SCHOLASTIC CORP (SCHL) Stock Fundamental Analysis
USA - NASDAQ:SCHL - US8070661058 - Common Stock
28.25 USD
+0.25 (+0.89%)
We assign a fundamental rating of 4 out of 10 to SCHL. SCHL was compared to 95 industry peers in the Media industry. SCHL scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. SCHL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SCHL was profitable.
In the past year SCHL had a positive cash flow from operations.
In multiple years SCHL reported negative net income over the last 5 years.
In the past 5 years SCHL always reported a positive cash flow from operatings.
1.2 Ratios
SCHL has a Return On Assets (-0.54%) which is comparable to the rest of the industry.
With a Return On Equity value of -1.20%, SCHL perfoms like the industry average, outperforming 53.68% of the companies in the same industry.
SCHL has a Return On Invested Capital (0.91%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SCHL is significantly below the industry average of 8.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.54% | ||
| ROE | -1.2% | ||
| ROIC | 0.91% |
ROA(3y)1.75%
ROA(5y)1.77%
ROE(3y)2.8%
ROE(5y)2.82%
ROIC(3y)3.39%
ROIC(5y)N/A
1.3 Margins
SCHL has a worse Operating Margin (1.00%) than 60.00% of its industry peers.
SCHL's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 55.76%, SCHL is in the better half of the industry, outperforming 67.37% of the companies in the same industry.
In the last couple of years the Gross Margin of SCHL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1% | ||
| PM (TTM) | N/A | ||
| GM | 55.76% |
OM growth 3Y-43.22%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.46%
GM growth 5Y2.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SCHL is destroying value.
Compared to 1 year ago, SCHL has less shares outstanding
The number of shares outstanding for SCHL has been reduced compared to 5 years ago.
SCHL has a worse debt/assets ratio than last year.
2.2 Solvency
SCHL has an Altman-Z score of 1.97. This is not the best score and indicates that SCHL is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 1.97, SCHL is doing good in the industry, outperforming 69.47% of the companies in the same industry.
The Debt to FCF ratio of SCHL is 20.23, which is on the high side as it means it would take SCHL, 20.23 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SCHL (20.23) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.37 indicates that SCHL is not too dependend on debt financing.
SCHL has a Debt to Equity ratio of 0.37. This is in the better half of the industry: SCHL outperforms 61.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 20.23 | ||
| Altman-Z | 1.97 |
ROIC/WACC0.1
WACC8.74%
2.3 Liquidity
SCHL has a Current Ratio of 1.16. This is a normal value and indicates that SCHL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SCHL (1.16) is comparable to the rest of the industry.
A Quick Ratio of 0.65 indicates that SCHL may have some problems paying its short term obligations.
The Quick ratio of SCHL (0.65) is worse than 72.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
SCHL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -88.12%.
Measured over the past years, SCHL shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -40.97% on average per year.
The Revenue has been growing slightly by 0.97% in the past year.
Measured over the past years, SCHL shows a small growth in Revenue. The Revenue has been growing by 1.80% on average per year.
EPS 1Y (TTM)-88.12%
EPS 3Y-40.97%
EPS 5YN/A
EPS Q2Q%-18.31%
Revenue 1Y (TTM)0.97%
Revenue growth 3Y-0.35%
Revenue growth 5Y1.8%
Sales Q2Q%-4.89%
3.2 Future
Based on estimates for the next years, SCHL will show a very strong growth in Earnings Per Share. The EPS will grow by 95.19% on average per year.
Based on estimates for the next years, SCHL will show a small growth in Revenue. The Revenue will grow by 3.59% on average per year.
EPS Next Y115%
EPS Next 2Y95.19%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.62%
Revenue Next 2Y3.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 235.42, SCHL can be considered very expensive at the moment.
SCHL's Price/Earnings ratio is in line with the industry average.
SCHL is valuated expensively when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
SCHL is valuated correctly with a Price/Forward Earnings ratio of 14.54.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SCHL indicates a somewhat cheap valuation: SCHL is cheaper than 65.26% of the companies listed in the same industry.
SCHL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 235.42 | ||
| Fwd PE | 14.54 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SCHL is valued a bit cheaper than the industry average as 64.21% of the companies are valued more expensively.
The rest of the industry has a similar Price/Free Cash Flow ratio as SCHL.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.53 | ||
| EV/EBITDA | 8.91 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SCHL does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as SCHL's earnings are expected to grow with 95.19% in the coming years.
PEG (NY)2.05
PEG (5Y)N/A
EPS Next 2Y95.19%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SCHL has a Yearly Dividend Yield of 2.80%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.46, SCHL pays a bit more dividend than its industry peers.
SCHL's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
5.2 History
On average, the dividend of SCHL grows each year by 7.19%, which is quite nice.
SCHL has paid a dividend for at least 10 years, which is a reliable track record.
SCHL has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.19%
Div Incr Years0
Div Non Decr Years16
5.3 Sustainability
The earnings of SCHL are negative and hence is the payout ratio. SCHL will probably not be able to sustain this dividend level.
SCHL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-210.48%
EPS Next 2Y95.19%
EPS Next 3YN/A
NASDAQ:SCHL (10/23/2025, 11:44:44 AM)
28.25
+0.25 (+0.89%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners84.73%
Inst Owner Change-0.93%
Ins Owners4.96%
Ins Owner Change2.62%
Market Cap710.21M
Revenue(TTM)1.61B
Net Income(TTM)-10500000
Analysts82.86
Price Target36.72 (29.98%)
Short Float %7.36%
Short Ratio4.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
Yearly Dividend0.85
Dividend Growth(5Y)7.19%
DP-210.48%
Div Incr Years0
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.45%
Min EPS beat(2)-1.25%
Max EPS beat(2)0.35%
EPS beat(4)2
Avg EPS beat(4)17.6%
Min EPS beat(4)-22.42%
Max EPS beat(4)93.72%
EPS beat(8)3
Avg EPS beat(8)3.46%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-3.33%
Min Revenue beat(2)-7.42%
Max Revenue beat(2)0.76%
Revenue beat(4)1
Avg Revenue beat(4)-3.93%
Min Revenue beat(4)-7.42%
Max Revenue beat(4)0.76%
Revenue beat(8)1
Avg Revenue beat(8)-5.9%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)2.86%
EPS NQ rev (1m)0.73%
EPS NQ rev (3m)-12.13%
EPS NY rev (1m)-23.21%
EPS NY rev (3m)-49.53%
Revenue NQ rev (1m)0.79%
Revenue NQ rev (3m)-3.43%
Revenue NY rev (1m)-0.41%
Revenue NY rev (3m)-2.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 235.42 | ||
| Fwd PE | 14.54 | ||
| P/S | 0.44 | ||
| P/FCF | 41.53 | ||
| P/OCF | 8.42 | ||
| P/B | 0.81 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 8.91 |
EPS(TTM)0.12
EY0.42%
EPS(NY)1.94
Fwd EY6.88%
FCF(TTM)0.68
FCFY2.41%
OCF(TTM)3.35
OCFY11.87%
SpS64.2
BVpS34.92
TBVpS18.35
PEG (NY)2.05
PEG (5Y)N/A
Graham Number9.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.54% | ||
| ROE | -1.2% | ||
| ROCE | 1.22% | ||
| ROIC | 0.91% | ||
| ROICexc | 0.98% | ||
| ROICexgc | 1.48% | ||
| OM | 1% | ||
| PM (TTM) | N/A | ||
| GM | 55.76% | ||
| FCFM | 1.06% |
ROA(3y)1.75%
ROA(5y)1.77%
ROE(3y)2.8%
ROE(5y)2.82%
ROIC(3y)3.39%
ROIC(5y)N/A
ROICexc(3y)4%
ROICexc(5y)N/A
ROICexgc(3y)5.36%
ROICexgc(5y)N/A
ROCE(3y)4.54%
ROCE(5y)N/A
ROICexgc growth 3Y-43.88%
ROICexgc growth 5YN/A
ROICexc growth 3Y-46.67%
ROICexc growth 5YN/A
OM growth 3Y-43.22%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.46%
GM growth 5Y2.42%
F-Score5
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 20.23 | ||
| Debt/EBITDA | 3.03 | ||
| Cap/Depr | 73.68% | ||
| Cap/Sales | 4.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.56% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 1.97 |
F-Score5
WACC8.74%
ROIC/WACC0.1
Cap/Depr(3y)115.19%
Cap/Depr(5y)108.28%
Cap/Sales(3y)5.01%
Cap/Sales(5y)4.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-88.12%
EPS 3Y-40.97%
EPS 5YN/A
EPS Q2Q%-18.31%
EPS Next Y115%
EPS Next 2Y95.19%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.97%
Revenue growth 3Y-0.35%
Revenue growth 5Y1.8%
Sales Q2Q%-4.89%
Revenue Next Year2.62%
Revenue Next 2Y3.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-65.67%
EBIT growth 3Y-43.42%
EBIT growth 5YN/A
EBIT Next Year556.7%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-78.27%
FCF growth 3Y-34.21%
FCF growth 5YN/A
OCF growth 1Y-50.73%
OCF growth 3Y-18.09%
OCF growth 5Y126.14%