Four Seasons Education (Cayman)FEDU 62 ROE % is 8.93% as of Feb. 2026, which is 22225% above its 10-year median of 0.04. GuruFocus rates FEDU with a GF Score™ of 62/100 and a GF Value™ of $18.54 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 263 Education companies, Four Seasons Education (Cayman) ranks worse than 52.09% on this metric.
FEDU'
s ROE % Range Over the Past 10 Years
Min: -22.16 Med: 0.04 Max: 21.53
Current: 6.74
During the past 11 years, Four Seasons Education (Cayman)'s highest ROE % was 21.53%. The lowest was -22.16%. And the median was 0.04%.
FEDU's ROE % is ranked worse than 52.09% of 263
companies
in the Education industry
Industry Median: 7.31
vs FEDU: 6.74
Four Seasons Education (Cayman) (NYSE:FEDU) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is two times the semi-annual (Feb. 2026) net income data. The Revenue data used here is two times the semi-annual (Feb. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Four Seasons Education (Cayman) ROE % Related Terms
Four Seasons Education (Cayman) ROE % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Education & Training Services subindustry, Four Seasons Education (Cayman)'s ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Four Seasons Education (Cayman) ROE % vs Education Industry
For the Education industry and Consumer Defensive sector, Four Seasons Education (Cayman)'s ROE % distribution charts can be found below:
* The bar in red indicates where Four Seasons Education (Cayman)'s ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is two times the semi-annual (Feb. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Four Seasons Education (Cayman) (FEDU) has a ROE % of 8.93% as of Feb. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Four Seasons Education (Cayman) and its competitors. This is 22225% above median its historical median of 0.04. According to the industry distribution chart, Four Seasons Education (Cayman) ranks #137 out of 263 companies in the Education industry, placing it in the top 52.1%.
Is Four Seasons Education (Cayman)'s ROE % too high?
Four Seasons Education (Cayman)'s current ROE % of 8.93% is 22225% above median its 10-year median of 0.04. The Education industry median ROE % is 7.31. Four Seasons Education (Cayman)'s value of 8.93% is 22.2% above this industry median. Based on the distribution chart, Four Seasons Education (Cayman) ranks #137 out of 263 companies in the Education industry, which is below the industry midpoint. Overall, Four Seasons Education (Cayman) has a GF Score™ of 62/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Four Seasons Education (Cayman)'s ROE % compare to LMMY and EDTK?
According to the Education industry distribution chart, Four Seasons Education (Cayman) ranks #137 out of 263 companies for ROE %. This places Four Seasons Education (Cayman) in the lower half of its industry. The industry median ROE % is 7.31. Four Seasons Education (Cayman)'s value of 8.93% is 22.2% above this benchmark. While the company's 10-year median is 0.04 vs. the industry median of 7.31, Four Seasons Education (Cayman) has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Education company?
The median ROE % among Education companies is 7.31, based on 263 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Four Seasons Education (Cayman)'s current ROE % of 8.93% is 22.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Four Seasons Education (Cayman) and its competitors. For the Education industry, the median ROE % is 7.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Four Seasons Education (Cayman)'s current ROE % is 8.93%, which is 22225% above median its own 10-year median of 0.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Four Seasons Education (Cayman) stock overvalued right now?
Based on GuruFocus' analysis, Four Seasons Education (Cayman) (FEDU) is currently considered Possible Value Trap. The stock's GF Value™ is $18.54, compared to a current price of $10.50 — trading 43.4% below its estimated fair value. The current ROE % is 8.93%, which is 22225% above median its 10-year median of 0.04 and 22.2% above the Education industry median of 7.31. Four Seasons Education (Cayman)'s overall GF Score™ is 62/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Four Seasons Education (Cayman) (FEDU), the current ROE % is 8.93% as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Four Seasons Education (Cayman) (FEDU) Overvalued in 2026?
Based on GuruFocus' analysis, Four Seasons Education (Cayman) stock appears to be undervalued.
The current stock price of $10.50 is trading 43.4% below its estimated GF Value™ of $18.54.
GuruFocus considers Four Seasons Education (Cayman) to be Possible Value Trap.
Key valuation signals for FEDU:
ROE %: 8.93% (22225% above median its 10-year median of 0.04)
GF Value™: $18.54 vs. price of $10.50 (43.4% below fair value)
Industry Position: 22.2% above the Education median (#137 of 263)
No single metric tells the full story. See the FEDU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Four Seasons Education (Cayman) Business Description
Four Seasons Education (Cayman) Inc is a service provider of both tourism and education-related services in China. Its program, service, and product offerings mainly consist of enrichment learning programs, school-based tutoring product solutions, and training programs for teachers, study camps and learning trips for students, and travel agency services for all age groups. The Company provides a wide variety of learning and tourism services and is committed to maximizing a learner's potential through technology and content capabilities. The Group operates through three segments: Learning Services, which generates maximum revenue, Tourism Services, and Learning Technology and Content Solutions. The Group mainly operates in the PRC.
62GF Score
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