Coursera (COUR) Stock Forecast & Price Target

Coursera Inc reported a total revenue of $179.2 million, reflecting a 6% year-over-year increase, with the Consumer segment contributing $101.7 million, up 4.6%. The company's gross margin expanded by 39 basis points year-over-year to 54.4%, and non-GAAP EBITDA margins improved to 5.3%, surpassing expectations. Additionally, the Enterprise segment demonstrated robust growth with a 6.9% revenue increase and a total customer count of 1,612, marking an 18% year-over-year rise in enterprise customers.

Coursera Inc. is facing a negative outlook due to revised sales growth estimates, with projected revenues for 1Q25 and the full year 2025 both declining from previous forecasts, indicating a downward trend in financial performance. The company is also experiencing challenges within the Degrees segment, anticipating revenue declines alongside a decrease in year-over-year net customer additions and a drop in customer retention rates. Furthermore, the persistent decline in average revenue per customer, combined with softer growth in North American markets compared to international ones, is impacting overall financial metrics such as net revenue retention, which has decreased from 89% to 87%.