Wah Fu Education Group Limited (WAFU) AI Stock Analysis

Wah Fu Education Group Limited, based in Beijing, China, provides online exam preparation services and technology solutions across two primary business segments: Online Education Services and Technological Development and Operation Services. Through its Online Education Services segment, the company supplies platforms for universities, training institutions, and course developers for self-study exams, continuing education, and non-diploma training. This segment also operates the Huafu e-school system and a paperless examination platform. Under Technological Development and Operation Services, Wah Fu develops and manages online education platforms, produces course materials, and provides consulting, maintenance, and updating services to universities, government agencies, and private publishers.

Wah Fu Education Group saw annual revenue drop from $11.5M in FY2022 to $6.2M in FY2025, before ticking up 2.7% to $6.4M in FY2026. Gross margin shrank from 47.6% in FY2022 to 29.1% in FY2026. After posting net income of $743,135 in FY2022 and $905,892 in FY2023, the company reported annual losses over the next three years, concluding FY2026 with a net loss of -$1.1M and a net margin of -17.4%. For the trailing twelve months ended June 30, 2026, revenue stood at $6.4M with an operating margin of -25.6% and an EPS of -$0.25. In the latest quarter ended June 30, 2026, quarterly revenue fell 2.7% year-over-year while quarterly earnings fell 73.7%.

As of June 30, 2026, Wah Fu held $9.0M in cash and short-term investments alongside total debt of $187,935, resulting in net cash of $8.8M. The company maintains liquidity with a current ratio of 4.12, a debt-to-equity ratio of 0.02, and shareholders' equity of $10.0M against total assets of $14.4M. In FY2026, operating cash flow was -$1.4M and free cash flow was -$1.4M. Capital expenditures were $50,793 in FY2026, while the share count over five years changed by -0.7%.

At a last close of $1.48 on October 16, 2026, Wah Fu had a market capitalization of $6.5M and an enterprise value of -$1.8M. The stock traded at a price-to-sales multiple of 1.0x, above the 0.7x median of its US-listed Consumer Defensive peers. Its price-to-book ratio stood at 0.7x, while EV to revenue was 0.1x. Over the past year, WAFU shares declined 22.1%, compared to a 16.8% gain for the S&P 500 (SPY). Over five years, the stock dropped 75.4%, lagging the 83.0% gain of the benchmark index.

Wah Fu Education Group has beaten EPS estimates in 3 of the last 4 quarters. The company's next earnings date is scheduled for October 29, 2026. No analyst price targets, recommendations, or forward consensus earnings estimates are provided.

This page is an AI-written research summary of Wah Fu Education Group Limited (WAFU). 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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