Strayer Education (STRA) Stock Forecast & Price Target

Strategic Education Inc. demonstrated a robust performance with a significant 7.6% year-over-year increase in employer-affiliated enrollment, which reached an all-time high of 27,456 students, representing 31.8% of total U.S. Higher Education (USHE) enrollment. The company also reported a slight revenue increase of 0.1% year-over-year to $71.2 million on a constant currency basis, aligning closely with estimates and driven by higher revenue per student. Furthermore, for Q2/25, revenue surged by 2.9% to $321.5 million, primarily supported by strength in the Education Technology Services segment, highlighting the company's effective growth strategies and market demand.

Strategic Education Inc. reported a 3.1% decline in total student enrollment, dropping to 18,524 from 19,113 the previous year, which fell short of both internal estimates and market consensus expectations. Additionally, revenue from the Australia/New Zealand segment decreased by 2.8%, reflecting a decline from $71.1 million to $69.1 million year-over-year. Although consolidated bad debt expense improved slightly to 4.0%, the overall trends in enrollment and revenue suggest potential challenges for the company's financial performance.