Scholastic Co. (NASDAQ:SCHL – Get Free Report) gapped down before the market opened on Friday following a weaker than expected earnings announcement. The stock had previously closed at $38.95, but opened at $32.85. Scholastic shares last traded at $33.80, with a volume of 318,087 shares trading hands.
The company reported ($2.20) EPS for the quarter, missing the consensus estimate of ($1.35) by ($0.85). Scholastic had a net margin of 5.06% and a return on equity of 7.35%. The firm had revenue of $228.50 million during the quarter, compared to analysts’ expectations of $268.79 million. During the same quarter in the previous year, the company posted ($1.33) EPS.
Scholastic Announces Dividend
The company also recently disclosed a quarterly dividend, which will be paid on Friday, December 15th. Investors of record on Tuesday, October 31st will be paid a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a yield of 2.34%. The ex-dividend date of this dividend is Monday, October 30th. Scholastic’s dividend payout ratio is currently 32.26%.
Analyst Upgrades and Downgrades
Several analysts have recently issued reports on the stock. StockNews.com initiated coverage on shares of Scholastic in a research report on Thursday, August 17th. They issued a “buy” rating on the stock. TheStreet raised Scholastic from a “c+” rating to a “b+” rating in a report on Monday, August 21st.
Insider Activity at Scholastic
In other Scholastic news, Director John L. Davies sold 4,530 shares of the stock in a transaction that occurred on Wednesday, August 2nd. The shares were sold at an average price of $43.68, for a total value of $197,870.40. Following the sale, the director now directly owns 3,930 shares in the company, valued at approximately $171,662.40. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 18.62% of the stock is owned by corporate insiders.
Institutional Trading of Scholastic
A number of large investors have recently modified their holdings of the business. Virginia Retirement Systems ET AL purchased a new stake in shares of Scholastic during the 2nd quarter valued at $867,000. Comerica Bank purchased a new stake in Scholastic during the second quarter valued at about $651,511,000. Teachers Retirement System of The State of Kentucky boosted its holdings in shares of Scholastic by 6.4% in the 2nd quarter. Teachers Retirement System of The State of Kentucky now owns 8,874 shares of the company’s stock worth $345,000 after purchasing an additional 530 shares in the last quarter. Wells Fargo & Company MN increased its position in shares of Scholastic by 42.0% during the 2nd quarter. Wells Fargo & Company MN now owns 15,698 shares of the company’s stock valued at $611,000 after purchasing an additional 4,643 shares during the last quarter. Finally, Bragg Financial Advisors Inc raised its holdings in shares of Scholastic by 1.1% during the 2nd quarter. Bragg Financial Advisors Inc now owns 267,326 shares of the company’s stock valued at $10,396,000 after buying an additional 2,789 shares in the last quarter. Institutional investors own 80.72% of the company’s stock.
Scholastic Stock Down 12.4 %
The firm has a market capitalization of $1.08 billion, a P/E ratio of 13.31 and a beta of 1.07. The business’s 50-day simple moving average is $42.52 and its 200 day simple moving average is $40.25.
About Scholastic
Scholastic Corporation publishes and distributes children’s books worldwide. It operates in three segments: Children’s Book Publishing and Distribution, Education Solutions, and International. The Children’s Book Publishing and Distribution segment engages in publication and distribution of children’s books, eBooks, media, and interactive products through its school book clubs and fair channels, and trade channel.