On August 12, NEW ORIENTAL-S declined 3.17% in regular trading, trading at HK$42.72/share, with turnover of approximately HK$31.74 million.

On the news front, NEW ORIENTAL-S CEO Zhou Chenggang sold 70,000 shares on August 7, cashing out approximately US$3.98 million (around RMB 26.85 million). The executive reduction sent a negative signal to the market, weighing on short-term sentiment. Additionally, market analysis highlighted that while New Oriental's revenue scale is nearly double that of TAL Education, its operating profit margin stands at only about one-third of TAL's, raising concerns over the cost pressures arising from the company's aggressive expansion strategy and overall earnings quality.

Despite multiple institutions maintaining Buy ratings — with Goldman Sachs raising its target price to HK$55 and CMBI setting a target of US$90 — and the company reporting strong fiscal Q4 results with net income surging 776% year-over-year to US$62.2 million, the insider selling activity appears to have overshadowed the positive fundamental backdrop in the near term.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)