QualityDipStocks / Real Estate · Other Consumer Services
TAL Education Group TAL
Outside our quality screen, so we don’t track its dips. It’s 21% below its 52-week high.
Outside our quality screen, trading well below our fair value estimate.
Worth knowing
- Down 24% from its 52-week high while revenue grew 34%
- #15 furthest below its fair value estimate of the 1314 we value
From the data on this page, as of the last close. How we pick these
- Fair value est.
- $27.09+168%
- Market Value
- —
- Off 52-wk high
- −21%
- Risk vs market
- Lowbeta 0.66
5 bullish · 0 bearish See why
Repriced or dip?
Mixed signals
The price is 21% below its 52-week high (Oct 9), but the business held up: shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%.
Some numbers held up (shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%), others slipped. The price is 21% below its 52-week high.
The price is 21% below its 52-week high, and the business changed too.
Within 10% of its 52-week high, so there is no dip to judge yet.
The evidence 8 numbers, high vs now
- Revenue, last 12 months$3.0B → $3.0B (0.0%)about the same
- Earnings per share, 12 months$2.75 → $2.75 (0.0%)about the same
- Free cash flow, 12 months$508M → $508M (0.0%)held up
- Operating margin9.2% → 9.2% (0.0 pts)held up
- Shares outstanding0.0% (unchanged)held up
- Stock vs its sector (Real Estate)stock −21%, sector median +5% since Oct 9changed
- Price fall vs business numbersprice −21%, revenue/EPS/FCF median 0% (shown, not scored)
- Valuation multipleP/FCF 14.6× at the high → 11.5× now (shown, not scored)
No new report since the high (Oct 9, 2026): the business numbers are the same as then, so this read is capped at 65. Each measure is scored from −1 (business changed) to +1 (business intact) and weighted: revenue, earnings per share, free cash flow, operating margin, revenue growth rate, share count, net cash and the move vs its sector. 60 or more reads as a dip, 40 or less as a repricing. Analyst estimates are not in our data, so they are not used. How to read it
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($12.86, Oct 9) the price assumed about 2%/yr free-cash-flow growth; at the low ($8.95, Jun 25) about −5%; today about −3%. The last 3 years delivered 43%/yr (revenue).
Dashed line: what the last 3 years delivered, 43%/yr (revenue)
| High | Low | Now | |
|---|---|---|---|
| Price | $12.86Oct 9 | $8.95Jun 25 | $10.10 |
| Implied growth | +2% | −5% | −3% |
| P/E | 14.0× | 9.8× | 11.0× |
| P/FCF | 14.6× | 10.2× | 11.5× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 15.0% ±2 points. Bear = 10.5% and 13.0%; bull = 8.5% and 17.0% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price is below even the bear case.
Cyclical / peak cash flow — treat with care
What the price implies To be worth today’s price, TAL’s free cash flow would need to shrink about 3% a year for five years; our estimate uses 15%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much TAL moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Moves much less than the market, but its own price swings are 3.5× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- 0.66
- Volatility
- 44% vs 13% SPY
- Correlation SPY
- 0.19
- Correlation QQQ
- 0.16
How it ranks
Where TAL stands vs every one of the 1,996 stocks we cover that has the number. Longer bar = better.
Top quarter on 3 of 3 measures
- Discount to fair value estimate168% · price below our base caseTop 1%of 1,314
- Dividends + buybacks yield11% · cash paid out or used to retire shares, vs market capTop 5%of 1,836
- Revenue growth, last 12 months+34% · vs the 12 months beforeTop 13%of 1,814
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
DCF $27.09 · FCF value $16.68
Cyclical / peak cash flow — treat with care
Assumes 15.0% growth for 5 years (revenue grew 43.4% a year FY23–FY26; capped at 15%), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $0.88 a share (fiscal year to Feb 28, 2026, 0.333333 shares per ADR), from the 20-F filed Jun 12, 2026.
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
ProfitabilityOperating margin widened to 9.2% in FY2026 from −4.6% in FY2024 (SEC filings).
GrowthSales compounded 43% a year from FY2023 to FY2026.
ValuationFree-cash-flow yield of 8.7% (price / FCF 11.5×): $508M of free cash in the last 12 months.
ValuationOur DCF fair value estimate is $27.09, 168% above the price (cyclical or peak cash flow, so treat with care).
ValuationP/E of 11.0× vs a 25.9× median for the 80 Real Estate companies we cover.
Top bearish points 0 of 5
Nothing in our data makes a clear bear case right now.
All fundamentals
P/E 11.0 · FCF yield 8.7% · ROE 14%
Valuation
- P/E
- 11.0×Real Estate median 25.9×
- Price / FCF
- 11.5×
- FCF yield
- 8.7%
- EV / EBITDA
- n/aD&A or debt not tagged in SEC data
- Price / sales
- 1.94×
- Price / book
- 1.55×
- Market cap
- $5.8Bprice × diluted shares
- Enterprise value
- n/anot reported in its SEC filings
Growth
- Revenue, 12 months
- $3.0B
- Sales growth, 12 months
- +33.7%vs the 12 months before
- Sales growth, 3 yrs
- +43.4%/yrfrom FY2023
- Diluted EPS, 12 months
- $2.75
- EPS growth, last FY
- n/an/m: EPS a year ago near zero
- Net income, 12 months
- $531M
- Net income growth
- n/an/m: earnings a year ago near zero
Profitability
- Gross margin
- 55.4%
- Operating margin
- 9.2%
- Net margin
- 17.6%
- FCF margin
- 16.9%
- Return on equity
- 14%
- Return on invested capital
- n/aoperating income, debt, equity or cash not tagged
Balance sheet
- Cash & short-term inv.
- $3.2B
- Total debt
- n/anot reported in its SEC filings
- Net cash
- n/acash or debt not tagged in SEC data
- Debt / equity
- n/adebt or equity not tagged in SEC data
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $508M
- FCF growth, 12 months
- +78%
- Dividend yield
- n/ano dividend payments tagged
- Payout ratio
- n/anot reported in its SEC filings
- Buybacks, 12 months
- $644M11.0% of market cap
- Share count, 1 year
- n/ano quarterly diluted share count
- Stock-based comp
- $43M
Trailing 12 months to Feb 28, 2026; balance sheet at Feb 28, 2026. From TAL Education Group’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.4B · Sales +16%
- Free cash flow, 12 months$0.4B
- Free-cash-flow yield8.7%
- Free-cash-flow margin11%
- Gross margin57%
- Operating margin24%
- Return on invested capital83%
- Return on equity19%
- Sales growth (latest quarter vs year-ago quarter)+16%
- Net debt / EBITDA−3.7×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $10.10
- 52-wk lowlowest close, 1 year$8.95−11.4%
- PriceMon Nov 2 close$10.10you are here
- 52-wk highhighest close, 1 year$12.86+27.3%
- Fair value est.base case$27.09+168.3%
Momentum & 52-week range
RSI 31 · 5 days −1.4%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
TAL is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on TAL Education Group in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 1:01 PM ET.
Compare with peers
Closest in size in Other Consumer Services
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.