New Oriental Education & Technology (EDU)vsMcGraw Hill, Inc. (MH)
EDU
New Oriental Education & Technology
$45.74
-1.15%
CONSUMER DEFENSIVE · Cap: $7.78B
MH
McGraw Hill, Inc.
$12.21
+1.58%
CONSUMER DEFENSIVE · Cap: $2.25B
Smart Verdict
WallStSmart Research — data-driven comparison
New Oriental Education & Technology generates 156% more annual revenue ($5.37B vs $2.10B). EDU leads profitability with a 7.8% profit margin vs 1.7%. EDU trades at a lower P/E of 17.3x. EDU earns a higher WallStSmart Score of 69/100 (B-).
EDU
Strong Buy69
out of 100
Grade: B-
MH
Hold37
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.9%
Fair Value
$339.19
Current Price
$45.74
$293.45 discount
Intrinsic value data unavailable for MH.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 60.0% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
19.8% revenue growth
No standout strengths identified
Areas to Watch
7.8% margin — thin
Negative free cash flow — burning cash
0.0% earnings growth
1.7% margin — thin
Premium valuation, high expectations priced in
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, PEG Ratio. Revenue growth of 19.8% demonstrates continued momentum. PEG of 0.80 suggests the stock is reasonably priced for its growth.
Bull Case : MH
MH has a balanced fundamental profile.
Bear Case : EDU
The primary concerns for EDU are Profit Margin, Free Cash Flow.
Bear Case : MH
The primary concerns for MH are EPS Growth, Profit Margin, P/E Ratio. A P/E of 61.9x leaves little room for execution misses. Debt-to-equity of 3.47 is elevated, increasing financial risk.
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 19.8% — sustainability is the question.
MH generates stronger free cash flow (308M), providing more financial flexibility.
Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
EDU scores higher overall (69/100 vs 37/100) and 19.8% revenue growth. Both earn "Strong Buy" and "Hold" 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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