# McGraw Hill Inc. (MH) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Diversified Consumer Services. Price $13.31, market value $2.5 billion.

## Valuation
- **P/E (trailing): 27.2×** (5-yr avg 72.1×, 3-yr avg 72.1×). McGraw Hill Inc. trades at 27.2× trailing earnings, well below its own five-year average of 72.1×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 6.4×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.05**. A PEG of 0.05 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 1.2×**. Each dollar of revenue is priced at 1.2×.
- **Price / book: 3.2×**. The shares trade at 3.2× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 7.5×**. Enterprise value is 7.5× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 13.2%** (5-yr avg 9.8%). Free cash flow equals 13.2% of the market value, above its five-year average of 9.8%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 3.7%**. The inverse of the P/E: 3.7% of the price is earned each year.

## Profitability
- **Gross margin: 81.7%**. McGraw Hill Inc. keeps 81.7% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 13.9%**. 13.9% of revenue is left after running the business.
- **Net margin: 1.7%**. 1.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 4.9%**. 4.9% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 7.6%**. Return on all capital, debt included, is 7.6%.
- **Return on assets: 1.7%**. Each dollar of assets produces 1.7% of profit.

## Growth
- **Revenue growth (1 yr): 0.1%**. Revenue grew 0.1% over the last year.
- **EPS growth (1 yr): 136.5%**. Earnings per share rose 136.5%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Debt to equity: 3.54**. Debt is 3.54 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 3.6×**. It would take 3.6 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Altman Z-score: 1.06**. A Z-score of 1.06 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend: none**. McGraw Hill Inc. does not currently pay a dividend.

## Analyst view
- **Analyst consensus: strong_buy** (12 analysts). 12 analysts cover McGraw Hill Inc.; the consensus is strong_buy, with an average price target of $17.92 (+35% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -10.2%** (YTD -19.3%, 3-mo 9.0%). The shares are down 10.2% over twelve months including dividends.
- **From 52-week high: -26.1%** (48.8% above the low). Trading 26% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 61**. An RSI of 61 is neutral.
- **Beta (1 yr): 0.31** (volatility 61%). Beta of 0.31 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=MH · Page: https://foliofundamentals.com/stocks/mh

Not investment advice.