New Oriental Education & Technology Group (9901) AI Stock Analysis

• Market Cap: €75.03B
• Dividend Yield: N/A
• Average Volume (3M): 5.98M
• Price to Earnings (P/E): 25.7
• Beta (1Y): 0.81
• Revenue Growth: 7.07%
• EPS Growth: -2.52%
• Country: HK
• Employees: 67,935
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 1.25
• Shares Outstanding: 1,635,288,300
• 10 Day Avg. Volume: 6,522,014
• 30 Day Avg. Volume: 5,981,724
• PEG Ratio: <0.01
• Price to Book (P/B): 0.21
• Price to Sales (P/S): 0.16
• P/FCF Ratio: 0.86
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €50.55
• Price Target Upside: 14.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: HK$51.00 ▲(15.80% Upside)

The overall stock score of 73 reflects a strong financial performance and positive technical indicators, suggesting a well-positioned company in the education and training services industry. The valuation is reasonable, though the lack of dividend yield may deter some investors. The absence of earnings call and corporate events data did not impact the score.

New Oriental Education & Technology Group Business Overview & Revenue Model

Company Description

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 K-12 AST, Test Preparation and Other Courses; Online Education; and Others segments. The company offers test preparation courses to students taking language and entrance exams used by educational institutions in the United States, the People's Republic of China, and the Commonwealth countries; and after-school tutoring courses for middle and high school students to enhance their exam scores, as well as for children to teach English. It also provides language training courses, including English, as well as other foreign languages, such as German, Japanese, French, Korean, Italian, and Spanish; operates a full-time private primary and secondary school in Yangzhou seeking a full curriculum with a focus on English; develops and edits educational materials for language training and test preparation; and offers online education programs that include college, K-12, and pre-school education. In addition, the company offers overseas studies consulting and overseas study tour services. As of May 31, 2021, it offered educational programs, services, and products to students through a network of 122 schools, 1,547 learning centers, and 11 bookstores, as well as through its online learning platforms. The company was founded in 1993 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

New Oriental generates revenue primarily through tuition fees for its extensive array of educational programs. The company's key revenue streams include classroom-based courses, online courses, and educational materials sales. Additionally, New Oriental has developed partnerships with educational institutions and organizations, enhancing its service offerings and expanding its market reach. The rise of online education, particularly accelerated by the COVID-19 pandemic, has also contributed significantly to its earnings, allowing the company to tap into a larger audience beyond traditional classroom settings.

New Oriental Education & Technology Group Financial Statement Overview

Summary

New Oriental Education & Technology Group shows strong financial health with solid revenue growth and profitability improvements. The balance sheet reflects stability, supported by low leverage and substantial equity. While cash flow generation remains strong, the recent decline in free cash flow growth warrants attention.

Income Statement

The company has demonstrated impressive growth in revenue, with a notable TTM revenue growth rate of 11.13% compared to the previous year. Gross profit margin is strong at 55.03% TTM, indicating efficient cost management. Net profit margin improvements from past losses are also commendable, with a TTM net profit margin of 8.17%. The EBIT and EBITDA margins are solid at 9.33% and 12.33%, respectively, reflecting operational efficiency.

Balance Sheet

The company maintains a strong equity position, as evidenced by an equity ratio of 49.50% TTM. The debt-to-equity ratio is low at 0.20, indicating conservative leverage use. The return on equity has improved significantly, reaching 10.62% TTM. The balance sheet shows stability with ample cash reserves, though total assets have slightly decreased.

Cash Flow

The company has generated positive free cash flow with a TTM growth rate of -16.01%, which is a slight decline from the previous period. The operating cash flow to net income ratio is robust at 2.23, indicating strong cash generation relative to earnings. The free cash flow to net income ratio of 1.80 reflects good cash conversion, although there's room for improvement.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.90B	4.90B	4.31B	3.00B	3.11B	4.28B
Gross Profit	2.72B	2.72B	2.26B	1.59B	1.35B	2.24B
EBITDA	515.25M	595.37M	600.96M	312.75M	-834.02M	383.73M
Net Income	371.72M	371.72M	309.59M	177.34M	-1.19B	334.41M
Balance Sheet
Total Assets	7.81B	7.81B	7.53B	6.39B	6.03B	10.15B
Cash, Cash Equivalents and Short-Term Investments	4.58B	4.58B	4.78B	4.00B	4.19B	6.26B
Total Debt	803.78M	803.78M	662.33M	458.60M	680.41M	2.16B
Total Liabilities	3.85B	3.85B	3.48B	2.58B	2.24B	5.13B
Stockholders Equity	3.66B	3.66B	3.78B	3.60B	3.71B	4.91B
Cash Flow
Free Cash Flow	896.53M	896.59M	839.25M	827.96M	-1.43B	693.74M
Operating Cash Flow	896.59M	896.59M	1.12B	971.01M	-1.28B	1.13B
Investing Cash Flow	-93.43M	-93.43M	-1.15B	-37.41M	1.17B	-2.18B
Financing Cash Flow	-584.97M	-584.97M	-160.44M	-246.87M	-230.86M	1.65B

New Oriental Education & Technology Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 44.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9901, the sentiment is Neutral. The current price of 44.04 is below the 20-day moving average (MA) of 44.59, above the 50-day MA of 41.78, and above the 200-day MA of 38.98, indicating a neutral trend. The MACD of 1.10 indicates Positive momentum. The RSI at 50.14 is Neutral, neither overbought nor oversold. The STOCH value of 19.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:9901.

New Oriental Education & Technology Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0839	76 Outperform	HK$8.23B	23.60	1.91%	10.89%	12.33%	-80.20%
9901	73 Outperform	€75.03B	25.71	9.39%	―	7.07%	-2.52%
2469	64 Neutral	HK$6.60B	31.68	13.58%	―	-10.99%	-50.16%
3978	64 Neutral	HK$3.89B	12.58	44.08%	4.69%	174.65%	145.66%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
0667	61 Neutral	HK$14.36B	20.43	11.36%	3.41%	7.48%	87.88%
1797	52 Neutral	HK$22.38B	7,080.00	0.08%	―	-33.04%	-98.87%

New Oriental Education & Technology Group Corporate Events

New Oriental Education Announces Annual Shareholders Meeting

New Oriental Education & Technology Group Inc. has announced its upcoming annual general meeting of shareholders, scheduled for November 21, 2025, in Beijing, China. The meeting will address the re-election of Dr. Yue Zhuge as a director, reflecting the company’s ongoing governance and strategic planning efforts.

The most recent analyst rating on (HK:9901) stock is a Sell with a HK$32.80 price target. To see the full list of analyst forecasts on New Oriental Education & Technology Group stock, see the HK:9901 Stock Forecast page.

New Oriental Education & Technology Group to Announce Q1 2026 Financial Results

New Oriental Education & Technology Group Inc. has announced a board meeting scheduled for October 27, 2025, to approve and publish its unaudited financial results for the quarter ending August 31, 2025. The results will be released before the U.S. market opens on October 28, 2025, followed by an earnings teleconference call where management will discuss the results and answer questions, indicating the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (HK:9901) stock is a Sell with a HK$32.80 price target. To see the full list of analyst forecasts on New Oriental Education & Technology Group stock, see the HK:9901 Stock Forecast page.

New Oriental Reports Mixed Financial Results for Fourth Quarter of 2025

New Oriental Education & Technology Group Inc. announced its unaudited financial results for the fourth fiscal quarter and fiscal year ended May 31, 2025. The company reported a 9.4% increase in total net revenues for the quarter, reaching $1,243.2 million. However, it experienced an operating loss of $8.7 million compared to an operating income of $10.5 million in the same period of the previous year. Net income attributable to New Oriental decreased by 73.7% to $7.1 million. Despite these challenges, the company saw a significant increase in non-GAAP operating income, which rose by 116.3% to $81.7 million, indicating potential areas of growth and resilience.

The most recent analyst rating on (HK:9901) stock is a Sell with a HK$34.30 price target. To see the full list of analyst forecasts on New Oriental Education & Technology Group stock, see the HK:9901 Stock Forecast page.