Scholastic (NASDAQ:SCHL) Posts Quarterly Earnings Results

Key Points

• Scholastic reported a quarterly earnings per share (EPS) of ($2.52), missing the consensus estimate of ($2.42) by ($0.10).
• The company declared a quarterly dividend of $0.20 per share, with the payment date set for December 15th, and an annualized dividend yield of 2.9%.
• Analysts have a consensus rating of "Buy" for Scholastic, with an average price target of $37.00; one firm recently upgraded the stock from "buy" to "hold".

Scholastic (NASDAQ:SCHL - Get Free Report) released its quarterly earnings results on Thursday. The company reported ($2.52) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($2.44) by ($0.08), Zacks reports. The firm had revenue of $225.60 million for the quarter, compared to the consensus estimate of $240.41 million. Scholastic had a negative net margin of 0.65% and a positive return on equity of 1.08%. During the same quarter in the prior year, the firm earned ($2.13) earnings per share. Scholastic updated its FY 2026 guidance to EPS.

Scholastic Trading Up 4.5%

Shares of NASDAQ SCHL traded up $1.09 during trading hours on Monday, hitting $25.32. 673,039 shares of the company traded hands, compared to its average volume of 344,720. The stock has a market capitalization of $634.27 million, a price-to-earnings ratio of -38.36 and a beta of 1.24. The company has a current ratio of 1.16, a quick ratio of 0.76 and a debt-to-equity ratio of 0.26. The company's 50 day moving average price is $24.97 and its 200 day moving average price is $20.93. Scholastic has a 12 month low of $15.77 and a 12 month high of $34.18.

Scholastic Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, December 15th. Stockholders of record on Friday, October 31st will be given a dividend of $0.20 per share. The ex-dividend date of this dividend is Friday, October 31st. This represents a $0.80 annualized dividend and a dividend yield of 3.2%. Scholastic's payout ratio is currently -121.21%.

Hedge Funds Weigh In On Scholastic

Several large investors have recently modified their holdings of the stock. AQR Capital Management LLC increased its position in shares of Scholastic by 58.6% during the 2nd quarter. AQR Capital Management LLC now owns 249,683 shares of the company's stock valued at $5,238,000 after purchasing an additional 92,247 shares during the last quarter. Empowered Funds LLC grew its position in Scholastic by 4.2% in the 1st quarter. Empowered Funds LLC now owns 164,178 shares of the company's stock valued at $3,100,000 after acquiring an additional 6,628 shares during the last quarter. Ameriprise Financial Inc. grew its position in Scholastic by 3.5% in the 2nd quarter. Ameriprise Financial Inc. now owns 161,941 shares of the company's stock valued at $3,398,000 after acquiring an additional 5,451 shares during the last quarter. Jane Street Group LLC grew its position in Scholastic by 457.8% in the 1st quarter. Jane Street Group LLC now owns 81,390 shares of the company's stock valued at $1,537,000 after acquiring an additional 66,798 shares during the last quarter. Finally, Public Sector Pension Investment Board grew its position in Scholastic by 1.9% in the 2nd quarter. Public Sector Pension Investment Board now owns 80,195 shares of the company's stock valued at $1,682,000 after acquiring an additional 1,509 shares during the last quarter. Institutional investors own 82.57% of the company's stock.

Analyst Ratings Changes

A number of research firms have recently weighed in on SCHL. Wall Street Zen cut Scholastic from a "buy" rating to a "hold" rating in a research report on Friday, September 5th. B. Riley assumed coverage on Scholastic in a research report on Wednesday, September 3rd. They set a "buy" rating and a $37.00 price objective on the stock. One research analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, Scholastic presently has an average rating of "Buy" and a consensus price target of $37.00.

About Scholastic

Scholastic Corporation publishes and distributes children's books worldwide. It operates in three segments: Children's Book Publishing and Distribution, Education Solutions, and International. The Children's Book Publishing and Distribution segment engages in publication and distribution of children's print, digital, and audio books, as well as media and interactive products through its school reading events and trade channel; and operation of school-based book clubs and book fairs in the United States.