Sunlands Technology Group (STG)vsTAL Education Group (TAL)
STG
Sunlands Technology Group
$2.44
+1.67%
CONSUMER DEFENSIVE · Cap: $31.10M
TAL
TAL Education Group
$10.06
-1.47%
CONSUMER DEFENSIVE · Cap: $5.58B
Smart Verdict
WallStSmart Research — data-driven comparison
TAL Education Group generates 73% more annual revenue ($3.19B vs $1.84B). TAL leads profitability with a 28.4% profit margin vs 17.6%. STG trades at a lower P/E of 0.7x. TAL earns a higher WallStSmart Score of 80/100 (A-).
STG
Buy58
out of 100
Grade: C
TAL
Exceptional Buy80
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for STG.
Margin of Safety
+89.5%
Fair Value
$113.21
Current Price
$10.06
$103.15 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Every $100 of equity generates 36 in profit
Conservative balance sheet, low leverage
Strong operational efficiency at 20.5%
Attractively priced relative to earnings
Reasonable price relative to book value
Revenue surging 31.9% year-over-year
Earnings expanding 1360.0% YoY
Conservative balance sheet, low leverage
Keeps 28 of every $100 in revenue as profit
Areas to Watch
Smaller company, higher risk/reward
Revenue declined 24.6%
Earnings declined 32.9%
Distress zone — elevated risk
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : STG
The strongest argument for STG centers on P/E Ratio, Price/Book, Return on Equity. Profitability is solid with margins at 17.6% and operating margin at 20.5%.
Bull Case : TAL
The strongest argument for TAL centers on P/E Ratio, Price/Book, Revenue 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 : STG
The primary concerns for STG are Market Cap, Revenue Growth, EPS Growth.
Bear Case : TAL
The primary concerns for TAL are PEG Ratio.
Key Dynamics to Monitor
STG profiles as a declining stock while TAL is a growth play — different risk/reward profiles.
STG carries more volatility with a beta of 1.48 — expect wider price swings.
TAL is growing revenue faster at 31.9% — sustainability is the question.
Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TAL scores higher overall (80/100 vs 58/100), backed by strong 28.4% margins and 31.9% revenue growth. Both earn "Exceptional Buy" and "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.
Sunlands Technology Group
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China
Sunlands Technology Group, provides online education services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.
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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