Can New Oriental (EDU) Run Higher on Rising Earnings Estimates?

Core Viewpoint - New Oriental Education (EDU) shows a promising earnings outlook, with analysts raising their earnings estimates, indicating potential for continued stock momentum [1][2]. Estimate Revisions - The upward trend in earnings estimate revisions reflects growing analyst optimism about New Oriental's earnings prospects, which is expected to positively impact its stock price [2]. - For the current quarter, New Oriental is projected to earn $1.07 per share, a 52.9% increase from the previous year, with a 13.92% rise in the Zacks Consensus Estimate over the last 30 days due to one upward revision [5]. - For the full year, the expected earnings are $3.74 per share, representing an 18.0% year-over-year increase, with four estimates moving higher and a 5.83% increase in the consensus estimate [6][7]. Zacks Rank - New Oriental currently holds a Zacks Rank 1 (Strong Buy), supported by favorable estimate revisions, which historically correlate with strong stock performance [8]. - Stocks with Zacks Rank 1 and 2 have shown significant outperformance compared to the S&P 500 [8]. Stock Performance - The stock has gained 8.7% over the past four weeks, driven by solid estimate revisions, suggesting that it may be a good addition to investment portfolios [9].