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EDUNew Oriental Education & TechnoBuy Wait6.6·$57.79-1.35%
Buy WaitModerate Confidence
Investment thesis

Trading at a forward P/E of 10.9x with a PEG below 1, the stock offers value pricing for its growth profile — three of the past four quarters have beaten consensus estimates with an average positive surprise above 22%, free cash flow has converted at 147% of net income, and analyst consensus implies roughly 35% upside to the current price.

Thesis pillars

  • Deep Value With Analyst UpsideDeteriorating
  • Momentum Recovery In ProgressImproving
  • Exceptional Cash ConversionStable
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

Open full analysis

New Oriental Education & Techno (EDU) Stock Analysis

Recovery setup

Buy WaitGrowthModerate Confidence

Consumer Defensive · Education & Training Services

Wait for pullback to $54.70. At $57.79 the A.R:R is 0.7:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $54.70 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risk: Overbought (RSI 81).

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... Read more

$57.79+11.0% A.UpsideScore 6.6/10#4 of 18 Education & Training Services
QualityF-score9 / 9FCF yield6.32%
IncomeYield2.36%Payout22.22%sustainable
Entry $54.70(Atr Pullback Sticky)Stop $51.04Target $63.55(analyst − 10%)A.R:R 0.7:1
Analyst target$70.61+22.2%21 analysts
$63.55our TP
$57.79price
$70.61mean
$49
$86

Wait for pullback to $54.70. At $57.79 the A.R:R is 0.7:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $54.70 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risk: Overbought (RSI 81). Chart setup: Death cross but MACD improving, RSI 81. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Score 6.6/10, moderate confidence.

Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news boost analyst 0.50, earnings proximity no date, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-07-30
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Jul 29, 2026· next earnings call

Thesis

Rewards
Strong earnings beat streak (3/4)
Positive news sentiment (+0.57)
Attractive valuation
Risks
Overbought (RSI 81)

Key Metrics

P/E (TTM)18.8
P/E (Fwd)11.7
Mkt Cap$9.8B
EV/EBITDA5.5
Profit Mgn7.8%
ROE10.8%
Rev Growth19.8%
Beta0.18
Dividend2.36%
Rating analysts22

Quality Signals

Piotroski F9/9MoatWide

Options Flow

P/C0.21bullish
IV54%elevated
Max Pain$40-30.8% vs spot

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 floor-breaker·1 ceiling hit

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
0.0
Support Resistance
2.3
Gap
5.0
52w Position
7.8
GatesA.R:R 0.7 < 1.5@spotDeath cross (50MA < 200MA)Momentum 6.9>=5.5Insider activity: OKNo SEC red flagsNEWS BOOST ANALYST 0.50EARNINGS PROXIMITY NO DATESEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Moderate
RSI
81 · Overbought
20D MA 50D MA 200D MADEATH CROSSSupport $46.78Resistance $60.45

Price Targets

$51
$55
$64
A.Upside+11.0%
A.R:R0.7:1

Position Sizing

ConvictionMedium conviction
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! NEWS_MOD=+2: HOLD_IF_HOLDING → STRONG_BUY_WAIT
! asymmetry at 0.7 (below the engine's 1.5 threshold)@spot

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-07-29 (nulld)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is EDU stock a buy right now?

Wait for pullback to $54.70. At $57.79 the A.R:R is 0.7:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $54.70 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risk: Overbought (RSI 81). Chart setup: Death cross but MACD improving, RSI 81. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Target $63.55 (+10.0%), stop $51.04 (−13.2%), A.R:R 0.7:1. Score 6.6/10, moderate confidence.

What is the EDU stock price target?

Take-profit target: $63.55 (+11.0% upside). Target $63.55 (+10.0%), stop $51.04 (−13.2%), A.R:R 0.7:1. Stop-loss: $51.04.

What are the risks of investing in EDU?

Overbought (RSI 81).

Is EDU overvalued or undervalued?

New Oriental Education & Techno trades at a P/E of 18.8 (forward 11.7). TrendMatrix value score: 7.8/10. Verdict: Buy (Wait for Entry).

What do analysts say about EDU?

22 analysts cover EDU with a consensus score of 4.0/5. Average price target: $71.

What does New Oriental Education & Techno do?New Oriental Education & Technology Group Inc. engages in the provision of private educational services under the New...

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.

Related stocks: TAL (TAL Education Group) · PXED (Phoenix Education Partners, Inc) · PRDO (Perdoceo Education Corporation) · LAUR (Laureate Education, Inc.) · LOPE (Grand Canyon Education, Inc.)
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