WallStSmart

Laureate Education Inc (LAUR)vsMcGraw Hill, Inc. (MH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McGraw Hill, Inc. generates 24% more annual revenue ($2.11B vs $1.70B). LAUR leads profitability with a 16.6% profit margin vs -3.4%. LAUR earns a higher WallStSmart Score of 79/100 (B+).

LAUR

Strong Buy

79

out of 100

Grade: B+

Growth: 8.7Profit: 9.0Value: 10.0Quality: 5.8
Piotroski: 7/9Altman Z: 2.41

MH

Avoid

34

out of 100

Grade: F

Growth: 4.7Profit: 4.0Value: 5.0Quality: 4.8
Piotroski: 7/9Altman Z: 0.20
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LAURUndervalued (+61.1%)

Margin of Safety

+61.1%

Fair Value

$88.45

Current Price

$35.38

$53.07 discount

UndervaluedFair: $88.45Overvalued

Intrinsic value data unavailable for MH.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LAUR4 strengths · Avg: 9.3/10
Operating MarginProfitability
33.2%10/10

Strong operational efficiency at 33.2%

EPS GrowthGrowth
88.4%10/10

Earnings expanding 88.4% YoY

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Revenue GrowthGrowth
27.9%8/10

Revenue surging 27.9% year-over-year

MH0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

LAUR0 concerns · Avg: 0/10

No major concerns identified

MH4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-11.8%2/10

ROE of -11.8% — below average capital efficiency

Altman Z-ScoreHealth
0.202/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : LAUR

The strongest argument for LAUR centers on Operating Margin, EPS Growth, Return on Equity. Profitability is solid with margins at 16.6% and operating margin at 33.2%. Revenue growth of 27.9% demonstrates continued momentum.

Bull Case : MH

MH has a balanced fundamental profile.

Bear Case : LAUR

No major red flags identified for LAUR, but monitor valuation.

Bear Case : MH

The primary concerns for MH are Revenue Growth, EPS Growth, Return on Equity.

Key Dynamics to Monitor

LAUR profiles as a growth stock while MH is a turnaround play — different risk/reward profiles.

LAUR is growing revenue faster at 27.9% — sustainability is the question.

MH generates stronger free cash flow (308M), providing more financial flexibility.

Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

LAUR scores higher overall (79/100 vs 34/100), backed by strong 16.6% margins and 27.9% revenue growth. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Laureate Education Inc

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Laureate Education, Inc. offers higher education programs and services to students through a network of universities and institutions of higher education. The company is headquartered in Baltimore, Maryland.

McGraw Hill, Inc.

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

McGraw Hill, Inc., doing business as McGraw Hill, provides information solutions for K-12, higher education, and professional markets in the United States and internationally.

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