McGraw Hill (NYSE:MH) Shares Gap Down – Time to Sell?

Shares of McGraw Hill, Inc. (NYSE:MH) gapped down before the market opened on Thursday . The stock had previously closed at $12.80, but opened at $11.59. McGraw Hill shares last traded at $12.58, with a volume of 193,027 shares changing hands.

McGraw Hill News Summary

Here are the key news stories impacting McGraw Hill this week:

• Positive Sentiment: McGraw Hill beat Q4 expectations, reporting adjusted EPS of $0.32 versus $0.15 expected and revenue of $463.7 million, while saying it exceeded FY2026 guidance and generated positive net income. Article Title
• Positive Sentiment: The company pointed to recurring-revenue growth, AI initiatives, and strength in higher education as drivers, and it projected FY2027 revenue of $2.115 billion to $2.175 billion with about $400 million in unlevered free cash flow. Article Title
• Positive Sentiment: Needham initiated/maintained a Buy rating, and JPMorgan and Baird both kept positive ratings even after cutting price targets, which suggests analysts still see upside from current levels. Article Title
• Neutral Sentiment: Management highlighted fiscal 2026 results and the earnings call focused on execution, AI, and higher-ed momentum, but investors appear to be weighing those positives against cautious forward guidance. Article Title
• Negative Sentiment: Despite the earnings beat, shares fell after the report, likely because the FY2027 revenue outlook came in near or slightly below consensus and analysts lowered forecasts and price targets following the quarter. Article Title

Analysts Set New Price Targets

A number of research analysts have weighed in on MH shares. Needham & Company LLC reaffirmed a “buy” rating and set a $19.00 price target on shares of McGraw Hill in a research report on Monday, June 8th. Wall Street Zen cut shares of McGraw Hill from a “buy” rating to a “hold” rating in a research report on Saturday. Deutsche Bank Aktiengesellschaft set a $16.00 price target on shares of McGraw Hill in a research report on Friday. Robert W. Baird reduced their target price on shares of McGraw Hill from $19.00 to $16.00 and set an “outperform” rating on the stock in a research report on Friday. Finally, Morgan Stanley reduced their target price on shares of McGraw Hill from $21.00 to $18.00 and set an “overweight” rating on the stock in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $18.72.

McGraw Hill Trading Down 5.1%

The business’s 50-day moving average price is $12.62 and its 200 day moving average price is $14.16. The company has a debt-to-equity ratio of 3.36, a current ratio of 0.83 and a quick ratio of 0.70. The firm has a market capitalization of $2.24 billion and a price-to-earnings ratio of 58.66.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Militia Capital Management LLC acquired a new position in shares of McGraw Hill during the first quarter worth $1,927,000. NewEdge Advisors LLC acquired a new stake in McGraw Hill in the first quarter valued at $84,000. Bank of America Corp DE raised its holdings in McGraw Hill by 178.4% in the first quarter. Bank of America Corp DE now owns 388,255 shares of the company’s stock valued at $5,319,000 after acquiring an additional 248,773 shares in the last quarter. Renaissance Technologies LLC raised its holdings in McGraw Hill by 195.2% in the first quarter. Renaissance Technologies LLC now owns 169,100 shares of the company’s stock valued at $2,317,000 after acquiring an additional 111,812 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its holdings in McGraw Hill by 110.3% in the first quarter. Arrowstreet Capital Limited Partnership now owns 469,499 shares of the company’s stock valued at $6,432,000 after acquiring an additional 246,233 shares in the last quarter.

McGraw Hill Company Profile

McGraw Hill (NYSE:MH) is a global learning science company specializing in educational content, digital learning platforms, and assessment solutions. The company offers textbooks and course materials for K-12 and higher education, along with professional development resources for corporate and workforce training. Its digital solutions—including adaptive learning platforms and analytics-driven tools—support personalized instruction, progress tracking, and interactive engagement in both classroom and remote environments.

Founded in 1888 in New York City, McGraw Hill has evolved from a technical periodical publisher into one of the world’s leading providers of educational content and technology.