Key Points
- Insiders bought shares: Director Michael Thawley purchased 950 shares for $48,849 on November 6 and later bought another 940 shares. Two directors’ reported purchases from November 6–10 totaled 3,140 shares, worth about $163,000.
- Quarterly results fell short of estimates: Strategic Education reported EPS of $1.72 versus $1.95 expected, and revenue of $325.07 million versus $326.55 million expected. Revenue nevertheless rose 1.6% year over year.
- Analyst sentiment weakened: Several firms lowered their ratings to Hold or Market Perform; BMO cut its price target from $95 to $66. The company also declared a quarterly dividend of $0.60 per share, equivalent to a 4.4% yield at the cited share price.
Strategic Education Inc. (NASDAQ:STRA - Get Free Report) Director William Slocum acquired 250 shares of the stock in a transaction dated Monday, November 9th. The shares were bought at an average cost of $51.00 per share, with a total value of $12,750.00. Following the completion of the transaction, the director owned 9,065 shares of the company's stock, valued at approximately $462,315. This represents a 2.84% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.
Strategic Education Stock Performance
STRA stock opened at $54.59 on Wednesday. The company's 50 day moving average price is $77.73 and its 200 day moving average price is $79.71. Strategic Education Inc. has a fifty-two week low of $50.70 and a fifty-two week high of $89.73. The firm has a market capitalization of $1.19 billion, a price-to-earnings ratio of 321.12, a PEG ratio of 0.73 and a beta of 0.51.
Strategic Education (NASDAQ:STRA - Get Free Report) last issued its earnings results on Thursday, November 5th. The health services provider reported $1.72 earnings per share for the quarter, missing the consensus estimate of $1.95 by ($0.23). Strategic Education had a net margin of 0.74% and a return on equity of 9.13%. The firm had revenue of $325.07 million during the quarter, compared to analyst estimates of $326.55 million. During the same period last year, the business earned $1.64 EPS. The firm's revenue was up 1.6% compared to the same quarter last year. Equities analysts forecast that Strategic Education Inc. will post 7.25 EPS for the current fiscal year.
Strategic Education Dividend Announcement
The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 7th. Shareholders of record on Monday, November 30th will be given a $0.60 dividend. The ex-dividend date of this dividend is Monday, November 30th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 4.4%. Strategic Education's dividend payout ratio is currently 1,411.76%.
Hedge Funds Weigh In On Strategic Education
A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Lazard Asset Management LLC increased its stake in Strategic Education by 0.9% in the first quarter. Lazard Asset Management LLC now owns 23,741 shares of the health services provider's stock valued at $1,970,000 after purchasing an additional 207 shares during the last quarter. Allworth Financial LP raised its holdings in Strategic Education by 52.4% during the second quarter. Allworth Financial LP now owns 640 shares of the health services provider's stock worth $49,000 after purchasing an additional 220 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of Strategic Education by 0.6% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 40,489 shares of the health services provider's stock worth $3,102,000 after buying an additional 227 shares during the last quarter. Axiom Investment Management LLC purchased a new stake in shares of Strategic Education during the 1st quarter worth approximately $25,000. Finally, MSH Capital Advisors LLC lifted its position in shares of Strategic Education by 2.8% during the 3rd quarter. MSH Capital Advisors LLC now owns 11,413 shares of the health services provider's stock worth $886,000 after buying an additional 309 shares during the last quarter. 93.27% of the stock is owned by institutional investors and hedge funds.
Key Headlines Impacting Strategic Education
Here are the key news stories impacting Strategic Education this week:
- Positive Sentiment: Two directors reported buying shares in multiple transactions from November 6–10. Michael Thawley bought 1,890 shares and William J. Slocum bought 1,250 shares; together, their purchases totaled 3,140 shares for about $163,000. Insider purchases can signal confidence, though they do not guarantee improved business results. SEC filing for Thawley purchases SEC filing for Slocum purchases
- Neutral Sentiment: A report listed short interest at zero shares and days to cover at zero. That indicates no reported short position in the data, but the entry’s description of a “large increase” conflicts with its figures.
- Negative Sentiment: Wall Street Zen and Barrington Research moved their ratings to “Hold,” and another report says sell-side analysts now rate STRA “Hold.” The change may limit expectations for near-term upside, although the articles provide no new company-specific fundamentals. Wall Street Zen rating Barrington Research rating Sell-side analyst ratings
Analyst Ratings Changes
Several research firms have recently issued reports on STRA. Weiss Ratings cut shares of Strategic Education from a "hold (c+)" rating to a "hold (c)" rating in a research report on Wednesday, October 28th. William Blair lowered Strategic Education to a "market perform" rating in a report on Friday. Truist Financial increased their target price on Strategic Education from $80.00 to $90.00 and gave the company a "hold" rating in a report on Thursday, July 30th. Wall Street Zen cut Strategic Education from a "buy" rating to a "hold" rating in a research note on Saturday. Finally, Barrington Research downgraded Strategic Education from an "outperform" rating to a "hold" rating in a report on Friday, November 6th. Six research analysts have rated the stock with a Hold rating. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $87.00.
Check Out Our Latest Report on Strategic Education
About Strategic Education
(
Get Free Report)
Strategic Education, Inc. is an education services company that provides postsecondary programs and workforce-focused learning services. Its U.S. institutions include Strayer University and Capella University, which offer undergraduate and graduate programs in fields such as business, technology, health care and education through online and campus-based instruction. Outside the United States, the company operates Torrens University Australia and other education institutions serving students in Australia and New Zealand.
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