Educational Development
Market Cap
US$133.7m
Last Updated
2021/03/05 23:26 UTC
Data Sources
Company Financials
Executive Summary
Educational Development Corporation, a publishing company, operates as a trade co-publisher of the line of educational children’s books in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Outstanding track record with excellent balance sheet.
Similar Companies
Share Price & News
How has Educational Development's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EDUC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: EDUC's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
2.2%
EDUC
3.8%
US Retail Distributors
-0.4%
US Market
1 Year Return
227.0%
EDUC
46.4%
US Retail Distributors
36.3%
US Market
Return vs Industry: EDUC exceeded the US Retail Distributors industry which returned 46.4% over the past year.
Return vs Market: EDUC exceeded the US Market which returned 36.3% over the past year.
Shareholder returns
| EDUC | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.2% | 3.8% | -0.4% |
| 30 Day | 7.4% | 7.7% | -1.3% |
| 90 Day | -0.6% | 12.2% | 4.9% |
| 1 Year | 235.2%227.0% | 48.7%46.4% | 39.2%36.3% |
| 3 Year | 65.1%53.1% | 46.2%39.8% | 48.7%39.2% |
| 5 Year | 206.5%177.3% | 71.0%57.6% | 117.0%92.8% |
Long-Term Price Volatility Vs. Market
How volatile is Educational Development's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Educational Development Corporation's (NASDAQ:EDUC) Stock's On An Uptrend: Are Strong Financials Guiding The Market?2 weeks ago | Simply Wall St
Should You Buy Educational Development Corporation (NASDAQ:EDUC) For Its Upcoming Dividend?3 weeks ago | Simply Wall St
Is Educational Development Corporation's (NASDAQ:EDUC) Shareholder Ownership Skewed Towards Insiders?Valuation
Is Educational Development undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EDUC ($15.96) is trading below our estimate of fair value ($415.95)
Significantly Below Fair Value: EDUC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: EDUC is good value based on its PE Ratio (12.1x) compared to the US Retail Distributors industry average (31.3x).
PE vs Market: EDUC is good value based on its PE Ratio (12.1x) compared to the US market (21.5x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate EDUC's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: EDUC's PB Ratio (3.4x) is in line with the US Retail Distributors industry average.
Next Steps
Future Growth
How is Educational Development forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
16.0%
Forecasted Retail industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Educational Development has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Next Steps
- Examine whether Educational Development is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Explore growth companies in the Retail industry.
Past Performance
How has Educational Development performed over the past 5 years?
27.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EDUC has high quality earnings.
Growing Profit Margin: EDUC's current net profit margins (6%) are higher than last year (4.9%).
Past Earnings Growth Analysis
Earnings Trend: EDUC's earnings have grown significantly by 27.1% per year over the past 5 years.
Accelerating Growth: EDUC's earnings growth over the past year (94.2%) exceeds its 5-year average (27.1% per year).
Earnings vs Industry: EDUC earnings growth over the past year (94.2%) exceeded the Retail Distributors industry 29.1%.
Return on Equity
High ROE: EDUC's Return on Equity (28.4%) is considered high.
Next Steps
Financial Health
How is Educational Development's financial position?
Financial Position Analysis
Short Term Liabilities: EDUC's short term assets ($84.1M) exceed its short term liabilities ($62.5M).
Long Term Liabilities: EDUC's short term assets ($84.1M) exceed its long term liabilities ($10.9M).
Debt to Equity History and Analysis
Debt Level: EDUC's debt to equity ratio (28.7%) is considered satisfactory.
Reducing Debt: EDUC's debt to equity ratio has increased from 3.5% to 28.7% over the past 5 years.
Debt Coverage: EDUC's debt is well covered by operating cash flow (313.5%).
Interest Coverage: EDUC's interest payments on its debt are well covered by EBIT (21.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Educational Development current dividend yield, its reliability and sustainability?
2.51%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EDUC's dividend (2.51%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: EDUC's dividend (2.51%) is low compared to the top 25% of dividend payers in the US market (3.64%).
Stability and Growth of Payments
Stable Dividend: EDUC's dividend payments have been volatile in the past 10 years.
Growing Dividend: EDUC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (20.5%), EDUC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Randall White (78 yo)
35.17yrs
Tenure
US$346,300
Compensation
Mr. Randall W. White has been the Executive Chairman, President and Treasurer at Educational Development Corporation since September 1986, January 1986 and February 1984 respectively and serves as its Chie...
CEO Compensation Analysis
Compensation vs Market: Randall's total compensation ($USD346.30K) is below average for companies of similar size in the US market ($USD516.25K).
Compensation vs Earnings: Randall's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 35.17yrs | US$346.30k | 17.04% $ 22.8m | |
| Corporate Secretary & CFO | 4yrs | US$260.60k | 0.36% $ 478.4k | |
| Chief Operating Officer | 2.67yrs | US$228.50k | 5.29% $ 7.1m | |
| Chief Sales & Marketing Officer | 2.67yrs | no data | 0.25% $ 328.1k |
3.3yrs
Average Tenure
51yo
Average Age
Experienced Management: EDUC's management team is considered experienced (3.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 35.17yrs | US$346.30k | 17.04% $ 22.8m | |
| Lead Independent Director | no data | US$8.18k | 0.63% $ 848.5k | |
| Independent Director | 10.25yrs | US$8.58k | 0.044% $ 58.4k | |
| Independent Director | 0.83yr | no data | 0.54% $ 719.7k | |
| Independent Director | 9.83yrs | US$8.18k | 0.012% $ 16.0k |
10.0yrs
Average Tenure
78yo
Average Age
Experienced Board: EDUC's board of directors are seasoned and experienced ( 10 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Educational Development Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Educational Development Corporation
- Ticker: EDUC
- Exchange: NasdaqGM
- Founded: 1965
- Industry: Distributors
- Sector: Retail
- Market Cap: US$133.699m
- Shares outstanding: 8.35m
- Website: https://www.edcpub.com
Number of Employees
Location
- Educational Development Corporation
- 5402 South 122nd East Avenue
- Tulsa
- Oklahoma
- 74146
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EDUC | NasdaqGM (Nasdaq Global Market) | Yes | Common Stock | US | USD | Jun 1970 |
Biography
Educational Development Corporation, a publishing company, operates as a trade co-publisher of the line of educational children’s books in the United States. The company offers various books, including Tou...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/03/05 23:26 |
| End of Day Share Price | 2021/03/05 00:00 |
| Earnings | 2020/11/30 |
| Annual Earnings | 2020/02/29 |
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.