China tech clampdown now targets edutech and market abuses lightreading.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from lightreading.com Daily Mail and Mail on Sunday newspapers.
China Online Education Group (NYSE:COE) climbed 9.1% through 10:40 a.m. EDT,
TAL Education Group (NYSE:TAL) gained 10.3%, and
New Oriental Education (NYSE:EDU) rose 14.8%.
As TheFly.com reported today, investment bank Goldman Sachs cut its price target on TAL Education and downgraded New Oriental Education stock, but the stock prices rose anyway. Why?
Image source: Getty Images.
So what
Goldman Sachs probably thought it was delivering investors a warning about the perils of investing in heavily regulated international stocks that can be devastated by restrictions imposed by the Chinese government but that s not the way investors seem to be taking the news.