McGraw Hill (NYSE:MH) Given Buy Rating at Needham & Company LLC

McGraw Hill (NYSE:MH)‘s stock had its “buy” rating reissued by Needham & Company LLC in a research report issued on Thursday,Benzinga reports. They currently have a $19.00 target price on the stock. Needham & Company LLC’s price target indicates a potential upside of 40.94% from the company’s previous close.

Several other research firms have also commented on MH. Deutsche Bank Aktiengesellschaft set a $16.00 target price on McGraw Hill in a research note on Friday, June 12th. JPMorgan Chase & Co. cut their price objective on shares of McGraw Hill from $21.00 to $20.00 and set an “overweight” rating on the stock in a report on Friday, June 12th. Morgan Stanley lowered their target price on shares of McGraw Hill from $21.00 to $18.00 and set an “overweight” rating for the company in a report on Thursday, June 11th. Wall Street Zen downgraded shares of McGraw Hill from a “buy” rating to a “hold” rating in a research note on Monday, July 20th. Finally, Robert W. Baird decreased their price target on shares of McGraw Hill from $19.00 to $16.00 and set an “outperform” rating on the stock in a report on Friday, June 12th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, McGraw Hill has a consensus rating of “Moderate Buy” and a consensus target price of $18.30.

McGraw Hill Stock Performance

Shares of MH opened at $13.48 on Thursday. McGraw Hill has a 1 year low of $8.94 and a 1 year high of $18.00. The company’s 50 day simple moving average is $10.60 and its 200 day simple moving average is $12.28. The company has a market capitalization of $2.58 billion and a price-to-earnings ratio of 67.41. The company has a debt-to-equity ratio of 3.53, a quick ratio of 0.61 and a current ratio of 0.77.

McGraw Hill (NYSE:MH) last released its earnings results on Thursday, August 13th. The company reported $0.59 EPS for the quarter, topping 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 1.68% and a return on equity of 57.92%. The firm’s quarterly revenue was up 2.7% on a year-over-year basis. On average, sell-side analysts predict that McGraw Hill will post 1.86 EPS for the current year.

Institutional Trading of McGraw Hill

A number of institutional investors and hedge funds have recently bought and sold shares of MH. Vanguard Group Inc. purchased a new position in McGraw Hill in the third quarter valued at approximately $32,923,000. Alyeska Investment Group L.P. purchased a new stake in McGraw Hill during the third quarter worth approximately $23,744,000. BlackRock Inc. acquired a new stake in shares of McGraw Hill in the second quarter worth $16,488,000. Norges Bank acquired a new stake in shares of McGraw Hill in the fourth quarter worth $18,485,000. Finally, Schroder Investment Management Group purchased a new position in shares of McGraw Hill in the 4th quarter valued at $14,856,000.

Key Stories Impacting McGraw Hill

Here are the key news stories impacting McGraw Hill this week:

• Positive Sentiment: Quarterly results exceeded expectations: McGraw Hill reported fiscal Q1 EPS of $0.59, well above the $0.48 consensus estimate and break-even earnings in the prior-year period. Revenue increased approximately 2.6% to 2.7% year over year to $549.9 million, supported by performance in its Higher Education and K-12 businesses. McGraw Hill shares rise nearly 4% after Q1 earnings and revenue beat forecasts
• Positive Sentiment: Recurring revenue and AI initiatives provided a growth signal: Management highlighted recurring revenue growth of about 10%, suggesting improved revenue visibility. Investors also focused on the company’s use of artificial intelligence as a potential long-term driver of product innovation and efficiency. McGraw Hill Q1 2027 earnings call highlights
• Positive Sentiment: Full-year revenue outlook was maintained or updated favorably: McGraw Hill guided to fiscal 2027 revenue of $2.1 billion to $2.2 billion, compared with consensus expectations near $2.1 billion. The range leaves room for upside if the company sustains its first-quarter momentum. McGraw Hill reports strong fiscal first-quarter 2027 results
• Neutral Sentiment: Shareholders elected the company’s proposed directors at the August 11 annual meeting, producing no major governance change or immediate financial impact. McGraw Hill reports strong fiscal Q1 2027 results
• Negative Sentiment: Despite the earnings beat, revenue growth remained modest, while McGraw Hill’s elevated leverage and weak liquidity metrics could limit flexibility. With a high valuation relative to earnings, the stock may require continued execution and stronger growth to sustain its gains.

About McGraw Hill

McGraw Hill (NYSE:MH) is a global learning science company specializing in educational content, digital learning platforms, and assessment solutions. The company offers textbooks and course materials for K-12 and higher education, along with professional development resources for corporate and workforce training. Its digital solutions—including adaptive learning platforms and analytics-driven tools—support personalized instruction, progress tracking, and interactive engagement in both classroom and remote environments.

Founded in 1888 in New York City, McGraw Hill has evolved from a technical periodical publisher into one of the world’s leading providers of educational content and technology.