Scholastic (NASDAQ:SCHL) Shares Gap Down – Here’s Why

Posted by Stanley Muller on Jul 24th, 2026

Scholastic Corporation (NASDAQ:SCHL – Get Free Report) shares gapped down before the market opened on Friday . The stock had previously closed at $46.44, but opened at $42.38. Scholastic shares last traded at $43.9130, with a volume of 91,076 shares.

Key Scholastic News

Here are the key news stories impacting Scholastic this week:

Positive Sentiment: Scholastic raised its quarterly dividend by 25% to $0.25 per share, a shareholder-friendly move that signals confidence in cash generation and can support the stock. Scholastic Corporation Increases Quarterly Dividend by 25%
Positive Sentiment: The company beat fiscal Q4 EPS estimates, reporting $2.19 per share versus the $2.16 consensus, and said fiscal 2026 adjusted EBITDA rose 4% to $151.5 million. Scholastic Reports Fourth Quarter and Fiscal 2026 Results
Positive Sentiment: Management said fiscal 2027 is expected to return to revenue growth and deliver higher adjusted EBITDA on a comparable basis, which may improve investor sentiment around the turnaround story. Scholastic Reports Fourth Quarter and Fiscal 2026 Results
Neutral Sentiment: Q4 revenue came in at $476.1 million, below the $517.1 million consensus, so the earnings beat was partially offset by weaker sales. Scholastic earnings release and transcript
Neutral Sentiment: The company also updated FY2027 revenue guidance to about $1.6 billion, below the roughly $1.7 billion analyst expectation, which may limit upside from the report. Scholastic Reports Fourth Quarter and Fiscal 2026 Results

Analysts Set New Price Targets

Several analysts recently commented on the company. Wall Street Zen cut Scholastic from a “buy” rating to a “hold” rating in a report on Saturday, April 25th. Zacks Research lowered shares of Scholastic from a “strong-buy” rating to a “hold” rating in a report on Tuesday, May 19th. B. Riley Financial raised their price target on shares of Scholastic from $40.00 to $42.00 and gave the stock a “neutral” rating in a report on Wednesday, July 8th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Scholastic in a research report on Thursday, June 18th. Three investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Scholastic presently has a consensus rating of “Hold” and an average price target of $42.00.

View Our Latest Report on SCHL

Scholastic Trading Down 4.7%

The firm has a 50-day moving average of $43.72 and a 200 day moving average of $38.88. The company has a market cap of $962.06 million, a P/E ratio of 17.82, a price-to-earnings-growth ratio of 1.48 and a beta of 0.99.

Scholastic (NASDAQ:SCHL – Get Free Report) last issued its earnings results on Thursday, July 23rd. The company reported $2.19 earnings per share for the quarter, topping analysts’ consensus estimates of $2.16 by $0.03. Scholastic had a return on equity of 2.47% and a net margin of 3.88%.The business had revenue of $476.10 million during the quarter, compared to the consensus estimate of $517.06 million. During the same period in the previous year, the company posted $0.59 earnings per share. On average, equities analysts predict that Scholastic Corporation will post 1.79 EPS for the current year.

Scholastic Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Monday, August 31st will be given a dividend of $0.25 per share. This is a positive change from Scholastic’s previous quarterly dividend of $0.20. The ex-dividend date of this dividend is Monday, August 31st. This represents a $1.00 annualized dividend and a dividend yield of 2.3%. Scholastic’s payout ratio is 32.26%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of SCHL. Tower Research Capital LLC TRC increased its stake in Scholastic by 458.1% in the second quarter. Tower Research Capital LLC TRC now owns 3,159 shares of the company’s stock valued at $66,000 after purchasing an additional 2,593 shares in the last quarter. GAMMA Investing LLC boosted its position in shares of Scholastic by 29.5% during the 4th quarter. GAMMA Investing LLC now owns 3,289 shares of the company’s stock worth $97,000 after purchasing an additional 749 shares in the last quarter. Marquette Asset Management LLC bought a new position in shares of Scholastic during the 4th quarter worth about $116,000. BNP Paribas Financial Markets grew its stake in shares of Scholastic by 127.4% in the 3rd quarter. BNP Paribas Financial Markets now owns 5,197 shares of the company’s stock valued at $142,000 after buying an additional 2,912 shares during the period. Finally, Yousif Capital Management LLC acquired a new stake in shares of Scholastic in the 4th quarter valued at about $181,000. 82.57% of the stock is owned by institutional investors.

About Scholastic

(Get Free Report)

Scholastic Corporation (NASDAQ: SCHL) is a global company dedicated to children’s publishing, education technology and distribution services. The company’s core business encompasses three primary segments: Children’s Book Publishing and Distribution, Education Technology, and International operations. Through its publishing arm, Scholastic produces and distributes a wide range of children’s books, novels, nonfiction titles and classroom magazines under well-known imprints such as Scholastic Press, Graphix and Chicken House.