Is something wrong with TAL Education stock?
· The news led to a violent industrywide sell-off. Here's how some of the U.S.-listed Chinese educations stocks fared on Friday: New Oriental Education & Technology Group ( EDU -0.09%) was down 58% ...
What is the company's comment on market speculations about Tal?
· *Stock Advisor returns as of June 7, 2021 Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool recommends New Oriental Education & Technology Group and TAL Education Group.
What happened to Taltal Education Group?
· TAL Education (NYSE: TAL) stock starts us off with shares falling 65% as of Friday afternoon. That comes with some 127 million shares changing hands. For comparison, the company’s daily average ...
Why did target's stock drop 28% Wednesday?
· From the cancellations of initial public offerings (IPOs) to massive fines handed down via an anti-monopoly crackdown, the Chinese government has shown its eagerness to clamp down on big companies....
Why did TAL Education drop so much?
BEIJING — Two U.S.-listed Chinese education stocks plunged Friday after reports of a government crackdown on the sector that included bans on foreign investment. TAL Education shares tumbled 70.8%.
Is TAL a good stock to buy?
The financial health and growth prospects of TAL, demonstrate its potential to outperform the market. It currently has a Growth Score of B. Recent price changes and earnings estimate revisions indicate this would be a good stock for momentum investors with a Momentum Score of B.
Will TAL recover?
Like so many other stocks, TAL has come under downward pressure from the Covid-19 virus restrictions of the past year, which might be good news to investors who want it to rebound during 2021.
Why are Chinese education stocks down?
Key Points. China burned its education stocks to the ground last year by enacting harsh restrictions on companies' ability to do business. Losses quickly reached the 90%-plus level.
Should I sell my TAL stock?
The consensus among Wall Street equities research analysts is that investors should "hold" TAL Education Group stock. A hold rating indicates that analysts believe investors should maintain any existing positions they have in TAL, but not buy additional shares or sell existing shares.
What is the future of TAL?
Stock Price Forecast The 7 analysts offering 12-month price forecasts for TAL Education Group have a median target of 4.30, with a high estimate of 4.40 and a low estimate of 2.90. The median estimate represents a +21.13% increase from the last price of 3.55.
Will TAL rebound?
Since its launch, the Company has repurchased approximately US$ 196.3 million of its American depositary shares as part of a share repurchase program. Under the expanded share repurchase program, the Company can repurchase up to $803.7 million of its common shares by April 30, 2023.
What will happen to TAL?
Summary. TAL's decision to end the tutoring services to students from kindergarten through ninth grade (K9 Academic AST Services) is likely to disrupt its business operations in 2022.
Will New Oriental Education stock go up?
Stock Price Forecast The 11 analysts offering 12-month price forecasts for New Oriental Education & Technology Group Inc have a median target of 23.00, with a high estimate of 126.00 and a low estimate of 11.20. The median estimate represents a +88.37% increase from the last price of 12.21.
Will China education stocks recover?
Morgan Stanley analysts forecasted that Chinese education stocks can recover in the double-digits as it expects further government support for vocational training. It are eyeing New Oriental and TAL Education as they have “ample cash” to operate new businesses like non-academic tutoring.
Who owns tal education?
The Vanguard Group, Inc.
Will Chinese education stocks be delisted?
So what's ailing the Chinese education stocks today? Yesterday, the U.S. Securities and Exchange Commission (SEC) announced it has added six more U.S.-listed Chinese stocks to its list of companies subject to delisting from U.S. exchanges for failure to comply with the Holding Foreign Companies Accountable Act of 2020.
Will tal education go out of business?
"On the other hand, TAL Education (TAL)'s value is largely destroyed by the policy officially released on 7/24/2021, which essentially outlawed for-profit curriculum-related after school tutoring (which is TAL's main business).
Will China Education stock recover?
Morgan Stanley analysts forecasted that Chinese education stocks can recover in the double-digits as it expects further government support for vocational training. It are eyeing New Oriental and TAL Education as they have “ample cash” to operate new businesses like non-academic tutoring.
What education stocks have lost 50%?
Why is China clamping down on education stocks?
Various education stocks including TAL Education (NYSE: TAL ), Gaotu Techedu (NYSE: GOTU) and New Oriental Education & Tech (NYSE: EDU) have all lost more than 50% of their value today. Indeed, given such a steep decline, investors can be assured something is awry.
Why is China clamping down on companies?
The government’s clampdown on education stocks comes as China looks to boost its long-term economic growth through encouraging its citizens to have more children. One key obstacle many have identified to having children is the increasing cost of tutoring and education services from for-profit businesses.
Does Chris MacDonald have any positions in the securities mentioned in this article?
From the cancellations of initial public offerings (IPOs) to massive fines handed down via an anti-monopoly crackdown, the Chinese government has shown its eagerness to clamp down on big companies. The reasons for these clampdowns are uncertain. Some suggest these moves are intended to preserve power. Others believe that private sector CEOs have now grown to a size that has become threatening to the Chinese government. Whatever the case, investors don’t seem to want to stick around to see what the government will hand down next.
Is Chinese stock a risky investment?
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Is Wall Street bullish?
That said, Chinese stocks remain risky bets today. On the one hand, these are companies generally displaying incredible growth. Fundamentals are solid. However, the level of risk has become elevated for these stocks as of now.
Is Alibaba stock falling?
Wall Street remains bullish as ever, with a 4.69 rating that leans “very bullish.”
Who is the CEO of TAL?
Alibaba ( BABA) can’t stop falling. Sure, there’s the occasional rally here and there, but they have proven short-lived and have done little against the persistent downward trend that the stock has taken. The stock is now trading 50% below levels just a year ago - more than representing “crash” levels. The falling stock price has less to do with fundamentals, which remain very strong, and more to do with investor hesitancy with Chinese stocks in general. BABA appears deeply undervalued even before accounting for the cash and equity investments on its balance sheet, but do shareholders really have claim to earnings? Depending on your risk tolerance, BABA might present either huge potential or extreme risk.
How much is TAL earnings per share in 2020?
By most accounts, the lower values do not have to do with the leadership of CEO, Zhang Bangxin, who is seen as a visionary leader for the company. Some analysts are suggesting that regulatory changes early this year, combined with lower spending by households, put a damper on TAL’s business.
What is TAL education?
In quarter four of 2020, TAL reported seven cents EPS; in quarter three it reported eight cents. The second quarter of 2020 saw larger returns of 18 cents earnings-per-share. However, the first quarter of 2020 was negative with -.10 EPS. Going further back, EPS was mostly negative in 2019, but mostly positive in 2018.
What led investors to question the integrity of the management team?
Tal Education (TAL) is a Chinese company that provides tutoring services. The price action of TAL has been volatile over the past year, and many are wondering whether this is a good entry point. So what’s the deal with Tal Education? Why did its share price plummet and will Tal stock recover?
Is Tal Education a sell?
According to reports, sales were artificially inflated using these contracts, which led investors to question the integrity of the management team.
Is TAL a runway?
Although there is abundant upside for Tal Education, we rate it as a “sell” currently. That means this is not a stock that we would buy right now in order to earn quick gains.
Is Tal Education going to recover?
Proponents contend that regardless of EPS, TAL has significant runway, and that its “mindful” online/offline transition plan will put it in a comfortable position moving forward. That would suggest that TAL will be able to compete with contenders like Yuanfudao and Zuoyebang, which reportedly enjoy deep VC backing.
