EDUC (Educational Development) Beneish M-Score: -3.79 (As of Jun. 25, 2026)

What is Educational Development Beneish M-Score?

Educational Development EDUC -0.65% 44 Beneish M-Score is -3.79 as of Jun. 25, 2026. GuruFocus rates EDUC with a GF Score™ of 44/100 and a GF Value™ of $0.82 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 989 Media - Diversified companies, Educational Development ranks better than 90.29% on this metric.

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -3.79 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Educational Development's Beneish M-Score or its related term are showing as below:

EDUC' s Beneish M-Score Range Over the Past 10 Years
Min: -3.79 Med: -2.23 Max: -0.23
Current: -3.79

During the past 13 years, the highest Beneish M-Score of Educational Development was -0.23. The lowest was -3.79. And the median was -2.23.

Educational Development Beneish M-Score Related Terms

Educational Development Beneish M-Score Historical Data

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The historical data trend for Educational Development's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Educational Development Beneish M-Score Chart

Educational Development Annual Data

Trend

Feb17

Feb18

Feb19

Feb20

Feb21

Feb22

Feb23

Feb24

Feb25

Feb26

Beneish M-Score

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-0.23

-2.22

-2.89

-2.56

-3.79

Educational Development Quarterly Data
	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23	May23	Aug23	Nov23	Feb24	May24	Aug24	Nov24	Feb25	May25	Aug25	Nov25	Feb26
Beneish M-Score	Get a 7-Day Free Trial															-2.56	-2.93	-3.07	-3.73	-3.79

EDUC vs TNMG, NYT, WLY: Beneish M-Score Comparison

For the Publishing subindustry, Educational Development's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Educational Development Beneish M-Score vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Educational Development's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Educational Development's Beneish M-Score falls into.

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44GF Score

Educational Development Corp EDUC

Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.

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Educational Development Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Educational Development for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.6043

0.528 * 1.0359

0.404 * 1.6123

0.892 * 0.6702

0.115 * 1.9337

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.1725

4.679 * -0.252117

0.327 * 0.4412

-3.79

This Year (Feb26) TTM:

Last Year (Feb25) TTM:

Total Receivables was $0.86 Mil.
Revenue was 4.178 + 7.008 + 4.621 + 7.106 = $22.91 Mil.
Gross Profit was 2.469 + 4.31 + 2.688 + 4.137 = $13.60 Mil.
Total Current Assets was $20.55 Mil.
Total Assets was $54.31 Mil.
Property, Plant and Equipment(Net PPE) was $13.01 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.39 Mil.
Selling, General, & Admin. Expense(SGA) was $17.33 Mil.
Total Current Liabilities was $6.17 Mil.
Long-Term Debt & Capital Lease Obligation was $5.34 Mil.
Net Income was -3.107 + 7.802 + -1.295 + -1.075 = $2.33 Mil.
Non Operating Income was 0.199 + 12.516 + 0.677 + 0.62 = $14.01 Mil.
Cash Flow from Operations was -1.999 + 2.545 + 0.063 + 1.397 = $2.01 Mil.

Total Receivables was $2.13 Mil.
Revenue was 6.636 + 11.052 + 6.509 + 9.993 = $34.19 Mil.
Gross Profit was 4.018 + 6.904 + 3.647 + 6.46 = $21.03 Mil.
Total Current Assets was $52.25 Mil.
Total Assets was $78.31 Mil.
Property, Plant and Equipment(Net PPE) was $7.51 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.73 Mil.
Selling, General, & Admin. Expense(SGA) was $22.05 Mil.
Total Current Liabilities was $37.22 Mil.
Long-Term Debt & Capital Lease Obligation was $0.41 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI	=	(Receivables_t / Revenue_t)	/	(Receivables_t-1 / Revenue_t-1)
	=	(0.861 / 22.913)	/	(2.126 / 34.19)
	=	0.037577	/	0.062182
	=	0.6043

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI	=	GrossMargin_t-1	/	GrossMargin_t
	=	(GrossProfit_t-1 / Revenue_t-1)	/	(GrossProfit_t / Revenue_t)
	=	(21.029 / 34.19)	/	(13.604 / 22.913)
	=	0.615063	/	0.593724
	=	1.0359

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI	=	(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)	/	(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
	=	(1 - (20.552 + 13.007) / 54.312)	/	(1 - (52.247 + 7.507) / 78.314)
	=	0.382107	/	0.236995
	=	1.6123

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI	=	Sales_t	/	Sales_t-1
	=	Revenue_t	/	Revenue_t-1
	=	22.913	/	34.19
	=	0.6702

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI	=	(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1))	/	(Depreciation_t / (Depreciaton_t + PPE_t))
	=	(1.726 / (1.726 + 7.507))	/	(1.392 / (1.392 + 13.007))
	=	0.186938	/	0.096673
	=	1.9337

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI	=	(SGA_t / Sales_t)	/	(SGA_t-1 /Sales_t-1)
	=	(17.327 / 22.913)	/	(22.051 / 34.19)
	=	0.756208	/	0.644955
	=	1.1725

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI	=	((LTD_t + CurrentLiabilities_t) / TotalAssets_t)	/	((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
	=	((5.344 + 6.172) / 54.312)	/	((0.411 + 37.223) / 78.314)
	=	0.212034	/	0.480553
	=	0.4412

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA	=	(IncomefromContinuingOperations_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(NetIncome_t - NonOperatingIncome_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(2.325 - 14.012	-	2.006)	/	54.312
	=	-0.252117

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Educational Development has a M-score of -3.79 suggests that the company is unlikely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →

What does a Beneish M-Score of -3.79 mean?

Educational Development (EDUC) has a Beneish M-Score of -3.79 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Educational Development and its competitors. According to the industry distribution chart, Educational Development ranks #96 out of 989 companies in the Media - Diversified industry, placing it in the top 9.7%.

Is Educational Development's Beneish M-Score too high?

Educational Development's current Beneish M-Score is -3.79. Based on the distribution chart, Educational Development ranks #96 out of 989 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Educational Development has a GF Score™ of 44/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Educational Development's Beneish M-Score compare to TNMG and NYT?

According to the Media - Diversified industry distribution chart, Educational Development ranks #96 out of 989 companies for Beneish M-Score. This places Educational Development in the top 10% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Beneish M-Score for a Media - Diversified company?

A good Beneish M-Score depends on the Media - Diversified industry context. However, Beneish M-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Beneish M-Score mean?

A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Educational Development and its competitors. Educational Development's current Beneish M-Score is -3.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Educational Development stock overvalued right now?

Based on GuruFocus' analysis, Educational Development (EDUC) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.82, compared to a current price of $1.53 — trading 86% above its estimated fair value. The current Beneish M-Score is -3.79. Educational Development's overall GF Score™ is 44/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Beneish M-Score calculated?

Beneish M-Score is calculated from a company's financial statements. For Educational Development (EDUC), the current Beneish M-Score is -3.79 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Educational Development (EDUC) Overvalued in 2026?

Based on GuruFocus' analysis, Educational Development stock appears to be overvalued. The current stock price of $1.53 is trading 86% above its estimated GF Value™ of $0.82. GuruFocus considers Educational Development to be Significantly Overvalued.

Key valuation signals for EDUC:

Beneish M-Score: -3.79
GF Value™: $0.82 vs. price of $1.53 (86% above fair value)
GF Score™: 44/100 with 7 warning signs

No single metric tells the full story. See the EDUC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Educational Development Business Description

Industry Communication Services Media - Diversified

Comparable Companies TNMG LSE:INF NYT LSE:PSON SHSE:601928 TSE:9468 SHSE:601098 SHSE:601858 SHSE:603000 SZSE:002181 SZSE:300364 SHSE:601921 SHSE:601019 WLY HKSE:00811 SZSE:000719 XSWX:TXGN SAU:4210 SHSE:601900 SHSE:600373

Address 5402 South 122nd East Avenue, Tulsa, OK, USA, 74146

Website https://www.edcpub.com

Educational Development Corp distributes books and educational products and publications through its PaperPie and EDC Publishing divisions to individual consumers, book, toy and gift stores, libraries and home educators located throughout the United States. The company is the owner and exclusive publisher of Kane Miller children's books; Learning Wrap-Ups, maker of educational manipulatives; and SmartLab Toys, maker of STEAM-based toys and games. It also the exclusive United States Multi-Level Marketing (MLM) distributor of Usborne Publishing Limited (Usborne) children's books. It sell children's books, educational toys and games and other related products. It has two reportable segments: PaperPie and Publishing of which majority of revenue comes from Paperpie.

44GF Score

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$1.53

Price

$0.82

GF Value

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