Deutsche Bank on New Oriental Education: Bullish Buy on Improving Margins

Deutsche Bank provided color on New Oriental Education EDU in a research report published Friday prior to the company's earnings announcement scheduled for July 17. in the report, Deutsche Bank stated, "Education is among the sectors we are most constructive on, given the current macro headwinds in the economy, and EDU remains the most attractive exposure in the space. We believe the counter has de-rated to attractive levels and margins should stabilize going forward." Later in the report, Deutsche Bank noted, "We are bullish on EDU's test prep business as we believe the undergraduate test prep segment is a secular growth opportunity over the medium term." Shares of New Oriental Education were trading at $24.67 at the time of posting, down 0.67% from Thursday's market close.