5 Best Chinese Stocks to Buy According to Hedge Funds

3. New Oriental Education & Technology Group Inc. (NYSE:EDU)

Number of Hedge Fund Holders: 33

On April 22, BofA Securities lifted the price target on New Oriental Education & Technology Group Inc. (NYSE:EDU) to $73.20 from $71.30 and reaffirmed a Buy rating. In its analysis, the firm cited the company’s 19% YoY February quarter revenue growth, which exceeded the forecasted 11% to 14%. This strong performance was associated with test preparation and EB segments.

Although higher revenue assumptions were compensated for by lower margin assumptions for once-only restructuring expenses, BofA Securities reiterated its FY26 guidance while raising its estimates by 6% for FY27.

When New Oriental Education & Technology Group Inc. (NYSE:EDU) reported its financial results for the third quarter, it delivered EPS that was $0.11 better than the projected EPS of $0.84. Additionally, revenue came in at $1.42 billion, exceeding the forecasted $1.36 billion. Despite these positive metrics, the market remains cautious about the macroeconomic environment. During its earnings call on April 22, the company highlighted that the future performance will be driven by the integration of AI and the acceleration of its OMO platform, making it one of the best Chinese stocks to buy.

New Oriental Education & Technology Group Inc. (NYSE:EDU) is a Beijing-based provider of private educational services. Founded in 1993, the company operates through four segments, including Educational Services and Test Preparation Courses, and Overseas Study Consulting Services.