HSBC downgraded its TAL.US rating from "buy" to "hold" on Friday, while slashing its target price to $25 from $83, according to the APP of Zitong Finance. Charlotte Wei, an analyst at the bank, said the regulatory risks to Chinese education were more serious than expected.
In June, two other big banks downgraded the stock. Morgan Stanley downgraded the good Future from "overweight" to "underweight" and Citi downgraded the stock to "sell".