HK Stock Market Move | CHINA EDU GROUP (00839) up more than 15%, education sector welcomes policy boost, the company is the largest private higher education group in China.

CHINA EDU GROUP (00839) rose over 15%, up 16.96% at the time of writing, to a price of HKD 3.93, with a turnover of HKD 6.55 billion. On the news front, on September 16th, the Ministry of Commerce and 9 other departments issued the "Several Policy Measures on Expanding Service Consumption", mentioning "expanding the opening up of pilot projects in the education sector" and "encouraging relevant institutions to conduct vocational skills training with a market-oriented approach", bringing opportunities to the education sector. Soochow pointed out that CHINA EDU GROUP has had a high and actual dividend payout ratio and dividend yield in the past, with solid assets, good accounts receivable cash flow, and very high industry barriers to entry. Currently, the estimated valuation of higher education companies in 2025 is generally 3-6 times PE, with a low valuation and significant room for recovery. Public information shows that China Education Group Holdings Limited is currently the largest listed higher and secondary vocational education group in China. Its business covers China, Australia, and the UK, including higher education, vocational education, and continuing education. Its operated universities include Baiyun Technician College, Jiangxi University of Science and Technology, and Baiyun College in Guangdong.