In August 2020, the United Nations released “Policy Brief: Education during COVID-19 and beyond” https://www.un.org/development/desa/dspd/wp-content/uploads/sites/22/2020/08/sg_policy_brief_covid-19_and_education_august_2020.pdf.
The Policy Brief states that “the COVID-19 pandemic has created the largest disruption of education systems in history, affecting nearly 1.6 billion learners in more than 190 countries and all continents. Closures of schools and other learning spaces have impacted 94 per cent of the world’s student population, up to 99 per cent in low and lower-middle income countries.”
The Policy Brief also discusses the technological supports for teachers’ needs, writing that “from the onset of the pandemic, teachers were immediately tasked with implementing distance learning modalities, often without sufficient guidance, training, or resources… In many contexts, teacher professional development has moved online or been disseminated via telephone and video applications, but marginalized teachers may have missed out on such support. Web-based class meetings and messaging applications have become useful tools and new ways of communicating with their learners and the education community.” From this, we can safely infer that greater accessibility to technological information and training material is required for teachers regarding online education.
Throughout the past decade, the education industry has been continuously developing new ways of incorporating technology into the education system. It is because of these novel technological methods that students today no longer need to hand their homework in on a physical piece of paper, or even physically commute to the classroom. Instead, thanks to educational technologies, students are now able to efficiently and effectively upload their homework online; they are also free to pursue a near-infinite variety of subjects to learn online instead.
Such advancements in online education and education technology have been critical for the education industry in the face of COVID-19, and are in higher demand than ever before. The COVID-19 pandemic has truly accelerated the digitalization process of classrooms and changed the education landscape indefinitely. With school and business closures around the world, millions of students and teachers have had to adapt to novel learning and communication methods; the overwhelming majority of these methods have involved a shift from in-person learning to online education.
As a result, the COVID-19 pandemic has caused education technology or online education stocks to be one of the hottest areas to look at this year.
China Education Resources Inc. (“CHNUF”) is one company in particular that is perfectly poised to cater towards the intensified e-learning market demands which have resulted from the COVID-19 pandemic. Based in Vancouver, Canada, CHNUF is a publicly-listed ed-tech company (TSX-V – CHN and OTCQB – CHNUF) with leading technology inintelligent system and contents. It provides online/offline learning, training courses, and social media for teachers, students and education professionals; these are all increasingly integral aspects of education in the contemporary era. CHNUF has 2 million kindergarten through twelfth-grade teachers registered through its web portal in China.
CHNUF’s online education platform and services provide a vertically blended learning, teaching, research and management system for a student-teacher-school-parent community. CHNUF’s products and services facilitate a significantly more efficient and enriched virtual educational experience for both teachers and students, most especially during a time when online education has become the backbone of many societies around the world. In combination with the circumstances and demands which have arisen as a result of the COVID-19 pandemic, we believe that China Education Resources’ numerous attributes will provide the Company with great long-term revenue potential.
CHNUF has 47,364,983 common shares outstanding. CHNUF generated US$9,390,402 revenue in 2019. CHNUF made US$978,466 net income in Q2 2020 (earnings per share $0.02).
China Education Resources Inc. (CHNUF) current price is $0.032 per share (P/S Ratio of 0.16, P/E Ratio of 1.6)
In comparison with CHNUF, the ratios of some larger education companies or organizations are as follows: *
|1. Chegg, Inc. (CHGG)||P/S Ratio of 22||P/E Ratio of 5,375|
|2. New Oriental Education & Technology Group Inc. (EDU)||P/S Ratio of 6.8||P/E Ratio of 58|
|3. GSX Techedu Inc. (GSX)||P/S Ratio of 84||P/E Ratio of 700|
|4. TAL Education Group (TAL)||P/S Ratio of 13||P/E Ratio N/A|
|5. Genius Brands International, Inc. (GNUS)||P/S Ratio of 42||P/E Ratio N/A|
|6. Microsoft Corporation (MSFT)||P/S Ratio of 11||P/E Ratio of 35|
|7. NVIDIA Corporation (NVDA)||P/S Ratio of 27||P/E Ratio of 107|
|8. Zoom Video Communications, Inc. (ZM)||P/S Ratio of 232||P/E Ratio of 654|
|9. DocuSign, Inc. (DOCU)||P/S Ratio of 40||P/E Ratio N/A|
|10. Slack Technologies, Inc. (WORK)||P/S Ratio of 19||P/E Ratio N/A|
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