B. Riley Comments on Scholastic's Q2 Earnings (NASDAQ:SCHL)

Key Points

• B. Riley raised its Q2 2026 earnings per share estimate for Scholastic to $2.06, up from a previous forecast of $2.03, maintaining a "Buy" rating and a price target of $37.00.
• Scholastic reported a quarterly loss of ($2.52) per share, missing expectations, with revenues coming in at $225.60 million, below the forecast of $240.41 million.
• The company announced a quarterly dividend of $0.20 per share, with an annualized yield of 3.3%, despite having a high dividend payout ratio of -121.21%.

Scholastic Corporation (NASDAQ:SCHL - Free Report) - Investment analysts at B. Riley lifted their Q2 2026 earnings per share estimates for Scholastic in a report released on Friday, September 19th. B. Riley analyst D. Crum now anticipates that the company will earn $2.06 per share for the quarter, up from their prior estimate of $2.03. B. Riley has a "Buy" rating and a $37.00 price target on the stock. The consensus estimate for Scholastic's current full-year earnings is $0.84 per share.

Separately, Wall Street Zen downgraded Scholastic from a "buy" rating to a "hold" rating in a research note on Friday, September 5th. One research analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, Scholastic has an average rating of "Buy" and a consensus target price of $37.00.

Scholastic Stock Up 4.5%

SCHL stock traded up $1.09 during mid-day trading on Monday, hitting $25.32. 673,039 shares of the company were exchanged, compared to its average volume of 363,656. The firm has a fifty day simple moving average of $24.97 and a 200 day simple moving average of $20.93. The company has a market capitalization of $634.27 million, a PE ratio of 201.92 and a beta of 1.24. Scholastic has a twelve month low of $15.77 and a twelve month high of $34.18. The company has a current ratio of 1.16, a quick ratio of 0.76 and a debt-to-equity ratio of 0.26.

Scholastic (NASDAQ:SCHL - Get Free Report) last announced its earnings results on Thursday, September 18th. The company reported ($2.52) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($2.44) by ($0.08). The business had revenue of $225.60 million during the quarter, compared to analyst estimates 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 period in the previous year, the company earned ($2.13) earnings per share. Scholastic has set its FY 2026 guidance at EPS.

Scholastic Dividend Announcement

The firm also recently disclosed 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 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%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in SCHL. Deutsche Bank AG boosted its position in Scholastic by 46.7% during the 4th quarter. Deutsche Bank AG now owns 23,330 shares of the company's stock worth $498,000 after acquiring an additional 7,432 shares during the period. Lazard Asset Management LLC acquired a new stake in Scholastic in the fourth quarter worth approximately $33,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in Scholastic by 4.2% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 13,221 shares of the company's stock worth $282,000 after purchasing an additional 530 shares during the period. Vident Advisory LLC lifted its position in Scholastic by 30.6% in the fourth quarter. Vident Advisory LLC now owns 19,028 shares of the company's stock worth $406,000 after purchasing an additional 4,453 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in Scholastic by 25.6% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 45,646 shares of the company's stock worth $974,000 after purchasing an additional 9,293 shares during the period. Institutional investors and hedge funds own 82.57% of the company's stock.

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.