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Educational Development ( (EDUC) ) has shared an update.
On January 8, 2026, Educational Development Corporation reported fiscal 2026 third-quarter results for the period ended November 30, 2025, highlighting a sharp revenue decline alongside an accounting boost from asset sales. Net revenues fell to $7.0 million from $11.1 million in the quarter, and to $18.7 million from $27.6 million year-to-date, with average active PaperPie brand partners dropping to 5,100 from 12,400 in the quarter and to 6,200 from 13,300 year-to-date, underscoring continued sales and field-force pressure. Despite this, the company swung to reported pre-tax earnings of $10.6 million for the quarter and $7.4 million year-to-date, versus losses a year earlier, driven by a $32.2 million strategic sale-and-leaseback of its headquarters and distribution complex, which generated a $12.2 million gain; excluding this, it still posted pre-tax losses of $1.6 million for the quarter and $4.8 million year-to-date. Management emphasized that using the sale proceeds to fully repay term and revolving bank debt, reducing inventory by $1.5 million, and ending bank operating restrictions has improved annual cash flow by an estimated $1.0 million, lifted cash on the balance sheet to $3.4 million, and provided liquidity expected to support operations into fiscal 2027 while allowing renewed investment in new titles and efforts to reignite growth in the PaperPie division.
The most recent analyst rating on (EDUC) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on Educational Development stock, see the EDUC Stock Forecast page.
Spark’s Take on EDUC Stock
According to Spark, TipRanks’ AI Analyst, EDUC is a Neutral.
Educational Development Corporation is currently facing significant financial challenges, with declining revenues and profitability being the most pressing issues. The technical analysis provides mixed signals, and the valuation is unattractive due to ongoing losses. The earnings call revealed some positive steps towards cost management and debt reduction, but the overall sentiment remains cautious. Strategic shifts are necessary to stabilize and grow the business.
To see Spark’s full report on EDUC stock, click here.
More about Educational Development
Educational Development Corporation is a Tulsa-based publishing company focused on children’s books and educational products, owning and exclusively publishing Kane Miller Books, Learning Wrap-Ups, and SmartLab Toys, and serving as the exclusive U.S. multi-level marketing distributor of Usborne children’s books. Its products are sold through approximately 4,000 retail outlets and a network of independent PaperPie brand partners who market via social media, school and library book fairs, in-home events and online sales, targeting the children’s educational and STEAM-oriented consumer market.
Average Trading Volume: 230,719
Technical Sentiment Signal: Sell
Current Market Cap: $11.76M
For an in-depth examination of EDUC stock, go to TipRanks’ Overview page.