- 1 TAL stock was trading at a market price of 6.16 at the publication time.
- 2 The organization is under investigation by Bragar Eagel & Squire, P.C.
Education sector among the most important and highest grossing industries having a huge impact globally. Covid-19 was a significant disruptor as educational institutions either remained closed or shifted to online learning. Private tutoring companies like TAL Education Group (NYSE: TAL), Chegg (NYSE: CHGG) and more got an opportunity to fill the gap for students who missed their education during the period.
The Company is Making Moves in AI Sector
A recent Business Wire release reports that TAL Education Group is under investigation by Bragar Eagel & Squire, P.C. According to Seeking Alpha, the company has violated federal securities law. They may have disregarded Chinese government regulations.
The company recently said that they are working on a ChatGPT-like artificial intelligence to enhance learning on the platform. Transformer models are popular among students as they enable them to detect trends, answers to a plethora of questions and more.
Private tutoring market has grown exponentially in the past few years. Data shows that the industry was valued at $29.6 Billion in 2021. Experts believe that the market can grow to $45.9 Billion by 2028. The Asia Pacific region held a lion’s share of the sector considering it attracted tech-savvy and high-income users.
TAL Stock Price Action
Chart highlights a steep fall in TAL stock during December 2022, falling by around 37% from $10.45 to $6.5 in a week. The decline came following the Chinese Education Ministry’s guidelines regarding private tutoring. A regression trend as trend before the announcement highlights an uptrend. The company saw consistent buying in shares between 14 and 21 December, 2022.
Donchian channels show the price in an oversold zone, starting an uptrend. Fib retracement highlights the share value under 0.618 zone, creating a resistance at $6.61. A breakout could test $7.52 as the next retracement point. Pitchfork too, underscores the same resistance.
Ease of movement (EOM) is indicating a downtrend may follow, rejecting the current trend. However, moving average convergence divergence (MACD) shows fading seller dominance. Currently, TAL stock was trading at a market price of $6.16 at the time of writing.
TAL Education Group may benefit greatly from artificial intelligence. The technology has shown marvelous potential in recent times and its integration will allow the company to upscale their productivity. Education has a major impact on an economy while technologies like AI, 5G, VR and more are making it more accessible.
- Palantir (NASDAQ: PLTR) Stock Price is on a Rising Spree - May 27, 2023 10:15 am EDT
- Doctor Who Marks The Sandbox Entry with BBC Studios and Reality+ - May 27, 2023 7:03 am EDT
- NTNX Stock Price Analysis: Shares Experiencing Positive Signals - May 26, 2023 10:51 am EDT