New Oriental Education & Techno EDU

Competitive advantage analysis · consumer-defensive

Corporate Default
Overall moat score
66/100
Moderate

About New Oriental Education & Techno

New Oriental Education & Technology Group Inc. engages in the provision of private educational services under the New Oriental brand in the People's Republic of China. The company operates through four segments: Educational Services and Test Preparation Courses; Private Label Products and Livestreaming E-Commerce; Overseas Study Consulting Services; and Educational Materials and Distribution. The company offers test preparation courses to … Full EDU analysis →

Competitive advantage assessment

Key strengths

  • Strong Interest Coverage & Conservative Leverage Debt serviceability is strong (score 0.88), with robust interest coverage.
  • Consistent Cash Generation Cash generation is strong and consistent (score 0.80).

Key risks

  • Volatile Margins Suggest Cyclicality Margin volatility is high (stability score 0.37), suggesting cyclical exposure or competitive pressure.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Moderate
53

Where EDU ranks in Education & Training Services

New Oriental Education & Techno ranks #12 of 42 scored companies in Education & Training Services by moat score — the top 29%. The widest moat in the group is Grand Canyon Education, Inc. (LOPE) at 83/100.

Moat scores for companies ranked near EDU in Education & Training Services
# Company Moat score Rating
8 Sunlands Technology Group STG 69/100 Moderate
9 Legacy Education Inc. LGCY 68/100 Moderate
10 TAL Education Group TAL 67/100 Moderate
11 Universal Technical Institute I UTI 66/100 Moderate
12 New Oriental Education & Techno EDU 66/100 Moderate
13 iHuman Inc. IH 64/100 Moderate
14 Vasta Platform Limited VSTA 61/100 Moderate
15 Lincoln Educational Services Co LINC 60/100 Moderate
16 American Public Education, Inc. APEI 58/100 Moderate

See every General Corporate company ranked by moat score →

How EDU scores on the Corporate Default defenses

Pricing Power

Score 53 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 62 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 65 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 64 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 77 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 74 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding EDU's moat

What is New Oriental Education & Techno's moat score?

New Oriental Education & Techno (EDU) scores 66 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #12 of 42 scored companies in Education & Training Services, the top 29%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 41 companies in Education & Training Services. Its strongest defense is Resilience (77/100) and its weakest is Pricing Power (53/100).

How does New Oriental Education & Techno compare with other Education & Training Services companies?

New Oriental Education & Techno ranks #12 of 42 scored companies in Education & Training Services by moat score. The widest moat in Education & Training Services is Grand Canyon Education, Inc. (LOPE) at 82/100. The companies ranked closest are Universal Technical Institute I (UTI) at 66 just above it and iHuman Inc. (IH) at 64 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 41 companies in Education & Training Services. The defenses are then weighted to produce the overall score out of 100.

Why is New Oriental Education & Techno scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for New Oriental Education & Techno?

The Corporate Default template measures 6 defenses, and EDU scores: Pricing Power (53), Cost Advantage (62), Customer Stickiness (65), Capital Efficiency (64), Resilience (77), Scale & Market Position (74). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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