New Oriental Education & Technology (EDU)vsMcGraw Hill, Inc. (MH)
EDU
New Oriental Education & Technology
$55.82
+2.27%
CONSUMER DEFENSIVE · Cap: $9.92B
MH
McGraw Hill, Inc.
$12.32
+1.73%
CONSUMER DEFENSIVE · Cap: $2.35B
Smart Verdict
WallStSmart Research — data-driven comparison
New Oriental Education & Technology generates 167% more annual revenue ($5.66B vs $2.12B). EDU leads profitability with a 8.4% profit margin vs 4.4%. EDU trades at a lower P/E of 19.8x. EDU earns a higher WallStSmart Score of 64/100 (C+).
EDU
Buy64
out of 100
Grade: C+
MH
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+82.5%
Fair Value
$350.15
Current Price
$55.82
$294.33 discount
Intrinsic value data unavailable for MH.
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
Earnings expanding 9860.0% YoY
Reasonable price relative to book value
Strong operational efficiency at 21.5%
Areas to Watch
No major concerns identified
Moderate valuation
2.6% revenue growth
4.4% margin — thin
ROE of -9.2% — 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 : MH
The strongest argument for MH centers on EPS Growth, Price/Book, Operating Margin.
Bear Case : EDU
No major red flags identified for EDU, but monitor valuation.
Bear Case : MH
The primary concerns for MH are P/E Ratio, Revenue Growth, Profit Margin. Debt-to-equity of 3.37 is elevated, increasing financial risk. Thin 4.4% margins leave little buffer for downturns.
Key Dynamics to Monitor
EDU profiles as a growth stock while MH is a value play — different risk/reward profiles.
EDU is growing revenue faster at 23.0% — sustainability is the question.
EDU generates stronger free cash flow (420M), providing more financial flexibility.
Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
EDU scores higher overall (64/100 vs 57/100) and 23.0% 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.
McGraw Hill, Inc.
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
McGraw Hill, Inc., doing business as McGraw Hill, provides information solutions for K-12, higher education, and professional markets in the United States and internationally.
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