McGraw Hill (NYSE:MH) Shares Gap Up – Should You Buy?

Shares of McGraw Hill, Inc. (NYSE:MH) gapped up before the market opened on Monday . The stock had previously closed at $12.32, but opened at $12.84. McGraw Hill shares last traded at $13.0350, with a volume of 50,259 shares traded.

Analyst Ratings Changes

A number of research firms have weighed in on MH. JPMorgan Chase & Co. decreased their target price on shares of McGraw Hill from $21.00 to $20.00 and set an “overweight” rating on the stock in a research note on Friday, June 12th. Morgan Stanley dropped their price target on McGraw Hill from $18.00 to $16.00 and set an “overweight” rating for the company in a research note on Friday, August 14th. Weiss Ratings raised McGraw Hill from a “sell (d)” rating to a “sell (d+)” rating in a report on Friday, August 14th. BMO Capital Markets boosted their price objective on McGraw Hill from $16.00 to $17.00 and gave the stock an “outperform” rating in a research report on Friday, August 14th. Finally, The Goldman Sachs Group lowered their target price on McGraw Hill from $19.00 to $17.00 and set a “buy” rating for the company in a report on Thursday, June 11th. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $17.20.

McGraw Hill Trading Up 4.7%

The company has a current ratio of 0.78, a quick ratio of 0.62 and a debt-to-equity ratio of 3.25. The firm has a market capitalization of $2.47 billion, a price-to-earnings ratio of 25.80 and a beta of -0.85. The firm’s 50-day moving average is $11.63 and its 200 day moving average is $12.19.

McGraw Hill (NYSE:MH) last announced its quarterly earnings results on Thursday, August 13th. The company reported $0.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.48 by $0.11. The firm had revenue of $549.90 million during the quarter. McGraw Hill had a net margin of 4.38% and a return on equity of 62.57%. The business’s quarterly revenue was up 2.7% on a year-over-year basis. On average, equities analysts predict that McGraw Hill, Inc. will post 1.91 earnings per share for the current fiscal year.

Institutional Trading of McGraw Hill

Institutional investors and hedge funds have recently bought and sold shares of the stock. Rhumbline Advisers acquired a new position in McGraw Hill during the 3rd quarter worth about $279,000. Vanguard Group Inc. acquired a new stake in shares of McGraw Hill in the third quarter valued at about $32,923,000. Ameritas Investment Partners Inc. bought a new position in shares of McGraw Hill during the third quarter worth about $25,000. Barclays PLC bought a new position in shares of McGraw Hill during the third quarter worth about $765,000. Finally, Legal & General Group Plc acquired a new position in shares of McGraw Hill in the third quarter worth approximately $30,000.

About McGraw Hill

McGraw Hill is an education company that develops learning materials, digital courseware and assessment products for students, educators and institutions. Its offerings span higher education, K–12 schools, professional learning and international markets, with products designed to support instruction, curriculum planning, homework, testing and student progress tracking.

The company’s portfolio includes digital learning platforms, college textbooks, adaptive learning tools, online assignments, teacher resources and educational assessments.