GOTUGaotu Techedu Inc.

$2.71-14% 1Y

Is the business good?

Mixed

Margins steady. That is the only one of 4 checks this filer's data supports, so take it as a single data point rather than a settled answer.

1 neutral, 3 without data
Margin direction, 3 yearsStablederived

Margins have held roughly steady, a stable cost structure.

Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.

How good a business is GOTU?

Gaotu Techedu Inc. keeps −8.2% of every revenue dollar as operating profit, against 13% for the median Education & Training Services name.

−8.2%

Operating margin · Education & Training Services median 13% · fiscal year to FY2025

Share count, year on year
−4.8%

Share count, year on year · bought back, each share owns more of the company

R&D as % of revenue
10%

R&D as % of revenue

Gross margin
67%

Gross margin

Operating margin by fiscal year
YearOperating margin
FY2020−25%
FY2021−48%
FY2022−4.7%
FY2023−5.0%
FY2024−26%
FY2025−8.2%
Details›
Gross marginfiscal year to FY2025
67%
Operating marginfiscal year to FY2025
−8.2%
Net marginfiscal year to FY2025
−5.3%
Free cash flow margin
4.0%
R&D as % of revenue
10%
Revenue, trailing twelve months
$6.15B
Free cash flow, trailing twelve months
$247M
Net income, trailing twelve months
−$323M

Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.