# New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands) (EDU) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Consumer Cyclical / Consumer Services. Price $50.33, market value $7.8 billion.

## Valuation
- **P/E (trailing): 15.7×**. New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands) trades at 15.7× trailing earnings. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 10.1×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 1.3×**. Each dollar of revenue is priced at 1.3×.
- **Price / book: 1.8×**. The shares trade at 1.8× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 7.5×**. Enterprise value is 7.5× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 10.0%** (5-yr avg -0.5%). Free cash flow equals 10.0% of the market value, above its five-year average of -0.5%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 6.4%**. The inverse of the P/E: 6.4% of the price is earned each year.

## Profitability
- **Gross margin: 54.3%**. New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands) keeps 54.3% of revenue after the direct cost of what it sells.
- **Operating margin: 11.8%**. 11.8% of revenue is left after running the business.
- **Net margin: 8.4%**. 8.4% of each dollar of sales reaches the bottom line.
- **Return on equity: 11.9%**. 11.9% on shareholders' equity is solid.
- **Return on invested capital: 23.9%**. Return on all capital, debt included, is 23.9%: comfortably above what that capital costs.
- **Return on assets: 5.8%**. Each dollar of assets produces 5.8% of profit.

## Growth
- **Revenue growth (1 yr): 15.5%** (3-yr 23.6%/yr, 5-yr 5.8%/yr). Revenue grew 15.5% over the last year, against 5.8% a year compounded over five years: growth is accelerating.
- **Free-cash-flow growth (3 yr): -2.0%/yr**. Free cash flow has compounded at -2.0% a year over three years.

## Financial health
- **Debt to equity: 0.00**. Debt is 0.00 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands) holds more cash than debt.
- **Current ratio: 1.50** (quick 1.50). Current assets cover the next year's liabilities 1.50 times.
- **Altman Z-score: 2.83**. A Z-score of 2.83 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 3.97%** ($2.00 per share, trailing). New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands) yields 3.97%, an income-level yield.
- **Payout ratio: 20%**. 20% of earnings goes out as dividends, leaving room to keep raising it.

## Analyst view
- **Analyst consensus: strong_buy** (20 analysts). 20 analysts cover New Oriental Education & Technology Group Inc. Sponsored ADR representing 10 (Cayman Islands); the consensus is strong_buy, with an average price target of $70.48 (+40% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -16.1%** (YTD -9.2%, 3-mo -16.4%). The shares are down 16.1% over twelve months including dividends.
- **From 52-week high: -22.5%** (13.7% above the low). Trading 23% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 28**. An RSI of 28 is oversold; bounces are common, but oversold can stay oversold in a real decline.
- **Beta (1 yr): 0.28** (volatility 37%). Beta of 0.28 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=EDU · Page: https://foliofundamentals.com/stocks/edu

Not investment advice.
