17 Education (YQ) Slumped From The Recent Slump: A Good Opportunity Now?

Corrections are commonplace in the stock market but it is sometimes important for investors to take a closer look and see if it could be a buying opportunity.

China-based 17 Education & Technology Group Inc (NASDAQ: YQ) is one such stock. It has corrected quite sharply in recent days. The education technology company is best known for providing an integrated “in-school + after-school” model to educational institutions. Earlier this month, 17 Education announced its financial results for the fourth quarter and for the full year 2020.

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The company managed to generated revenues of as big as $74.6 million for the fourth quarter, which reflected a year-on-year rise of as high as 153.1%. In the quarter, 17 Technology managed to generate revenues of as much as $71.6 million from its K-12 online tutoring services alone. That reflected a year-on-year rise of a staggering 163.1%. Despite the commendable performance, the stock has corrected, and hence, it might be a bit too early to write off the 17 Education & Technology Group stock.

Jack Dawkins

Finance and Tech Contributor