Stock of the Day

January 7, 2022

New Oriental Education & Technology Group (EDU)

$49.26
-$0.17 (-0.3%)
Market Cap: $7.81B

About New Oriental Education & Technology Group

New Oriental Education & Technology Group, Inc. is a holding company, which engages in the provision of private educational services. It operates through the following 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 was founded by Min Hong Yu and Yong Qiang Qian on November 16, 1993, and is headquartered in Beijing, China.

Today's Trend

New Oriental Education & Technology Group (EDU) — Investors are reacting to the company’s fiscal Q3 results and related disclosures. Overall headlines are positive (beat estimates, raised outlook, dividends/buyback) but reporting nuances and differing EPS measures have created some confusion, helping explain the stock trading lower today.

  • Q3 results beat expectations on the metrics most analysts cited: management reported stronger-than-expected EPS and revenue growth, with call transcripts highlighting outperformance versus Street estimates. New Oriental Q3 2026 Earnings Call Transcript
  • Company raised its FY26 outlook and introduced Q4 guidance (revenue guidance in the ~ $1.4B–$1.5B range for the quarter; FY revenue guidance around $5.6B), which supports a constructive near‑term revenue trajectory. New Oriental beats top-line and bottom-line; raises FY26 outlook
  • Board actions: New Oriental set a timetable for a second cash dividend and is continuing an ongoing share buyback program — shareholder returns that tend to be viewed favorably by investors. New Oriental sets timetable for second cash dividend
  • Underlying business growth: revenue was up ~20% year-over-year (reported quarter revenue ~ $1.42B) and management described continued double‑digit revenue and profit expansion. Strong top-line momentum supports valuation multiples. New Oriental announces Q3 results
  • Management commentary framed the quarter as profitable growth and highlighted key drivers for next fiscal periods; read summaries and call highlights for color on channel mix and margin outlook. Earnings call signals profitable growth
  • Guidance specifics: the company provided Q4 and FY revenue ranges and qualitative EPS direction; investors should watch subsequent analyst model adjustments for valuation impact. (See company press release/transcript for the exact guidance text.) Company press release and transcript
  • Conflicting EPS figures in some reports created short‑term uncertainty: certain outlets flagged a large miss on a GAAP/line‑item basis while others emphasize an EPS beat on the adjusted basis investors follow — this divergence can increase intraday volatility as models are reweighted. MarketBeat earnings snapshot

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