WallStSmart

Franklin Covey Company (FC)vsTAL Education Group (TAL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TAL Education Group generates 1048% more annual revenue ($3.01B vs $262.06M). TAL leads profitability with a 17.6% profit margin vs -0.9%. FC appears more attractively valued with a PEG of 1.12. TAL earns a higher WallStSmart Score of 68/100 (B-).

FC

Avoid

32

out of 100

Grade: F

Growth: 3.3Profit: 3.0Value: 5.0Quality: 6.5
Piotroski: 4/9Altman Z: 2.00

TAL

Strong Buy

68

out of 100

Grade: B-

Growth: 10.0Profit: 6.5Value: 7.3Quality: 7.3
Piotroski: 5/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FCFair Value (-4.0%)

Margin of Safety

-4.0%

Fair Value

$18.02

Current Price

$23.94

$5.92 premium

UndervaluedFair: $18.02Overvalued
TALUndervalued (+87.9%)

Margin of Safety

+87.9%

Fair Value

$98.36

Current Price

$9.56

$88.80 discount

UndervaluedFair: $98.36Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FC1 strengths · Avg: 10.0/10
Debt/EquityHealth
0.0210/10

Conservative balance sheet, low leverage

TAL5 strengths · Avg: 9.8/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
31.5%10/10

Revenue surging 31.5% year-over-year

EPS GrowthGrowth
536.0%10/10

Earnings expanding 536.0% YoY

Debt/EquityHealth
0.109/10

Conservative balance sheet, low leverage

Areas to Watch

FC4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Market CapQuality
$269.75M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-4.2%2/10

ROE of -4.2% — below average capital efficiency

EPS GrowthGrowth
-61.3%2/10

Earnings declined 61.3%

TAL1 concerns · Avg: 2.0/10
PEG RatioValuation
10.462/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : FC

The strongest argument for FC centers on Debt/Equity. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bull Case : TAL

The strongest argument for TAL centers on P/E Ratio, Price/Book, Revenue Growth. Profitability is solid with margins at 17.6% and operating margin at 9.0%. Revenue growth of 31.5% demonstrates continued momentum.

Bear Case : FC

The primary concerns for FC are Revenue Growth, Market Cap, Return on Equity.

Bear Case : TAL

The primary concerns for TAL are PEG Ratio.

Key Dynamics to Monitor

FC profiles as a turnaround stock while TAL is a growth play — different risk/reward profiles.

FC carries more volatility with a beta of 0.81 — expect wider price swings.

TAL is growing revenue faster at 31.5% — sustainability is the question.

TAL generates stronger free cash flow (816M), providing more financial flexibility.

Bottom Line

TAL scores higher overall (68/100 vs 32/100), backed by strong 17.6% margins and 31.5% revenue growth. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Franklin Covey Company

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Franklin Covey Co. provides training and consulting services in the areas of execution, sales performance, productivity, customer loyalty, leadership, and educational improvement for organizations and individuals globally. The company is headquartered in Salt Lake City, Utah.

TAL Education Group

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China

TAL Education Group offers K-12 afterschool tutoring services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.

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