McGraw Hill’s (MH) “Buy” Rating Reaffirmed at Needham & Company LLC

Needham & Company LLC reiterated their buy rating on shares of McGraw Hill (NYSE:MH) in a report published on Thursday,Benzinga reports. The brokerage currently has a $19.00 price target on the stock.

MH has been the topic of several other reports. Morgan Stanley cut their price target on shares of McGraw Hill from $21.00 to $18.00 and set an “overweight” rating on the stock in a report on Thursday, June 11th. Weiss Ratings upgraded McGraw Hill from a “sell (d-)” rating to a “sell (d)” rating in a research report on Friday, June 12th. Wall Street Zen lowered McGraw Hill from a “buy” rating to a “hold” rating in a report on Monday, July 20th. Deutsche Bank Aktiengesellschaft set a $16.00 target price on shares of McGraw Hill in a report on Friday, June 12th. Finally, BTIG Research decreased their price target on shares of McGraw Hill from $19.00 to $17.00 and set a “buy” rating on the stock in a research note on Friday. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $18.30.

McGraw Hill Price Performance

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

McGraw Hill (NYSE:MH) last posted its quarterly earnings data on Thursday, August 13th. The company reported $0.59 EPS for the quarter, topping the consensus estimate of $0.48 by $0.11. McGraw Hill had a net margin of 1.68% and a return on equity of 57.92%. The company had revenue of $549.90 million during the quarter. The firm’s revenue for the quarter was up 2.7% compared to the same quarter last year. Equities analysts forecast that McGraw Hill will post 1.86 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. MetLife Investment Management LLC raised its position in McGraw Hill by 7.0% in the fourth quarter. MetLife Investment Management LLC now owns 15,404 shares of the company’s stock valued at $254,000 after purchasing an additional 1,008 shares during the period. The Manufacturers Life Insurance Company increased its position in shares of McGraw Hill by 13.7% during the fourth quarter. The Manufacturers Life Insurance Company now owns 11,566 shares of the company’s stock valued at $191,000 after acquiring an additional 1,398 shares during the last quarter. Ameritas Investment Partners Inc. acquired a new position in shares of McGraw Hill in the 3rd quarter worth approximately $25,000. Police & Firemen s Retirement System of New Jersey increased its holdings in McGraw Hill by 48.5% in the 4th quarter. Police & Firemen s Retirement System of New Jersey now owns 7,360 shares of the company’s stock valued at $121,000 after purchasing an additional 2,404 shares during the last quarter. Finally, Legal & General Group Plc acquired a new position in McGraw Hill during the third quarter worth $30,000.

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.

McGraw Hill Company Profile

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.