LAUREATE EDUCATION INC (LAUR) Stock Fundamental Analysis
NASDAQ:LAUR - US5186132032 - Common Stock
27.72 USD
-0.23 (-0.82%)
27.72 USD
0 (0%)
Overall LAUR gets a fundamental rating of 6 out of 10. We evaluated LAUR against 72 industry peers in the Diversified Consumer Services industry. LAUR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. LAUR has a decent growth rate and is not valued too expensively. These ratings could make LAUR a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year LAUR was profitable.
LAUR had a positive operating cash flow in the past year.
Of the past 5 years LAUR 4 years were profitable.
Each year in the past 5 years LAUR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.51%, LAUR belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
LAUR has a better Return On Equity (24.22%) than 88.89% of its industry peers.
The Return On Invested Capital of LAUR (13.76%) is better than 91.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LAUR is above the industry average of 9.88%.
The 3 year average ROIC (12.20%) for LAUR is below the current ROIC(13.76%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.51% | ||
| ROE | 24.22% | ||
| ROIC | 13.76% |
ROA(3y)8.17%
ROA(5y)4.18%
ROE(3y)17.06%
ROE(5y)8.23%
ROIC(3y)12.2%
ROIC(5y)7.82%
1.3 Margins
With an excellent Profit Margin value of 16.41%, LAUR belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
LAUR's Profit Margin has declined in the last couple of years.
The Operating Margin of LAUR (24.25%) is better than 91.67% of its industry peers.
LAUR's Operating Margin has improved in the last couple of years.
LAUR's Gross Margin of 27.23% is on the low side compared to the rest of the industry. LAUR is outperformed by 68.06% of its industry peers.
In the last couple of years the Gross Margin of LAUR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.25% | ||
| PM (TTM) | 16.41% | ||
| GM | 27.23% |
OM growth 3Y56.41%
OM growth 5Y51.46%
PM growth 3Y2.16%
PM growth 5Y-24.55%
GM growth 3Y0.61%
GM growth 5Y6.18%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LAUR is still creating some value.
The number of shares outstanding for LAUR has been reduced compared to 1 year ago.
Compared to 5 years ago, LAUR has less shares outstanding
Compared to 1 year ago, LAUR has an improved debt to assets ratio.
2.2 Solvency
LAUR has an Altman-Z score of 4.04. This indicates that LAUR is financially healthy and has little risk of bankruptcy at the moment.
LAUR has a Altman-Z score of 4.04. This is amongst the best in the industry. LAUR outperforms 83.33% of its industry peers.
The Debt to FCF ratio of LAUR is 0.50, which is an excellent value as it means it would take LAUR, only 0.50 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.50, LAUR belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
A Debt/Equity ratio of 0.07 indicates that LAUR is not too dependend on debt financing.
LAUR's Debt to Equity ratio of 0.07 is fine compared to the rest of the industry. LAUR outperforms 65.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | 4.04 |
ROIC/WACC1.56
WACC8.81%
2.3 Liquidity
LAUR has a Current Ratio of 0.75. This is a bad value and indicates that LAUR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.75, LAUR is not doing good in the industry: 70.83% of the companies in the same industry are doing better.
LAUR has a Quick Ratio of 0.75. This is a bad value and indicates that LAUR is not financially healthy enough and could expect problems in meeting its short term obligations.
LAUR's Quick ratio of 0.75 is on the low side compared to the rest of the industry. LAUR is outperformed by 69.44% of its industry peers.
The current and quick ratio evaluation for LAUR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
LAUR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.00%, which is quite impressive.
The earnings per share for LAUR have been decreasing by -14.27% on average. This is quite bad
Looking at the last year, LAUR shows a small growth in Revenue. The Revenue has grown by 0.44% in the last year.
The Revenue has been growing slightly by 5.27% on average over the past years.
EPS 1Y (TTM)36%
EPS 3Y23.93%
EPS 5Y-14.27%
EPS Q2Q%-21.69%
Revenue 1Y (TTM)0.44%
Revenue growth 3Y12.97%
Revenue growth 5Y5.27%
Sales Q2Q%5%
3.2 Future
The Earnings Per Share is expected to grow by 3.93% on average over the next years.
LAUR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.53% yearly.
EPS Next Y-9.17%
EPS Next 2Y1.69%
EPS Next 3Y3.93%
EPS Next 5YN/A
Revenue Next Year4.22%
Revenue Next 2Y6.14%
Revenue Next 3Y6.53%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.31, which indicates a correct valuation of LAUR.
LAUR's Price/Earnings ratio is a bit cheaper when compared to the industry. LAUR is cheaper than 75.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of LAUR to the average of the S&P500 Index (27.03), we can say LAUR is valued slightly cheaper.
A Price/Forward Earnings ratio of 13.82 indicates a correct valuation of LAUR.
Based on the Price/Forward Earnings ratio, LAUR is valued cheaply inside the industry as 80.56% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.63. LAUR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.31 | ||
| Fwd PE | 13.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LAUR is valued a bit cheaper than 73.61% of the companies in the same industry.
73.61% of the companies in the same industry are more expensive than LAUR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.96 | ||
| EV/EBITDA | 8.59 |
4.3 Compensation for Growth
The excellent profitability rating of LAUR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.69%
EPS Next 3Y3.93%
5. Dividend
5.1 Amount
No dividends for LAUR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
27.72
-0.23 (-0.82%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners89.91%
Inst Owner Change-1.49%
Ins Owners0.92%
Ins Owner Change-14.83%
Market Cap4.08B
Analysts82
Price Target28.56 (3.03%)
Short Float %2.33%
Short Ratio2.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)N/A
DP0.18%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.26%
Min EPS beat(2)-11.49%
Max EPS beat(2)8.96%
EPS beat(4)3
Avg EPS beat(4)71.33%
Min EPS beat(4)-11.49%
Max EPS beat(4)243.14%
EPS beat(8)5
Avg EPS beat(8)22.16%
EPS beat(12)6
Avg EPS beat(12)-0.05%
EPS beat(16)7
Avg EPS beat(16)-26.54%
Revenue beat(2)2
Avg Revenue beat(2)2.64%
Min Revenue beat(2)2.37%
Max Revenue beat(2)2.92%
Revenue beat(4)3
Avg Revenue beat(4)1.51%
Min Revenue beat(4)-0.12%
Max Revenue beat(4)2.92%
Revenue beat(8)6
Avg Revenue beat(8)1.19%
Revenue beat(12)10
Avg Revenue beat(12)1.8%
Revenue beat(16)13
Avg Revenue beat(16)1.98%
PT rev (1m)16.06%
PT rev (3m)16.06%
EPS NQ rev (1m)-23.33%
EPS NQ rev (3m)-17.86%
EPS NY rev (1m)4.54%
EPS NY rev (3m)5.66%
Revenue NQ rev (1m)3.09%
Revenue NQ rev (3m)2.56%
Revenue NY rev (1m)2.16%
Revenue NY rev (3m)2.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.31 | ||
| Fwd PE | 13.82 | ||
| P/S | 2.63 | ||
| P/FCF | 17.96 | ||
| P/OCF | 14.06 | ||
| P/B | 3.88 | ||
| P/tB | 13.98 | ||
| EV/EBITDA | 8.59 |
EPS(TTM)1.7
EY6.13%
EPS(NY)2.01
Fwd EY7.24%
FCF(TTM)1.54
FCFY5.57%
OCF(TTM)1.97
OCFY7.11%
SpS10.53
BVpS7.14
TBVpS1.98
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.51% | ||
| ROE | 24.22% | ||
| ROCE | 23.48% | ||
| ROIC | 13.76% | ||
| ROICexc | 15.03% | ||
| ROICexgc | 31.15% | ||
| OM | 24.25% | ||
| PM (TTM) | 16.41% | ||
| GM | 27.23% | ||
| FCFM | 14.65% |
ROA(3y)8.17%
ROA(5y)4.18%
ROE(3y)17.06%
ROE(5y)8.23%
ROIC(3y)12.2%
ROIC(5y)7.82%
ROICexc(3y)12.93%
ROICexc(5y)8.36%
ROICexgc(3y)26.3%
ROICexgc(5y)16.84%
ROCE(3y)20.82%
ROCE(5y)13.34%
ROICexcg growth 3Y87.4%
ROICexcg growth 5Y128.92%
ROICexc growth 3Y81.26%
ROICexc growth 5Y108.69%
OM growth 3Y56.41%
OM growth 5Y51.46%
PM growth 3Y2.16%
PM growth 5Y-24.55%
GM growth 3Y0.61%
GM growth 5Y6.18%
F-Score8
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.5 | ||
| Debt/EBITDA | 0.16 | ||
| Cap/Depr | 62.71% | ||
| Cap/Sales | 4.07% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.91% | ||
| Profit Quality | 89.31% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 4.04 |
F-Score8
WACC8.81%
ROIC/WACC1.56
Cap/Depr(3y)70.85%
Cap/Depr(5y)62.87%
Cap/Sales(3y)4.21%
Cap/Sales(5y)4.91%
Profit Quality(3y)138.23%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)36%
EPS 3Y23.93%
EPS 5Y-14.27%
EPS Q2Q%-21.69%
EPS Next Y-9.17%
EPS Next 2Y1.69%
EPS Next 3Y3.93%
EPS Next 5YN/A
Revenue 1Y (TTM)0.44%
Revenue growth 3Y12.97%
Revenue growth 5Y5.27%
Sales Q2Q%5%
Revenue Next Year4.22%
Revenue Next 2Y6.14%
Revenue Next 3Y6.53%
Revenue Next 5YN/A
EBIT growth 1Y8.2%
EBIT growth 3Y76.69%
EBIT growth 5Y59.44%
EBIT Next Year31.35%
EBIT Next 3Y16.81%
EBIT Next 5YN/A
FCF growth 1Y50.44%
FCF growth 3Y25.45%
FCF growth 5Y-15.26%
OCF growth 1Y37.86%
OCF growth 3Y20.85%
OCF growth 5Y-14.97%