WallStSmart

New Oriental Education & Technology (EDU)vsLincoln Educational Services (LINC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

New Oriental Education & Technology generates 892% more annual revenue ($5.14B vs $518.24M). EDU leads profitability with a 7.4% profit margin vs 3.9%. EDU appears more attractively valued with a PEG of 0.92. EDU earns a higher WallStSmart Score of 62/100 (C+).

EDU

Buy

62

out of 100

Grade: C+

Growth: 8.0Profit: 5.5Value: 10.0Quality: 6.8
Piotroski: 6/9Altman Z: 2.06

LINC

Buy

50

out of 100

Grade: C-

Growth: 8.7Profit: 5.5Value: 3.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EDUUndervalued (+45.5%)

Margin of Safety

+45.5%

Fair Value

$112.32

Current Price

$56.49

$55.83 discount

UndervaluedFair: $112.32Overvalued
LINCUndervalued (+10.0%)

Margin of Safety

+10.0%

Fair Value

$29.95

Current Price

$40.84

$10.89 discount

UndervaluedFair: $29.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EDU3 strengths · Avg: 8.0/10
PEG RatioValuation
0.928/10

Growing faster than its price suggests

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

EPS GrowthGrowth
45.9%8/10

Earnings expanding 45.9% YoY

LINC2 strengths · Avg: 9.0/10
EPS GrowthGrowth
87.1%10/10

Earnings expanding 87.1% YoY

Revenue GrowthGrowth
19.7%8/10

19.7% revenue growth

Areas to Watch

EDU1 concerns · Avg: 3.0/10
Profit MarginProfitability
7.4%3/10

7.4% margin — thin

LINC4 concerns · Avg: 2.5/10
Market CapQuality
$1.26B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
3.9%3/10

3.9% margin — thin

PEG RatioValuation
3.622/10

Expensive relative to growth rate

P/E RatioValuation
61.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : EDU

The strongest argument for EDU centers on PEG Ratio, Price/Book, EPS Growth. Revenue growth of 14.7% demonstrates continued momentum. PEG of 0.92 suggests the stock is reasonably priced for its growth.

Bull Case : LINC

The strongest argument for LINC centers on EPS Growth, Revenue Growth. Revenue growth of 19.7% demonstrates continued momentum.

Bear Case : EDU

The primary concerns for EDU are Profit Margin.

Bear Case : LINC

The primary concerns for LINC are Market Cap, Profit Margin, PEG Ratio. A P/E of 61.8x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

EDU profiles as a value stock while LINC is a growth play — different risk/reward profiles.

LINC carries more volatility with a beta of 0.90 — expect wider price swings.

LINC is growing revenue faster at 19.7% — sustainability is the question.

EDU generates stronger free cash flow (516M), providing more financial flexibility.

Bottom Line

EDU scores higher overall (62/100 vs 50/100) and 14.7% revenue growth. Both earn "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.

Lincoln Educational Services

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Lincoln Educational Services Corporation offers various career-oriented postsecondary education services to high school graduates and working adults in the United States. The company is headquartered in West Orange, New Jersey.

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