Share Repurchase Program Approved by Scholastic (NASDAQ:SCHL) Board

Scholastic (NASDAQ:SCHL) announced that its board has initiated a share buyback plan on Friday, March 20th, RTT News reports. The company plans to buyback $200.00 million in shares. This buyback authorization permits the company to reacquire up to 23% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s management believes its shares are undervalued.

Scholastic Stock Up 8.8%

Shares of NASDAQ SCHL opened at $37.25 on Monday. The stock has a fifty day moving average price of $34.26 and a 200 day moving average price of $30.50. The company has a current ratio of 1.67, a quick ratio of 1.24 and a debt-to-equity ratio of 0.30. Scholastic has a 12-month low of $15.77 and a 12-month high of $38.94. The company has a market cap of $947.64 million, a P/E ratio of 15.02 and a beta of 1.17.

Scholastic (NASDAQ:SCHL) last issued its quarterly earnings data on Thursday, March 19th. The company reported ($0.15) EPS for the quarter, topping analysts’ consensus estimates of ($0.37) by $0.22. Scholastic had a return on equity of 2.44% and a net margin of 3.88%.The company had revenue of $329.10 million for the quarter, compared to analysts’ expectations of $331.53 million. Research analysts anticipate that Scholastic will post 0.84 EPS for the current fiscal year.

Scholastic Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Thursday, April 30th will be issued a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 2.1%. The ex-dividend date is Thursday, April 30th. Scholastic’s dividend payout ratio (DPR) is presently 32.26%.

Analyst Upgrades and Downgrades

SCHL has been the topic of a number of research reports. Zacks Research downgraded Scholastic from a “strong-buy” rating to a “hold” rating in a report on Thursday, March 5th. Wall Street Zen upgraded Scholastic from a “hold” rating to a “buy” rating in a report on Saturday. Weiss Ratings raised shares of Scholastic from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, January 30th. Finally, B. Riley Financial raised their price target on shares of Scholastic from $37.00 to $40.00 and gave the company a “neutral” rating in a report on Friday. Three research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, Scholastic has a consensus rating of “Hold” and a consensus target price of $40.00.

More Scholastic News

Here are the key news stories impacting Scholastic this week:

• Positive Sentiment: Q3 EPS outperformed consensus (loss of $0.15 vs. est. $0.37 loss), which relieved near?term earnings concerns and helped lift the stock. Article Title
• Positive Sentiment: The Board authorized a $200 million modified Dutch?auction tender offer (expected price $36–$40) — immediate buyback demand and signaling of undervaluation support the rally. Article Title
• Positive Sentiment: The repurchase action is part of a larger capital?return and balance?sheet plan (Board set a $300M total repurchase authorization and a long?term net leverage target of 2.0–2.5x adjusted EBITDA), which reduces capital allocation uncertainty. Article Title
• Positive Sentiment: Analyst action: B. Riley raised its price target to $40 (maintaining a “neutral” rating), implying upside and lending incremental analyst support. Article Title
• Positive Sentiment: The company declared a quarterly dividend of $0.20 per share, reinforcing shareholder returns alongside buybacks. Article Title
• Neutral Sentiment: Coverage and commentary pieces (Seeking Alpha, transcripts) frame the results as evidence of strategic progress and management’s focus on margin expansion — useful context but secondary to the concrete buyback and EPS beat. Article Title
• Negative Sentiment: Revenue narrowly missed estimates ($329.1M vs. $331.5M expected) and the company still reports a small net loss and negative margin, highlighting operational challenges in core book sales that could limit upside without durable revenue improvement. Article Title

About Scholastic

Scholastic Corporation (NASDAQ: SCHL) is a global company dedicated to children’s publishing, education technology and distribution services. The company’s core business encompasses three primary segments: Children’s Book Publishing and Distribution, Education Technology, and International operations. Through its publishing arm, Scholastic produces and distributes a wide range of children’s books, novels, nonfiction titles and classroom magazines under well-known imprints such as Scholastic Press, Graphix and Chicken House.