New Oriental Piotroski F Score

EDU -  USA Stock  

USD 12.48  0.07  0.56%

This module uses fundamental data of New Oriental to approximate its Piotroski F score. New Oriental F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of New Oriental Education. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about New Oriental financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Continue to New Oriental Altman Z Score, New Oriental Correlation, New Oriental Valuation, as well as analyze New Oriental Alpha and Beta and New Oriental Hype Analysis.
  
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Total Debt is likely to drop to about 2 B in 2022. Debt Current is likely to drop to about 571.2 M in 2022. New Oriental Price to Book Value is comparatively stable at the moment as compared to the past year. New Oriental reported Price to Book Value of 3.17 in 2021. Price to Sales Ratio is likely to gain to 3.96 in 2022, whereas Earnings per Basic Share are likely to drop 2.06 in 2022.
At this time, it appears that New Oriental's Piotroski F Score is Strong. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
8.0
Piotroski F Score - Strong
1
Current Return On AssetsPositiveFocus
2
Change in Return on AssetsIncreasedFocus
3
Cash Flow Return on AssetsPositiveFocus
4
Current Quality of Earnings (accrual)ImprovingFocus
5
Asset Turnover GrowthIncreaseFocus
6
Current Ratio ChangeIncreaseFocus
7
Long Term Debt Over Assets ChangeLower LeverageFocus
8
Change In Outstending SharesIncreaseFocus
9
Change in Gross MarginIncreaseFocus

New Oriental Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to New Oriental is to make sure New Oriental is not a subject of accounting manipulations and runs a healthy internal audit department. So, if New Oriental's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if New Oriental's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Weighted Average Shares1.9 B1.9 B
Slightly Up
Increasing
Slightly volatile
Weighted Average Shares Diluted1.9 B1.9 B
Fairly Up
Increasing
Slightly volatile
Net Cash Flow from Operations1.4 B1.3 B
Significantly Up
Increasing
Slightly volatile
Total Assets12.6 B11.7 B
Significantly Up
Increasing
Slightly volatile
Total Liabilities6.4 B5.9 B
Significantly Up
Increasing
Slightly volatile
Current Assets8.2 B7.6 B
Significantly Up
Increasing
Slightly volatile
Current Liabilities4.3 BB
Significantly Up
Increasing
Slightly volatile
Total DebtB2.5 B
Significantly Down
Increasing
Slightly volatile
Return on Average Assets0.03330.0324
Fairly Up
Decreasing
Slightly volatile
Gross Margin0.490.47
Sufficiently Up
Decreasing
Slightly volatile
Asset Turnover0.510.42
Fairly Up
Decreasing
Slightly volatile

New Oriental Education F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between New Oriental's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards New Oriental in a much-optimized way.

About New Oriental Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Weighted Average Shares

1.91 Billion

Share
New Oriental Weighted Average Shares is comparatively stable at the moment as compared to the past year. New Oriental reported Weighted Average Shares of 1.89 Billion in 2021

New Oriental Current Valuation Drivers

We derive many important indicators used in calculating different scores of New Oriental from analyzing New Oriental's financial statements. These drivers represent accounts that assess New Oriental's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of New Oriental's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Average Assets3.54 B4.21 B6.44 B9.18 B10.56 B11.4 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA434.46 M439.13 M703.16 M654.93 M753.17 M604.94 M
Earnings Before Interest Taxes and Depreciation Amortization USD434.46 M439.13 M703.16 M654.93 M753.17 M604.94 M
Earnings before Tax355.54 M323.78 M547.7 M418 M480.7 M416.08 M
Average Equity1.92 B2.1 B2.65 B4.39 B5.05 B5.45 B
Enterprise Value14.96 B12.77 B19.42 B17.73 B20.39 B22 B
Free Cash Flow571.33 M546.01 M519.38 M739.13 M850 M688.57 M
Invested Capital1.2 B1.22 B4.65 B7.14 B8.21 B8.86 B
Invested Capital Average1.13 B1.32 B4.28 B6.16 B7.08 B7.64 B
Market Capitalization15.69 B13.56 B18.94 B17.29 B19.88 B15.9 B
Tangible Asset Value3.93 B4.55 B6.46 B10.06 B11.57 B12.48 B
Working Capital1.19 B1.46 B1.28 B3.1 B3.57 B3.85 B

About New Oriental Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze New Oriental Education's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of New Oriental using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of New Oriental Education based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
New Oriental Education Technology Group Inc. provides private educational services under the New Oriental brand in the Peoples Republic of China. The company was founded in 1993 and is headquartered in Beijing, the Peoples Republic of China. New Oriental operates under Education Training Services classification in the United States and is traded on New York Stock Exchange. It employs 88126 people.

Be your own money manager

Our tools can tell you how much better you can do entering a position in New Oriental without increasing your portfolio risk or giving up expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate.risk-adjusted returns of your individual positions relative to your overall portfolio.

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Pair Trading with New Oriental

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if New Oriental position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in New Oriental will appreciate offsetting losses from the drop in the long position's value.

New Oriental Pair Correlation

Correlation Analysis For Direct Indexing and Tax-loss Harvesting

The ability to find closely correlated positions to New Oriental could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace New Oriental when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back New Oriental - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling New Oriental Education to buy it.
The correlation of New Oriental is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as New Oriental moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if New Oriental Education moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for New Oriental can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
Continue to New Oriental Altman Z Score, New Oriental Correlation, New Oriental Valuation, as well as analyze New Oriental Alpha and Beta and New Oriental Hype Analysis. Note that the New Oriental Education information on this page should be used as a complementary analysis to other New Oriental's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.

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When running New Oriental Education price analysis, check to measure New Oriental's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy New Oriental is operating at the current time. Most of New Oriental's value examination focuses on studying past and present price action to predict the probability of New Oriental's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move New Oriental's price. Additionally, you may evaluate how the addition of New Oriental to your portfolios can decrease your overall portfolio volatility.
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Is New Oriental's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of New Oriental. If investors know New Oriental will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about New Oriental listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of New Oriental Education is measured differently than its book value, which is the value of New Oriental that is recorded on the company's balance sheet. Investors also form their own opinion of New Oriental's value that differs from its market value or its book value, called intrinsic value, which is New Oriental's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because New Oriental's market value can be influenced by many factors that don't directly affect New Oriental's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between New Oriental's value and its price as these two are different measures arrived at by different means. Investors typically determine New Oriental value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, New Oriental's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.