William Blair analyst Stephen Sheldon has maintained their bullish stance on MH stock, giving a Buy rating today.
Claim 50% Off TipRanks Premium and Invest with Confidence
- Unlock hedge-fund level data and powerful investing tools designed to help you make smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis so your portfolio is always positioned for maximum potential
Stephen Sheldon’s rating is based on McGraw Hill’s strong fiscal second-quarter performance and an optimistic growth outlook. The company exceeded expectations with its quarterly results, reporting revenue that was 3% above consensus, despite a decline in the K-12 segment. This was offset by a significant increase in higher education revenue and a notable growth in digital revenue.
Additionally, McGraw Hill raised its fiscal 2026 guidance, reflecting increased confidence in its growth trajectory. The company anticipates higher recurring revenue and a strong free cash flow conversion rate. Management’s expectation of a return to growth in the K-12 segment by fiscal 2027 further supports the Buy rating, as it suggests a promising future despite current challenges.
In another report released today, Needham also reiterated a Buy rating on the stock with a $19.00 price target.