Scholastic Corporation
- Open
- 46.91
- Day high
- 47.21
- Day low
- 46.17
- Prev close
- 46.96
- Volume
- 222K
- Mkt cap
- $856M
- P/E (TTM)
- 18.0
- EPS (TTM)
- $2.58
- P/B
- 1.0
- P/S
- 0.5
- Yield
- 1.72%
- Per share
- $0.80
Scholastic Corporation (SCHL) is a Communication Services company listed on NASDAQ. The stock is up 117% over the past year.
Scholastic Corporation (SCHL) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
SCHL earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Mar 19, 2026 | $-0.37 | $-0.15 | +59.5% | $329M | -0.6% |
| Dec 18, 2025 | $2.07 | $2.57 | +24.2% | $551M | +66.2% |
| Sep 18, 2025 | $-2.44 | $-2.52 | -3.3% | $226M | -59.2% |
| Mar 20, 2025 | $-0.78 | $-0.05 | +93.6% | $335M | -32.2% |
| Dec 19, 2024 | $2.30 | $1.82 | -20.9% | $545M | +56.9% |
| Sep 26, 2024 | $-2.48 | $-2.13 | +14.1% | $237M | +1.6% |
| Mar 21, 2024 | $-0.80 | $-0.80 | +0.0% | $324M | -41.4% |
| Dec 14, 2023 | $2.65 | $2.45 | -7.5% | $563M | +73.0% |
| Sep 21, 2023 | $-1.35 | $-2.20 | -63.0% | $229M | -15.0% |
| Mar 23, 2023 | — | $-0.57 | — | $325M | — |
| Dec 15, 2022 | — | $2.12 | — | $588M | — |
| Sep 22, 2022 | — | $-1.33 | — | $263M | — |
SCHL insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 6, 2026 | Peter Warwickdirector, officer: PRESIDENT & CEO | Grant | 8,007 | $46.83 |
| Jul 6, 2026 | Peter Warwickdirector, officer: PRESIDENT & CEO | Tax | 8,345 | $46830.00 |
| Jul 6, 2026 | Peter Warwickdirector, officer: PRESIDENT & CEO | Grant | 7,048 | $46.83 |
| May 11, 2026 | Peter Warwickdirector, officer: PRESIDENT & CEO | Option | 2,112 | $38.56 |
| May 11, 2026 | Peter Warwickdirector, officer: PRESIDENT & CEO | Tax | 2,033 | $40.06 |
| Mar 27, 2026 | Hukkanen Paulofficer: SVP, CHIEF ACCT OFF | Sell | 10,000 | $39.40 |
| Mar 27, 2026 | Hukkanen Paulofficer: SVP, CHIEF ACCT OFF | Option | 10,000 | $21.03 |
| Mar 25, 2026 | Glover Hajiofficer: EVP & CHIEF FINANCIAL OFFICER | Tax | 422 | $34.78 |
| Oct 2, 2025 | Quinton Sashaofficer: EVP, PRES SCHL READING EVENTS | Tax | 1,493 | $27.69 |
| Oct 2, 2025 | Lucchese Ioledirector, officer: EVP & CHIEF STRATEGY OFFICER | Tax | 2,981 | $27.69 |
| Oct 2, 2025 | Hukkanen Paulofficer: SVP, CHIEF ACCT OFF | Tax | 399 | $27.69 |
| Oct 2, 2025 | Glover Hajiofficer: EVP & CHIEF FINANCIAL OFFICER | Tax | 1,170 | $27.69 |
| Oct 2, 2025 | Lick Chrisofficer: EVP, GENERAL COUNSEL | Tax | 176 | $27.69 |
| Sep 30, 2025 | Lick Chrisofficer: EVP, GENERAL COUNSEL | Tax | 147 | $26.80 |
| Sep 30, 2025 | Lucchese Ioledirector, officer: EVP & CHIEF STRATEGY OFFICER | Tax | 1,582 | $26.80 |
Source: SCHL SEC Form 4 filings, latest Jul 6, 2026. For informational purposes only — not investment advice.
See the full SCHL insider & 13F page →Scholastic Corporation company profile
Overview
Scholastic Corporation (NASDAQ:SCHL) is a leading children's book publisher and distributor founded in 1920 and headquartered in New York. The company has built its reputation over more than a century as the primary channel through which children access books in American schools, operating the iconic Book Fairs and Book Clubs that have been fixtures in elementary schools for generations. Today, Scholastic publishes beloved children's series including Harry Potter, Dog Man, Captain Underpants, and Wings of Fire, while also providing educational materials and digital literacy programs to schools worldwide. The company has evolved from a traditional publisher into a diversified children's media company, recently expanding into entertainment content creation through its acquisition of 9 Story Media Group.
Business
Scholastic operates as a comprehensive children's book publisher and educational content provider, serving schools, teachers, families, and young readers through multiple interconnected channels. The company's business is organized into four main segments that together create a vertically integrated ecosystem for children's literacy. **Children's Book Publishing and Distribution** represents the company's largest segment, generating approximately 60-65% of total revenues. This division encompasses three key channels: Book Fairs are temporary book sales events held directly in schools, where students can browse and purchase books during school hours - these generate roughly $540 million annually and represent Scholastic's most profitable and distinctive business model. Book Clubs operate through monthly catalogs distributed to students via teachers, allowing families to order books for home delivery, though this channel has been declining and now generates around $60 million annually. Trade Publishing involves selling books through traditional retail channels like bookstores and online platforms, contributing approximately $370 million in revenue through popular series and licensed properties. **Education Solutions** accounts for roughly 20-25% of revenues, providing supplemental educational materials including classroom magazines (Scholastic News, Scholastic Scope), literacy programs, and digital learning platforms designed to support teachers in developing students' reading skills. This segment has faced headwinds as schools have become more cautious about discretionary spending on supplemental materials. **Entertainment** is the company's newest segment, created through the 2024 acquisition of 9 Story Media Group, a Canadian animation studio. This division develops and produces television shows, digital content, and multimedia adaptations of Scholastic's book properties, representing the company's strategic expansion into content creation beyond traditional publishing. **International** operations contribute approximately 15-20% of revenues, replicating Scholastic's core book fair, book club, and educational publishing model in markets outside the United States, including Canada, the United Kingdom, Australia, and other English-speaking territories.
Revenue model
Scholastic generates revenue through multiple complementary business models that leverage its unique position in the children's book ecosystem. The company's primary revenue streams include direct product sales, educational subscriptions, and increasingly, content licensing and media production. **Product Sales** constitute the majority of revenues, with books sold through three distinct channels each serving different customer needs. Book Fairs generate revenue through direct sales to students and families during school-based events, typically operating on favorable terms where schools receive a percentage of sales or free books. Book Clubs operate on a subscription-catalog model where families place orders through teachers, with Scholastic earning margins on book sales while providing incentives to participating educators. Trade publishing generates revenue through traditional wholesale and retail channels, selling to bookstores, libraries, and online retailers. **Educational Services and Subscriptions** provide recurring revenue through classroom magazine subscriptions, digital literacy platform licenses, and supplemental educational materials sold directly to schools and districts. These offerings typically involve annual contracts and provide more predictable cash flows than book sales. **Content Licensing and Entertainment** represents a growing revenue stream where Scholastic monetizes its intellectual property through television shows, movies, merchandise licensing, and digital content distribution. The 9 Story Media Group acquisition significantly expanded these capabilities. The company's profitability is influenced by several key factors. **Seasonal patterns** create significant quarterly variations, with the second quarter (September-November) typically generating the highest revenues due to back-to-school Book Fair activity. **Educational funding cycles** impact demand, as schools' purchasing decisions depend on federal, state, and local budget allocations - recent uncertainty around federal education funding has pressured the Education Solutions segment. **Consumer spending patterns** affect Book Fair performance, as middle-class families' discretionary spending on books fluctuates with economic conditions. **Content hit-driven dynamics** mean that successful book series like Dog Man or major releases like new Hunger Games titles can significantly boost revenues, while the company must continuously invest in developing new popular content. **Operational leverage** in the Book Fair model means that revenue per fair improvements directly translate to margin expansion, as the fixed costs of organizing fairs are spread across higher sales volumes.
Competitive moat
Scholastic possesses a moderately strong competitive moat built primarily around its unique distribution network and deep relationships within the American educational system, though this moat faces emerging challenges from digital disruption and changing educational practices. The company's **primary moat** stems from its exclusive access to schools through Book Fairs, a distribution channel that competitors find extremely difficult to replicate. Building relationships with tens of thousands of schools, training staff to organize book events, and managing the complex logistics of rotating inventory requires decades of relationship-building and operational expertise. Teachers and school administrators have trusted Scholastic for generations, creating powerful switching costs and brand loyalty that extends beyond mere commercial relationships to emotional connections around childhood literacy. Scholastic's **content portfolio** provides additional defensive characteristics, as the company owns or controls popular children's series that generate ongoing demand. Successful franchises like Dog Man, Wings of Fire, and Captain Underpants create recurring revenue streams and cross-selling opportunities across multiple channels. The company's ability to identify, develop, and market hit children's content represents a specialized skill that combines editorial judgment, marketing expertise, and understanding of child psychology. However, this moat faces **significant structural challenges**. Digital transformation in education threatens traditional book distribution models, as schools increasingly adopt tablets, e-readers, and digital curriculum platforms. The COVID-19 pandemic accelerated these trends and demonstrated that children can access content through multiple digital channels, potentially reducing dependence on physical book fairs. Additionally, **competition from technology platforms** like Amazon, educational technology companies, and direct-to-consumer publishers creates alternative pathways for families to access children's books, bypassing Scholastic's traditional intermediary role. The **sustainability of school-based distribution** also faces pressure from changing educational priorities, budget constraints, and potential policy shifts that could limit commercial activities within schools. While Scholastic's relationships provide near-term protection, the company must successfully transition toward digital offerings and direct-to-consumer models to maintain relevance in an evolving marketplace.
Risks & safety
Scholastic presents a moderate margin of safety with manageable financial risks, though recent operational challenges have pressured key metrics. **Liquidity and Solvency:** - Cash position of $94.7 million provides adequate short-term liquidity - Current ratio of 1.23 indicates sufficient ability to meet short-term obligations - Total debt-to-equity ratio of 0.42 represents moderate leverage levels - Negative free cash flow of -$21 million in recent quarter raises concerns about cash generation - Strong seasonal cash flow patterns typically generate positive cash flow in fiscal second quarter **Valuation Metrics:** - Price-to-book ratio of 0.65 suggests trading below book value, indicating potential undervaluation - EV/EBITDA of 50.25 appears elevated due to recent weak EBITDA performance - Historical P/E ratios have ranged from 3.8 to 88.7, indicating high earnings volatility - Graham net-net working capital analysis shows negative values, suggesting limited asset-based downside protection **Other Considerations:** - Highly seasonal business model creates quarterly earnings volatility but generally predictable annual patterns - Recent strategic review of Education Solutions segment indicates management focus on optimizing underperforming areas - Strong market position in core Book Fair business provides some downside protection despite cyclical pressures
Recent development
Over the past several years, Scholastic has undertaken significant strategic initiatives to transform from a traditional publisher into a diversified children's media company while navigating post-pandemic recovery challenges. The company's most significant recent development was the **acquisition of 9 Story Media Group** in 2024 for $182 million, creating a new Entertainment segment focused on producing television shows, digital content, and multimedia adaptations of Scholastic's book properties. This acquisition represents a fundamental strategic pivot toward content creation and intellectual property monetization, with 9 Story expected to contribute over $80 million in annual revenue while providing capabilities to develop Scholastic's extensive content library across multiple media platforms. In response to declining performance in traditional channels, Scholastic has implemented a **"shrink-to-grow" strategy** for its Book Clubs business, focusing resources on the most profitable customer segments while redesigning marketing approaches to be more teacher-centric. The company has also been **conducting a strategic review of its Education Solutions segment**, which has faced headwinds from cautious school spending and shifts toward core curriculum focus rather than supplemental materials. **Product development initiatives** have centered around aligning with educational trends, particularly the "science of reading" movement that emphasizes phonics-based literacy instruction. Scholastic has developed new literacy programs including "Ready for Reading" K-3 phonics curriculum and is launching "Explore ELA" for middle school students. The company has also expanded its **state-sponsored literacy partnerships**, working with states like Florida and Tennessee to provide books directly to students' homes through government-funded programs. **Digital transformation efforts** include expanding YouTube content strategy, developing direct-to-consumer channels, and creating new digital subscription services. The company has been investing in technology platforms to support both educational and entertainment content delivery, recognizing the need to reach children and families through multiple touchpoints beyond traditional school-based channels. **Content strategy evolution** has focused on developing new popular series while maximizing existing intellectual property, with major upcoming releases including new Dog Man titles, a Dog Man movie, and Suzanne Collins' new Hunger Games book "Sunrise on the Reaping" scheduled for 2025.
SCHL company profile · for informational purposes only — not investment advice.
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