MH Stock Forecast & Price Target

McGraw Hill Inc is projected to achieve recurring revenue in the range of $1,504-$1,524 million, marking an improvement from previous estimates, and expects an EBITDA increase to $727 million, representing a 35% margin, driven primarily by growth in the Higher Education segment. Recent data indicates that higher education enrollment for Fall 2025 has risen by 2.4% year-over-year, particularly benefiting community colleges, suggesting robust demand for McGraw Hill’s educational solutions and contributing to its market share growth, which has expanded from 20% to 28% over the past eight years. Furthermore, with revised FY26 revenue expectations of $2,031-$2,061 million, McGraw Hill's strategies of leveraging share gains, enrollment growth, and pricing improvements are positioned to drive sustainable growth in the coming years.

McGraw Hill Inc. is projected to experience a revenue decline of approximately 4.1% year-over-year, with total revenue expected in the range of $1,986 to $2,046 million, primarily driven by challenges in the K-12 segment. The company's EBITDA margin is anticipated to decrease by 70 basis points year-over-year, highlighting operational pressures resulting from changing purchasing cycles in K-12 education. Furthermore, enrollment trends in the Higher Education segment are concerning, with potential budgetary constraints related to declining international student numbers that may adversely impact sales of McGraw Hill's educational solutions.