The company currently holds 103.57
M in liabilities with Debt to Equity (D/E) ratio of 0.07, which may suggest the firm is not taking enough advantage from borrowing. Strategic Education has a current ratio of 3.24, suggesting that it is liquid enough and is able to pay its financial obligations when due. Strategic Education is UNDERVALUED at 175.50 per share with modest projections ahead.
We determine the current worth of Strategic Education using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Strategic Education based exclusively on its
fundamental and basic
technical indicators. By analyzing Strategic Education's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of
Strategic Education's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Strategic Education. We calculate exposure to Strategic Education's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Strategic Education's related companies.
Strategic Education Investment Alerts
Strategic investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Strategic Education performance across your portfolios.Please check all
investment alerts for Strategic
Strategic Education Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Strategic value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Strategic Education competition to find
correlations between indicators driving the intrinsic value of Strategic.
Strategic Education Gross Profit
Strategic Education Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Strategic Education previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Strategic Education Gross Profit growth over the last 10 years. Please check Strategic Education's
gross profit and other
fundamental indicators for more details.
A Deeper Perspective
The entity reported the previous year's revenue of 1.02
B. Net Income was 104.88
M with profit before overhead, payroll, taxes, and interest of 466.53
M.
| 2019 | 2020 (projected) |
Consolidated Income | 31.32 M | 40.58 M | Direct Expenses | 530.6 M | 572.49 M |
Margins Breakdown
Strategic profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Strategic Education itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Strategic Education profit margins.
| Operating Margin | 14.84 |
| EBITDA Margin | 21.11 |
| Gross Margin | 52.64 |
| Profit Margin | 9.5 |
Strategic Education Average Assets is increasing over the last 8 years. Also, Strategic Education Revenue Per Employee is somewhat stable at the moment.
Our Strategic analysis suggests possible reversion in August
Current skewness is at 0.45. Strategic Education currently demonstrates below-verage downside deviation. It has Information Ratio of 0.04 and Jensen Alpha of 0.14. However, we do advice investors to further question Strategic Education expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.
Our Final Take On Strategic Education
Whereas some firms within the education & training services industry are still a little expensive, even after the recent corrections, Strategic Education may offer a potential longer-term growth to investors. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither take over nor short any shares of Strategic Education at this time. The Strategic Education risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Strategic Education.
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectEditorial Staff
Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Strategic Education. Please refer to our
Terms of Use for any information regarding our disclosure principles.
Would you like to provide feedback on the content of this article?
You can get in touch with us directly or send us a quick note via email to
editors@macroaxis.com
