New Oriental Education & Technology Group
Market Cap
US$19.4b
Last Updated
2019/11/14 00:18 UTC
Data Sources
Company Financials +
Executive Summary
New Oriental Education & Technology Group Inc.
Snowflake
Fundamentals
Exceptional growth potential with excellent balance sheet.
Similar Companies
Share Price & News
How has New Oriental Education & Technology Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EDU has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.0%
EDU
-0.06%
US Consumer Services
0.4%
US Market
1 Year Return
108.2%
EDU
19.2%
US Consumer Services
13.1%
US Market
Return vs Industry: EDU exceeded the US Consumer Services industry which returned 19.2% over the past year.
Return vs Market: EDU exceeded the US Market which returned 13.1% over the past year.
Shareholder returns
| EDU | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.0% | -0.06% | 0.4% |
| 30 Day | 5.3% | 0.1% | 4.0% |
| 90 Day | 17.1% | -0.8% | 7.4% |
| 1 Year | 108.2%108.2% | 19.8%19.2% | 15.6%13.1% |
| 3 Year | 148.5%147.2% | 100.3%89.4% | 48.2%38.6% |
| 5 Year | 457.7%444.2% | 131.4%106.0% | 62.6%44.6% |
Price Volatility Vs. Market
How volatile is New Oriental Education & Technology Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
New Oriental Education & Technology Group (NYSE:EDU) Could Easily Take On More DebtValuation
Is New Oriental Education & Technology Group undervalued compared to its fair value and its price relative to the market?
42.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EDU ($122.44) is trading below our estimate of fair value ($211.17)
Significantly Below Fair Value: EDU is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: EDU is poor value based on its PE Ratio (59.8x) compared to the Consumer Services industry average (28.6x).
PE vs Market: EDU is poor value based on its PE Ratio (59.8x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: EDU is poor value based on its PEG Ratio (2x)
Price to Book Ratio
PB vs Industry: EDU is overvalued based on its PB Ratio (7.7x) compared to the US Consumer Services industry average (2x).
Next Steps
Future Growth
How is New Oriental Education & Technology Group forecast to perform in the next 1 to 3 years based on estimates from 28 analysts?
29.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EDU's forecast earnings growth (29.6% per year) is above the savings rate (2.7%).
Earnings vs Market: EDU's earnings (29.6% per year) are forecast to grow faster than the US market (14.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: EDU's revenue (23.4% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: EDU's revenue (23.4% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EDU's Return on Equity is forecast to be high in 3 years time (22.4%)
Next Steps
Past Performance
How has New Oriental Education & Technology Group performed over the past 5 years?
7.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: Insufficient data to determine if EDU has high quality earnings.
Growing Profit Margin: EDU's current net profit margins (9.8%) are lower than last year (9.9%).
Past Earnings Growth Analysis
Earnings Trend: EDU's earnings have grown by 7.7% per year over the past 5 years.
Accelerating Growth: EDU's earnings growth over the past year (24.1%) exceeds its 5-year average (7.7% per year).
Earnings vs Industry: EDU earnings growth over the past year (24.1%) exceeded the Consumer Services industry 7.1%.
Return on Equity
High ROE: EDU's Return on Equity (11.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is New Oriental Education & Technology Group's financial position?
Financial Position Analysis
Short Term Liabilities: EDU's short term assets ($3.6B) exceeds its short term liabilities ($2.4B)
Long Term Liabilities: EDU's short term assets (3.6B) exceeds its long term liabilities (983.7M)
Debt to Equity History and Analysis
Debt Level: EDU's debt to equity ratio (3.6%) is considered satisfactory
Reducing Debt: Insufficient data to determine if EDU's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: EDU's debt is well covered by operating cash flow (846.2%).
Interest Coverage: EDU earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: EDU has a high level of physical assets or inventory.
Debt Coverage by Assets: EDU's debt is covered by short term assets (assets are 38.2x debt).
Next Steps
Dividend
What is New Oriental Education & Technology Group's current dividend yield, its reliability and sustainability?
0.26%
Forecast Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate EDU's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate EDU's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if EDU's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EDU's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: EDU is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of EDU's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of New Oriental Education & Technology Group's salary, the management and board of directors tenure and is there insider trading?
4.6yrs
Average management tenure
CEO
Chenggang Zhou (57yo)
3.2yrs
Tenure
Mr. Chenggang Zhou has been the Chief Executive Officer of New Oriental Education & Technology Group Inc. since September 1, 2016 and served as its President since January 5, 2016 until January 20, 2017. M ...
Management Age and Tenure
4.6yrs
Average Tenure
55yo
Average Age
Experienced Management: EDU's management team is considered experienced (4.6 years average tenure).
Board Age and Tenure
12.9yrs
Average Tenure
55.5yo
Average Age
Experienced Board: EDU's board of directors are seasoned and experienced ( 12.9 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Louis Hsieh (55yo)
Senior Adviser & Director
- Tenure: 12.7yrs
Michael Yu (56yo)
Founder & Executive Chairman
- Tenure: 18.8yrs
Chenggang Zhou (57yo)
CEO & Director
- Tenure: 3.2yrs
Zhihui Yang (45yo)
Chief Financial Officer
- Tenure: 4.6yrs
Qiang Wu (46yo)
Head of The Beijing School
- Tenure: 5.3yrs
Sisi Zhao
Investor Relations Director
- Tenure: 0yrs
Zheng Zhao
Managing Partner
- Tenure: 0yrs
Board Members
Robin Li (51yo)
Independent Director
- Tenure: 13.2yrs
Louis Hsieh (55yo)
Senior Adviser & Director
- Tenure: 12.7yrs
Denny Lee (52yo)
Independent Director
- Tenure: 13.2yrs
Michael Yu (56yo)
Founder & Executive Chairman
- Tenure: 18.8yrs
Chenggang Zhou (57yo)
CEO & Director
- Tenure: 3.2yrs
John Yang (64yo)
Independent Director
- Tenure: 12.2yrs
Company Information
New Oriental Education & Technology Group Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: New Oriental Education & Technology Group Inc.
- Ticker: EDU
- Exchange: NYSE
- Founded: 1993
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: US$19.398b
- Shares outstanding: 158.43m
- Website: https://www.neworiental.org
Number of Employees
Location
- New Oriental Education & Technology Group Inc.
- No.6 Haidian Zhongjie
- Haidian District
- Beijing
- 100080
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EDU | NYSE (New York Stock Exchange) | Yes | SPONS ADR EA REP 1 ORD SHS | US | USD | Sep 2006 |
| N1U | DB (Deutsche Boerse AG) | Yes | SPONS ADR EA REP 1 ORD SHS | DE | EUR | Sep 2006 |
| EDU N | BMV (Bolsa Mexicana de Valores) | Yes | SPONS ADR EA REP 1 ORD SHS | MX | MXN | Sep 2006 |
| 0K75 | LSE (London Stock Exchange) | Yes | SPONS ADR EA REP 1 ORD SHS | GB | USD | Sep 2006 |
Biography
New Oriental Education & Technology Group Inc. provides private educational services under the New Oriental brand in the People’s Republic of China. It operates through Language Training and Test Preparati ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/14 00:18 |
| End of Day Share Price | 2019/11/13 00:00 |
| Earnings | 2019/08/31 |
| Annual Earnings | 2019/05/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.