Sometimes a little perspective is in order. New Oriental (NYSE:EDU) gets well-deserved plaudits for being the largest private education provider in China, and yet the company's revenue is about one-tenth that of Apollo Group (Nasdaq:APOL), the operator of University of Phoenix and the largest for-profit education company in the U.S. And yet, Apollo's enterprise value is only about 50% larger than that of New Oriental. That raises some interesting questions about the sort of growth potential New Oriental has, as well as how much of that growth has already been put into the stock by enthusiastic new shareholders.
A Strong End to the Fiscal Year
New Oriental certainly gave out a graduation present of its own as it closed its fiscal year. Revenue rose 59% for the fourth quarter, handily beating even the high end of the analyst range. Given that enrollment was up about 12% for the quarter, it is pretty clear that New Oriental is seeing some strong trends with its pricing and mix.
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http://stocks.investopedia.com/stock-analysis/2011/New-Oriental-Not-Too-Cool-For-School-EDU-APOL-WPO-REVU-AMBO-DL-GEDU0719.aspx
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