Growth is the primary weakness (avg 0/100). Business quality is the relative bright spot.
Broad-market heuristics · Not a buy/sell signal
Valuation and growth
Valuation
Growth
Above 30x, priced for sustained outperformance
Above 30x, cash flow yield is thin
Below 2%, essentially flat
Recently turned FCF-positive, capex cycle finishing, CAGR not yet meaningful
Business Quality & Capital Allocation
Shrinking >2%, active buybacks
Expanded 3+pp, strong improvement
Net cash position, no leverage concern
Youdao (DAO) quality: score, margins and returns
Youdao (DAO) scores 54/100 on Intrinsiqq's quality score (a mixed business), a weighted blend of 6 metrics each scored 0 to 100, on 3.7% operating margins. Every metric is computed from SEC filings; this is analysis, not investment advice.
Frequently asked
Is Youdao (DAO) a high-quality business?+
Youdao scores 54 out of 100 on Intrinsiqq's quality score, a weighted blend of 6 metrics each scored 0 to 100, which rates it a mixed business on these measures. Recent figures include a 3.7% operating margin. Quality and price are separate questions: even a great business can be a poor investment if you overpay, so read this score alongside the valuation. The metric-by-metric breakdown is on this scorecard.
What does Youdao's quality score measure?+
Intrinsiqq's quality score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, change in share count, and balance-sheet strength, each computed from DAO's SEC filings rather than opinion or sentiment. A higher score means a more durable, capital-efficient business; it is not a buy or sell signal. Open each metric on this page to see exactly where Youdao scores well and where it falls behind.
How profitable is Youdao?+
Youdao runs an operating margin of about 3.7% and a net margin of about 1.8%. Revenue has grown at roughly 11.7% a year recently. High, stable margins usually point to pricing power and operating discipline. Margins are most telling next to growth and returns on capital, all of which feed this quality score. This is analysis from SEC filings, not investment advice.
SourceQuality score computed from the 10-K filed 15 Apr 2026, covering the period ending 31 Dec 2025, as reported to the SEC. Data last refreshed 5 Jun 2026. How this is calculated.
Fiscal year ends Dec. Sector medians are approximate S&P 500 benchmarks and update periodically. Checks use broad-market heuristics, so sector norms may differ, and the valuation checks are more cyclical than the quality checks.
Peers
Services-Educational Services · Pick stocks to compare with DAO
Held by ETFs
DAO is in 3 US ETFs. The largest of them, with DAO's weight in each:
Spot a number that looks wrong? Check it in DAO's SEC filings or
Download this analysis as a PDF (Pro)
Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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