Scholastic (NASDAQ:SCHL) Raised to Hold at Wall Street Zen

Key Points

• Wall Street Zen upgraded Scholastic to “Hold” from “Sell,” joining two other analysts with Hold ratings. The stock has an average analyst rating of Hold and an average price target of $35.
• Scholastic reported quarterly EPS of -$3.63, missing the consensus estimate of -$3.42, while revenue of $216.8 million also came in below the $224.69 million forecast.
• Insiders sold 294,986 shares worth $11.7 million over the past 90 days, while institutional investors own 82.57% of the company. Shares recently opened at $37.67, within a 52-week range of $26.38 to $48.07.

Scholastic (NASDAQ:SCHL - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a note issued to investors on Sunday, Wall Street Zen reports.

SCHL has been the subject of a number of other reports. Weiss Ratings downgraded Scholastic from a "hold (c+)" rating to a "hold (c-)" rating in a report on Monday, September 28th. B. Riley Financial lowered their price objective on Scholastic from $42.00 to $35.00 and set a "neutral" rating on the stock in a research report on Monday, September 28th. Finally, Zacks Research raised shares of Scholastic from a "strong sell" rating to a "hold" rating in a research note on Tuesday, September 22nd. Three investment analysts have rated the stock with a Hold rating. According to data from MarketBeat, Scholastic has an average rating of "Hold" and an average price target of $35.00.

Scholastic Price Performance

Shares of SCHL opened at $37.67 on Friday. The company has a 50 day moving average price of $37.71 and a 200-day moving average price of $40.54. The stock has a market capitalization of $710.46 million, a PE ratio of 26.91, a PEG ratio of 2.06 and a beta of 1.08. Scholastic has a fifty-two week low of $26.38 and a fifty-two week high of $48.07. The company has a debt-to-equity ratio of 0.27, a quick ratio of 0.71 and a current ratio of 1.25.

Scholastic (NASDAQ:SCHL - Get Free Report) last issued its quarterly earnings data on Thursday, September 24th. The company reported ($3.63) earnings per share (EPS) for the quarter, missing the consensus estimate of ($3.42) by ($0.21). Scholastic had a net margin of 3.60% and a return on equity of 5.00%. The company had revenue of $216.80 million during the quarter, compared to analyst estimates of $224.69 million. Equities analysts predict that Scholastic will post 1.41 earnings per share for the current fiscal year.

Insider Transactions at Scholastic

In related news, Director Andres A. Alonso sold 2,112 shares of Scholastic stock in a transaction dated Wednesday, August 26th. The stock was sold at an average price of $40.28, for a total value of $85,071.36. Following the completion of the transaction, the director owned 21,189 shares in the company, valued at $853,492.92. The trade was a 9.06% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Kaya Henderson sold 3,250 shares of the company's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $40.25, for a total value of $130,812.50. Following the completion of the transaction, the director directly owned 7,113 shares of the company's stock, valued at $286,298.25. The trade was a 31.36% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 294,986 shares of company stock valued at $11,731,334 in the last ninety days. 12.77% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Scholastic

A number of hedge funds have recently bought and sold shares of the business. Hsbc Holdings PLC purchased a new position in shares of Scholastic during the 2nd quarter valued at approximately $1,236,000. OMERS ADMINISTRATION Corp acquired a new position in shares of Scholastic during the 1st quarter worth about $1,164,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in shares of Scholastic during the 2nd quarter worth about $1,373,000. Legal & General Group Plc purchased a new position in Scholastic in the 2nd quarter valued at about $1,774,000. Finally, Principal Financial Group Inc. lifted its stake in Scholastic by 62.1% in the 1st quarter. Principal Financial Group Inc. now owns 174,539 shares of the company's stock valued at $6,817,000 after buying an additional 66,890 shares in the last quarter. Hedge funds and other institutional investors own 82.57% of the company's stock.

Scholastic Company Profile

Scholastic Corporation is a global children's publishing, education and media company founded in 1920 by M. R. Robinson. Headquartered in New York City, the company develops and distributes books, digital resources and educational materials for children, families, teachers and schools.

Its publishing portfolio includes picture books, middle-grade and young adult titles, classroom magazines, reference materials and educational technology. Scholastic is associated with well-known brands and series such as Harry Potter in the United States, Clifford the Big Red Dog, The Magic School Bus, Captain Underpants, Dog Man and Goosebumps.

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