GRAND CANYON EDUCATION INC (LOPE) Stock Fundamental Analysis
NASDAQ:LOPE - Nasdaq - US38526M1062 - Common Stock - Currency: USD
Overall LOPE gets a fundamental rating of 7 out of 10. We evaluated LOPE against 72 industry peers in the Diversified Consumer Services industry. Both the health and profitability get an excellent rating, making LOPE a very profitable company, without any liquidiy or solvency issues. LOPE is not valued too expensively and it also shows a decent growth rate. These ratings could make LOPE a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year LOPE was profitable.
LOPE had a positive operating cash flow in the past year.
LOPE had positive earnings in each of the past 5 years.
In the past 5 years LOPE always reported a positive cash flow from operatings.
1.2 Ratios
LOPE's Return On Assets of 22.28% is amongst the best of the industry. LOPE outperforms 97.22% of its industry peers.
LOPE has a Return On Equity of 29.44%. This is amongst the best in the industry. LOPE outperforms 90.28% of its industry peers.
LOPE has a Return On Invested Capital of 24.44%. This is amongst the best in the industry. LOPE outperforms 97.22% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LOPE is significantly above the industry average of 10.66%.
The last Return On Invested Capital (24.44%) for LOPE is above the 3 year average (24.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.28% | ||
| ROE | 29.44% | ||
| ROIC | 24.44% |
ROA(3y)22.14%
ROA(5y)20.33%
ROE(3y)28.79%
ROE(5y)25.52%
ROIC(3y)24.24%
ROIC(5y)20.99%
1.3 Margins
The Profit Margin of LOPE (21.94%) is better than 94.44% of its industry peers.
LOPE's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 26.91%, LOPE belongs to the top of the industry, outperforming 97.22% of the companies in the same industry.
LOPE's Operating Margin has declined in the last couple of years.
The Gross Margin of LOPE (52.75%) is comparable to the rest of the industry.
LOPE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.91% | ||
| PM (TTM) | 21.94% | ||
| GM | 52.75% |
OM growth 3Y-5.17%
OM growth 5Y-4.93%
PM growth 3Y-8.97%
PM growth 5Y-8.03%
GM growth 3Y-2.85%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LOPE is creating value.
The number of shares outstanding for LOPE has been reduced compared to 1 year ago.
Compared to 5 years ago, LOPE has less shares outstanding
LOPE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 17.08 indicates that LOPE is not in any danger for bankruptcy at the moment.
LOPE's Altman-Z score of 17.08 is amongst the best of the industry. LOPE outperforms 94.44% of its industry peers.
LOPE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 17.08 |
ROIC/WACC2.7
WACC9.06%
2.3 Liquidity
A Current Ratio of 3.40 indicates that LOPE has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.40, LOPE belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
LOPE has a Quick Ratio of 3.40. This indicates that LOPE is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 3.40, LOPE belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.4 | ||
| Quick Ratio | 3.4 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.91% over the past year.
The Earnings Per Share has been growing slightly by 7.60% on average over the past years.
The Revenue has been growing slightly by 6.31% in the past year.
LOPE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.82% yearly.
EPS 1Y (TTM)11.91%
EPS 3Y9.93%
EPS 5Y7.6%
EPS Q2Q%9.36%
Revenue 1Y (TTM)6.31%
Revenue growth 3Y4.84%
Revenue growth 5Y5.82%
Sales Q2Q%5.33%
3.2 Future
LOPE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.86% yearly.
Based on estimates for the next years, LOPE will show a small growth in Revenue. The Revenue will grow by 6.36% on average per year.
EPS Next Y11.33%
EPS Next 2Y10.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.99%
Revenue Next 2Y6.36%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.35, which indicates a rather expensive current valuation of LOPE.
Based on the Price/Earnings ratio, LOPE is valued a bit cheaper than the industry average as 69.44% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of LOPE to the average of the S&P500 Index (27.91), we can say LOPE is valued slightly cheaper.
LOPE is valuated rather expensively with a Price/Forward Earnings ratio of 17.01.
LOPE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LOPE is cheaper than 69.44% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.11, LOPE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.35 | ||
| Fwd PE | 17.01 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as LOPE.
LOPE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LOPE is cheaper than 73.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.31 | ||
| EV/EBITDA | 13.4 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
LOPE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.8
PEG (5Y)2.68
EPS Next 2Y10.86%
EPS Next 3YN/A
5. Dividend
5.1 Amount
LOPE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
168.28
+1.09 (+0.65%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners101.27%
Inst Owner Change-2.03%
Ins Owners2.08%
Ins Owner Change-1.74%
Market Cap4.77B
Analysts86.67
Price Target221.68 (31.73%)
Short Float %1.38%
Short Ratio1.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.63%
Min EPS beat(2)-1.52%
Max EPS beat(2)0.25%
EPS beat(4)2
Avg EPS beat(4)2.66%
Min EPS beat(4)-1.52%
Max EPS beat(4)13.19%
EPS beat(8)5
Avg EPS beat(8)4.81%
EPS beat(12)7
Avg EPS beat(12)4.61%
EPS beat(16)8
Avg EPS beat(16)3.03%
Revenue beat(2)0
Avg Revenue beat(2)-1.09%
Min Revenue beat(2)-1.23%
Max Revenue beat(2)-0.95%
Revenue beat(4)0
Avg Revenue beat(4)-1.22%
Min Revenue beat(4)-2.54%
Max Revenue beat(4)-0.17%
Revenue beat(8)0
Avg Revenue beat(8)-1.07%
Revenue beat(12)0
Avg Revenue beat(12)-1.29%
Revenue beat(16)0
Avg Revenue beat(16)-1.6%
PT rev (1m)0%
PT rev (3m)7.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.03%
EPS NY rev (1m)0%
EPS NY rev (3m)1.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.69%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.35 | ||
| Fwd PE | 17.01 | ||
| P/S | 4.56 | ||
| P/FCF | 20.31 | ||
| P/OCF | 17.51 | ||
| P/B | 6.12 | ||
| P/tB | 10.33 | ||
| EV/EBITDA | 13.4 |
EPS(TTM)8.27
EY4.91%
EPS(NY)9.89
Fwd EY5.88%
FCF(TTM)8.29
FCFY4.92%
OCF(TTM)9.61
OCFY5.71%
SpS36.93
BVpS27.52
TBVpS16.29
PEG (NY)1.8
PEG (5Y)2.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.28% | ||
| ROE | 29.44% | ||
| ROCE | 31.21% | ||
| ROIC | 24.44% | ||
| ROICexc | 36.88% | ||
| ROICexgc | 78.85% | ||
| OM | 26.91% | ||
| PM (TTM) | 21.94% | ||
| GM | 52.75% | ||
| FCFM | 22.44% |
ROA(3y)22.14%
ROA(5y)20.33%
ROE(3y)28.79%
ROE(5y)25.52%
ROIC(3y)24.24%
ROIC(5y)20.99%
ROICexc(3y)34.71%
ROICexc(5y)32.22%
ROICexgc(3y)81.65%
ROICexgc(5y)77.73%
ROCE(3y)30.95%
ROCE(5y)26.8%
ROICexcg growth 3Y-12.63%
ROICexcg growth 5Y33.74%
ROICexc growth 3Y-4.05%
ROICexc growth 5Y20.74%
OM growth 3Y-5.17%
OM growth 5Y-4.93%
PM growth 3Y-8.97%
PM growth 5Y-8.03%
GM growth 3Y-2.85%
GM growth 5YN/A
F-Score9
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 100.6% | ||
| Cap/Sales | 3.59% | ||
| Interest Coverage | 140970 | ||
| Cash Conversion | 85.38% | ||
| Profit Quality | 102.27% | ||
| Current Ratio | 3.4 | ||
| Quick Ratio | 3.4 | ||
| Altman-Z | 17.08 |
F-Score9
WACC9.06%
ROIC/WACC2.7
Cap/Depr(3y)119.8%
Cap/Depr(5y)287.03%
Cap/Sales(3y)4.09%
Cap/Sales(5y)9.84%
Profit Quality(3y)102.83%
Profit Quality(5y)84.76%
High Growth Momentum
Growth
EPS 1Y (TTM)11.91%
EPS 3Y9.93%
EPS 5Y7.6%
EPS Q2Q%9.36%
EPS Next Y11.33%
EPS Next 2Y10.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.31%
Revenue growth 3Y4.84%
Revenue growth 5Y5.82%
Sales Q2Q%5.33%
Revenue Next Year5.99%
Revenue Next 2Y6.36%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y8.75%
EBIT growth 3Y-0.58%
EBIT growth 5Y0.6%
EBIT Next Year25.83%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y33.57%
FCF growth 3Y39.11%
FCF growth 5Y17.26%
OCF growth 1Y27.66%
OCF growth 3Y-2.53%
OCF growth 5Y-1.09%