Morgan Stanley has revised its price target for TAL Education (TAL, Financial), lowering it to $12 from a previous target of $13. Despite a recent decline in share price following an earnings miss in the fourth quarter, the investment firm maintains an Overweight rating on the stock. Morgan Stanley remains optimistic about TAL's long-term prospects, projecting robust revenue growth for fiscal year 2026.
The financial institution highlights key factors expected to drive this growth, including the increasing popularity of TAL's learning devices, which benefit from a trade-in program, as well as strong demand within its Peiyou enrichment learning division. In the wake of the share price correction, Morgan Stanley views the current valuation of TAL as appealing, according to their latest analysis.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 19 analysts, the average target price for TAL Education Group (TAL, Financial) is $14.51 with a high estimate of $17.20 and a low estimate of $11.70. The average target implies an upside of 60.73% from the current price of $9.03. More detailed estimate data can be found on the TAL Education Group (TAL) Forecast page.
Based on the consensus recommendation from 19 brokerage firms, TAL Education Group's (TAL, Financial) average brokerage recommendation is currently 1.7, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for TAL Education Group (TAL, Financial) in one year is $17.99, suggesting a upside of 99.34% from the current price of $9.025. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the TAL Education Group (TAL) Summary page.