TAL Education Group (TAL) stock analysis

In our weekly check, TAL Education Group is graded B (A to F). Of 22 checks on debt, profit, cash flow and trend: 16 pass, warnings: 3, red flags: 3.

About TAL Education Group

TAL Education Group is a Consumer Defensive company (Education & Training Services) based in China, listed on NYSE as TAL.

What our checks show for TAL

Red flags

• Analysts expect the net margin to shrink by 11.8 points from today's 17.6%.
• The stock has fallen as much as 98% from a peak. Would you have held through that?
• The share count grew by 225% in 2 years: each shareholder owns a smaller slice.

Warning signs

• Analysts expect earnings per share to shrink about 19.7% a year.
• The price swings a lot: 43% annual volatility. Expect large ups and downs.
• The stock is still below its previous peak.

Strengths

• Debt is low: 0.1x equity.
• The net margin rose by 43.5 points over 5 years, to 17.6%.
• The gross margin is 55.4% and has risen by 5.5 points: pricing power is holding.
• Analysts expect revenue to grow about 17.6% a year over the next years.
• Revenue grew 43.8% a year over the last 3 years.
• Earnings per share grew 13.3% a year over the last 3 years.

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Questions

What grade does TAL Education Group (TAL) have?

In our weekly check, TAL Education Group is graded B (A to F). Of 22 checks on debt, profit, cash flow and trend: 16 pass, warnings: 3, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of TAL stock?

This week's biggest flags for TAL Education Group: Margins expected to shrink, Deep past fall, Share dilution. In total 6 of 22 checks show a warning or a red flag.

What does TAL Education Group do?

TAL Education Group is a Consumer Defensive company (Education & Training Services) based in China, listed on NYSE as TAL.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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