Stock fact sheet · data as of
Scholastic Corporation (SCHL): fair value, margin of safety and Wheel Score
Ticker symbol SCHL · Communication Services · Publishing · United States · Value
Is SCHL undervalued?
At 38.39 (close of 5 Nov 2026), SCHL trades 39% below the GLS average fair value of 62.46. That average comes from 8 models run on the latest filings, and 5 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns Scholastic Corporation the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
The 8 models disagree widely: DDM gives 13.24 while Graham Growth gives 171.64. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, SCHL is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 65, growth score 34, out of 100).
Nine valuation models for SCHL
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 72.85 | +90% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 48.48 | +26% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 171.64 | +347% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 75.02 | +95% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 49.86 | +30% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 35.26 | -8% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 13.24 | -66% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 33.34 | -13% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -13.92 | -136% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 0.0000 | -100% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health SCHL scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is low at 4.7 out of 10: returns on capital, margins or the balance sheet have not shown a lasting edge yet - often a young company, a thin-margin business or one that has only recently turned profitable.
Returns on capital are thin or negative - ROIC 5.0%, ROE 7.6%, ROA 3.3% - with debt at 0.52 times equity and negative free cash flow.
The dividend yield is 2.34% at a payout ratio of 33%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Childrens Book Publishing And Distribut… 49%, Rest of world 28%, Education 14% (quarter Q1 FY2027).
Institutional ownership scores 9/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 7 / 9 | ROIC | 5.0% |
|---|---|---|---|
| GLS Moat | 4.7 / 10 | ROE | 7.6% |
| Debt / equity | 0.52 | ROA | 3.3% |
| Free-cash-flow yield | -2.0% | Payout ratio | 33% |
| Institutions | 9 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 44: Weak
SCHL scores 44 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 6, no serious red flags - Red Flags score 50 (under 60); and filter 8, big enough - market cap $707M (under $1.0B), and the parts are thin too - value strong, premium strong, moat fair, health good, red flags weak, option trading weak, stability fair. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 54% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 1,183 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 220k shares a day on a market cap of $707M, with a beta of 1.08; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Fails | Red Flags score 50 (under 60) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Fails | market cap $707M (under $1.0B) |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 39% below fair value | |
| Premium | Strong | implied volatility 54% | |
| Moat | Fair | moat 4.7/10 | |
| Health | Good | Piotroski 7/9 | |
| Red Flags | Weak | Red Flags score 50/100 | |
| Option trading | Weak | 274 contracts a day, 1,183 open interest | |
| Stability | Fair | beta 1.08, $707M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 17 Dec 2026 (after the close), 42 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Publishing
The 12 companies below are the closest to Scholastic Corporation by market cap within the Publishing industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| TDAY USA TODAY Co. Inc. | 6.07 | 24.20 | +75% | 41Weak | $891M |
| WLYB John Wiley & Sons, Inc. | 50.82 | 100.77 | +50% | 33No options | $2.6B |
| WLY John Wiley & Sons, Inc. | 52.30 | 102.14 | +49% | 45Weak | $2.7B |
| GWOX The Goodheart-Willcox Company, Inc. | 371.00 | 348.25 | -7% | 21No options | $173M |
| LEE Lee Enterprises, Incorporated | 6.59 | 192.45 | +97% | 32No options | $147M |
| CMTX COMTEX News Network, Inc. | 5.25 | 131.70 | +96% | 27No options | $83M |
| NYT The New York Times Company | 66.50 | 67.41 | +1% | 73Good | $10.7B |
| PSO Pearson plc | 17.74 | 24.95 | +29% | 49Weak | $10.8B |
| NWSA News Corporation | 30.56 | 37.16 | +18% | 78Good | $17.0B |
| NWS News Corporation | 33.39 | 39.03 | +14% | 42Weak | $18.0B |
| DTRL The Detroit Legal News Company | 450.00 | 1,517.00 | +70% | 31No options | $17M |
| IDWM IDW Media Holdings, Inc. | 34.10 | 58.17 | +41% | 27No options | $10M |
⚖ Compare SCHL with 7 of them All Communication Services stocks →
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Start free See the Sunday ScanQuestions about SCHL
Is SCHL undervalued right now?
By the GLS models, yes: at 38.39 the stock is 39% below the average fair value of 62.46 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of SCHL and what does it mean?
SCHL scores 44 out of 100 (Weak) - it fails Wheel Trade Filters 6, 8. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for SCHL?
62.46 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Scholastic Corporation report earnings next?
The next earnings report is due on 17 Dec 2026 (after the close), 42 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does SCHL have listed options, and how liquid are they?
Yes. The nightly snapshot found 62 listed contracts with 1,183 open interest across all expiries and implied volatility of 54% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.