New Oriental Education & Technology (EDU)vsStrategic Education Inc (STRA)
EDU
New Oriental Education & Technology
$55.82
+2.27%
CONSUMER DEFENSIVE · Cap: $9.92B
STRA
Strategic Education Inc
$81.66
+0.78%
CONSUMER DEFENSIVE · Cap: $1.81B
Smart Verdict
WallStSmart Research — data-driven comparison
New Oriental Education & Technology generates 340% more annual revenue ($5.66B vs $1.29B). STRA leads profitability with a 10.5% profit margin vs 8.4%. STRA appears more attractively valued with a PEG of 0.66. STRA earns a higher WallStSmart Score of 66/100 (B-).
EDU
Buy64
out of 100
Grade: C+
STRA
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+82.5%
Fair Value
$350.15
Current Price
$55.82
$294.33 discount
Margin of Safety
+71.8%
Fair Value
$273.85
Current Price
$81.66
$192.19 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 791.0% YoY
Conservative balance sheet, low leverage
Reasonable price relative to book value
Revenue surging 23.0% year-over-year
Reasonable price relative to book value
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Earnings expanding 24.8% YoY
Areas to Watch
No major concerns identified
4.9% revenue growth
Smaller company, higher risk/reward
ROE of 7.9% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : EDU
The strongest argument for EDU centers on EPS Growth, Debt/Equity, Price/Book. Revenue growth of 23.0% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.
Bull Case : STRA
The strongest argument for STRA centers on Price/Book, Debt/Equity, Altman Z-Score. PEG of 0.66 suggests the stock is reasonably priced for its growth.
Bear Case : EDU
No major red flags identified for EDU, but monitor valuation.
Bear Case : STRA
The primary concerns for STRA are Revenue Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
EDU profiles as a growth stock while STRA is a value play — different risk/reward profiles.
STRA carries more volatility with a beta of 0.50 — expect wider price swings.
EDU is growing revenue faster at 23.0% — sustainability is the question.
EDU generates stronger free cash flow (420M), providing more financial flexibility.
Bottom Line
STRA scores higher overall (66/100 vs 64/100). EDU offers better value entry with a 82.5% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
New Oriental Education & Technology
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China
New Oriental Education & Technology Group Inc. provides private educational services under the New Oriental brand in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.
Strategic Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Strategic Education, Inc., offers postsecondary education and non-degree programs. The company is headquartered in Herndon, Virginia.
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