Scholastic Corporation logo SCHL - Scholastic Corporation

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 1
HOLD 3
SELL 0
STRONG
SELL
0
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 40% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Mild
Trading 11.0% above fair value
Current Price $38.96
Bear Case $28.08 27.9% downside ($28.08 - $38.96) / $38.96 = -27.9% $2.34 × 12x P/E
Fair Value $35.10 9.9% downside ($35.10 - $38.96) / $38.96 = -9.9% $2.34 × 15x P/E
Bull Case $42.12 8.1% upside ($42.12 - $38.96) / $38.96 = 8.1% $2.34 × 18x P/E

Adjust Assumptions

15.0x
2.34$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 16.6x

Plain-Language Summary

Applying a 15x P/E to adjusted EPS of $2.34, the base-case value is $35.10 per share. DDM cross-check: $36.04.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples