Stock Track | New Oriental Education & Technology Soars 5.39% Intraday on Strong Earnings and AI Initiatives

Stock Track12-01

New Oriental Education & Technology (EDU) surged 5.39% during intraday trading on Monday, reflecting investor optimism following the company's robust Q1 FY2026 results and advancements in generative AI applications.

The company reported a 6.1% year-on-year increase in net revenue to US$1.523 billion, with operating profit rising 6.0% to US$311 million. Analysts highlighted improved adjusted operating margins, driven by the strong performance of its subsidiary Oriental Selection. Additionally, New Oriental's AI-powered tools—such as automated course material generation and digital avatars—are expected to enhance operational efficiency and content quality.

Further boosting investor confidence, the company announced a three-year shareholder return plan with a dividend payout ratio of at least 50%, translating to a yield of approximately 2.7% based on FY2025 net profit. This underscores management's commitment to sustained profitability and shareholder value.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment