
Strayer Education (STRA) Stock Forecast & Price Target
Strayer Education (STRA) Analyst Ratings
Bulls say
Strategic Education Inc. reported a 2.7% increase in fourth-quarter revenue, reaching $310.8 million, with notable growth in its FlexPath program's enrollments, which now represent 24% of overall U.S. Higher Education enrollment. The company's capital expenditures rose by 10% to $40.6 million, reflecting a strategic investment in growth, with projected revenue for 2028 anticipated to reach approximately $1.5 billion, significantly up from $1.133 billion in 2023. Additionally, free cash flow saw a substantial increase of 60.5%, rising to $128.7 million in 2024, while segment operating income also grew by 34.1%, further indicating a strong operational performance despite increased investment in staffing to support new corporate partnerships.
Bears say
The financial analysis of Strategic Education Inc. presents a negative outlook primarily driven by the significant declines in key performance metrics. Adjusted EBITDA decreased by 19.2%, resulting in a margin contraction from 24.6% to 19.3%, alongside a 24.4% drop in adjusted diluted EPS, reflecting ongoing pressures in profitability. Additionally, segment operating income in the U.S. Higher Education segment saw a notable decrease of 28.2%, impacted by heavy investment in marketing and a revenue decline attributed to lower revenue per student, which raises concerns about the company’s financial health moving forward.
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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