Scholastic Corp. (SCHL) intrinsic value & 10-year financials

Scholastic Corp. (SCHL) has a Graham intrinsic value of $38.56 per share. At $37.67 on Oct 17, 2026, the stock trades 2% below that value. Over the last 10 fiscal years revenue shrank 1.1% a year to $1.6B, with an average return on invested capital of 2.9%.

Graham intrinsic value
$38.56
Share price (Oct 17, 2026)
$37.67
Price vs Graham value
2% below
Market cap
$911.6M
Revenue (FY2026)
$1.6B
Revenue growth (10-yr CAGR)
-1.1%
ROIC (10-yr avg)
2.9%
Free cash flow (FY2026)
$2.5M

SCHL 10-year financial history

Fiscal year Revenue Net income EPS (diluted) Free cash flow Operating margin ROIC
FY2026 $1.6B $56.7M $2.34 $2.5M 1.0% 0.9%
FY2025 $1.6B -$1.9M -$0.07 $72.0M 1.0% 1.5%
FY2024 $1.6B $12.1M $0.40 $96.2M 0.9% 1.1%
FY2023 $1.7B $86.3M $2.49 $86.9M 6.2% 8.2%
FY2022 $1.6B $80.9M $2.27 $184.0M 5.9% 9.4%
FY2021 $1.3B -$11.0M -$0.32 $23.8M -1.7% -1.4%
FY2020 $1.5B -$43.8M -$1.27 -$60.6M -6.0% -4.4%
FY2019 $1.7B $15.6M $0.43 $21.4M 1.5% 1.6%
FY2018 $1.6B -$5.0M -$0.14 $20.0M 3.4% 6.2%
FY2017 $1.7B $52.3M $1.47 $75.7M 5.1% 6.1%

Source: annual 10-K filings on SEC EDGAR. Figures in USD.

Executive summary

SCHOLASTIC CORP is facing top-line stagnation, with revenue contracting over the decade.

SCHOLASTIC CORP has historically struggled to out-earn its cost of capital, averaging just 2.9% ROIC.

Over the decade, SCHOLASTIC CORP shows that management has aggressively returned capital to shareholders by retiring 31.6% of outstanding shares, and that the company has leveraged its balance sheet to sustain operations.

Benjamin Graham lens

Under Benjamin Graham's formula using SEC EDGAR fundamentals, SCHOLASTIC CORP is modeled at 5.3% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $38.56 per share.

SCHL stock: frequently asked questions

What is the intrinsic value of Scholastic Corp. (SCHL) stock?

Using Benjamin Graham's revised formula, V = EPS × (8.5 + 2g) × 4.4 / Y, with reported diluted earnings per share, a 5.3% normalized growth rate (capped at 15%) and a 5.1% AAA corporate bond yield, SCHL's intrinsic value is about $38.56 per share.

Is SCHL stock undervalued?

At $37.67 (close on Oct 17, 2026), SCHL trades 2% below its Graham value of $38.56. On Graham's terms that leaves a margin of safety. A formula is a starting point for research, not a recommendation.

How fast has Scholastic Corp. grown?

Revenue went from $1.7B in fiscal 2017 to $1.6B in fiscal 2026, a compound annual growth rate of -1.1%. Net income was $56.7M in fiscal 2026.

Does Scholastic Corp. generate free cash flow?

Scholastic Corp. generated $2.5M of free cash flow (operating cash flow minus capital expenditures) in fiscal 2026. Free cash flow was positive in 9 of the last 10 reported years.

What is SCHL's return on invested capital?

Average ROIC over the last 10 fiscal years was 2.9%, and average return on equity was 2.2%. Sustained ROIC above about 15% usually points to a durable competitive advantage.

Where does this SCHL data come from?

From Scholastic Corp.'s annual 10-K filings on SEC EDGAR, most recently filed Jul 24, 2026. Prices are end-of-day snapshots; valuations are formula outputs, not investment advice.

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