New Oriental Education & Technology Group (NYSE:EDU) Shares Up 8.5% - Should You Buy?

Key Points

• New Oriental Education & Technology Group shares rose by 8.5%, reaching a high of $57.39 after a previous close of $52.88, despite a significant drop in trading volume.
• Analysts have varied outlooks on the stock, with JPMorgan upgrading its rating to "overweight" and increasing its price target to $62, while Goldman Sachs downgraded its rating and cut its target to $50.
• The company reported a quarterly earnings per share of $0.61, surpassing expectations, and has set a consensus target price of $56.87 as analysts project a current year earnings per share of 2.75.

Shares of New Oriental Education & Technology Group, Inc. (NYSE:EDU - Get Free Report) shot up 8.5% during mid-day trading on Wednesday . The company traded as high as $56.37 and last traded at $57.39. 223,500 shares traded hands during trading, a decline of 84% from the average session volume of 1,397,052 shares. The stock had previously closed at $52.88.

Analysts Set New Price Targets

Several research firms have commented on EDU. JPMorgan Chase & Co. upgraded shares of New Oriental Education & Technology Group from a "neutral" rating to an "overweight" rating and increased their price objective for the company from $48.00 to $62.00 in a research note on Tuesday, June 24th. HSBC downgraded shares of New Oriental Education & Technology Group from a "buy" rating to a "hold" rating in a report on Wednesday, July 30th. The Goldman Sachs Group downgraded shares of New Oriental Education & Technology Group from a "buy" rating to a "neutral" rating and cut their price target for the company from $58.00 to $50.00 in a report on Wednesday, August 6th. Citigroup cut their price target on shares of New Oriental Education & Technology Group from $77.00 to $75.00 and set a "buy" rating for the company in a report on Tuesday, September 9th. Finally, Hsbc Global Res raised shares of New Oriental Education & Technology Group to a "hold" rating in a report on Wednesday, July 30th. Three research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $56.87.

New Oriental Education & Technology Group Trading Up 9.8%

The business's 50 day moving average price is $50.20 and its two-hundred day moving average price is $48.61. The stock has a market cap of $9.95 billion, a P/E ratio of 25.80, a price-to-earnings-growth ratio of 1.70 and a beta of 0.27.

New Oriental Education & Technology Group (NYSE:EDU - Get Free Report) last announced its earnings results on Wednesday, July 30th. The company reported $0.61 earnings per share for the quarter, beating analysts' consensus estimates of $0.24 by $0.37. The firm had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.19 billion. New Oriental Education & Technology Group had a net margin of 7.59% and a return on equity of 11.32%. The company's revenue for the quarter was up 9.4% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.22 EPS. New Oriental Education & Technology Group has set its FY 2026 guidance at EPS. Q1 2026 guidance at EPS. As a group, analysts expect that New Oriental Education & Technology Group, Inc. will post 2.75 earnings per share for the current year.

Institutional Investors Weigh In On New Oriental Education & Technology Group

Hedge funds have recently bought and sold shares of the business. Bessemer Group Inc. bought a new stake in New Oriental Education & Technology Group during the second quarter worth about $37,000. Hantz Financial Services Inc. raised its holdings in New Oriental Education & Technology Group by 738.0% in the second quarter. Hantz Financial Services Inc. now owns 905 shares of the company's stock worth $49,000 after buying an additional 797 shares during the last quarter. Banque Cantonale Vaudoise purchased a new position in New Oriental Education & Technology Group in the first quarter worth about $54,000. Brooklyn Investment Group raised its holdings in New Oriental Education & Technology Group by 3,700.0% in the first quarter. Brooklyn Investment Group now owns 1,330 shares of the company's stock worth $64,000 after buying an additional 1,295 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd purchased a new position in New Oriental Education & Technology Group in the first quarter worth about $72,000.

New Oriental Education & Technology Group Company Profile

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.

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