Yahoo Finance Scholastic (SCHL) Stock Trades Down, Here Is Why
What Happened:
Shares of educational publishing and media company Scholastic (NASDAQ:SCHL) fell 15.2% in the pre-market session after the company reported weak second quarter earnings results. Its revenue and EPS fell short of Wall Street's estimates. Revenue declined 10% due to resizing efforts (mostly affected Book Club revenue) to create a smaller, more profitable core business. In addition, the weakness was attributed to "lower supplemental curriculum product sales in Education Solutions and lower revenue per fair in the U.S. Book Fairs channel." Overall, this was a bad quarter for Scholastic.
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What is the market telling us:
Scholastic's shares are not very volatile than the market average and over the last year have had only 5 moves greater than 5%.
Scholastic is down 20.1% since the beginning of the year, and at $30.45 per share it is trading 33.5% below its 52-week high of $45.81 from August 2023. Investors who bought $1,000 worth of Scholastic's shares 5 years ago would now be looking at an investment worth $929.75.
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