Stride Inc (LRN)vsTAL Education Group (TAL)
LRN
Stride Inc
$80.46
+0.44%
CONSUMER DEFENSIVE · Cap: $3.41B
TAL
TAL Education Group
$11.99
-0.75%
CONSUMER DEFENSIVE · Cap: $6.04B
Smart Verdict
WallStSmart Research — data-driven comparison
TAL Education Group generates 26% more annual revenue ($3.19B vs $2.54B). TAL leads profitability with a 28.4% profit margin vs 12.1%. LRN appears more attractively valued with a PEG of 0.47. TAL earns a higher WallStSmart Score of 76/100 (B+).
LRN
Strong Buy65
out of 100
Grade: B-
TAL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+7.7%
Fair Value
$86.98
Current Price
$80.46
$6.52 discount
Margin of Safety
+89.8%
Fair Value
$116.27
Current Price
$11.99
$104.28 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 20.8%
Attractively priced relative to earnings
Revenue surging 31.9% year-over-year
Earnings expanding 1360.0% YoY
Keeps 28 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Areas to Watch
2.7% revenue growth
Earnings declined 4.5%
Expensive relative to growth rate
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : LRN
The strongest argument for LRN centers on PEG Ratio, Altman Z-Score, P/E Ratio. PEG of 0.47 suggests the stock is reasonably priced for its growth.
Bull Case : TAL
The strongest argument for TAL centers on P/E Ratio, Revenue Growth, EPS Growth. Profitability is solid with margins at 28.4% and operating margin at 18.1%. Revenue growth of 31.9% demonstrates continued momentum.
Bear Case : LRN
The primary concerns for LRN are Revenue Growth, EPS Growth.
Bear Case : TAL
The primary concerns for TAL are PEG Ratio, Free Cash Flow.
Key Dynamics to Monitor
LRN profiles as a value stock while TAL is a growth play — different risk/reward profiles.
LRN carries more volatility with a beta of 0.10 — expect wider price swings.
TAL is growing revenue faster at 31.9% — sustainability is the question.
LRN generates stronger free cash flow (202M), providing more financial flexibility.
Bottom Line
TAL scores higher overall (76/100 vs 65/100), backed by strong 28.4% margins and 31.9% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Stride Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Stride, Inc., a technology-based education company, provides its own and third-party online educational services, software systems and curricula to facilitate individualized learning for students primarily in kindergarten through grade 12 (K -12) in the United States and internationally. .
Visit Website →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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