MCGRAW HILL INC (MH) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:MH • US5809071039

14.75 USD
-0.08 (-0.54%)
At close: Jan 30, 2026
14.75 USD
0 (0%)
After Hours: 1/30/2026, 8:05:17 PM
Fundamental Rating

3

Taking everything into account, MH scores 3 out of 10 in our fundamental rating. MH was compared to 76 industry peers in the Diversified Consumer Services industry. MH may be in some trouble as it scores bad on both profitability and health. MH has a valuation in line with the averages, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • MH had negative earnings in the past year.
MH Yearly Net Income VS EBIT VS OCF VS FCFMH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2023 2024 2025 0 200M -200M 400M -400M 600M

1.2 Ratios

  • The Return On Assets of MH (-1.72%) is comparable to the rest of the industry.
  • MH has a Return On Equity (-13.09%) which is in line with its industry peers.
  • MH has a better Return On Invested Capital (5.19%) than 64.47% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for MH is significantly below the industry average of 10.17%.
  • The 3 year average ROIC (3.64%) for MH is below the current ROIC(5.19%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA -1.72%
ROE -13.09%
ROIC 5.19%
ROA(3y)-3.82%
ROA(5y)N/A
ROE(3y)-51.79%
ROE(5y)N/A
ROIC(3y)3.64%
ROIC(5y)N/A
MH Yearly ROA, ROE, ROICMH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2023 2024 2025 0 -20 -40 -60

1.3 Margins

  • MH has a better Operating Margin (14.55%) than 76.32% of its industry peers.
  • MH has a better Gross Margin (80.61%) than 93.42% of its industry peers.
Industry RankSector Rank
OM 14.55%
PM (TTM) N/A
GM 80.61%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
MH Yearly Profit, Operating, Gross MarginsMH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2023 2024 2025 0 20 -20 40 60

2

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MH is destroying value.
  • The number of shares outstanding for MH remains at a similar level compared to 1 year ago.
  • MH has a better debt/assets ratio than last year.
MH Yearly Shares OutstandingMH Yearly Shares OutstandingYearly Shares Outstanding 2023 2024 2025 50M 100M 150M
MH Yearly Total Debt VS Total AssetsMH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2023 2024 2025 2B 4B 6B

2.2 Solvency

  • MH has an Altman-Z score of 0.57. This is a bad value and indicates that MH is not financially healthy and even has some risk of bankruptcy.
  • MH has a Altman-Z score (0.57) which is comparable to the rest of the industry.
  • MH has a Debt/Equity ratio of 3.54. This is a high value indicating a heavy dependency on external financing.
  • With a Debt to Equity ratio value of 3.54, MH is not doing good in the industry: 77.63% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 3.54
Debt/FCF N/A
Altman-Z 0.57
ROIC/WACC0.6
WACC8.72%
MH Yearly LT Debt VS Equity VS FCFMH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2023 2024 2025 1B 2B 3B

2.3 Liquidity

  • A Current Ratio of 1.01 indicates that MH should not have too much problems paying its short term obligations.
  • The Current ratio of MH (1.01) is comparable to the rest of the industry.
  • MH has a Quick Ratio of 1.01. This is a bad value and indicates that MH is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of MH (0.92) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.01
Quick Ratio 0.92
MH Yearly Current Assets VS Current LiabilitesMH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2023 2024 2025 200M 400M 600M 800M 1B

3

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 55.53% over the past year.
  • MH shows a small growth in Revenue. In the last year, the Revenue has grown by 7.18%.
EPS 1Y (TTM)55.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%N/A
Revenue 1Y (TTM)7.18%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A

3.2 Future

  • Based on estimates for the next years, MH will show a very strong growth in Earnings Per Share. The EPS will grow by 45.81% on average per year.
  • Based on estimates for the next years, MH will show a small growth in Revenue. The Revenue will grow by 3.46% on average per year.
EPS Next Y471.88%
EPS Next 2Y140.53%
EPS Next 3Y83.99%
EPS Next 5Y45.81%
Revenue Next Year0.46%
Revenue Next 2Y3.06%
Revenue Next 3Y3.9%
Revenue Next 5Y3.46%

3.3 Evolution

MH Yearly Revenue VS EstimatesMH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2023 2024 2025 2026 2027 2028 2029 2030 500M 1B 1.5B 2B
MH Yearly EPS VS EstimatesMH Yearly EPS VS EstimatesYearly EPS VS Estimates 2026 2027 2028 2029 2030 0.5 1 1.5 2

5

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings Ratio is negative for MH. In the last year negative earnings were reported.
  • MH is valuated reasonably with a Price/Forward Earnings ratio of 8.67.
  • 90.79% of the companies in the same industry are more expensive than MH, based on the Price/Forward Earnings ratio.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, MH is valued rather cheaply.
Industry RankSector Rank
PE N/A
Fwd PE 8.67
MH Price Earnings VS Forward Price EarningsMH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 10 -10 20 -20

4.2 Price Multiples

  • MH's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MH is cheaper than 73.68% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 8.5
MH Per share dataMH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 -10 -15

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • MH's earnings are expected to grow with 83.99% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y140.53%
EPS Next 3Y83.99%

0

5. Dividend

5.1 Amount

  • No dividends for MH!.
Industry RankSector Rank
Dividend Yield 0%

MCGRAW HILL INC / MH FAQ

What is the ChartMill fundamental rating of MCGRAW HILL INC (MH) stock?

ChartMill assigns a fundamental rating of 3 / 10 to MH.


Can you provide the valuation status for MCGRAW HILL INC?

ChartMill assigns a valuation rating of 5 / 10 to MCGRAW HILL INC (MH). This can be considered as Fairly Valued.


Can you provide the profitability details for MCGRAW HILL INC?

MCGRAW HILL INC (MH) has a profitability rating of 3 / 10.


How financially healthy is MCGRAW HILL INC?

The financial health rating of MCGRAW HILL INC (MH) is 2 / 10.


What is the earnings growth outlook for MCGRAW HILL INC?

The Earnings per Share (EPS) of MCGRAW HILL INC (MH) is expected to grow by 471.88% in the next year.