Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
In this section, we usually try to help investors determine whether Educomp Solutions is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Educomp Solutions has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.
This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis. You can see them here.
Show me the analysis anyway
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Educomp Solutions. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Educomp Solutions's earnings available for a low price, and how does
this compare to other companies in the same industry?
Unable to compare the PB ratio to the industry average as no data exists.
Examine Educomp Solutions's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Educomp Solutions's regulatory filings and announcements.
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Educomp Solutions has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Consumer Services industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Educomp Solutions's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Educomp Solutions's earnings growth to the India market average as no estimate data is available.
Unable to compare Educomp Solutions's revenue growth to the India market average as no estimate data is available.
Unable to determine if Educomp Solutions is high growth as no earnings estimate data is available.
Unable to determine if Educomp Solutions is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
NSEI:EDUCOMP Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions)
Net Income *
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
Unable to establish if Educomp Solutions has efficiently used shareholders’ funds last year as no Return on Equity data is available.
Unable to establish if Educomp Solutions has efficiently used its assets last year compared to the IN Consumer Services industry average (Return on Assets) as past financial data has not been reported.
Unable to establish if Educomp Solutions improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
Educomp Solutions's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
In this section we usually analyse Educomp Solutions's finance health to determine how well-positioned it is against times of financial distress, in particular, its ability to manage its cash and debt levels. Educomp Solutions has not provided adequate balance sheet data, its financial health cannot be properly assessed as it.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have financial information. You can see them here.
Show me the analysis anyway
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Educomp Solutions's finances.
The net worth of a company is the difference between its assets and liabilities.
Unable to compare short term assets to short term liabilities as Educomp Solutions has not reported sufficient balance sheet data.
Unable to establish if Educomp Solutions's long term commitments exceed its cash and other short term assets as Educomp Solutions has not reported sufficient balance sheet data.
This treemap shows a more detailed breakdown of
Educomp Solutions's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Unable to establish if Educomp Solutions has a high level of physical assets or inventory without balance sheet data.
Educomp Solutions has no debt, it does not need to be covered by short term assets.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
All data from Educomp Solutions Company Filings, last reported 2 years ago.
NSEI:EDUCOMP Past Debt and Equity Data
Date (Data in INR Millions)
Cash & Short Term Investments
Educomp Solutions has no debt.
Educomp Solutions currently has no debt however we can't compare to 5 years ago as we have no data for that period.
Educomp Solutions has no debt, it does not need to be covered by operating cash flow.
Educomp Solutions has no debt, therefore coverage of interest payments is not a concern.
Take a look at our analysis of EDUCOMP’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
Investors tend to look at the financial health of a company this size in order to assess the sustainability of its current operations. Educomp Solutions's cash and debt levels may be found in its annual reports archived here.
Financial health is measured at one point in time, so the latest financial report is the best representation of the company’s current financial status. Check when Educomp Solutions's financial data was last updated here.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
Mr. Shantanu Prakash founded Educomp Solutions Limited in 1994 and serves as its Managing Director. Mr. Prakash is the Co-founder of Lakshya Digital Pvt Ltd. and serves as its Chairman. He serves as the Chairman of ThreeBriX E-Services Pvt. Limited. He founded Edumatics Corporation USA in 2001. Mr. Prakash is the Founder and Managing Trustee of the Learning Leadership Foundation (LLF). He serves as the Chairman of Educomp Solutions Limited. He also serves as a Director at Educomp Learning Private Limited. He is a charter member of TiE (The Indus Entrepreneurs), an organisation that connects entrepreneurs. He has a B.Com (Hons), SRCC and an MBA from the Indian Institute of Management, Ahmedabad.
Insufficient data for Shantanu to compare compensation growth.
Shantanu's remuneration is lower than average for companies of similar size in India.
Chief Financial Officer and Head of Finance & Accounts
Whole Time Director
Chief Operating Officer of Smartclass
President of Professioanl Development
Vice President of Procurement & Supply Chain
Vice President of Schools Solutions Group
State Business Head of Schools Solutions Group
Board of Directors
Whole Time Director
Independent Non-Executive Director
Who owns this company?
Recent Insider Trading
No 3 month open market individual insider trading information.
What Does Educomp Solutions Limited's (NSE:EDUCOMP) Ownership Structure Look Like?
In this article, I'm going to take a look at Educomp Solutions Limited’s (NSE:EDUCOMP) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … Ownership structure has been found to have an impact on shareholder returns in both short- and long-term. … Check out our latest analysis for Educomp Solutions
When Educomp Solutions Limited's (NSEI:EDUCOMP) announced its latest earnings (31 March 2016), I wanted to understand how these figures stacked up against its past performance. … The two benchmarks I used were Educomp Solutions's average earnings over the past couple of years, and its industry performance. … See our latest analysis for Educomp Solutions How Did EDUCOMP's Recent Performance Stack Up Against Its Past?
Was Educomp Solutions Limited's (NSE:EDUCOMP) Earnings Growth Better Than The Industry's?
Investors may find my commentary, albeit very high-level and brief, on Educomp Solutions Limited (NSEI:EDUCOMP) useful as an attempt to give more color around how Educomp Solutions is currently performing. … For Educomp Solutions, its most recent trailing-twelve-month earnings is -₹4,472.7M, which, relative to the prior year's figure, has become less negative. … This means even though Educomp Solutions is currently loss-making, any near-term headwind the industry is facing, the impact on Educomp Solutions has been softer relative to its peers.What does this mean?
Educomp Solutions Limited provides education solutions primarily in India. It operates through four segments: Higher Learning Solutions; School Learning Solutions; K-12 Schools; and Online, Supplemental & Global Business. The company offers Educomp smartclass, a repository of digital content across subjects from kindergarten to grade 12; English Mentor, a solution for English language learning and improvement; 3D lab for virtual learning; Educomp Insight, a solution for students’ counseling, evaluation, and assessment; and Educomp SmartSchool, a SmartLearning suite of products for schools, as well as smartclassonline, an e-learning platform, and E-DAC books. It also provides Educomp UniClass, a repository of digital curriculum; smartclassPro, a digital learning solution; and Educomp smartstem, a teaching tool that focuses on mathematics, physics, chemistry, and biology, as well as League INDIA practices for school operations. In addition, the company offers Genius Box, a library of activity kits with educational toys, games, and learning tools for children of two to eight years; Vidyamandir Classes for teaching and guiding students for IITs exams; and Mathguru, a repository of math problems and their solutions. Further, it provides Edureach educational programs that involve education infrastructure implementation, teacher training, and content development projects, as well as conducts employment linked vocational courses in partnership with government entities in schools. Additionally, the company operates 350 Little Millennium pre-schools, 45 brick and mortar K12 schools, and 63 Test Prep centers. It operates chains of Schools under the brands of The Millennium Schools, Takshila Schools, and Universal Academy Schools. The company was founded in 1994 and is based in Gurgaon, India.
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