
Strayer Education (STRA) Stock Forecast & Price Target
Strayer Education (STRA) Analyst Ratings
Bulls say
Strategic Education is a promising investment opportunity due to its strong portfolio of accredited post-secondary institutions, including Strayer University and Capella University, as well as its focus on high-demand markets and job-ready skills. The company's first quarter results showed a 0.8% increase in revenue and a significant increase in cash flow from operations, highlighting its financial stability and potential for growth. Additionally, with a long-term notional model projecting a 4-6% revenue growth and 200 bps annual adjusted operating margin expansion, the company is well-positioned for future success.
Bears say
Strategic Education is facing enrollment declines at its Strayer University subsidiary and is seeing slower growth in its Australia/New Zealand segment due to visa processing delays. Additionally, the company's notional model of 4-6% revenue growth and 20% EPS growth may be difficult to achieve due to these headwinds, as well as competition in the online education space and potential policy changes. While the stock remains cheap and there is potential upside to revenue and earnings estimates, there are uncertainties surrounding the company's growth trajectory, leading to a cautious outlook and a Hold rating.
This aggregate rating is based on analysts' research of Strayer Education and is not a guaranteed prediction by Public.com or investment advice.
Strayer Education (STRA) Analyst Forecast & Price Prediction
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