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TAL Education Group Receives Mixed Ratings from Value Investors

A recent report reveals TAL Education Group (ADR) scores 57% under Benjamin Graham's Value Investor model, indicating a lukewarm valuation status. With failures in long-term EPS growth, P/E, and price/book ratio, investors should scrutinize their positions carefully.

Date: 
AI Rating:   5

The report presents an in-depth evaluation of TAL EDUCATION GROUP (ADR) (TAL) and indicates a 57% rating based on the Value Investor model established by Benjamin Graham. This score reflects the firm's underlying fundamentals, although it does not reach the 80% threshold that generally indicates investor interest.

Several areas were evaluated:

  • Sector: PASS
  • Sales: PASS
  • Current Ratio: PASS
  • Long-term Debt in Relation to Net Current Assets: PASS
  • Long-term EPS Growth: FAIL
  • P/E Ratio: FAIL
  • Price/Book Ratio: FAIL

The stock has met most of the fundamental criteria evaluated, signaling stability in certain areas such as sales and debt ratios. However, the failure in the areas of Long-term EPS Growth, P/E Ratio, and Price/Book Ratio could be detrimental to investor outlook, suggesting challenges in profitability and valuation.

Given these metrics, investors may perceive TAL as a growth stock with underlying concerns regarding profitability ratios. Continuous monitoring of these indicators is advisable, as they can significantly affect future stock performance.

Stocks:  TAL