Scholastic (NASDAQ:SCHL) Stock Rating Lowered by Wall Street Zen

Key Points

• Wall Street Zen has downgraded Scholastic (NASDAQ:SCHL) from a "buy" rating to a "hold" rating in a recent report issued to clients and investors.
• Scholastic's stock has seen significant growth, with a 23.9% increase, currently trading around $26.70, which is noticeably above its twelve-month low of $15.77.
• The company reported earnings of $0.87 per share for the last quarter, surpassing analysts' expectations of $0.85, with revenues of $508.3 million compared to estimates of $494.59 million.

Wall Street Zen cut shares of Scholastic (NASDAQ:SCHL - Free Report) from a buy rating to a hold rating in a research report released on Saturday morning.

Scholastic Stock Down 1.4%

Shares of Scholastic stock traded down $0.37 during trading hours on Friday, reaching $25.85. The company's stock had a trading volume of 48,231 shares, compared to its average volume of 344,118. Scholastic has a one year low of $15.77 and a one year high of $34.18. The company has a market capitalization of $726.39 million, a P/E ratio of -646.25 and a beta of 1.08. The stock's fifty day simple moving average is $20.11 and its two-hundred day simple moving average is $19.41. The company has a debt-to-equity ratio of 0.29, a quick ratio of 0.79 and a current ratio of 1.23.

Scholastic (NASDAQ:SCHL - Get Free Report) last released its quarterly earnings results on Thursday, July 24th. The company reported $0.87 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.02. Scholastic had a negative net margin of 0.12% and a positive return on equity of 1.38%. The business had revenue of $508.30 million for the quarter, compared to analysts' expectations of $494.59 million. On average, research analysts forecast that Scholastic will post 0.84 earnings per share for the current year.

Scholastic Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Friday, August 29th will be issued a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 3.09%. The ex-dividend date is Friday, August 29th. Scholastic's dividend payout ratio (DPR) is presently -2,000.00%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Allianz Asset Management GmbH boosted its holdings in Scholastic by 25.2% during the second quarter. Allianz Asset Management GmbH now owns 318,366 shares of the company's stock worth $6,679,000 after purchasing an additional 64,026 shares during the last quarter. CWM LLC raised its position in Scholastic by 152.9% in the second quarter. CWM LLC now owns 10,607 shares of the company's stock worth $223,000 after acquiring an additional 6,413 shares during the period. Signaturefd LLC raised its position in Scholastic by 819.5% in the second quarter. Signaturefd LLC now owns 1,223 shares of the company's stock worth $26,000 after acquiring an additional 1,090 shares during the period. Strs Ohio bought a new stake in Scholastic in the first quarter worth about $417,000. Finally, Jane Street Group LLC raised its position in Scholastic by 457.8% in the first quarter. Jane Street Group LLC now owns 81,390 shares of the company's stock worth $1,537,000 after acquiring an additional 66,798 shares during the period. 82.57% of the stock is currently owned by hedge funds and other institutional investors.

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.