New Oriental Education & Technology (EDU)vsGrand Canyon Education Inc (LOPE)
EDU
New Oriental Education & Technology
$59.06
+0.29%
CONSUMER DEFENSIVE · Cap: $8.21B
LOPE
Grand Canyon Education Inc
$150.88
+3.81%
CONSUMER DEFENSIVE · Cap: $3.79B
Smart Verdict
WallStSmart Research — data-driven comparison
New Oriental Education & Technology generates 396% more annual revenue ($5.66B vs $1.14B). LOPE leads profitability with a 19.6% profit margin vs 8.4%. LOPE appears more attractively valued with a PEG of 0.96. LOPE earns a higher WallStSmart Score of 69/100 (B-).
EDU
Strong Buy66
out of 100
Grade: B-
LOPE
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+82.6%
Fair Value
$352.45
Current Price
$59.06
$293.39 discount
Margin of Safety
-49.9%
Fair Value
$106.92
Current Price
$150.88
$43.96 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 791.0% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 23.0% year-over-year
Every $100 of equity generates 32 in profit
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 22.0%
Areas to Watch
Negative free cash flow — burning cash
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : EDU
The strongest argument for EDU centers on EPS Growth, Debt/Equity, PEG Ratio. Revenue growth of 23.0% demonstrates continued momentum. PEG of 0.97 suggests the stock is reasonably priced for its growth.
Bull Case : LOPE
The strongest argument for LOPE centers on Return on Equity, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 19.6% and operating margin at 22.0%. PEG of 0.96 suggests the stock is reasonably priced for its growth.
Bear Case : EDU
The primary concerns for EDU are Free Cash Flow.
Bear Case : LOPE
No major red flags identified for LOPE, but monitor valuation.
Key Dynamics to Monitor
EDU profiles as a growth stock while LOPE is a mature play — different risk/reward profiles.
LOPE carries more volatility with a beta of 0.57 — expect wider price swings.
EDU is growing revenue faster at 23.0% — sustainability is the question.
LOPE generates stronger free cash flow (80M), providing more financial flexibility.
Bottom Line
LOPE scores higher overall (69/100 vs 66/100), backed by strong 19.6% margins. EDU offers better value entry with a 82.6% margin of safety. Both earn "Strong Buy" and "Strong 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.
Grand Canyon Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Grand Canyon Education, Inc. provides educational services to colleges and universities in the United States. The company is headquartered in Phoenix, Arizona.
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