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NEW ORIENTAL EDUCATIO-SP ADR (EDU) Stock Fundamental Analysis

USA - NYSE:EDU - US6475812060 - ADR

58.98 USD
+1.18 (+2.04%)
Last: 10/30/2025, 1:06:57 PM
Fundamental Rating

4

EDU gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 77 industry peers in the Diversified Consumer Services industry. Both the profitability and the financial health of EDU get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, EDU is valued expensive at the moment.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

EDU had positive earnings in the past year.
EDU had positive earnings in 4 of the past 5 years.
In multiple years EDU reported negative operating cash flow during the last 5 years.
EDU Yearly Net Income VS EBIT VS OCF VS FCFEDU Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M 1B -1B

1.2 Ratios

With a decent Return On Assets value of 4.76%, EDU is doing good in the industry, outperforming 70.13% of the companies in the same industry.
Looking at the Return On Equity, with a value of 10.15%, EDU is in the better half of the industry, outperforming 68.83% of the companies in the same industry.
EDU's Return On Invested Capital of 8.14% is amongst the best of the industry. EDU outperforms 80.52% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EDU is below the industry average of 9.48%.
The last Return On Invested Capital (8.14%) for EDU is above the 3 year average (5.81%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 4.76%
ROE 10.15%
ROIC 8.14%
ROA(3y)3.88%
ROA(5y)-0.95%
ROE(3y)7.76%
ROE(5y)-0.4%
ROIC(3y)5.81%
ROIC(5y)N/A
EDU Yearly ROA, ROE, ROICEDU Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 -20 -30

1.3 Margins

Looking at the Profit Margin, with a value of 7.59%, EDU is in the better half of the industry, outperforming 66.23% of the companies in the same industry.
In the last couple of years the Profit Margin of EDU has declined.
The Operating Margin of EDU (9.97%) is better than 67.53% of its industry peers.
In the last couple of years the Operating Margin of EDU has declined.
EDU has a better Gross Margin (55.45%) than 68.83% of its industry peers.
In the last couple of years the Gross Margin of EDU has remained more or less at the same level.
Industry RankSector Rank
OM 9.97%
PM (TTM) 7.59%
GM 55.45%
OM growth 3YN/A
OM growth 5Y-2.22%
PM growth 3YN/A
PM growth 5Y-8.06%
GM growth 3Y8.42%
GM growth 5Y-0.06%
EDU Yearly Profit, Operating, Gross MarginsEDU Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40

4

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EDU is still creating some value.
Compared to 1 year ago, EDU has about the same amount of shares outstanding.
EDU has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EDU has an improved debt to assets ratio.
EDU Yearly Shares OutstandingEDU Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
EDU Yearly Total Debt VS Total AssetsEDU Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

A Debt/Equity ratio of 0.00 indicates that EDU is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.00, EDU is doing good in the industry, outperforming 77.92% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z N/A
ROIC/WACC1.08
WACC7.53%
EDU Yearly LT Debt VS Equity VS FCFEDU Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B

2.3 Liquidity

A Current Ratio of 1.58 indicates that EDU should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.58, EDU is doing good in the industry, outperforming 62.34% of the companies in the same industry.
A Quick Ratio of 1.55 indicates that EDU should not have too much problems paying its short term obligations.
EDU has a better Quick ratio (1.55) than 66.23% of its industry peers.
Industry RankSector Rank
Current Ratio 1.58
Quick Ratio 1.55
EDU Yearly Current Assets VS Current LiabilitesEDU Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

6

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 14.60% over the past year.
The Earnings Per Share has been growing slightly by 0.65% on average over the past years.
EDU shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.60%.
EDU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.49% yearly.
EPS 1Y (TTM)14.6%
EPS 3YN/A
EPS 5Y0.65%
EPS Q2Q%0.63%
Revenue 1Y (TTM)13.6%
Revenue growth 3Y16.42%
Revenue growth 5Y6.49%
Sales Q2Q%6.1%

3.2 Future

The Earnings Per Share is expected to grow by 13.17% on average over the next years. This is quite good.
EDU is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.82% yearly.
EPS Next Y10.09%
EPS Next 2Y12.16%
EPS Next 3Y13.17%
EPS Next 5YN/A
Revenue Next Year10.12%
Revenue Next 2Y10.01%
Revenue Next 3Y10.05%
Revenue Next 5Y8.82%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
EDU Yearly Revenue VS EstimatesEDU Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B
EDU Yearly EPS VS EstimatesEDU Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 2 -2 4 -4

3

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 18.78, which indicates a rather expensive current valuation of EDU.
EDU's Price/Earnings ratio is a bit cheaper when compared to the industry. EDU is cheaper than 68.83% of the companies in the same industry.
When comparing the Price/Earnings ratio of EDU to the average of the S&P500 Index (26.76), we can say EDU is valued slightly cheaper.
The Price/Forward Earnings ratio is 14.98, which indicates a correct valuation of EDU.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EDU indicates a somewhat cheap valuation: EDU is cheaper than 72.73% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.63. EDU is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 18.78
Fwd PE 14.98
EDU Price Earnings VS Forward Price EarningsEDU Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
EDU Per share dataEDU EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EDU does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as EDU's earnings are expected to grow with 13.17% in the coming years.
PEG (NY)1.86
PEG (5Y)28.83
EPS Next 2Y12.16%
EPS Next 3Y13.17%

0

5. Dividend

5.1 Amount

EDU does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

NEW ORIENTAL EDUCATIO-SP ADR

NYSE:EDU (10/30/2025, 1:06:57 PM)

58.98

+1.18 (+2.04%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)01-19 2026-01-19/bmo
Inst Owners37.83%
Inst Owner Change-0.01%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap9.39B
Revenue(TTM)4.90B
Net Income(TTM)371.72M
Analysts78.18
Price Target61.62 (4.48%)
Short Float %36.11%
Short Ratio5.88
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)38.33%
Min EPS beat(2)-3.89%
Max EPS beat(2)80.56%
EPS beat(4)2
Avg EPS beat(4)14.51%
Min EPS beat(4)-24.94%
Max EPS beat(4)80.56%
EPS beat(8)3
Avg EPS beat(8)3.15%
EPS beat(12)4
Avg EPS beat(12)-12.73%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.64%
Min Revenue beat(2)-3.27%
Max Revenue beat(2)4.55%
Revenue beat(4)2
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-3.27%
Max Revenue beat(4)4.55%
Revenue beat(8)5
Avg Revenue beat(8)2.79%
Revenue beat(12)9
Avg Revenue beat(12)3.49%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.48%
PT rev (3m)-9.06%
EPS NQ rev (1m)2.31%
EPS NQ rev (3m)21.66%
EPS NY rev (1m)0.34%
EPS NY rev (3m)-2.21%
Revenue NQ rev (1m)0.46%
Revenue NQ rev (3m)-3.3%
Revenue NY rev (1m)0.67%
Revenue NY rev (3m)-2.18%
Valuation
Industry RankSector Rank
PE 18.78
Fwd PE 14.98
P/S 1.92
P/FCF N/A
P/OCF N/A
P/B 2.56
P/tB 2.6
EV/EBITDA N/A
EPS(TTM)3.14
EY5.32%
EPS(NY)3.94
Fwd EY6.68%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS30.79
BVpS23.01
TBVpS22.65
PEG (NY)1.86
PEG (5Y)28.83
Graham Number40.32
Profitability
Industry RankSector Rank
ROA 4.76%
ROE 10.15%
ROCE 10.82%
ROIC 8.14%
ROICexc N/A
ROICexgc N/A
OM 9.97%
PM (TTM) 7.59%
GM 55.45%
FCFM N/A
ROA(3y)3.88%
ROA(5y)-0.95%
ROE(3y)7.76%
ROE(5y)-0.4%
ROIC(3y)5.81%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)7.71%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y-2.22%
PM growth 3YN/A
PM growth 5Y-8.06%
GM growth 3Y8.42%
GM growth 5Y-0.06%
F-ScoreN/A
Asset Turnover0.63
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.58
Quick Ratio 1.55
Altman-Z N/A
F-ScoreN/A
WACC7.53%
ROIC/WACC1.08
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.6%
EPS 3YN/A
EPS 5Y0.65%
EPS Q2Q%0.63%
EPS Next Y10.09%
EPS Next 2Y12.16%
EPS Next 3Y13.17%
EPS Next 5YN/A
Revenue 1Y (TTM)13.6%
Revenue growth 3Y16.42%
Revenue growth 5Y6.49%
Sales Q2Q%6.1%
Revenue Next Year10.12%
Revenue Next 2Y10.01%
Revenue Next 3Y10.05%
Revenue Next 5Y8.82%
EBIT growth 1Y39.42%
EBIT growth 3YN/A
EBIT growth 5Y4.13%
EBIT Next Year46.31%
EBIT Next 3Y25.23%
EBIT Next 5Y23.13%
FCF growth 1YN/A
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1YN/A
OCF growth 3YN/A
OCF growth 5YN/A

NEW ORIENTAL EDUCATIO-SP ADR / EDU FAQ

Can you provide the ChartMill fundamental rating for NEW ORIENTAL EDUCATIO-SP ADR?

ChartMill assigns a fundamental rating of 4 / 10 to EDU.


What is the valuation status for EDU stock?

ChartMill assigns a valuation rating of 3 / 10 to NEW ORIENTAL EDUCATIO-SP ADR (EDU). This can be considered as Overvalued.


How profitable is NEW ORIENTAL EDUCATIO-SP ADR (EDU) stock?

NEW ORIENTAL EDUCATIO-SP ADR (EDU) has a profitability rating of 5 / 10.


Can you provide the PE and PB ratios for EDU stock?

The Price/Earnings (PE) ratio for NEW ORIENTAL EDUCATIO-SP ADR (EDU) is 18.78 and the Price/Book (PB) ratio is 2.56.


What is the expected EPS growth for NEW ORIENTAL EDUCATIO-SP ADR (EDU) stock?

The Earnings per Share (EPS) of NEW ORIENTAL EDUCATIO-SP ADR (EDU) is expected to grow by 10.09% in the next year.