TAL Relative Valuation
TAL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TAL is overvalued; if below, it's undervalued.
Historical Valuation
TAL Education Group (TAL) is now in the Fair zone, suggesting that its current forward PS ratio of 2.07 is considered Fairly compared with the five-year average of 34.67. The fair price of TAL Education Group (TAL) is between 7.91 to 23.30 according to relative valuation methord.
Relative Value
Fair Zone
7.91-23.30
Current Price:11.02
Fair
23.10
PE
1Y
3Y
5Y
14.92
EV/EBITDA
TAL Education Group. (TAL) has a current EV/EBITDA of 14.92. The 5-year average EV/EBITDA is 63.86. The thresholds are as follows: Strongly Undervalued below -249.13, Undervalued between -249.13 and -92.64, Fairly Valued between 220.36 and -92.64, Overvalued between 220.36 and 376.86, and Strongly Overvalued above 376.86. The current Forward EV/EBITDA of 14.92 falls within the Historic Trend Line -Fairly Valued range.
22.77
EV/EBIT
TAL Education Group. (TAL) has a current EV/EBIT of 22.77. The 5-year average EV/EBIT is -52.43. The thresholds are as follows: Strongly Undervalued below -508.58, Undervalued between -508.58 and -280.50, Fairly Valued between 175.65 and -280.50, Overvalued between 175.65 and 403.72, and Strongly Overvalued above 403.72. The current Forward EV/EBIT of 22.77 falls within the Historic Trend Line -Fairly Valued range.
2.07
PS
TAL Education Group. (TAL) has a current PS of 2.07. The 5-year average PS is 3.20. The thresholds are as follows: Strongly Undervalued below -0.40, Undervalued between -0.40 and 1.40, Fairly Valued between 5.00 and 1.40, Overvalued between 5.00 and 6.81, and Strongly Overvalued above 6.81. The current Forward PS of 2.07 falls within the Historic Trend Line -Fairly Valued range.
10.75
P/OCF
TAL Education Group. (TAL) has a current P/OCF of 10.75. The 5-year average P/OCF is 90.29. The thresholds are as follows: Strongly Undervalued below -517.17, Undervalued between -517.17 and -213.44, Fairly Valued between 394.02 and -213.44, Overvalued between 394.02 and 697.75, and Strongly Overvalued above 697.75. The current Forward P/OCF of 10.75 falls within the Historic Trend Line -Fairly Valued range.
11.66
P/FCF
TAL Education Group. (TAL) has a current P/FCF of 11.66. The 5-year average P/FCF is -11.19. The thresholds are as follows: Strongly Undervalued below -154.35, Undervalued between -154.35 and -82.77, Fairly Valued between 60.39 and -82.77, Overvalued between 60.39 and 131.97, and Strongly Overvalued above 131.97. The current Forward P/FCF of 11.66 falls within the Historic Trend Line -Fairly Valued range.
TAL Education Group (TAL) has a current Price-to-Book (P/B) ratio of 1.90. Compared to its 3-year average P/B ratio of 1.64 , the current P/B ratio is approximately 15.89% higher. Relative to its 5-year average P/B ratio of 1.96, the current P/B ratio is about -2.75% higher. TAL Education Group (TAL) has a Forward Free Cash Flow (FCF) yield of approximately 4.72%. Compared to its 3-year average FCF yield of 2.91%, the current FCF yield is approximately 62.07% lower. Relative to its 5-year average FCF yield of -1.20% , the current FCF yield is about -493.74% lower.
1.90
P/B
Median3y
1.64
Median5y
1.96
4.72
FCF Yield
Median3y
2.91
Median5y
-1.20
Competitors Valuation Multiple
The average P/S ratio for TAL's competitors is 1.59, providing a benchmark for relative valuation. TAL Education Group Corp (TAL) exhibits a P/S ratio of 2.07, which is 30.29% above the industry average. Given its robust revenue growth of 39.07%, this premium appears sustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of TAL decreased by 9.89% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 9.26 to 14.40.
The secondary factor is the Revenue Growth, contributed 39.07%to the performance.
Overall, the performance of TAL in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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Frequently Asked Questions
Is TAL Education Group (TAL) currently overvalued or undervalued?
TAL Education Group (TAL) is now in the Fair zone, suggesting that its current forward PS ratio of 2.07 is considered Fairly compared with the five-year average of 34.67. The fair price of TAL Education Group (TAL) is between 7.91 to 23.30 according to relative valuation methord.
What is TAL Education Group (TAL) fair value?
TAL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of TAL Education Group (TAL) is between 7.91 to 23.30 according to relative valuation methord.
How does TAL's valuation metrics compare to the industry average?
The average P/S ratio for TAL's competitors is 1.59, providing a benchmark for relative valuation. TAL Education Group Corp (TAL) exhibits a P/S ratio of 2.07, which is 30.29% above the industry average. Given its robust revenue growth of 39.07%, this premium appears sustainable.
What is the current P/B ratio for TAL Education Group (TAL) as of Jan 09 2026?
As of Jan 09 2026, TAL Education Group (TAL) has a P/B ratio of 1.90. This indicates that the market values TAL at 1.90 times its book value.
What is the current FCF Yield for TAL Education Group (TAL) as of Jan 09 2026?
As of Jan 09 2026, TAL Education Group (TAL) has a FCF Yield of 4.72%. This means that for every dollar of TAL Education Group’s market capitalization, the company generates 4.72 cents in free cash flow.
What is the current Forward P/E ratio for TAL Education Group (TAL) as of Jan 09 2026?
As of Jan 09 2026, TAL Education Group (TAL) has a Forward P/E ratio of 23.10. This means the market is willing to pay $23.10 for every dollar of TAL Education Group’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for TAL Education Group (TAL) as of Jan 09 2026?
As of Jan 09 2026, TAL Education Group (TAL) has a Forward P/S ratio of 2.07. This means the market is valuing TAL at $2.07 for every dollar of expected revenue over the next 12 months.