New Oriental Posts Strong Q2 FY2026 Growth as Diversified Education and AI Strategy Gain Traction
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An update from New Oriental Education Tech ( (EDU) ) is now available.
On January 28, 2026, New Oriental reported unaudited results for the second quarter of fiscal 2026, covering the period ended November 30, 2025, showing a sharp acceleration in growth and profitability. Quarterly net revenues rose 14.7% year on year to US$1.19 billion, operating income surged 244.4% to US$66.3 million and net income attributable to the company climbed 42.3% to US$45.5 million, with non-GAAP metrics also showing strong double-digit gains; for the first half of fiscal 2026, net revenues were up 9.7% and operating income 20.7% versus a year earlier. Management highlighted robust momentum in overseas test preparation (up about 4.1%), domestic adult and university test preparation (up about 12.8%), and new educational initiatives (up about 21.6%), alongside rapid uptake of non-academic tutoring courses and intelligent learning systems across roughly 60 cities, signaling a successful strategic pivot and diversification. Executives emphasized disciplined capacity expansion, cost optimization, AI integration into teaching and operations, and the roll-out of a cross-departmental customer service system to improve loyalty and lifetime value, while subsidiary East Buy broadened its product portfolio and offline footprint, reinforcing New Oriental’s post-regulatory transformation and strengthening its competitive position in China’s evolving education and consumer sectors.
The most recent analyst rating on (EDU) stock is a Buy with a $68.00 price target. To see the full list of analyst forecasts on New Oriental Education Tech stock, see the EDU Stock Forecast page.
Spark’s Take on EDU Stock
According to Spark, TipRanks’ AI Analyst, EDU is a Outperform.
The score is driven primarily by strong financial performance and a constructive earnings update (raised guidance, significant profitability/margin expansion, and strong cash generation). Offsetting factors include only neutral-to-mixed technical momentum and a valuation that is reasonable but not clearly cheap, with some operating-risk callouts (overseas softness and higher G&A/share-based compensation).
To see Spark’s full report on EDU stock, click here.
More about New Oriental Education Tech
New Oriental Education & Technology Group Inc. is a major provider of private educational services in China, offering overseas and domestic test preparation, non-academic tutoring courses, and intelligent learning systems and devices. Listed in New York and Hong Kong, the company focuses on adults and university students while expanding into new educational initiatives and leveraging online-merge-offline delivery and AI technologies across its ecosystem.
Average Trading Volume: 853,258
Technical Sentiment Signal: Buy
Current Market Cap: $9.22B
For detailed information about EDU stock, go to TipRanks’ Stock Analysis page.
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