(EDU) New Oriental Education - Ratings and Ratios
Exchange: NYSE • Country: China • Currency: USD • Type: Common Stock • ISIN: US6475811070
EDU: Courses, Tutoring, Consulting, Materials, Systems, Devices
Naval Ravikant here. Let me break down New Oriental Education & Technology Group Inc. (EDU) for you. This is a company thats been around since 1993, headquartered in Beijing, and its a major player in Chinas private education sector. They operate under the New Oriental brand and are listed on the NYSE with a market cap of $8.176 billion as of recent data.
EDUs business is divided into four key segments. First, theres the Educational Services and Test Preparation Courses. This is their bread and butter. Theyre known for helping students prepare for exams like the TOEFL, IELTS, and the Chinese gaokao. These arent just local exams; theyre gateways for students aiming for international universities, which gives EDU a significant role in the global education pipeline.
The second segment is Online Education and Other Services. This is where Koolearn comes in, their online learning platform. The shift to digital education has been a big trend, especially post-2020, and EDU has positioned itself well here. They offer a range of courses and intelligent learning systems, which use technology to personalize education for students. This segment is crucial because it allows them to scale beyond physical classrooms and reach a wider audience.
The third segment is Overseas Study Consulting Services. This is about helping students navigate the complexities of studying abroad. From application assistance to visa support, EDU acts as a bridge for Chinese students looking to study in countries like the U.S., U.K., and Australia. This service not only adds revenue but also builds long-term relationships with students and families.
The fourth segment is Educational Material and Distribution. EDU develops and distributes its own materials for language training and test prep. This vertical integration means they control the quality of their content, which is a big plus. They also sell these materials through their network of schools, learning centers, and bookstores, creating an additional revenue stream.
Looking at the financials, EDU has a trailing P/E ratio of 21.74 and a forward P/E of 13.89, indicating that investors are pricing in future growth. The P/B ratio is 2.21, which suggests that the market values the companys assets at a premium. The P/S ratio of 1.76 tells us that investors are paying $1.76 for every dollar of sales, which is reasonable for a company in the education sector
Additional Sources for EDU Stock
Tweets: X Stocktwits
Fund Manager Positions: Dataroma Stockcircle
EDU Stock Overview
Market Cap in USD | 8,037m |
Sector | Consumer Defensive |
Industry | Education & Training Services |
GiC Sub-Industry | Education Services |
IPO / Inception | 2006-09-07 |
EDU Stock Ratings
Growth 5y | -53.9% |
Fundamental | 64.8% |
Dividend | 10.7% |
Rel. Strength Industry | -49.4 |
Analysts | 4.7/5 |
Fair Price Momentum | 41.22 USD |
Fair Price DCF | 125.37 USD |
EDU Dividends
Dividend Yield 12m | 0.98% |
Yield on Cost 5y | 0.51% |
Annual Growth 5y | % |
Payout Consistency | 21.4% |
EDU Growth Ratios
Growth Correlation 3m | -66.9% |
Growth Correlation 12m | -90.2% |
Growth Correlation 5y | -24% |
CAGR 5y | -14.22% |
CAGR/Max DD 5y | -0.15 |
Sharpe Ratio 12m | -1.90 |
Alpha | -51.49 |
Beta | 0.38 |
Volatility | 65.16% |
Current Volume | 1032.5k |
Average Volume 20d | 1535.5k |
As of March 18, 2025, the stock is trading at USD 50.80 with a total of 1,032,453 shares traded.
Over the past week, the price has changed by +5.18%, over one month by -5.99%, over three months by -15.20% and over the past year by -44.11%.
Yes, based on ValueRay Fundamental Analyses, New Oriental Education (NYSE:EDU) is currently (March 2025) a good stock to buy. It has a ValueRay Fundamental Rating of 64.79 and therefor a positive outlook according to the companies health.
Based on ValueRays Analyses, Dividends and Discounted-Cash-Flow, the Fair Value of EDU as of March 2025 is 41.22. This means that EDU is currently overvalued and has a potential downside of -18.86%.
New Oriental Education has received a consensus analysts rating of 4.70. Therefor, it is recommend to buy EDU.
- Strong Buy: 18
- Buy: 3
- Hold: 2
- Sell: 0
- Strong Sell: 0
According to ValueRays Forecast Model, EDU New Oriental Education will be worth about 45.2 in March 2026. The stock is currently trading at 50.80. This means that the stock has a potential downside of -10.96%.
Issuer | Forecast | Upside |
---|---|---|
Wallstreet Target Price | 67.4 | 32.6% |
Analysts Target Price | 85.5 | 68.3% |
ValueRay Target Price | 45.2 | -11% |