According to Zhixin Finance & Economics App, Goldman Sachs released a research report stating that it maintains a "buy" rating on New Oriental-S (09901), lowering the group's revenue forecast for 2025-2027 by 6%, lowering its EPADS forecast for 2025-2027 by 6% to 8%, and lowering its target price from HKD 86 to HKD 81.

The report pointed out that New Oriental's gross margin for the fourth quarter of fiscal year 2024 unexpectedly declined. Although New Oriental's gross margin is expected to continue to rise in the next few years, it is actually possible that a higher proportion of learning centers are in the expansion phase, which may drag down the gross margin of its core education business in the near term. Management has given guidance that the space capacity of learning centers will grow by 20% to 25% year-on-year in fiscal year 2025.

The bank expects that New Oriental's non-GAAP operating surplus for the first quarter and full year of fiscal year 2025 will increase by 1.6% and 1.9% year-on-year respectively, and lowers the non-GAAP operating surplus forecast of New Oriental's core business for 2025-2027 by 3% to 5%, but overall core revenue forecast remains largely unchanged.