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TAL Education Group

Rank #233HypergrowthWatchlistCompare with other stocks

TAL · NYSE · Consumer Defensive

TAL Education Group (TAL) — Rank #233 by gross profitability (GP/assets 0.28) · ROE 14.1% · Piotroski F-Score N/A.

As-of 2026-10-30 · CIK 0001499620 · all metrics point-in-time as of the filing date.

About

TAL Education Group provides smart learning solutions in the People's Republic of China.

Show more

It offers learning services through Xueersi Peiyou small classes, personalized premium services, and online course offerings. The company also develops and provides learning content solutions for learners across print, digital and device-based formats, including print books, books integrated with digital learning experiences, learning devices, and mobile applications. In addition, it offers online education services, including live class and pre-recorded course content through www.xueersi.com. Further, the company engages in development and sale of software, network, and learning devices; investment management and consulting services.

TAL Education Group was founded in 2003 and is headquartered in Beijing, the People's Republic of China.

Industry
Education & Training Services
Sector
Consumer Defensive
State
E9
Filer Category
Large accelerated filer
Website
tal.com

Company Snapshot

P/S is the primary valuation lens — earnings are reinvested, not available for P/E.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

26,100

Industry

Education & Training Services

Exchange

NYSE

11/11

Flags passed

TAL passes 11/11 quality flags

  • PASS
    Gross margin holding
  • PASS
    Dilution within 2%
  • PASS
    FCF not negative from investment
  • PASS
    Disclosure consistent
  • PASS
    Revenue not declining
  • PASS
    Operating margin holding
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Deferred revenue growing

No data Balance sheet — not counted as a pass.

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.28
Return on equity
14.1%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.57
Current ratio
2.17×
Net cash
$4.07B

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
1.4%

Growth

2/2 pass
Revenue growth
33.7%
Piotroski F-Score
N/A
Share dilution
-6.0%

Revenue growth and the path to profitability (margin trend) are the primary reads at this stage.

Profitability

Does it make money well?

No warning flags · GP/assets 0.28

Gross profitability (GP / assets)

0.28

Primary signal (Novy-Marx).

4th of 5 SIC 8200 peers

Return on equity

14.1%

Gross margin

55.4%

2nd of 5 SIC 8200 peers

Revenue growth (YoY)

33.7%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2023202420252026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

43.4%

Revenue CAGR (5Y)

-7.7%

Earnings CAGR (3Y)

—

FCF CAGR (3Y)

—

Cash Flow Health

Is the cash real?

No warning flags · FCF 4% below net income

Free cash flow

$508.28M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

-4.2%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

1.4%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

No warning flags · net cash $4.07B

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.57

1st of 5 SIC 8200 peers (best = lowest)

Current ratio

2.17×

2nd of 5 SIC 8200 peers

Quick ratio

1.87×

Net cash

$4.07B

Cash & equivalents minus total debt.

Piotroski F-Score

N/A

Only 8/9 components determinable.

Valuation

Is the price reasonable?

No warning flags

Capital allocation quality

Composite score

4.0 / 5

Strong
Share count trend(net buybacks)
-6.0%5/5 Strong
Buyback timing
N/AN/A
Dividend growth consistency(non-payer or broken streak)
0 yr3/5 Good
Net debt trajectory(deleveraging)
2.4%4/5 Strong

Lifecycle Phase History

20212026
Hypergrowth
Startup
Decline

Price History

TAL+143.0% · +19.4% CAGRSPY+82.9% · +12.8% CAGR

View full financial statements →

Source filings on SEC EDGAR: 10-K annual reports · 10-Q quarterly reports