, trailing the S&P 500's gain of 16.8%. Over five years, the stock dropped 87.9%, while the S&P 500 rose 83.0%.

Wall Street coverage for Ambow includes a mean price target of $55.39, which sits 3056.1% above its last close of $1.75 on October 16, 2026. The company has beaten earnings per share estimates in 2 of the last 4 quarters. Institutional investors hold 2.0% of the shares, while insider ownership is 0.0% and short interest accounts for 0.2% of float.

This page is an AI-written research summary of Ambow Education Holding Ltd. (AMBO). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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