TCTM Kids IT Education Inc. (TEDU)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
TCTM Kids IT Education Inc. (TEDU) trades at $1.13 with AI Score 47/100 (Grade C). TCTM Kids IT Education Inc. Market cap: $12.16M, Sector: Consumer defensive.
Price live · AI analysis from Mar 18, 2026Analyst Coverage for TEDU: TEDU does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates TEDU against Consumer Defensive peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
TEDU: the 1 perspectives are evenly split.
How is this calculated? →TCTM Kids IT Education Inc. (TEDU) Consumer Business Overview
TCTM Kids IT Education Inc. delivers IT and non-IT education programs in China, targeting both adults and children with a blended learning model. Formerly Tarena International, the company leverages live distance instruction, classroom-based tutoring, and online modules to serve a diverse student base in a competitive education market.
What Is the Investment Thesis for TEDU?
TCTM Kids IT Education Inc. operates in the Chinese education market, which presents both opportunities and challenges. With a market capitalization of $12.16M and a negative P/E ratio of -0.02, the company's financial performance warrants careful consideration. A gross margin of 40.4% indicates some pricing power, but a negative profit margin of -69.8% raises concerns about profitability and operational efficiency. Key catalysts include expansion of their online learning platform and strategic partnerships to broaden course offerings. Potential risks include regulatory changes in the Chinese education sector and intense competition from other education providers. Investors should closely monitor the company's ability to improve profitability and navigate the evolving regulatory landscape.
Based on FMP financials and quantitative analysis
TEDU Key Highlights
- Market Cap of $12.16M indicates a small-cap company with potential for growth but also higher risk.
- P/E ratio of -0.02 reflects current losses, requiring scrutiny of future profitability prospects.
- Gross Margin of 40.4% suggests a reasonable level of efficiency in delivering educational services.
- Profit Margin of -69.8% highlights significant challenges in achieving profitability.
- Beta of -0.46 indicates a low correlation with the market, potentially offering some downside protection during market downturns.
Who Are TEDU's Competitors?
TEDU is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| AIU Meta Data Limited | $0.61 | +2.50% | $37.56M | 64 |
| APPH AppHarvest, Inc. | $0.07 | -16.02% | $10.33M | 53 |
| BRSH Bruush Oral Care Inc. | $0.09 | +14.67% | $8.68M | 46 |
| GEHI Gravitas Education Holdings, Inc. | $13.23 | +5.78% | $18.25M | 38 |
| PRDO Perdoceo Education Corporation | $34.43 | +3.55% | $2.16B | 62 |
| TAL TAL Education Group | $9.89 | +0.87% | $6.02B | 62 |
| GOTU Gaotu Techedu Inc. | $1.75 | -0.29% | $632.99M | 60 |
| ARCE Arco Platform Limited | $13.98 | -0.07% | $927.43M | 58 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TEDU's Key Strengths?
- Diverse range of educational programs for adults and children.
- Blended learning model combining online and offline instruction.
- Established presence in the Chinese education market.
- Proprietary educational content and teaching methodologies.
What Are TEDU's Weaknesses?
- Negative profit margin indicates financial challenges.
- Reliance on the Chinese market exposes the company to regulatory risks.
- Intense competition from other education providers.
- Limited brand recognition outside of China.
What Could Drive TEDU Stock Higher?
- Expansion of online learning platform to cater to a wider audience by Q4 2026.
- Strategic partnerships with universities and technology companies to enhance course offerings.
- Focus on STEM education programs to capitalize on the growing demand for these skills.
- Geographic expansion to other countries in Asia by 2028, starting with pilot programs in Southeast Asia.
What Are the Key Risks for TEDU?
- Financial-distress signal — its Altman Z-Score of -3.16 sits in the distress zone (elevated bankruptcy risk).
- Changes in government regulations affecting the education sector in China.
- Intense competition from domestic and international education providers.
- Economic slowdown in China impacting consumer spending on education.
- Technological disruptions in the education industry.
- Negative profit margin indicates financial challenges and potential liquidity issues.
What Are the Growth Opportunities for TEDU?
- Expansion of Online Learning Platform: TCTM Kids IT Education Inc. can capitalize on the growing demand for online education by expanding its online learning platform. This includes developing new online courses, enhancing the user experience, and leveraging technology to improve learning outcomes. The global e-learning market is projected to reach $325 billion by 2025, presenting a significant opportunity for the company to increase its market share. Timeline: Ongoing.
- Strategic Partnerships: Forming strategic partnerships with universities, vocational schools, and technology companies can enhance TCTM Kids IT Education Inc.'s course offerings and expand its reach. These partnerships can provide access to new markets, expertise, and resources, enabling the company to offer more comprehensive and relevant educational programs. The partnerships can also help the company to stay ahead of the competition and adapt to changing market needs. Timeline: Ongoing.
- Focus on STEM Education: With the increasing demand for STEM skills, TCTM Kids IT Education Inc. can focus on expanding its STEM education programs, including computer coding, robotics programming, and data science. These programs can attract a large number of students and generate significant revenue. The STEM education market is projected to grow at a CAGR of 10% over the next five years, presenting a significant growth opportunity for the company. Timeline: Ongoing.
- Geographic Expansion: TCTM Kids IT Education Inc. can expand its geographic reach by opening new learning centers in underserved areas of China. This can help the company to reach a larger number of students and increase its revenue. The company can also explore opportunities to expand its operations to other countries in Asia, such as India and Southeast Asia. Timeline: 2027-2030.
- Development of Proprietary Content: Investing in the development of proprietary educational content can differentiate TCTM Kids IT Education Inc. from its competitors and attract more students. This content can be tailored to the specific needs of the Chinese market and can incorporate innovative teaching methods and technologies. The company can also license its proprietary content to other education providers, generating additional revenue. Timeline: Ongoing.
What Opportunities Does TEDU Have?
- Expansion of online learning platform to reach a wider audience.
- Strategic partnerships with universities and technology companies.
- Growing demand for STEM education in China.
- Geographic expansion to other countries in Asia.
What Threats Does TEDU Face?
- Changes in government regulations affecting the education sector.
- Increased competition from domestic and international education providers.
- Economic slowdown in China impacting consumer spending on education.
- Technological disruptions in the education industry.
What Are TEDU's Competitive Advantages?
- Established presence in the Chinese education market.
- Blended learning model provides flexibility and accessibility for students.
- Diverse range of courses catering to both adults and children.
- Proprietary educational content and teaching methodologies.
What Does TEDU Do?
Founded in 2002 and headquartered in Beijing, TCTM Kids IT Education Inc., formerly known as Tarena International, has evolved into a provider of diverse educational services in the People's Republic of China. The company's core business revolves around delivering adult professional education and childhood/adolescent quality education programs. Its education platform integrates live distance instruction, traditional classroom-based tutoring, and interactive online learning modules to cater to a broad spectrum of learners. TCTM Kids IT Education Inc. offers adult professional education courses spanning both IT and non-IT fields, equipping individuals with skills relevant to the modern workforce. Simultaneously, the company provides childhood and adolescent quality education programs, including specialized courses in computer coding and robotics programming. These programs are designed for students aged three to eighteen, fostering early interest and competence in technology-related disciplines. The company rebranded in February 2024 to reflect its strategic focus on childhood education.
What Products and Services Does TEDU Offer?
- Provides adult professional education courses in IT and non-IT subjects.
- Offers childhood and adolescent quality education programs.
- Delivers computer coding and robotics programming courses for students aged 3-18.
- Operates an education platform combining live distance instruction.
- Offers classroom-based tutoring.
- Provides online learning modules.
- Focuses on the education market in the People's Republic of China.
How Does TEDU Make Money?
- Generates revenue through tuition fees from adult professional education courses.
- Earns revenue from childhood and adolescent quality education programs.
- Utilizes a blended learning model combining online and offline instruction.
- Focuses on both IT and non-IT related educational services.
What Industry Does TEDU Operate In?
TCTM Kids IT Education Inc. operates within the competitive education and training services industry in China. The market is characterized by increasing demand for both adult professional education and childhood/adolescent quality education, particularly in technology-related fields. Key trends include the growing adoption of online learning platforms and the emphasis on STEM education. The company competes with various domestic and international education providers, requiring continuous innovation and adaptation to evolving market needs and regulatory changes. The industry is subject to government policies and regulations that can significantly impact operations and growth prospects.
Who Are TEDU's Key Customers?
- Adult professionals seeking to enhance their skills and career prospects.
- Children and adolescents aged 3-18 interested in computer coding and robotics programming.
- Parents looking for quality education programs for their children.
- Individuals seeking IT and non-IT related education in China.
Company Profile
TCTM Kids IT Education Inc. operates in the Education & Training Services industry within the Consumer Defensive sector. It is headquartered in Beijing, CN. The company is led by CEO Xiaolan Tang. TEDU has traded publicly since 2014.
How TCTM Kids IT Education Inc. Is Valued
TCTM Kids IT Education Inc. carries a market capitalization of $12.16M, placing it in the micro-cap category. Relative to its peer group, TEDU's quantitative score of 47/100 is roughly in line with the peer average of 53/100.
ROE 14%Key Financial Metrics
Return on equity for TCTM Kids IT Education Inc. stands at 14.4%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.9%, showing how much profit it generates from its asset base. TEDU trades at a trailing price-to-earnings ratio of 9.63, below the Consumer Defensive sector average of ~29x. Its free cash flow yield is 0.0%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.00 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 10.4%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 5/9Financial Health
TCTM Kids IT Education Inc.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of -3.16 places it in the distress zone, a signal of elevated financial risk.
TEDU Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis
Bull Case vs Bear Case
Bull Case
- Diverse range of educational programs for adults and children.
- Blended learning model combining online and offline instruction.
- Established presence in the Chinese education market.
- Proprietary educational content and teaching methodologies.
Bear Case
- Negative profit margin indicates financial challenges.
- Reliance on the Chinese market exposes the company to regulatory risks.
- Intense competition from other education providers.
- Limited brand recognition outside of China.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · July 2026
TEDU Latest News
No recent news available for TEDU.
TEDU Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TEDU.
Price Targets
Wall Street price target analysis for TEDU.
TEDU MoonshotScore
What does this score mean?
The MoonshotScore rates TEDU's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Classification
Industry Education & Training ServicesLeadership: Xiaolan Tang
CEO
Xiaolan Tang serves as the CEO of TCTM Kids IT Education Inc., leading a workforce of 5385 employees. Information on Xiaolan Tang's prior experience and educational background is not available in the provided data. As CEO, Xiaolan Tang is responsible for the strategic direction and overall performance of the company, guiding its operations in the competitive Chinese education market.
Track Record: Due to limited information, Xiaolan Tang's specific achievements and strategic decisions at TCTM Kids IT Education Inc. cannot be assessed. The impact of their leadership on company milestones and financial performance remains unknown based on the available data.
TCTM Kids IT Education Inc. ADR Information Sponsored
An American Depositary Receipt (ADR) is a certificate representing shares of a foreign company trading on U.S. stock exchanges. For TCTM Kids IT Education Inc. (TEDU), each ADR represents a certain number of shares held in custody in its home market, China. This allows U.S. investors to easily invest in TEDU without dealing with foreign exchanges.
- Home Market Ticker: Primary stock exchange is in Beijing, China.
- ADR Level: 2
- ADR Ratio: 1:1
TEDU Consumer Defensive Stock FAQ
What does TCTM Kids IT Education Inc. do?
TCTM Kids IT Education Inc. operates as an education provider in China, offering both adult professional education and childhood/adolescent quality education programs. The company's platform combines live distance instruction, classroom-based tutoring, and online learning modules to deliver a blended learning experience. It focuses on IT and non-IT subjects for adults, and computer coding and robotics programming for children aged 3-18, catering to a wide range of educational needs in the Chinese market.
What do analysts say about TEDU stock?
Analyst coverage of TCTM Kids IT Education Inc. (TEDU) is limited, given its small market capitalization and negative profitability. Key valuation metrics, such as the negative P/E ratio, reflect the company's current losses. Growth considerations revolve around the company's ability to expand its online learning platform, form strategic partnerships, and capitalize on the demand for STEM education. Investors should closely monitor the company's financial performance and regulatory developments in the Chinese education sector.
What are the main risks for TEDU?
TCTM Kids IT Education Inc. faces several risks, including regulatory changes in the Chinese education sector, intense competition from other education providers, and the potential for an economic slowdown in China impacting consumer spending on education. The company's negative profit margin also poses a significant risk, raising concerns about its financial sustainability. Additionally, technological disruptions in the education industry could require the company to adapt its business model and offerings.
What are the key factors to evaluate for TEDU?
TCTM Kids IT Education Inc. (TEDU) holds an AI score of 47/100 (low). Not financial advice.
How frequently does TEDU data refresh on this page?
TEDU prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven TEDU's recent stock price performance?
TCTM Kids IT Education Inc. (TEDU) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Diverse range of educational programs for adults and children. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TEDU overvalued or undervalued right now?
Valuing TCTM Kids IT Education Inc. (TEDU) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying TEDU?
Before investing in TCTM Kids IT Education Inc. (TEDU), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Limited analyst coverage impacts the depth of available insights.
- Financial data is based on the most recent filings and may not reflect current performance.
- The Chinese education market is subject to regulatory changes that could impact the company's operations.