TAL Education Shares Gain Favor on Strong Earnings and Upgraded Outlook

Market sentiment toward TAL Education Group has turned notably positive, buoyed by a recent analyst upgrade and a quarterly earnings report that surpassed expectations. The stock is demonstrating resilience, trading firmly above key technical support levels.

The foundation for this renewed optimism was laid in late October with the release of the company's financial results for the second quarter of fiscal 2026. TAL's performance exceeded market forecasts on multiple fronts, highlighting the ongoing success of its strategic pivot.

• Net revenue reached $861.35 million, coming in ahead of the analyst consensus estimate of approximately $830 million.
• Adjusted earnings per share (EPS) came in at $0.21, solidly beating the projected $0.16.

These figures provide concrete evidence that the company's transition toward non-academic tutoring and intelligent learning solutions is gaining traction.

Revised Analyst Ratings

Financial researchers have recently refreshed their views on the stock, resulting in more favorable assessments. On December 1, Zacks Investment Research elevated its rating to "Strong Buy," citing upward revisions to profit estimates.

Should investors sell immediately? Or is it worth buying TAL Education?

In a separate move, analysts at JPMorgan reaffirmed their "Overweight" stance on TAL Education. They established a price target of $16.00, suggesting significant potential upside from recent trading levels. The current average price target among covering analysts stands at $13.91.

Technical Positioning and Forward View

From a technical analysis perspective, the equity is displaying constructive signals. It is currently trading above its 200-day moving average of $10.95, a level often interpreted by chartists as an indicator of a strengthening long-term trend.

The market appears to be responding favorably to the company's restructured business model and its clear focus on "Smart Learning" initiatives, which include AI-powered educational offerings. Investors will next scrutinize the quarterly results scheduled for January 2026, where the expectation is for a continuation of operational stability.