Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Chinese private educator New Oriental Education
So what: Revenue for the quarter tallied up to $272 million and earnings per share came in at $0.58. Both of these figures beat the consensus estimate, which was looking for revenue of $263.8 million and earnings of $0.57 per share. Total student enrollments rose by 14.6% year-over-year to roughly 807,700.
Now what: Although the results beat estimates, the stock sold off but recovered somewhat, to close with a 12% loss for the day. Forward-looking guidance called for second-quarter revenue of $124.4 million to $129.1 million, compared with the consensus of $127.6 million. With the company growing top-line revenue by 41.4% and net income by 45.5%, I'm not quite so sure what investors are so disappointed with.
Interested in more info on New Oriental Education? Add it to your watchlist.
Fool contributor Evan Niu holds no position in any company mentioned. Check out his holdings and a short bio. Motley Fool newsletter services have recommended buying shares of New Oriental Education & Technology Group. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.