WallStSmart

Grand Canyon Education Inc (LOPE)vsTAL Education Group (TAL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TAL Education Group generates 180% more annual revenue ($3.19B vs $1.14B). TAL leads profitability with a 28.4% profit margin vs 19.6%. LOPE appears more attractively valued with a PEG of 0.96. TAL earns a higher WallStSmart Score of 76/100 (B+).

LOPE

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 9.0Value: 6.0Quality: 8.5
Piotroski: 4/9Altman Z: 8.01

TAL

Strong Buy

76

out of 100

Grade: B+

Growth: 10.0Profit: 7.5Value: 7.3Quality: 8.0
Piotroski: 5/9Altman Z: 2.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LOPESignificantly Overvalued (-49.9%)

Margin of Safety

-49.9%

Fair Value

$106.92

Current Price

$150.88

$43.96 premium

UndervaluedFair: $106.92Overvalued
TALUndervalued (+89.8%)

Margin of Safety

+89.8%

Fair Value

$116.27

Current Price

$11.99

$104.28 discount

UndervaluedFair: $116.27Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LOPE6 strengths · Avg: 8.8/10
Return on EquityProfitability
31.6%10/10

Every $100 of equity generates 32 in profit

Altman Z-ScoreHealth
8.0110/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.159/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.968/10

Growing faster than its price suggests

P/E RatioValuation
17.6x8/10

Attractively priced relative to earnings

Operating MarginProfitability
22.0%8/10

Strong operational efficiency at 22.0%

TAL6 strengths · Avg: 9.3/10
P/E RatioValuation
7.8x10/10

Attractively priced relative to earnings

Revenue GrowthGrowth
31.9%10/10

Revenue surging 31.9% year-over-year

EPS GrowthGrowth
1360.0%10/10

Earnings expanding 1360.0% YoY

Profit MarginProfitability
28.4%9/10

Keeps 28 of every $100 in revenue as profit

Debt/EquityHealth
0.109/10

Conservative balance sheet, low leverage

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Areas to Watch

LOPE0 concerns · Avg: 0/10

No major concerns identified

TAL2 concerns · Avg: 2.0/10
PEG RatioValuation
13.072/10

Expensive relative to growth rate

Free Cash FlowQuality
$-429.09M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : LOPE

The strongest argument for LOPE centers on Return on Equity, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 19.6% and operating margin at 22.0%. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bull Case : TAL

The strongest argument for TAL centers on P/E Ratio, Revenue Growth, EPS Growth. Profitability is solid with margins at 28.4% and operating margin at 18.1%. Revenue growth of 31.9% demonstrates continued momentum.

Bear Case : LOPE

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

Bear Case : TAL

The primary concerns for TAL are PEG Ratio, Free Cash Flow.

Key Dynamics to Monitor

LOPE profiles as a mature stock while TAL is a growth play — different risk/reward profiles.

LOPE carries more volatility with a beta of 0.57 — expect wider price swings.

TAL is growing revenue faster at 31.9% — sustainability is the question.

LOPE generates stronger free cash flow (80M), providing more financial flexibility.

Bottom Line

TAL scores higher overall (76/100 vs 69/100), backed by strong 28.4% margins and 31.9% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Grand Canyon Education Inc

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Grand Canyon Education, Inc. provides educational services to colleges and universities in the United States. The company is headquartered in Phoenix, Arizona.

TAL Education Group

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China

TAL Education Group offers K-12 afterschool tutoring services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.

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