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TAL Education Group

NYSE:TAL
Snowflake Description

Exceptional growth potential with solid track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TAL
NYSE
$21B
Market Cap
  1. Home
  2. US
  3. Consumer Services
Company description

TAL Education Group provides K-12 after-school tutoring services in the People’s Republic of China. The last earnings update was 65 days ago. More info.


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TAL Share Price and Events
7 Day Returns
0.8%
NYSE:TAL
1.8%
US Consumer Services
-0.3%
US Market
1 Year Returns
-10.2%
NYSE:TAL
2.9%
US Consumer Services
3.9%
US Market
TAL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
TAL Education Group (TAL) 0.8% -4.7% 6.2% -10.2% 241.4% 703.4%
US Consumer Services 1.8% 1.7% 8.4% 2.9% 99% 128.4%
US Market -0.3% 2.3% 2.3% 3.9% 36.7% 41.8%
1 Year Return vs Industry and Market
  • TAL underperformed the Consumer Services industry which returned 2.9% over the past year.
  • TAL underperformed the Market in United States of America which returned 3.9% over the past year.
Price Volatility
TAL
Industry
5yr Volatility vs Market

TAL Value

 Is TAL Education Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of TAL Education Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for TAL Education Group.

NYSE:TAL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 24 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:TAL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Consumer Services Unlevered Beta Simply Wall St/ S&P Global 0.74
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.74 (1 + (1- 25%) (1.01%))
0.83
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.83
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.83 * 5.96%)
7.67%

Discounted Cash Flow Calculation for NYSE:TAL using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for TAL Education Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:TAL DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.67%)
2020 649.74 Analyst x7 603.43
2021 904.54 Analyst x10 780.19
2022 1,212.97 Analyst x7 971.65
2023 1,238.00 Analyst x1 921.01
2024 1,682.00 Analyst x1 1,162.14
2025 1,896.14 Est @ 12.73% 1,216.72
2026 2,080.65 Est @ 9.73% 1,239.95
2027 2,239.42 Est @ 7.63% 1,239.45
2028 2,377.38 Est @ 6.16% 1,222.02
2029 2,499.37 Est @ 5.13% 1,193.15
Present value of next 10 years cash flows $10,549.70
NYSE:TAL DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $2,499.37 × (1 + 2.73%) ÷ (7.67% – 2.73%)
$51,926.76
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $51,926.76 ÷ (1 + 7.67%)10
$24,788.84
NYSE:TAL Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $10,549.70 + $24,788.84
$35,338.54
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $35,338.54 / 591.74
$59.72
NYSE:TAL Discount to Share Price
Calculation Result
Value per share (USD) From above. $59.72
Current discount Discount to share price of $36.18
= -1 x ($36.18 - $59.72) / $59.72
39.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price TAL Education Group is available for.
Intrinsic value
39%
Share price is $36.18 vs Future cash flow value of $59.72
Current Discount Checks
For TAL Education Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • TAL Education Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • TAL Education Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for TAL Education Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are TAL Education Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TAL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-02-28) in USD $0.64
NYSE:TAL Share Price ** NYSE (2019-07-19) in USD $36.18
United States of America Consumer Services Industry PE Ratio Median Figure of 25 Publicly-Listed Consumer Services Companies 26.07x
United States of America Market PE Ratio Median Figure of 3,083 Publicly-Listed Companies 17.92x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of TAL Education Group.

NYSE:TAL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TAL Share Price ÷ EPS (both in USD)

= 36.18 ÷ 0.64

56.14x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TAL Education Group is overvalued based on earnings compared to the US Consumer Services industry average.
  • TAL Education Group is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does TAL Education Group's expected growth come at a high price?
Raw Data
NYSE:TAL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 56.14x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 24 Analysts
28.9%per year
United States of America Consumer Services Industry PEG Ratio Median Figure of 17 Publicly-Listed Consumer Services Companies 1.46x
United States of America Market PEG Ratio Median Figure of 2,123 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

NYSE:TAL PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 56.14x ÷ 28.9%

1.95x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TAL Education Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on TAL Education Group's assets?
Raw Data
NYSE:TAL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-02-28) in USD $4.20
NYSE:TAL Share Price * NYSE (2019-07-19) in USD $36.18
United States of America Consumer Services Industry PB Ratio Median Figure of 51 Publicly-Listed Consumer Services Companies 1.93x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.8x
NYSE:TAL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TAL Share Price ÷ Book Value per Share (both in USD)

= 36.18 ÷ 4.20

8.61x

* Primary Listing of TAL Education Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TAL Education Group is overvalued based on assets compared to the US Consumer Services industry average.
X
Value checks
We assess TAL Education Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Services industry average (and greater than 0)? (1 check)
  5. TAL Education Group has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

TAL Future Performance

 How is TAL Education Group expected to perform in the next 1 to 3 years based on estimates from 24 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
28.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is TAL Education Group expected to grow at an attractive rate?
  • TAL Education Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • TAL Education Group's earnings growth is expected to exceed the United States of America market average.
  • TAL Education Group's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:TAL Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TAL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 24 Analysts 28.9%
NYSE:TAL Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 24 Analysts 22.4%
United States of America Consumer Services Industry Earnings Growth Rate Market Cap Weighted Average 33%
United States of America Consumer Services Industry Revenue Growth Rate Market Cap Weighted Average 14.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:TAL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TAL Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-02-29 9,845 2
2023-02-28 7,778 2
2022-02-28 6,234 1,413 868 17
2021-02-28 4,797 1,189 612 23
2020-02-29 3,524 844 418 24
NYSE:TAL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-02-28 2,563 194 367
2018-11-30 2,341 337
2018-08-31 2,188 254
2018-05-31 1,944 236
2018-02-28 1,715 685 198
2017-11-30 1,527 163
2017-08-31 1,355 136
2017-05-31 1,170 132
2017-02-28 1,043 379 117
2016-11-30 902 93
2016-08-31 783 89
2016-05-31 686 97

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • TAL Education Group's earnings are expected to grow significantly at over 20% yearly.
  • TAL Education Group's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:TAL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below

All data from TAL Education Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TAL Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-02-29
2023-02-28
2022-02-28 1.43 1.73 1.10 10.00
2021-02-28 1.01 1.16 0.80 16.00
2020-02-29 0.70 0.85 0.57 18.00
NYSE:TAL Past Financials Data
Date (Data in USD Millions) EPS *
2019-02-28 0.64
2018-11-30 0.61
2018-08-31 0.46
2018-05-31 0.44
2018-02-28 0.38
2017-11-30 0.31
2017-08-31 0.27
2017-05-31 0.27
2017-02-28 0.24
2016-11-30 0.19
2016-08-31 0.18
2016-05-31 0.20

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • TAL Education Group is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess TAL Education Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
TAL Education Group has a total score of 6/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

TAL Past Performance

  How has TAL Education Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare TAL Education Group's growth in the last year to its industry (Consumer Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • TAL Education Group has delivered over 20% year on year earnings growth in the past 5 years.
  • TAL Education Group's 1-year earnings growth exceeds its 5-year average (85.1% vs 35.5%)
  • TAL Education Group's earnings growth has exceeded the US Consumer Services industry average in the past year (85.1% vs 6.5%).
Earnings and Revenue History
TAL Education Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from TAL Education Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TAL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-02-28 2,562.98 367.24 1,063.67
2018-11-30 2,340.52 337.16 948.61
2018-08-31 2,187.79 253.99 868.65
2018-05-31 1,943.76 236.45 723.95
2018-02-28 1,715.02 198.44 628.39
2017-11-30 1,527.25 163.18 552.52
2017-08-31 1,354.54 136.14 491.67
2017-05-31 1,169.91 132.43 435.83
2017-02-28 1,043.10 116.88 389.29
2016-11-30 901.82 93.46 344.16
2016-08-31 783.45 89.42 296.99
2016-05-31 685.66 97.16 263.31
2016-02-29 619.95 102.88 234.59
2015-11-30 568.10 105.75 214.32
2015-08-31 525.29 107.12 196.76
2015-05-31 474.33 72.76 179.16
2015-02-28 433.97 67.16 164.11
2014-11-30 397.76 70.14 146.71
2014-08-31 371.93 71.69 131.09
2014-05-31 341.52 65.90 117.03
2014-02-28 313.90 60.61 106.06
2013-11-30 286.54 50.74 96.04
2013-08-31 261.92 43.83 89.13
2013-05-31 238.01 36.55 84.06
2013-02-28 225.93 33.44 78.80
2012-11-30 218.50 34.17 74.18
2012-08-31 210.25 30.02 70.32

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • TAL Education Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • TAL Education Group used its assets more efficiently than the US Consumer Services industry average last year based on Return on Assets.
  • TAL Education Group has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess TAL Education Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
TAL Education Group has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

TAL Health

 How is TAL Education Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up TAL Education Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • TAL Education Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • TAL Education Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of TAL Education Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 8.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from TAL Education Group Company Filings, last reported 4 months ago.

NYSE:TAL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-02-28 2,530.48 215.30 1,515.56
2018-11-30 1,809.28 244.65 1,612.32
2018-08-31 1,874.91 244.92 1,646.45
2018-05-31 1,818.80 235.38 1,929.16
2018-02-28 1,640.46 236.08 1,498.91
2017-11-30 984.84 249.51 1,310.97
2017-08-31 914.49 297.01 946.07
2017-05-31 716.05 420.12 1,117.66
2017-02-28 680.86 450.15 699.67
2016-11-30 639.41 259.20 676.47
2016-08-31 641.90 253.74 565.95
2016-05-31 556.88 228.28 735.86
2016-02-29 440.74 227.83 478.81
2015-11-30 421.45 227.38 590.19
2015-08-31 406.15 226.93 537.73
2015-05-31 342.13 226.49 641.94
2015-02-28 313.57 226.06 492.15
2014-11-30 304.14 225.63 567.98
2014-08-31 288.33 225.30 527.57
2014-05-31 251.43 224.81 578.54
2014-02-28 260.00 0.00 269.93
2013-11-30 244.09 0.00 333.23
2013-08-31 228.77 0.00 294.57
2013-05-31 203.37 0.00 274.31
2013-02-28 191.45 0.00 209.59
2012-11-30 182.72 0.00 249.22
2012-08-31 212.12 0.00 239.08
  • TAL Education Group's level of debt (8.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0.9% vs 8.5% today).
  • Debt is well covered by operating cash flow (90.3%, greater than 20% of total debt).
  • TAL Education Group earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess TAL Education Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. TAL Education Group has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

TAL Dividends

 What is TAL Education Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from TAL Education Group dividends. Estimated to be 0% next year.
If you bought $2,000 of TAL Education Group shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate TAL Education Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate TAL Education Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:TAL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below
United States of America Consumer Services Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 1.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:TAL Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-02-29
2023-02-28
2022-02-28 0.00 6.00
2021-02-28 0.00 14.00
2020-02-29 0.00 13.00
NYSE:TAL Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2015-04-28 0.000 0.000
2015-01-22 0.000 0.000
2014-10-21 0.000 0.000
2014-07-21 0.000 0.000
2014-05-12 0.000 0.000
2013-06-28 0.083 2.915
2013-04-23 0.083 5.005
2013-01-24 0.083 5.467
2013-01-22 0.083 5.745
2012-10-23 0.083 5.478

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as TAL Education Group has not reported any payouts.
  • Unable to verify if TAL Education Group's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of TAL Education Group's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as TAL Education Group has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of TAL Education Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess TAL Education Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can TAL Education Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. TAL Education Group has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TAL Management

 What is the CEO of TAL Education Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tom Zhang
AGE 38
TENURE AS CEO 16.5 years
CEO Bio

Mr. Bangxin Zhang, also known as Tom, co-founded TAL Education Group in 2003 and has been its Chairman and Chief Executive Officer since 2003. Mr. Zhang is instrumental to the development and success of TAL Education business. He provides vision, overall management and strategic decision-making relating to marketing, investment planning and corporate development. Mr. Zhang serves as a Director of Minerva Project, Inc. He is a legal owner of Xueersi Education, Xueersi Network and Xinxin Xiangrong. He is the sole director of Bright Unison Limited. He received his Bachelor’s degree in Life Sciences from Sichuan University in 2001, was in the postgraduate program of the Life Science School of Peking University from 2002 to 2007, and received an EMBA degree from China Europe International Business School in 2009.

CEO Compensation
  • Insufficient data for Tom to compare compensation growth.
  • Insufficient data for Tom to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the TAL Education Group management team in years:

2.8
Average Tenure
37
Average Age
  • The tenure for the TAL Education Group management team is about average.
Management Team

Tom Zhang

TITLE
Co-Founder
AGE
38
TENURE
16.5 yrs

Yunfeng Bai

TITLE
President
AGE
37
TENURE
2.8 yrs

Julius Luo

TITLE
Chief Financial Officer
AGE
37
TENURE
4.7 yrs

Yachao Liu

TITLE
COO & Director
AGE
37
TENURE
2.1 yrs

Yan Huang

TITLE
Chief Technology Officer
AGE
35
TENURE
2.8 yrs

Echo Yan

TITLE
Head of Investor Relations
TENURE
1.5 yrs
Board of Directors Tenure

Average tenure and age of the TAL Education Group board of directors in years:

4.1
Average Tenure
38
Average Age
  • The tenure for the TAL Education Group board of directors is about average.
Board of Directors

Tom Zhang

TITLE
Co-Founder
AGE
38
TENURE
16.5 yrs

Yachao Liu

TITLE
COO & Director
AGE
37
TENURE
2.8 yrs

Jane Jie Sun

TITLE
Independent Director
AGE
50
TENURE
8.8 yrs

Weiru Chen

TITLE
Independent Director
AGE
48
TENURE
4.1 yrs

Kaifu Zhang

TITLE
Independent Director
AGE
34
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess TAL Education Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. TAL Education Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

TAL News

Simply Wall St News

Does TAL Education Group (NYSE:TAL) Have A Healthy Balance Sheet?

NYSE:TAL Historical Debt, July 18th 2019 A Look At TAL Education Group's Liabilities According to the last reported balance sheet, TAL Education Group had liabilities of US$1.18b due within 12 months, and liabilities of US$20.9m due beyond 12 months. … While TAL Education Group has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance. … Summing up While it is always sensible to investigate a company's debt, in this case TAL Education Group has US$1.3b in net cash and a decent-looking balance sheet.

Simply Wall St -

Is TAL Education Group (NYSE:TAL) Trading At A 41% Discount?

Today, we will estimate the stock's intrinsic value by taking the expected future cash flows and discounting them to today's value. … Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) forecast 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF ($, Millions) $669.4m $948.7m $1.2b $1.3b $1.7b $2.0b $2.2b $2.3b $2.5b $2.6b Growth Rate Estimate Source Analyst x6 Analyst x10 Analyst x7 Analyst x1 Analyst x1 Est @ 13.49% Est @ 10.26% Est @ 8% Est @ 6.42% Est @ 5.31% Present Value ($, Millions) Discounted @ 7.64% $621.9 $818.9 $975.6 $946.1 $1.2k $1.3k $1.3k $1.3k $1.3k $1.3k ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= $10.9b After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … NYSE:TAL Intrinsic value, July 9th 2019 Important assumptions Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows.

Simply Wall St -

These Factors Make TAL Education Group (NYSE:TAL) An Interesting Investment

Exceptional growth potential with solid track record TAL is an attractive stock for growth-seeking investors, with an expected earnings growth of 29% in the upcoming year. … NYSE:TAL Past and Future Earnings, June 29th 2019 TAL's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. … NYSE:TAL Historical Debt, June 29th 2019 Next Steps: For TAL Education Group, I've put together three relevant factors you should further research: Valuation: What is TAL worth today?

Simply Wall St -

An Examination Of TAL Education Group (NYSE:TAL)

The optimistic bottom-line growth is supported by an outstanding revenue growth of 86% over the same time period, which indicates that earnings is driven by top-line activity rather than purely unsustainable cost-reduction initiatives. … NYSE:TAL Past and Future Earnings, June 29th 2019 TAL's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. … NYSE:TAL Historical Debt, June 29th 2019 Next Steps: For TAL Education Group, there are three key factors you should further research: Valuation: What is TAL worth today?

Simply Wall St -

How Good Is TAL Education Group (NYSE:TAL), When It Comes To ROE?

View our latest analysis for TAL Education Group How Do You Calculate Return On Equity? … The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for TAL Education Group: 14% = US$367m ÷ US$2.5b (Based on the trailing twelve months to February 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Combining TAL Education Group's Debt And Its 14% Return On Equity TAL Education Group has a debt to equity ratio of just 0.085, which is very low.

Simply Wall St -

Announcing: TAL Education Group (NYSE:TAL) Stock Soared An Exciting 699% In The Last Five Years

Check out our latest analysis for TAL Education Group To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. … Investors should note that there's a difference between TAL Education Group's total shareholder return (TSR) and its share price change, which we've covered above. … TAL Education Group hasn't been paying dividends, but its TSR of 702% exceeds its share price return of 699%, implying it has either spun-off a business, or raised capital at a discount; thereby providing additional value to shareholders.

Simply Wall St -

TAL Education Group (NYSE:TAL): Secrets For Long Term Investors

TAL Education Group is a financially healthy and robust stock with a proven track record of outperformance. … We all know TAL Education Group, and having this large-cap to cushion your portfolio during a volatile period in the stock market isn't a bad idea. … This consistent market outperformance illustrates a robust track record of delivering strong returns over a number of years, increasing my conviction in TAL Education Group as an investment over the long run.

Simply Wall St -

TAL Education Group (NYSE:TAL): Is It A Good Long Term Opportunity?

The most recent earnings announcement TAL Education Group's (NYSE:TAL) released in February 2019 signalled that the company gained from a strong tailwind, leading to a high double-digit earnings growth of 85%. … Below is a brief commentary on my key takeaways on how market analysts perceive TAL Education Group's earnings growth outlook over the next couple of years and whether the future looks even brighter than the past. … View our latest analysis for TAL Education Group Market analysts' consensus outlook for the upcoming year seems optimistic, with earnings climbing by a robust 18%.

Simply Wall St -

Why TAL Education Group (NYSE:TAL) Looks Like A Quality Company

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … We'll use ROE to examine TAL Education Group (NYSE:TAL), by way of a worked example. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why TAL Education Group’s (NYSE:TAL) Return On Capital Employed Might Be A Concern

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

TAL Company Info

Description

TAL Education Group provides K-12 after-school tutoring services in the People’s Republic of China. The company offers tutoring services to K-12 students covering various academic subjects, including mathematics, physics, chemistry, biology, history, geography, political science, English, and Chinese. It also provides tutoring services primarily through small classes under the Xueersi, Mobby, and Firstleap brand names; personalized premium services under Izhikang name; and online courses. In addition, the company operates jzb.com, an online education platform that serves as a gateway for online courses offered through xueersi.com; and other Websites for specific topics and offerings, such as college entrance examinations, high school entrance examinations, graduate school entrance examinations, preschool education, and raising infants and toddlers, as well as mathematics, English, and Chinese composition. Further, it operates mmbang.com and the Mama Bang app, an online platform focusing on children, baby, and maternity market; and provides consulting services for overseas studies under the Shunshun Liuxue name, as well as tutoring services for students aged two through twelve under the Mobby brand. Additionally, the company offers education and management consulting, investment management and consulting services; develops and sells software and networks, as well as related consulting services; and sells educational materials. As of February 28, 2019, its educational network included 676 learning centers and 499 service centers in 56 cities. The company was founded in 2003 and is headquartered in Beijing, the People’s Republic of China.

Details
Name: TAL Education Group
TAL
Exchange: NYSE
Founded: 2003
$21,409,289,055
591,743,755
Website: http://en.100tal.com
Address: TAL Education Group
Danling SOHO,
15th Floor,
Beijing,
100080,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TAL ADS EA REPR 2 CL A ORD SHS New York Stock Exchange US USD 20. Oct 2010
DB IZZ ADS EA REPR 2 CL A ORD SHS Deutsche Boerse AG DE EUR 20. Oct 2010
Number of employees
Current staff
Staff numbers
34,733
TAL Education Group employees.
Industry
Education Services
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/20 00:45
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/19
Last earnings filing: 2019/05/16
Last earnings reported: 2019/02/28
Last annual earnings reported: 2019/02/28


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.