Scholastic stock weighs weak Q1 against 2027 guidance

Published on 10/07/2026 at 07:04 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Scholastic stock traded at USD 36.90 on October 6, while Q1 revenue fell 4 percent to USD 216.8 million. Fiscal 2027 EBITDA guidance stayed at USD 135 million to USD 145 million.

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Scholastic Corporation (ISIN US8070661058) was trading at USD 36.90 on Nasdaq on October 6, 2026 at 12:11 p.m. ET, down 1.36 percent from the prior close. The company is balancing a weaker first quarter against its reaffirmed full-year targets and a new publishing acquisition.

Q1 revenue falls to USD 216.8 million

According to Scholastic Corporation on September 24, 2026, revenue for fiscal 2027 first quarter ended August 31 fell 4 percent year over year to USD 216.8 million from USD 225.6 million. GAAP diluted loss per share widened to USD 3.77 from USD 2.83, while adjusted diluted loss per share increased to USD 3.63 from USD 2.52.

The pressure was uneven across the business. Education revenue dropped 24 percent to USD 30.4 million, while Entertainment revenue rose 48 percent to USD 20.1 million, giving investors a clear split between school-budget exposure and the companys media pipeline.

Guidance stays intact after weak quarter

Scholastic reaffirmed fiscal 2027 revenue growth guidance of 2 percent to 4 percent, adjusted EBITDA of USD 135 million to USD 145 million, and free cash flow of USD 35 million to USD 40 million, according to the September 24 release. The ranges place the burden of proof on the fall selling season and the expected improvement in later quarters.

Cash flow remains a key counterweight. Fiscal first-quarter free cash flow use rose to USD 110.8 million from USD 100.2 million, while net debt fell to USD 86.8 million from USD 242.8 million on the year-earlier comparison.

Acquisition adds a growth angle

On September 29, 2026, Scholastic Corporation announced a definitive agreement to acquire Cottage Door Press, an independent early-childhood publisher. The transaction would expand Scholastic's children's book portfolio and add another channel for early-learning products.

Analyst expectations remain measured. MarketBeat reported on September 28, 2026 that B. Riley Financial cut its target from USD 42.00 to USD 35.00 while keeping a Neutral rating. Separately, Investing.com showed a Neutral consensus from one analyst, with an average target of USD 38.50, 4.34 percent above the October 6 price.

Scholastic stock stays below its yearly high

Scholastic stock was trading at USD 36.90 on Nasdaq on October 6, 2026 at 12:11 p.m. ET. The price was 23.25 percent below the 52-week high of USD 48.07, leaving the next test tied to execution against the fall book-fair season and fiscal 2027 guidance.