TAL EDUCATION GROUP- ADR (TAL) Fundamental Analysis & Valuation

NYSE:TAL • US8740801043

10.74 USD
+0.1 (+0.94%)
At close: Mar 9, 2026
10.6999 USD
-0.04 (-0.37%)
After Hours: 3/9/2026, 7:51:57 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This TAL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to TAL. TAL was compared to 74 industry peers in the Diversified Consumer Services industry. While TAL has a great health rating, its profitability is only average at the moment. TAL may be a bit undervalued, certainly considering the very reasonable score on growth


Dividend Valuation Growth Profitability Health

4

1. TAL Profitability Analysis

1.1 Basic Checks

  • TAL had positive earnings in the past year.
  • TAL had a positive operating cash flow in the past year.
  • In the past 5 years TAL reported 4 times negative net income.
  • Of the past 5 years TAL 4 years had a positive operating cash flow.
TAL Yearly Net Income VS EBIT VS OCF VS FCFTAL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M -1B

1.2 Ratios

  • With a decent Return On Assets value of 4.71%, TAL is doing good in the industry, outperforming 66.22% of the companies in the same industry.
  • TAL's Return On Equity of 7.96% is fine compared to the rest of the industry. TAL outperforms 60.81% of its industry peers.
  • TAL has a Return On Invested Capital of 3.86%. This is comparable to the rest of the industry: TAL outperforms 56.76% of its industry peers.
Industry RankSector Rank
ROA 4.71%
ROE 7.96%
ROIC 3.86%
ROA(3y)-0.47%
ROA(5y)-4.94%
ROE(3y)-0.46%
ROE(5y)-6.36%
ROIC(3y)N/A
ROIC(5y)N/A
TAL Yearly ROA, ROE, ROICTAL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 -20

1.3 Margins

  • The Profit Margin of TAL (9.89%) is better than 74.32% of its industry peers.
  • The Operating Margin of TAL (6.66%) is better than 60.81% of its industry peers.
  • With a decent Gross Margin value of 55.24%, TAL is doing good in the industry, outperforming 70.27% of the companies in the same industry.
  • In the last couple of years the Gross Margin of TAL has remained more or less at the same level.
Industry RankSector Rank
OM 6.66%
PM (TTM) 9.89%
GM 55.24%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.3%
GM growth 5Y-0.66%
TAL Yearly Profit, Operating, Gross MarginsTAL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. TAL Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TAL is destroying value.
  • The number of shares outstanding for TAL has been reduced compared to 1 year ago.
  • Compared to 5 years ago, TAL has more shares outstanding
  • There is no outstanding debt for TAL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
TAL Yearly Shares OutstandingTAL Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M
TAL Yearly Total Debt VS Total AssetsTAL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • TAL has an Altman-Z score of 2.59. This is not the best score and indicates that TAL is in the grey zone with still only limited risk for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 2.59, TAL is in the better half of the industry, outperforming 71.62% of the companies in the same industry.
  • TAL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 2.59
ROIC/WACC0.51
WACC7.54%
TAL Yearly LT Debt VS Equity VS FCFTAL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B

2.3 Liquidity

  • TAL has a Current Ratio of 2.07. This indicates that TAL is financially healthy and has no problem in meeting its short term obligations.
  • TAL has a better Current ratio (2.07) than 78.38% of its industry peers.
  • A Quick Ratio of 2.01 indicates that TAL has no problem at all paying its short term obligations.
  • The Quick ratio of TAL (2.01) is better than 78.38% of its industry peers.
Industry RankSector Rank
Current Ratio 2.07
Quick Ratio 2.01
TAL Yearly Current Assets VS Current LiabilitesTAL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. TAL Growth Analysis

3.1 Past

  • TAL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 83.87%, which is quite impressive.
  • Looking at the last year, TAL shows a very strong growth in Revenue. The Revenue has grown by 36.10%.
  • The Revenue has been decreasing by -7.22% on average over the past years.
EPS 1Y (TTM)83.87%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%316.67%
Revenue 1Y (TTM)36.1%
Revenue growth 3Y-19.98%
Revenue growth 5Y-7.22%
Sales Q2Q%27%

3.2 Future

  • The Earnings Per Share is expected to grow by 59.59% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, TAL will show a quite strong growth in Revenue. The Revenue will grow by 17.43% on average per year.
EPS Next Y174.21%
EPS Next 2Y82.08%
EPS Next 3Y61.58%
EPS Next 5Y59.59%
Revenue Next Year32.14%
Revenue Next 2Y27.23%
Revenue Next 3Y23.85%
Revenue Next 5Y17.43%

3.3 Evolution

  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
TAL Yearly Revenue VS EstimatesTAL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1B 2B 3B 4B 5B
TAL Yearly EPS VS EstimatesTAL Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 1 -1 2

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Find the best growth stocksShow best growing peers

7

4. TAL Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 18.84, TAL is valued on the expensive side.
  • Based on the Price/Earnings ratio, TAL is valued a bit cheaper than 60.81% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.46, TAL is valued a bit cheaper.
  • TAL is valuated correctly with a Price/Forward Earnings ratio of 13.50.
  • Based on the Price/Forward Earnings ratio, TAL is valued a bit cheaper than 78.38% of the companies in the same industry.
  • TAL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.65, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 18.84
Fwd PE 13.5
TAL Price Earnings VS Forward Price EarningsTAL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TAL indicates a rather cheap valuation: TAL is cheaper than 83.78% of the companies listed in the same industry.
  • TAL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TAL is cheaper than 83.78% of the companies in the same industry.
Industry RankSector Rank
P/FCF 11
EV/EBITDA 5.69
TAL Per share dataTAL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 1 2 3 4 5

4.3 Compensation for Growth

  • TAL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • TAL's earnings are expected to grow with 61.58% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y82.08%
EPS Next 3Y61.58%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. TAL Dividend Analysis

5.1 Amount

  • TAL does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

TAL Fundamentals: All Metrics, Ratios and Statistics

TAL EDUCATION GROUP- ADR

NYSE:TAL (3/9/2026, 7:51:57 PM)

After market: 10.6999 -0.04 (-0.37%)

10.74

+0.1 (+0.94%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)01-29
Earnings (Next)04-22
Inst Owners57.72%
Inst Owner Change1.24%
Ins Owners0%
Ins Owner Change0%
Market Cap6.49B
Revenue(TTM)2.82B
Net Income(TTM)278.65M
Analysts83.08
Price Target15.69 (46.09%)
Short Float %1.62%
Short Ratio5.6
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)145.3%
Min EPS beat(2)46.81%
Max EPS beat(2)243.78%
EPS beat(4)3
Avg EPS beat(4)68.99%
Min EPS beat(4)-89.33%
Max EPS beat(4)243.78%
EPS beat(8)7
Avg EPS beat(8)149.69%
EPS beat(12)8
Avg EPS beat(12)-58.89%
EPS beat(16)10
Avg EPS beat(16)-70.53%
Revenue beat(2)1
Avg Revenue beat(2)0.69%
Min Revenue beat(2)-1.43%
Max Revenue beat(2)2.81%
Revenue beat(4)1
Avg Revenue beat(4)-1.59%
Min Revenue beat(4)-5.18%
Max Revenue beat(4)2.81%
Revenue beat(8)5
Avg Revenue beat(8)2.37%
Revenue beat(12)9
Avg Revenue beat(12)3.71%
Revenue beat(16)11
Avg Revenue beat(16)2.76%
PT rev (1m)1.21%
PT rev (3m)8.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)55.58%
EPS NY rev (1m)5.59%
EPS NY rev (3m)41.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.67%
Revenue NY rev (1m)-0.2%
Revenue NY rev (3m)-1.47%
Valuation
Industry RankSector Rank
PE 18.84
Fwd PE 13.5
P/S 2.3
P/FCF 11
P/OCF 11
P/B 1.85
P/tB 1.91
EV/EBITDA 5.69
EPS(TTM)0.57
EY5.31%
EPS(NY)0.8
Fwd EY7.41%
FCF(TTM)0.98
FCFY9.09%
OCF(TTM)0.98
OCFY9.09%
SpS4.66
BVpS5.79
TBVpS5.64
PEG (NY)0.11
PEG (5Y)N/A
Graham Number8.62
Profitability
Industry RankSector Rank
ROA 4.71%
ROE 7.96%
ROCE 4.89%
ROIC 3.86%
ROICexc 67.28%
ROICexgc 116.36%
OM 6.66%
PM (TTM) 9.89%
GM 55.24%
FCFM 20.95%
ROA(3y)-0.47%
ROA(5y)-4.94%
ROE(3y)-0.46%
ROE(5y)-6.36%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.3%
GM growth 5Y-0.66%
F-Score7
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage 250
Cash Conversion 250.43%
Profit Quality 211.77%
Current Ratio 2.07
Quick Ratio 2.01
Altman-Z 2.59
F-Score7
WACC7.54%
ROIC/WACC0.51
Cap/Depr(3y)339.72%
Cap/Depr(5y)260.95%
Cap/Sales(3y)7.98%
Cap/Sales(5y)7.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)83.87%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%316.67%
EPS Next Y174.21%
EPS Next 2Y82.08%
EPS Next 3Y61.58%
EPS Next 5Y59.59%
Revenue 1Y (TTM)36.1%
Revenue growth 3Y-19.98%
Revenue growth 5Y-7.22%
Sales Q2Q%27%
Revenue Next Year32.14%
Revenue Next 2Y27.23%
Revenue Next 3Y23.85%
Revenue Next 5Y17.43%
EBIT growth 1Y10325.3%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year618.54%
EBIT Next 3Y133.05%
EBIT Next 5Y63.78%
FCF growth 1Y54.4%
FCF growth 3YN/A
FCF growth 5Y-15.63%
OCF growth 1Y29.97%
OCF growth 3YN/A
OCF growth 5Y-14.2%

TAL EDUCATION GROUP- ADR / TAL FAQ

What is the ChartMill fundamental rating of TAL EDUCATION GROUP- ADR (TAL) stock?

ChartMill assigns a fundamental rating of 6 / 10 to TAL.


Can you provide the valuation status for TAL EDUCATION GROUP- ADR?

ChartMill assigns a valuation rating of 7 / 10 to TAL EDUCATION GROUP- ADR (TAL). This can be considered as Undervalued.


How profitable is TAL EDUCATION GROUP- ADR (TAL) stock?

TAL EDUCATION GROUP- ADR (TAL) has a profitability rating of 4 / 10.


What is the earnings growth outlook for TAL EDUCATION GROUP- ADR?

The Earnings per Share (EPS) of TAL EDUCATION GROUP- ADR (TAL) is expected to grow by 174.21% in the next year.


Can you provide the dividend sustainability for TAL stock?

The dividend rating of TAL EDUCATION GROUP- ADR (TAL) is 0 / 10 and the dividend payout ratio is 0%.