New Oriental Education & Technology Group (EDU) Fair Value & Analysis
Consumer Defensive · US · Market cap $7.5B
New Oriental Education & Technology Group
EDU · US
Fair value as of: Jul 15, 2026
From 26 valuation models · updated 26 days ago
Fair value updated Jul 15, 2026, revised from $51.49 to $48.37 (−6.1%) since Jun 24, 2026. Share price +15.0% over the past month.
A solid business, but screening 14% overvalued on our models.
What matters now
- Our model range runs from $37.55 (bear) to $59.20 (bull), base $48.37. The closer the price sits to the lower half, the larger the margin of safety.
- Quality 74/100 (solid quality) with medium evidence: read the verdict with care.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.
How to read this chart
60‑month range $8.37 – $147.69 · fair‑value band $37.55 – $59.20 · the $56.43 price screens above the $48.37 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 15, 2026.
Analysis
New Oriental Education & Technology Group (EDU) currently trades at $56.43, while our model-based Fair Value estimate is $48.37, implying the stock looks roughly 14.3% overvalued today. The Quality Score stands at 74/100 (solid quality), in the Consumer Defensive sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).
Over the trailing twelve months, New Oriental Education & Technology Group generated revenue of $5.4B at a net margin of 7.8%. Revenue grew 19.8% year over year. It earns a return on equity of 10.8%. The balance sheet holds a net cash position of $809M. Fundamentals as of Jul 15, 2026
Our scenario range runs from $37.55 (bear case) to $59.20 (bull case); at $56.43, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 12% below its 52-week high and 39% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at 17% fair-value upside, at -14%, EDU screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 26 models by family
Widest divergence: DCF Models ($83.64) versus Dividend Discount ($9.33). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 15, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 72 · Market factors (momentum, volatility) 60
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
New Oriental Education & Technology Group Inc. engages in the provision of private educational services under the New Oriental brand in the People's Republic of China.
Full company description
New Oriental Education & Technology Group Inc. engages in the provision of private educational services under the New Oriental brand in the People's Republic of China. The company operates through four segments: Educational Services and Test Preparation Courses; Private Label Products and Livestreaming E-Commerce; Overseas Study Consulting Services; and Educational Materials and Distribution. The company offers test preparation courses to students taking language and entrance exams used by educational institutions in the United States, the Commonwealth countries, and the People's Republic of China. It also provides non-academic tutoring courses; intelligent learning systems and devices to offer a digital learning experience for students; and overseas studies consulting services. In addition, the company offers online education services through the Koolearn.com platform. Further, it develops and edits educational materials for language training and test preparation. In addition, the company offers educational programs, services, and products to students through schools; learning centers; and bookstores, as well as through its online learning platforms. New Oriental Education & Technology Group Inc. was founded in 1993 and is headquartered in Beijing, the People's Republic of China.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
New Oriental Education & Technology Group reported revenue of $4.9B in FY2025 versus $4.3B in FY2021, a compound +3.5%/yr. Reported net income was $372M in FY2025, compounding +2.7%/yr from FY2021.
EDU screens 14% overvalued. Compare with TAL Education Group →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- New Oriental Education & Technology Group (EDU) Is Up 20.3% After New Capital Return Plan Unveiled
- New Oriental Education & Technology Group (EDU) As Earnings And Guidance Test Its Undervalued Case
- New Oriental Education & Technology Group Q4 Earnings Call Highlights
- New Oriental Education & Technology Group Inc (EDU) Q4 2026 Earnings Call Highlights: ...
Peer Group
Education & Training Services · 148 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Education & Training Services median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Education & Training Services stocks, each showing price versus our Fair Value estimate (as of Jul 15, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| TAL Education Group TAL | $10.24 | $15.60 | +52% |
| Laureate Education, Inc LAUR | $36.45 | $41.45 | +14% |
| Physicswallah Limited PWL | ₹131.59 | ₹14.81 | -89% |
| Grand Canyon Education, Inc LOPE | $149.00 | $152.01 | +2% |
| Covista Inc CVSA | $116.22 | $135.45 | +17% |
| Stride, Inc LRN | $83.39 | $139.45 | +67% |
| Universal Technical Institute, Inc UTI | $40.33 | $21.35 | -47% |
| Perdoceo Education Corporation PRDO | $31.66 | $41.45 | +31% |
| Strategic Education, Inc STRA | $84.18 | $105.48 | +25% |
| McGraw Hill, Inc MH | $9.70 | $4.06 | -58% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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