Tal Education Group (TAL) intrinsic value & 10-year financials
Tal Education Group (TAL) has a Graham intrinsic value of $91.34 per share. Over the last 10 fiscal years revenue grew 12.5% a year to $3.0B, with an average return on invested capital of 5.1%.
- Graham intrinsic value
- $91.34
- Revenue (FY2026)
- $3.0B
- Revenue growth (10-yr CAGR)
- 12.5%
- ROIC (10-yr avg)
- 5.1%
- Free cash flow (FY2026)
- $508.3M
TAL 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2026 | $3.0B | $530.8M | $2.75 | $508.3M | 9.2% | 9.0% |
| FY2025 | $2.3B | $84.6M | $0.41 | $286.2M | -0.1% | -0.1% |
| FY2024 | $1.5B | -$3.6M | -$0.02 | $193.4M | -4.6% | -1.9% |
| FY2023 | $1.0B | -$135.6M | -$0.64 | -$103.0M | -8.9% | -4.0% |
| FY2022 | $4.4B | -$1.1B | -$5.29 | -$1.2B | -14.0% | -20.5% |
| FY2021 | $4.5B | -$116.0M | -$0.57 | $709.7M | -9.7% | -10.4% |
| FY2020 | $3.3B | -$110.2M | -$0.56 | $677.8M | 4.2% | 8.3% |
| FY2019 | $2.6B | $367.2M | $1.83 | $56.0M | 13.3% | 21.9% |
| FY2018 | $1.7B | $198.4M | $1.03 | $558.9M | 12.2% | 22.2% |
| FY2017 | $1.0B | $116.9M | $0.66 | $307.9M | 12.9% | 26.1% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
TAL Education Group is a consistent compounder, expanding top-line revenue at 12.5% annually over the past decade.
TAL Education Group has historically struggled to out-earn its cost of capital, averaging just 5.1% ROIC.
TAL Education Group has not shown aggressive share repurchases (>10% retirement) or a major balance-sheet leverage increase (>50% net debt growth) over the 10-year window.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, TAL Education Group is modeled at 15.0% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $91.34 per share.