1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Metrics vs Peers
3. Price Chart
4. Valuation
5. Offer Terms
6. Financial Statements
Discussion
Research report, target price, DCF and forensic scores are for subscribers. View plans
Symbol
EEIQ
Listed on
2021-03-25
Sector
Consumer
Subsector
Diversified Consumer Services
Offer Range
—
Shares Offered
750K
8.8M
$70.4M
8.5%
Implied Upside vs Midpoint
Description
Elite Education Group International Limited (EEI) is a holding company registered and incorporated in the British Virgin Islands (BVI) on December 13, 2017 by Jianbo Zhang. As a wholly-owned subsidiary of EEI, Quest Holding International LLC (QHI) was incorporated in 2012 in Ohio to facilitate study abroad and post-study services for Chinese students in the United States. Miami International Education Center LLC (MIE) was set up on January 13, 2017 in Ohio, and is a wholly-owned subsidiary of QHI. We partner with Miami University of Ohio, one of the oldest public universities in the country, to offer our services to Chinese students interested in studying in the United States. Located in southwestern Ohio and established in 1809, Miami University has 7 colleges, 5 different campuses, and the campus population of approximately 25,000. Known as “Public Ivy,” the University offers more than 120 undergraduate, 60 graduate in and 13 Ph.D. degrees. Currently, our partnership with the University has extended to the Oxford, Middletown, and Hamilton campuses. We develop specific education goals and plan for each student enrolled in its program, and provide a safe and structured environment and support services so that students can focus most of their attention on academic studies. Our mission is to provide our students with a reliable and comprehensive support system to fulfill their dreams of studying abroad. We strive to accomplish that by offering students and parents a one-stop destination for their US study needs, with potential expansion to other destinations as discussed below. We maintain an office in the United States and work with a business partner in the PRC. Our US Office is mainly responsible for providing study abroad and post-study services which include, among others, student dormitory management, academic guidance, international student services, student catering services, student transfer application services, internship and employment guidance. QHI’s business partner in China is Renda Financial Education Technology Co., Ltd. (Renda), located in Beijing. Its main business includes development and cooperation of the Chinese study market, language testing, student application, visa service, pre-departure training, pick-up arrangements, or any other accommodation arrangements as may be required. QHI focuses on all stages of the study process and aims to provide the best services available to ensure that every student successfully completes the university application, and travel and settlement processes. It accomplishes this by offering a one-stop solution for these needs. The PRC office coordinates the pre-attendance service needs of our customers while our United States office coordinates and provides the actual study abroad and post-study services. Such pre-attendance services coordinated by our PRC office at no charge include information support and counseling services for students and parents: . Language test training counseling – we provide International English Proficiency Test (ITEP) counseling, registration, and test placement for students with no or poor language skills . Admission application – our professional personnel reviews and provides feedback on student application materials . Visa counseling – our personnel provide visa counseling and guidance services for the student applicants . Pre-departure guidance – we offer logistical and organizational support for the student applicants prior their departure to the educational institutions . Accommodation arrangements – we pick up and drop off the students at the point of arrival. The services after arrival include, among others: . Pick-up service with no charge – our US office opens and maintains a 24-hour hotline to coordinate with Miami University for pick-up and ensures that each student arrives at and settles in dormitories safely . Welcome service at no charge – we coordinate with Miami University whose staff members offer a two-week orientation . Dormitory service – our dormitory administrators are on duty 24 hours per day and 7 days per week . Catering services – we maintain a Chinese restaurant consisting of Chinese chefs and culinary staff near student dormitories to offer several meals a day to our students . Academic guidance – with the help of professionally retained tutors, we offer academic guidance to help students choose and plan their career development . Internship services – we arrange for various types of internships and social practice activities throughout the academic calendar to help students with their future employment, educational and social prospects; we believe these services also help to develop their problem solving skills, workplace and emotional intelligence training . Shuttle bus services – our staff offer shuttle bus services to cater to students’ needs. --- Our main offices are located in Middletown, Ohio at 1209 N. University Blvd., Middletown, OH 45042; our telephone number at those offices is +1 513-649-8350. In addition, we maintain offices in Beijing, China at A-1718 Jiatai International Building, 41 Central East 4th Ring Road; our telephone number at those offices is (+86) (10) 8571-0121. The Company’s website is as follows: www.eei-global.net.
▼ More expensive than its peers on 1 of 2 valuation measures
| Metric | Value | Peer median | Among peers | Trend |
|---|---|---|---|---|
EV / revenue | 7.0x | 4.5x | ||
Price / earnings | 69.6x | 39.9x | ||
Revenue growth | 4.2% | 16.9% | ||
Gross margin | 74.2% | 54.8% | ||
Operating margin | 14.3% | 10.2% | ||
Net margin | 11.2% | 1.3% | ||
Free cash flow margin | -4.8% | 7.0% | ||
Rule of 40 | 19.5% | 31.2% | ||
Net cash / market cap | 10.5% | 3.0% | ||
Debt / equity | 0.00 | 0.00 | ||
Current ratio | 1.58 | — | — | |
9 premium metrics: DCF value / price, Growth the price needs: how common, Last 12 months vs full year and 6 more Unlock | ||||
Each filing is plotted ahead of the first trading day on the price chart.
| Filed | Form | Price range | Price | Shares offered | Deal size |
|---|---|---|---|---|---|
| 2020-12-15 | F-1 | — | $8.00 | 750,000 | $6.0M |
| 2021-01-29 | F-1/A | — | $8.00 | 750,000 | $6.0M |
| 2021-02-12 | F-1/A | — | $8.00 | 750,000 | $6.0M |
| 2021-02-24 | F-1/A | — | $8.00 | 750,000 | $6.0M |
| 2021-03-12 | F-1/A | — | $8.00 | 750,000 | $6.0M |
| 2021-03-29 | 424B4 | — | $8.00 | 750,000 | $6.0M |
EpicQuest Education Group International Ltd income statement and balance sheet, FY Sep 2022 to FY Sep 2025, as reported in SEC filings.
| Metric | FY Sep 2022after listing | FY Sep 2023after listing | FY Sep 2024after listing | FY Sep 2025after listing |
|---|---|---|---|---|
| Revenue | $6.3M | $5.7M | $8.2M | $8.9M |
| Gross profit | $4.3M | $4.2M | $5.3M | $5.9M |
| Operating income | ($7.2M) | ($7.0M) | ($7.4M) | ($4.2M) |
| Net income | ($6.1M) | ($6.7M) | ($6.0M) | ($2.4M) |
| Revenue growth | — | −9.8% | 42.7% | 9.6% |
| Gross margin | 68.1% | 73.7% | 65.2% | 66.3% |
| Operating margin | −113% | −123% | −91.1% | −46.8% |
| Net margin | −95.9% | −117% | −73.5% | −27.2% |
| Metric | FY Sep 2022after listing | FY Sep 2023after listing | FY Sep 2024after listing | FY Sep 2025after listing |
|---|---|---|---|---|
| Total assets | $24.0M | — | $23.3M | $25.8M |
| Total liabilities | $6.7M | — | $12.4M | $11.4M |
| Total equity | $17.3M | $10.9M | $10.9M | $14.4M |
| Cash & equivalents | $11.4M | $5.3M | $1.2M | $4.8M |