Scholastic Corporation

Scholastic Corporation publishes childrens books worldwide. They operate three segments: Childrens Book Publishing, Education Solutions, and International. The publishing segment distributes print, digital, and audio books, as well as media and interactive products. Original publications include Harry Potter, Hunger Games, and Clifford the Big Red Dog. The Education Solutions segment publishes classroom magazines and supplemental materials. The International segment publishes childrens books in English, Hindi, and French and supplies educational materials to schools and libraries.

Overview

Sector

Publishing

Target Price

45.7 USD

Current Price

21.3 USD

Potential

114%

Strengths

With an appreciation Potential of 113.36%, based on our fundamental analysis, it suggests the stock may be undervalued.
Price to book ratio (0.59) is lower than the sector mean (1.36).
The company has low debt. Net Debt to EBITDA Ratio is 0.04 and it is lower than the sector mean.
EV/EBITDA (6.40) is lower than the sector mean (13.74).

Weaknesses

EBITDA Margin (5.98%) appears relatively low.

Key Financial Data

Indicator	Value
PER	49.8
EV/EBITDA	6.4
Price/Free Cash Flow'	6.3
ROIC	13.6%
Net Debt/EBITDA	0.0