12 Best Education Stocks to Buy in 2025

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

Number of Hedge Fund Holders: 36

New Oriental Education & Technology Group Inc. (NYSE:EDU) is a China-based company that delivers educational programs, services, and products to students via online learning platforms and its physical network of schools and learning centers. Its operations are divided into four primary segments: the Educational Services and Test Preparation Courses segment, the Online Education and Other Services segment, the Overseas Study Consulting Services segment, and the Educational Materials and Distribution segment.

In fiscal Q2 2025, New Oriental Education & Technology Group Inc. (NYSE:EDU) reported 19.4% year-over-year revenue growth, reflecting its strong operations. Total net revenues increased 31.3% year-over-year, excluding revenues generated from East Buy private label products and live streaming business. Analysts are bullish on the stock due to its sustained healthy top-line growth of 19.4%. Its median price target of $48.78 implies an upside of $39.80% from current levels.

The company’s new educational business initiatives also maintained strong momentum in the quarter, with revenue growth of 42.6% year over year. These initiatives include New Oriental Education & Technology Group Inc.’s (NYSE:EDU) non-academic tutoring courses offered in around 60 cities and attracted around 994,000 student enrollments in fiscal Q2 2025. Similarly, the company’s intelligent learning system and devices were adopted in around 60 cities, with approximately 261,000 active paid users in the quarter.

Overall, EDU ranks first among the 12 best education stocks to buy in 2025. While we acknowledge the potential of education stocks, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than EDU but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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