NYSE · Consumer Defensive

New Oriental Education & Techno

EDU · Education & Training Services

$59.11

▲ 0.22 (0.37%)

Cached · 10 min

Overall Grade

Defensive

Enterprising

Profitability

N/A⤢

Fin. Health

C⤢

Years to Pay Off Debt 6.4 yrs

Working Capital $2.1B

Valuation

F⤢

Margin of Safety 0.0%

Price-to-Book 1.58x

Cash Flow

F⤢

Free Cash Flow -$7M

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

About New Oriental Education & Techno

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.

Market Data

Market Cap N/A

Enterprise Value $5.3B

P/E (TTM) 19.70

Dividend Yield 2.04%

Exchange NYSE

Key Margins

Gross Profit N/A

Operating Margin N/A

Net Margin N/A

Company Info

Sector Consumer Defensive

Industry Education & Training Services

Country China

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering New Oriental Education & Techno at $59.11.

The business passes only 1 of 5 of Graham's defensive criteria — well below his required standard.

At $59.11, the stock trades at a 3% premium to its Graham Number of $57.31. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Trading at 4.0x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

Showing Key Metrics

Income Highlights

Metric	Q2 2026	Q4 2025
Gross Profit %	N/A•	53.3%
Operating Margin %	N/A•	5.6%
Net Income %	N/A•	3.8%
Diluted EPS	3.90▲	0.30

Balance Sheet Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Total Assets	$8.2B	$8.3B	N/A
Total Debt	$807M▲	$780M•	N/A
Working Capital	$2.1B▲	$2.0B•	N/A
Years to Pay Debt	6.36	17.16	N/A

Cash Flow Highlights

Metric	Q1 2026	Q4 2025
Free Cash Flow	-$7M▼	$323M
Owner Earnings	N/A	N/A
CapEx % of Net Income	N/A	N/A

Income Statement

	2026	2025
Tax Effect Of Unusual Items		-375
Tax Rate For Calcs		0
Normalized EBITDA		67,644
Total Unusual Items		-1,337
Total Unusual Items Excluding Goodwill		-1,337
Net Income From Continuing Operation Net Minority Interest		45,452
Reconciled Cost Of Revenue		556,887
EBITDA		66,307
EBIT		66,307
Normalized Income		46,414
Net Income From Continuing And Discontinued Operation		45,452
Total Expenses		1,125,134
Total Operating Income As Reported		66,307
Diluted Average Shares	158,265	160,451
Basic Average Shares	156,031	158,918
Diluted EPS	0	0
Basic EPS	0	0
Diluted NI Availto Com Stockholders		45,452
Net Income Common Stockholders		45,452
Net Income		45,452
Minority Interests		-10,828
Net Income Including Noncontrolling Interests		56,280
Net Income Continuous Operations		56,280
Earnings From Equity Interest Net Of Tax		-6,458
Tax Provision		24,467
Pretax Income		87,205
Other Income Expense		20,898
Other Non Operating Income Expenses		22,235
Gain On Sale Of Security		-1,337
Operating Income		66,307
Operating Expense		568,247
Selling General And Administration		568,247
Selling And Marketing Expense		193,985
General And Administrative Expense		374,262
Other Gand A		374,262
Gross Profit		634,554
Cost Of Revenue		556,887
Total Revenue		1,191,441
Operating Revenue		1,191,441

Balance Sheet

	2026	2025	2024
Ordinary Shares Number		1,591,457	1,635,288
Share Issued		1,591,457	1,635,288
Total Debt	806,970	779,854
Tangible Book Value	3,974,275	3,775,807
Invested Capital	4,086,130	3,886,042
Working Capital	2,148,541	2,033,508
Net Tangible Assets	3,974,275	3,775,807
Capital Lease Obligations	806,970	779,854
Common Stock Equity	4,086,130	3,886,042
Total Capitalization	4,086,130	3,886,042
Total Equity Gross Minority Interest	4,417,948	4,204,731
Minority Interest	331,818	318,689
Stockholders Equity	4,086,130	3,886,042
Gains Losses Not Affecting Retained Earnings
Other Equity Adjustments
Treasury Stock
Retained Earnings
Additional Paid In Capital
Capital Stock
Common Stock
Total Liabilities Net Minority Interest	3,826,412	4,086,166
Total Non Current Liabilities Net Minority Interest	547,855	531,790
Non Current Deferred Liabilities	14,148	13,995
Non Current Deferred Taxes Liabilities	14,148	13,995
Long Term Debt And Capital Lease Obligation	533,707	517,795
Long Term Capital Lease Obligation	533,707	517,795
Long Term Debt			14,403
Current Liabilities	3,278,557	3,554,376
Other Current Liabilities
Current Deferred Liabilities	1,885,872	2,161,514
Current Deferred Revenue	1,885,872	2,161,514
Current Debt And Capital Lease Obligation	273,263	262,059
Current Capital Lease Obligation	273,263	262,059
Payables And Accrued Expenses	1,119,422	1,130,803
Current Accrued Expenses	795,005	743,408
Payables	324,417	387,395
Other Payable
Dueto Related Parties Current	396	397
Dividends Payable		95,179
Total Tax Payable	215,512	197,300
Income Tax Payable	215,512	197,300
Accounts Payable	108,509	94,519
Total Assets	8,244,360	8,290,897
Total Non Current Assets	2,817,262	2,703,013
Other Non Current Assets	105,998	102,851
Non Current Prepaid Assets	55,337	54,308
Non Current Deferred Assets	85,603	80,493
Non Current Deferred Taxes Assets	85,603	80,493
Duefrom Related Parties Non Current	14,159	14,934
Non Current Accounts Receivable	14,159	14,934
Investments And Advances	808,048	761,085
Other Investments	382,191	370,956
Investmentin Financial Assets	425,857	390,129
Available For Sale Securities	425,857	390,129
Goodwill And Other Intangible Assets	111,855	110,235
Other Intangible Assets	65,903	65,656
Goodwill	45,952	44,579
Net PPE	1,636,262	1,579,107
Accumulated Depreciation
Gross PPE	1,636,262	1,579,107
Leases
Construction In Progress
Other Properties	1,636,262	1,579,107
Machinery Furniture Equipment
Buildings And Improvements
Current Assets	5,427,098	5,587,884
Other Current Assets	338,542	351,069
Restricted Cash	157,471	163,981
Prepaid Assets
Inventory	86,048	92,092
Receivables	42,588	42,868
Other Receivables
Duefrom Related Parties Current	6,872	5,136
Taxes Receivable
Accrued Interest Receivable
Accounts Receivable	35,716	37,732
Allowance For Doubtful Accounts Receivable
Gross Accounts Receivable
Cash Cash Equivalents And Short Term Investments	4,802,449	4,937,874
Other Short Term Investments	3,019,046	3,094,939
Cash And Cash Equivalents	1,783,403	1,842,935

Cash Flow

	2026	2025
Free Cash Flow	-7,455	323,468
End Cash Position	2,036,797	2,098,138
Beginning Cash Position	2,098,138	1,540,647
Effect Of Exchange Rate Changes	35,385	16,614
Changes In Cash	-96,726	540,877
Financing Cash Flow	-137,988	-60,010
Investing Cash Flow	48,717	277,419
Operating Cash Flow	-7,455	323,468

📊 Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.

Quarterly Health Checks

3 Graham/Buffett criteria that are valid and reliable on quarterly data

❌ Financial Condition

Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.

1.66x current ratio

vs ≥ 2.0x

❌ Free Cash Flow

Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.

-$7M

vs Positive

Operating Cash Flow

-$7M

Latest quarter · Buffett's cash reality check

ROIC

nan%

Based on latest annual operating income

Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.

Market Cap / Net Assets

1.5x

Net Assets: $4.4B

Peers & Industry

No auto-detected peers for Education & Training Services. You can manually compare EDU against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

2.26%

Low — management has little skin in the game

Share Buybacks (Latest Year)

$445M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

+3.5% YoY

Debt is roughly stable

Leadership Team

Minhong Yu

Founder & Executive Chairman

Age 62

Chenggang Zhou

CEO & Director

Age 63

Zhihui Yang

Executive President & CFO

Age 51

Top Institutional Holders

Institution	% Owned	Shares
First Beijing Investment Ltd	5.69%	8,995,258
Invesco Ltd.	3.07%	4,857,778
Aspex Management (HK) Ltd	2.87%	4,532,665
Renaissance Technologies, LLC	1.87%	2,947,864
Morgan Stanley	1.35%	2,139,680
FMR, LLC	1.23%	1,950,696
Discerene Group, LP	1.19%	1,885,823
Alkeon Capital Management LLC	1.09%	1,727,986

Risk Analysis

Beta (Market Risk)

0.23

Low volatility — more stable than the market

Short Interest

3.0% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.20x

Conservative balance sheet — low financial risk

Current Ratio

1.50x

Adequate liquidity

52-Week Price Range

Low: $44.25 Current: $59.11 High: $64.97

Currently at 72% of 52-week range