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CICC: Lowering the target price of China Oriental Education (00667) by 37% to HK$6, reaffirming the “outperforming the industry” rating
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The Zhitong Finance App learned that CICC released a research report stating that the 2026 and 2027 revenue and adjusted net profit forecasts remained unchanged, maintaining China Oriental Education's (00667) “outperforming the industry” rating, but due to the decline in the average valuation of the sector, the target price was lowered by 37% to HK$6, which is equivalent to predicting the adjusted corporate value in 2026 to about 4.3 times the EBITDA ratio.

The number of new students enrolled in Oriental Education in China is growing steadily, and the curriculum structure continues to be optimized. Its revenue for the first half of the year increased 10.6% year over year to RMB 2.42 billion, in line with the forecast; adjusted net profit attributable to shareholders increased 20.5% year over year to RMB 501 million, which was better than the bank's forecast, mainly due to a larger improvement in gross margin than expected.


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