Entrepreneurs and Leaders

Zacks Small-Cap Research Initiates Coverage on Genius Group Limited

Genius Group Limited
Genius Group Limited , a world-leading entrepreneur Edtech and education group, today announced that Zacks Small-Cap Research , a division of Zacks Investment Research and a leading equity research firm, has initiated coverage of GNS at a valuation of $18.40, above the recent $9-10 trading range. 2022 revenue is estimated at USD 34.3 million, a 268% increase over 2021, and looking ahead, expects GNS to generate positive earnings by the 3rd quarter of 2023.

Brad Sorensen, CFA, Senior Equity Research Analyst with Zacks/SCR, states that GNS is on a mission to change the way people experience online education by making it more about the student. Through technology, vision, and a unique approach, he feels that Genius is bringing AI-involved learning to the masses. He views GNS as having a great management team and a solid balance sheet, believes the aggressiveness GNS has shown in expanding its offering is encouraging and sees the integration of acquisitions as vital to the company’s success. In an effort to expand its offerings and broaden its portfolio, particularly in the U.S., GNS acquired four companies to give GNS a total of eight companies under its umbrella and a roster of offerings that can reach people at virtually any stage of life.

Sorensen recognizes that the size of the potential market is enormous, with one estimate of $10 trillion in 2030, as the interest in virtual learning has undoubtedly increased as a result of the remote lives many people have been forced to live over the last couple of years. He points out that GNS may be doing things in a different way that might be able to connect in a more effective way with students, both adults and children, who have had a lack of success with some of the other existing providers. From his point of view, GNS appears to be offering a different way of learning, one that engages students by learning what they love and teaching them in that way.

Normally, with a company such as GNS, Sorensen would often look to comparable companies for valuation metrics. But, acknowledging market conditions as of late and that he views Genius as a unique company, he elected to use the discounted cash flow method to come up with what he believes is a fair, and fairly conservative, valuation for GNS. The two biggest risks to his investment thesis are the successful integration of the four new companies and the timing of the U.S. rollout. 

About Genius Group Limited
Genius Group is a Singapore-based Edtech and education company engaged in providing educational services in over 200 countries. It aims to develop an alternative lifelong learning curriculum and make its educational products accessible worldwide to all age groups.

About Zacks Small-Cap Research
Zacks/SCR prepares company-sponsored, independent research and related content for distribution through a multitude of investor and media channels, both traditional and social. Zacks/SCR delivers broad awareness among investors worldwide, creates deep understanding of the company and generates significant interest in investment. Zacks/SCR advantages are the quality of its analysts, the depth of its research and the breadth of its distribution.

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