Scholastic (NASDAQ:SCHL) Cut to “Hold” at StockNews.com

StockNews.com cut shares of Scholastic (NASDAQ:SCHL) from a buy rating to a hold rating in a report released on Saturday.

Scholastic Stock Performance

Shares of Scholastic stock opened at $26.01 on Friday. The firm’s 50-day moving average is $30.55 and its 200 day moving average is $33.80. Scholastic has a 1 year low of $25.54 and a 1 year high of $41.79. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.14 and a quick ratio of 0.77. The stock has a market cap of $734.52 million, a price-to-earnings ratio of 17.94 and a beta of 1.03.

Scholastic (NASDAQ:SCHL) last announced its earnings results on Thursday, September 26th. The company reported ($2.13) earnings per share (EPS) for the quarter, beating the consensus estimate of ($2.48) by $0.35. Scholastic had a net margin of 1.49% and a return on equity of 4.32%. The company had revenue of $237.20 million during the quarter, compared to analyst estimates of $233.49 million. During the same period in the previous year, the business posted ($2.20) earnings per share. Sell-side analysts anticipate that Scholastic will post 1.41 EPS for the current fiscal year.

Scholastic Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 16th. Stockholders of record on Thursday, October 31st will be paid a dividend of $0.20 per share. The ex-dividend date is Thursday, October 31st. This represents a $0.80 dividend on an annualized basis and a dividend yield of 3.08%. Scholastic’s dividend payout ratio is 55.17%.

Insiders Place Their Bets

In other news, EVP Iole Lucchese purchased 1,654 shares of the business’s stock in a transaction on Tuesday, July 23rd. The shares were acquired at an average cost of $30.49 per share, with a total value of $50,430.46. Following the completion of the acquisition, the executive vice president now owns 74,264 shares of the company’s stock, valued at $2,264,309.36. This trade represents a 0.00 % increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. In other news, CEO Warwick Peter acquired 1,674 shares of the stock in a transaction that occurred on Tuesday, July 23rd. The shares were bought at an average cost of $30.46 per share, for a total transaction of $50,990.04. Following the acquisition, the chief executive officer now owns 104,349 shares in the company, valued at approximately $3,178,470.54. This represents a 0.00 % increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Iole Lucchese acquired 1,654 shares of the business’s stock in a transaction on Tuesday, July 23rd. The stock was acquired at an average price of $30.49 per share, with a total value of $50,430.46. Following the acquisition, the executive vice president now owns 74,264 shares in the company, valued at $2,264,309.36. The trade was a 0.00 % increase in their position. The disclosure for this purchase can be found here. 18.62% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Scholastic

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. SG Americas Securities LLC acquired a new stake in Scholastic during the 3rd quarter worth approximately $413,000. Algert Global LLC grew its holdings in shares of Scholastic by 16.7% during the second quarter. Algert Global LLC now owns 28,263 shares of the company’s stock worth $1,002,000 after purchasing an additional 4,040 shares during the last quarter. Mackenzie Financial Corp purchased a new stake in Scholastic in the second quarter valued at approximately $363,000. Millennium Management LLC increased its holdings in shares of Scholastic by 45.0% in the 2nd quarter. Millennium Management LLC now owns 182,630 shares of the company’s stock valued at $6,478,000 after acquiring an additional 56,647 shares during the period. Finally, AQR Capital Management LLC raised its holdings in shares of Scholastic by 62.6% in the second quarter. AQR Capital Management LLC now owns 67,417 shares of the company’s stock valued at $2,391,000 after buying an additional 25,958 shares during the last quarter. Hedge funds and other institutional investors 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.