ATA Creativity Global
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$0.34
Market Price
$0.78
Overvalued By
129.4%
Method: 10-year explicit-path FCF DCF starting from a loss-making base: -$2M yr1, breakeven yr2, recovering to $3M (about 8% of revenue) by yr5, then 2% growth through yr10; 13% discount rate; 2% terminal growth; -$5.6M net cash; 67.96M shares outstanding.
Reasoning: AACG is a small, currently unprofitable Chinese education-services ADR with declining revenue, so I modeled an explicit margin-recovery path toward its historical operating margin rather than applying growth to a negative base; the high discount rate reflects small-cap, China-ADR and going-concern-adjacent risk.