McGraw Hill’s (MH) Buy Rating Reaffirmed at Needham & Company LLC

McGraw Hill (NYSE:MH)‘s stock had its “buy” rating reaffirmed by stock analysts at Needham & Company LLC in a research note issued to investors on Thursday,Benzinga reports. They presently have a $19.00 price target on the stock. Needham & Company LLC’s price objective suggests a potential upside of 40.94% from the company’s current price.

Several other analysts also recently weighed in on the company. Weiss Ratings upgraded McGraw Hill from a “sell (d-)” rating to a “sell (d)” rating in a research note on Friday, June 12th. Robert W. Baird decreased their price objective on shares of McGraw Hill from $19.00 to $16.00 and set an “outperform” rating for the company in a report on Friday, June 12th. BMO Capital Markets reduced their target price on McGraw Hill from $19.00 to $16.00 and set an “outperform” rating on the stock in a report on Monday, July 6th. The Goldman Sachs Group cut their price target on McGraw Hill from $19.00 to $17.00 and set a “buy” rating on the stock in a report on Thursday, June 11th. Finally, BTIG Research reduced their price objective on shares of McGraw Hill from $19.00 to $17.00 and set a “buy” rating for the company in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $18.30.

McGraw Hill Price Performance

MH stock opened at $13.48 on Thursday. The firm has a market cap of $2.58 billion and a P/E ratio of 67.41. The company has a debt-to-equity ratio of 3.53, a quick ratio of 0.61 and a current ratio of 0.77. McGraw Hill has a 1 year low of $8.94 and a 1 year high of $18.00. The stock has a 50-day simple moving average of $10.60 and a 200-day simple moving average of $12.28.

McGraw Hill (NYSE:MH) last released its quarterly earnings results on Thursday, August 13th. The company reported $0.59 EPS for the quarter, topping the consensus estimate of $0.48 by $0.11. McGraw Hill had a return on equity of 57.92% and a net margin of 1.68%.The firm had revenue of $549.90 million for the quarter. McGraw Hill’s revenue was up 2.7% on a year-over-year basis. On average, equities analysts predict that McGraw Hill will post 1.86 earnings per share for the current fiscal year.

Institutional Trading of McGraw Hill

Institutional investors have recently modified their holdings of the company. Ameritas Investment Partners Inc. bought a new position in McGraw Hill during the third quarter valued at about $25,000. Legal & General Group Plc bought a new stake in shares of McGraw Hill in the 3rd quarter worth approximately $30,000. PNC Financial Services Group Inc. acquired a new stake in McGraw Hill during the first quarter valued at approximately $68,000. BNP Paribas Financial Markets bought a new stake in McGraw Hill during the third quarter worth approximately $83,000. Finally, NewEdge Advisors LLC bought a new position in shares of McGraw Hill in the first quarter valued at $84,000.

Key Stories Impacting McGraw Hill

Here are the key news stories impacting McGraw Hill this week:

• Positive Sentiment: Quarterly results exceeded expectations: McGraw Hill reported fiscal Q1 EPS of $0.59, well above the $0.48 consensus estimate and break-even earnings in the prior-year period. Revenue increased approximately 2.6% to 2.7% year over year to $549.9 million, supported by performance in its Higher Education and K-12 businesses. McGraw Hill shares rise nearly 4% after Q1 earnings and revenue beat forecasts
• Positive Sentiment: Recurring revenue and AI initiatives provided a growth signal: Management highlighted recurring revenue growth of about 10%, suggesting improved revenue visibility. Investors also focused on the company’s use of artificial intelligence as a potential long-term driver of product innovation and efficiency. McGraw Hill Q1 2027 earnings call highlights
• Positive Sentiment: Full-year revenue outlook was maintained or updated favorably: McGraw Hill guided to fiscal 2027 revenue of $2.1 billion to $2.2 billion, compared with consensus expectations near $2.1 billion. The range leaves room for upside if the company sustains its first-quarter momentum. McGraw Hill reports strong fiscal first-quarter 2027 results
• Neutral Sentiment: Shareholders elected the company’s proposed directors at the August 11 annual meeting, producing no major governance change or immediate financial impact. McGraw Hill reports strong fiscal Q1 2027 results
• Negative Sentiment: Despite the earnings beat, revenue growth remained modest, while McGraw Hill’s elevated leverage and weak liquidity metrics could limit flexibility. With a high valuation relative to earnings, the stock may require continued execution and stronger growth to sustain its gains.

About McGraw Hill

McGraw Hill (NYSE:MH) is a global learning science company specializing in educational content, digital learning platforms, and assessment solutions. The company offers textbooks and course materials for K-12 and higher education, along with professional development resources for corporate and workforce training. Its digital solutions—including adaptive learning platforms and analytics-driven tools—support personalized instruction, progress tracking, and interactive engagement in both classroom and remote environments.

Founded in 1888 in New York City, McGraw Hill has evolved from a technical periodical publisher into one of the world’s leading providers of educational content and technology.