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New Oriental Education & Technology Group Inc (2997) Fair Value & Analysis

Consumer Discretionary · HK · Market cap HK$34.7B (≈ $4.4B) · ISIN KYG6470A2075

What is New Oriental Education & Technology Group Inc really worth?

NO New Oriental Education & Technology Group Inc 2997 · HK
PriceHK$0.1080
Fair ValueHK$0.1466
Upside+35.7%
Quality21/100

Below-average quality, trading 26% below our fair value of HK$0.1466.

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Risks

!Mixed Growth (revenue 5y +150.6 %/yr)
!Thin margins · 0.0% net margin
!High debt
!Mixed vs. peers (4/10)
!Narrow moat 2/100
!Evidence only low, so the estimate is less certain
!The models disagree: range HK$0.0809 to HK$0.3439
Evidence: Low Range HK$0.0809 – HK$0.3439

Fair value as of: Aug 13, 2026

From 22 valuation models · updated 22 days ago

Fair value updated Aug 13, 2026, revised from HK$0.1865 to HK$0.1466 (−21.4%) since Aug 5, 2026.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The large discount to fair value meets weak quality (21/100). That raises the risk this is a value trap rather than a bargain.
  • The model range is unusually wide (HK$0.0809 to HK$0.3439). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.

Price vs Fair Value (5 years)

HK$20.80 HK$0.0680 Fair Value HK$0.1466 Jul 2020 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range HK$0.0680 – HK$20.80 · fair‑value band HK$0.0809 – HK$0.3439 · the HK$0.1080 price screens below the HK$0.1466 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

New Oriental Education & Technology Group Inc (2997) currently trades at HK$0.1080, while our model-based Fair Value estimate is HK$0.1466, implying the stock looks roughly 26.3% undervalued today. The Quality Score stands at 21/100 (below-average quality), in the Consumer Discretionary sector. Bull case: the Earnings-Based group reads highest at a median of HK$1.14 per share, and 20 of the 22 models we run sit above the HK$0.1080 price. Bear case: the Asset-Based group reads lowest at HK$0.0800, and 2 of the 22 models stay below the price. Evidence for this calculation is low.

Revenue grew 59.1% year over year. It earns a return on equity of −39.1%. Fundamentals as of Aug 13, 2026

Our scenario range runs from HK$0.0809 (bear case) to HK$0.3439 (bull case); at HK$0.1080, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 75% below its 52-week high and 69% above its 52-week low. For context, the median of 10 Consumer Discretionary peers we cover trades at −43% fair-value upside, at 36%, 2997 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
EPV best evidence HK$0.4300 HK$0.5400 HK$0.6300 74
ROIC Compounder HK$0.6800 HK$1.22 HK$1.56 69
EV/EBITDA HK$0.4600 HK$0.6900 HK$0.9200 66
All 22 models by family
DCF Models
5Y Revenue Exit HK$0.0900 HK$0.4100 HK$1.10 60
5Y EBITDA Exit HK$0.2900 HK$0.8200 HK$1.88 65
5Y P/E Exit HK$0.1700 HK$0.8100 HK$1.70 61
10Y Revenue Exit HK$0.4500 HK$0.8200 61
10Y EBITDA Exit HK$0.1500 HK$0.8900 HK$2.28 56
10Y P/E Exit HK$0.0600 HK$0.6400 HK$1.64 52
Earnings-Based
Graham-Dodd HK$0.2200 HK$1.54 HK$2.16 61
Lynch FV HK$0.8000 HK$1.14 HK$1.48 59
PEG = 1.0 HK$0.8000 HK$1.14 HK$1.48 55
EPV best evidence HK$0.4300 HK$0.5400 HK$0.6300 74
Dividend Discount
Gordon GGM HK$0.0600 HK$0.1200 HK$0.1900 64
DDM Multi-Stage HK$0.0600 HK$0.1000 HK$0.1200 65
Multiples
P/E Multiple HK$0.5400 HK$0.7200 HK$0.8900 63
P/S Multiple HK$0.4100 HK$0.5500 HK$0.6900 58
P/B Multiple HK$0.3400 HK$0.4600 HK$0.5700 55
EV/EBIT HK$0.8000 HK$1.15 HK$1.50 65
EV/EBITDA HK$0.4600 HK$0.6900 HK$0.9200 66
EV/Revenue HK$0.1600 HK$0.3300 HK$0.5000 51
Asset-Based
NCAV (Graham) HK$0.0600 HK$0.0800 HK$0.1100 54
Economic Profit
Residual Income HK$0.2400 HK$0.3500 HK$3.06 61
ROIC Compounder HK$0.6800 HK$1.22 HK$1.56 69
Growth Earnings
Growth-Adj P/E HK$1.06 HK$1.51 HK$1.96 65

Widest divergence: Growth Earnings (HK$1.51) versus Asset-Based (HK$0.0800). Highest evidence: EPV (74).

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Key figures & financial health

EPS (TTM) HK$2.33
Dividend yield 5.5% payout 0.3%
Net margin 7.0% FY2020
Return on equity −39.1% TTM
Return on assets (EBIT) 6.4% avg 5y
Operating margin −162% TTM
More key figures
Growth
Revenue growth (YoY) +59.1% 3y avg +291%
EPS growth (YoY) +3.1%

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 21/100

Of which business quality 26 · Market factors (momentum, volatility) 35

Profitability 36
Margins and returns on capital today
Quality Growth 26
Are margins and returns improving?
Cashflow 38
Earnings quality: real cash, not paper profit
Fin. Strength 1
Balance sheet, leverage, solvency risk
Investment 33
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 22
Price trend over the last 3–12 months (market factor)
52W Momentum 39
Distance to the 52-week high (market factor)

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Zhong Jia Guo Xin Holdings Company Limited, an investment holding company, engages in the property development and investment business in the People's Republic of China. It is also involved in the production and sales of bottled mineral water; securities trading; mineral exploration and mining; and provision of management services.

Full company description

Zhong Jia Guo Xin Holdings Company Limited, an investment holding company, engages in the property development and investment business in the People's Republic of China. It is also involved in the production and sales of bottled mineral water; securities trading; mineral exploration and mining; and provision of management services. The company was formerly known as Asia Resources Holdings Limited and changed its name to Zhong Jia Guo Xin Holdings Company Limited in January 2024. The company was incorporated in 1997 and is based in Central, Hong Kong.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2016 – FY2020 · reported fiscal years

New Oriental Education & Technology Group Inc reported revenue of HK$146B in FY2020 versus HK$1.8B in FY2016, a compound +200.2%/yr. Reported net income was HK$10.2B in FY2020, compounding +146.8%/yr from FY2016.

Growth Quality 62/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2020)
HK$146B
Latest YoY
+3,983.0%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+290.8%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+150.6%
Value creation/yr We only publish this rate when it is defensible. Reason: no share-count history
not computed
Revenue +200.2%/yr
FY16 HK$1.8B
FY17 HK$2.4B
FY18 HK$3.1B
FY19 HK$3.6B
FY20 HK$146B
Net income +146.8%/yr
FY16 HK$274M
FY17 HK$296M
FY18 HK$238M
FY19 HK$413M
FY20 HK$10.2B

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Cite: Fair Value Calculator (2026). "New Oriental Education & Technology Group Inc Fair Value". https://www.fairvalue-calculator.com/stock/2997

Peer Group

Consumer Discretionary · 3805 stocks

How this stock ranks against its sector: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median. (Industry “Education Services” was too small, so the broader sector is used.)

Quality Score 21 · Bottom 25%
Fair Value upside +39% · Top 25%
Return on assets −1% · Bottom 25%
Net margin (TTM) 0% · Below median
Operating margin (TTM) −162% · Bottom 25%
Revenue growth 59% · Top 25%
Dividend yield (TTM) 5.5% · Top 25%
Debt / equity 2.05× · Higher than 75% of peers

Valuation Multiples vs Consumer Discretionary median · lower = cheaper

P/B 0.12× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE85 · sector 20
FUTURE100 · sector 14
PAST0 · sector 22
HEALTH0 · sector 96
DIVIDEND100 · sector 45

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

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10 more Education Services stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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BYLOT BYLOT €1.17 €0.3900 −67%
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BBBY BBBY $4.15 $0.5600 −87%
SAPL SAPL ₹3,998 ₹2,275 −43%
MCCHRLSB MCCHRLSB ₹670.10 ₹142.86 −79%
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Frequently asked questions

Is New Oriental Education & Technology Group Inc (2997) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of HK$0.1466 versus a price of HK$0.1080, about +36% upside (undervalued).
What is the fair value of 2997?
Our model-based fair value for New Oriental Education & Technology Group Inc is HK$0.1466 (as of Aug 13, 2026), built from audited fundamentals. The current price: HK$0.1080.
What is the quality score of 2997?
New Oriental Education & Technology Group Inc has a Quality Score of 21/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the net profit margin of 2997?
The net profit margin of New Oriental Education & Technology Group Inc is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.
Does New Oriental Education & Technology Group Inc pay a dividend?
New Oriental Education & Technology Group Inc currently shows a dividend yield of about 5.54% relative to its recent price (as of Aug 13, 2026).
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