NYSE:EDU, a strong growth stock, setting up for a breakout.

Last update: Jul 11, 2024

In this article we will dive into NEW ORIENTAL EDUCATIO-SP ADR (NYSE:EDU) as a possible candidate for growth investing. Investors should always do their own research, but we noticed NEW ORIENTAL EDUCATIO-SP ADR showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Assessing Growth Metrics for NYSE:EDU

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:EDU boasts a 8 out of 10:

EDU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 720.51%, which is quite impressive.
Looking at the last year, EDU shows a very strong growth in Revenue. The Revenue has grown by 51.72%.
Based on estimates for the next years, EDU will show a very strong growth in Earnings Per Share. The EPS will grow by 76.91% on average per year.
Based on estimates for the next years, EDU will show a very strong growth in Revenue. The Revenue will grow by 23.94% on average per year.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Health Examination for NYSE:EDU

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:EDU has earned a 6 out of 10:

The Debt to FCF ratio of EDU is 0.01, which is an excellent value as it means it would take EDU, only 0.01 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.01, EDU belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
EDU has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of EDU (0.00) is better than 69.35% of its industry peers.
Looking at the Current ratio, with a value of 1.95, EDU is in the better half of the industry, outperforming 67.74% of the companies in the same industry.
EDU's Quick ratio of 1.91 is fine compared to the rest of the industry. EDU outperforms 67.74% of its industry peers.

Exploring NYSE:EDU's Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:EDU was assigned a score of 5 for profitability:

The Return On Assets of EDU (4.33%) is better than 75.81% of its industry peers.
With a decent Return On Equity value of 8.04%, EDU is doing good in the industry, outperforming 69.35% of the companies in the same industry.
EDU's Return On Invested Capital of 6.68% is fine compared to the rest of the industry. EDU outperforms 75.81% of its industry peers.
With a decent Profit Margin value of 7.72%, EDU is doing good in the industry, outperforming 72.58% of the companies in the same industry.
Looking at the Operating Margin, with a value of 9.61%, EDU is in the better half of the industry, outperforming 69.35% of the companies in the same industry.

How does the Setup look for NYSE:EDU

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:EDU this score is currently 7:

Besides having an excellent technical rating, EDU also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. A pullback is taking place, which may present a nice opportunity for an entry. There is very little resistance above the current price. Another positive sign is the recent Pocket Pivot signal.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of EDU

Check the latest full technical report of EDU for a complete technical analysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.