EDU Falling Short Of Expectations

New Oriental Education & Tech. Group's EDU pre-announcement expects merely 8% enrollment growth, 29% rev growth, and 10% EPS growth in F1Q11, ~15% below Oppenheimer's previous est./consensus of $1.92/$1.96. EDU's fast learning-center expansion, addition of teachers, & higher selling & marketing exps resulted in operating margin 6 points lower than expectations. Oppenheimer maintains its $102 target but expects EDU shares will remain range-bound near term until there's better visibility on its expansion plan's returns. Oppenheimer is adjusting F1Q & FY11 EPS estimates to $1.60 (vs $1.60-$1.64 guidance) and $2.12, respectively, reflecting lower rev & margins estimates. EDU closed Tuesday at $95.21