Strategic Education Inc (STRA)vsTAL Education Group (TAL)
STRA
Strategic Education Inc
$83.49
+2.13%
CONSUMER DEFENSIVE · Cap: $1.90B
TAL
TAL Education Group
$11.30
+2.26%
CONSUMER DEFENSIVE · Cap: $6.72B
Smart Verdict
WallStSmart Research — data-driven comparison
TAL Education Group generates 122% more annual revenue ($2.82B vs $1.27B). STRA leads profitability with a 10.0% profit margin vs 9.9%. TAL appears more attractively valued with a PEG of 0.46. TAL earns a higher WallStSmart Score of 68/100 (B-).
STRA
Strong Buy66
out of 100
Grade: B-
TAL
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+69.5%
Fair Value
$253.19
Current Price
$83.49
$169.70 discount
Margin of Safety
+47.1%
Fair Value
$22.46
Current Price
$11.30
$11.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Earnings expanding 58.1% YoY
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 27.0% year-over-year
Areas to Watch
3.8% revenue growth
Smaller company, higher risk/reward
ROE of 7.6% — below average capital efficiency
ROE of 7.7% — below average capital efficiency
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : STRA
The strongest argument for STRA centers on Price/Book, EPS Growth, Altman Z-Score. PEG of 0.75 suggests the stock is reasonably priced for its growth.
Bull Case : TAL
The strongest argument for TAL centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 27.0% demonstrates continued momentum. PEG of 0.46 suggests the stock is reasonably priced for its growth.
Bear Case : STRA
The primary concerns for STRA are Revenue Growth, Market Cap, Return on Equity.
Bear Case : TAL
The primary concerns for TAL are Return on Equity, Piotroski F-Score.
Key Dynamics to Monitor
STRA profiles as a value stock while TAL is a growth play — different risk/reward profiles.
STRA carries more volatility with a beta of 0.56 — expect wider price swings.
TAL is growing revenue faster at 27.0% — sustainability is the question.
TAL generates stronger free cash flow (816M), providing more financial flexibility.
Bottom Line
TAL scores higher overall (68/100 vs 66/100) and 27.0% revenue growth. STRA offers better value entry with a 69.5% margin of safety. 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.
Strategic Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Strategic Education, Inc., offers postsecondary education and non-degree programs. The company is headquartered in Herndon, Virginia.
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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