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EDTK:NASDAQSkillful Craftsman Education Technology Limited Analysis

Data as of 2026-06-12 - not real-time

$0.99

Latest Price

7/10Risk

Risk Level: Medium

Executive Summary

Skillful Craftsman Education Technology Limited is trading at $0.988, barely above its computed support level of $0.95, while the 20‑day SMA (0.99) sits just below the current price, indicating a narrow technical cushion. The RSI of 48 suggests the stock is neither overbought nor oversold, yet the MACD histogram remains negative and the signal is flagged as bearish, pointing to modest downside momentum. Volatility is elevated at roughly 20% over the past 30 days and beta is negative (-0.22), implying the stock moves opposite to the broader market and may experience sharp swings. Fundamentally, the company reports zero revenue growth, a gross margin of 78%, but an operating margin of –152% and negative free cash flow exceeding $1.4 M, while its debt‑to‑equity ratio is over 8, highlighting severe financial strain.
No substantive news has emerged beyond routine price listings, leaving investors without fresh catalysts; combined with a high price‑to‑sales multiple (≈17.6) and a lack of earnings, the equity appears overvalued relative to its distressed fundamentals, and the outlook remains uncertain across all horizons.

Market Outlook

Short Term

< 1 year
Cautious
Model confidence: 7/10

Key Factors

  • Price flirting with support and bearish MACD
  • Elevated short‑term volatility
  • Weak balance sheet with high leverage

Medium Term

1–3 years
Neutral
Model confidence: 5/10

Key Factors

  • Neutral trend direction but no clear upside catalyst
  • Potential for regulatory changes in Chinese education sector
  • Continued cash‑flow deficits limiting operational recovery

Long Term

> 3 years
Neutral
Model confidence: 4/10

Key Factors

  • Fundamental restructuring would be required for a turnaround
  • Long‑term exposure to Chinese policy environment
  • Absence of dividend and earnings growth prospects

Key Metrics & Analysis

Financial Health

ROE-7.88%
ROA-3.43%
Debt/Equity8.18
P/B Ratio1.2
Op. Cash Flow$-4379629
Free Cash Flow$-1461544

Technical Analysis

TrendNeutral
RSI48.0
Support$0.95
Resistance$1.07
MA 20$0.99
MA 50$1.00
MA 200$1.00
MACDBearish
VolumeIncreasing
Fear & Greed Index86.71

Valuation

GradeOvervalued
TypeValue

Risk Assessment

Beta-0.22
Volatility19.92%
Sector RiskMedium
Reg. RiskHigh
Geo RiskHigh
Currency RiskMedium
Liquidity RiskHigh

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.