STRIDE INC (LRN) Stock Fundamental Analysis
USA - NYSE:LRN - US86333M1080 - Common Stock
71.07 USD
-0.61 (-0.85%)
70.19 USD
-0.88 (-1.24%)
We assign a fundamental rating of 7 out of 10 to LRN. LRN was compared to 78 industry peers in the Diversified Consumer Services industry. LRN has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. A decent growth rate in combination with a cheap valuation! Better keep an eye on LRN. With these ratings, LRN could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
LRN had positive earnings in the past year.
In the past year LRN had a positive cash flow from operations.
LRN had positive earnings in each of the past 5 years.
LRN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of LRN (13.54%) is better than 91.03% of its industry peers.
The Return On Equity of LRN (20.68%) is better than 87.18% of its industry peers.
With an excellent Return On Invested Capital value of 16.01%, LRN belongs to the best of the industry, outperforming 93.59% of the companies in the same industry.
LRN had an Average Return On Invested Capital over the past 3 years of 11.97%. This is above the industry average of 9.50%.
The last Return On Invested Capital (16.01%) for LRN is above the 3 year average (11.97%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.54% | ||
| ROE | 20.68% | ||
| ROIC | 16.01% |
ROA(3y)10.13%
ROA(5y)8.29%
ROE(3y)16.74%
ROE(5y)14.46%
ROIC(3y)11.97%
ROIC(5y)10.27%
1.3 Margins
LRN has a Profit Margin of 12.76%. This is in the better half of the industry: LRN outperforms 79.49% of its industry peers.
In the last couple of years the Profit Margin of LRN has grown nicely.
With an excellent Operating Margin value of 17.83%, LRN belongs to the best of the industry, outperforming 80.77% of the companies in the same industry.
In the last couple of years the Operating Margin of LRN has grown nicely.
With a Gross Margin value of 39.20%, LRN perfoms like the industry average, outperforming 43.59% of the companies in the same industry.
LRN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.83% | ||
| PM (TTM) | 12.76% | ||
| GM | 39.2% |
OM growth 3Y23.39%
OM growth 5Y41.07%
PM growth 3Y23.52%
PM growth 5Y38.44%
GM growth 3Y3.53%
GM growth 5Y3.28%
2. Health
2.1 Basic Checks
LRN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
LRN has more shares outstanding than it did 1 year ago.
LRN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for LRN has been reduced compared to a year ago.
2.2 Solvency
LRN has an Altman-Z score of 5.29. This indicates that LRN is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LRN (5.29) is better than 92.31% of its industry peers.
LRN has a debt to FCF ratio of 1.74. This is a very positive value and a sign of high solvency as it would only need 1.74 years to pay back of all of its debts.
The Debt to FCF ratio of LRN (1.74) is better than 82.05% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that LRN is not too dependend on debt financing.
The Debt to Equity ratio of LRN (0.32) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 5.29 |
ROIC/WACC2.06
WACC7.77%
2.3 Liquidity
A Current Ratio of 6.77 indicates that LRN has no problem at all paying its short term obligations.
LRN has a better Current ratio (6.77) than 94.87% of its industry peers.
A Quick Ratio of 6.69 indicates that LRN has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 6.69, LRN belongs to the top of the industry, outperforming 94.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.77 | ||
| Quick Ratio | 6.69 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.82% over the past year.
The Earnings Per Share has been growing by 58.07% on average over the past years. This is a very strong growth
LRN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.25%.
LRN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.24% yearly.
EPS 1Y (TTM)17.82%
EPS 3Y33.5%
EPS 5Y58.07%
EPS Q2Q%48.94%
Revenue 1Y (TTM)17.25%
Revenue growth 3Y12.56%
Revenue growth 5Y18.24%
Sales Q2Q%12.67%
3.2 Future
LRN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.74% yearly.
Based on estimates for the next years, LRN will show a quite strong growth in Revenue. The Revenue will grow by 9.06% on average per year.
EPS Next Y31.64%
EPS Next 2Y18.75%
EPS Next 3Y12.74%
EPS Next 5YN/A
Revenue Next Year7.21%
Revenue Next 2Y5.56%
Revenue Next 3Y5.59%
Revenue Next 5Y9.06%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
LRN is valuated reasonably with a Price/Earnings ratio of 10.97.
Based on the Price/Earnings ratio, LRN is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
LRN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.03.
LRN is valuated reasonably with a Price/Forward Earnings ratio of 8.37.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LRN indicates a rather cheap valuation: LRN is cheaper than 93.59% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.27, LRN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 8.37 |
4.2 Price Multiples
88.46% of the companies in the same industry are more expensive than LRN, based on the Enterprise Value to EBITDA ratio.
91.03% of the companies in the same industry are more expensive than LRN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.93 | ||
| EV/EBITDA | 4.95 |
4.3 Compensation for Growth
LRN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LRN has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as LRN's earnings are expected to grow with 12.74% in the coming years.
PEG (NY)0.35
PEG (5Y)0.19
EPS Next 2Y18.75%
EPS Next 3Y12.74%
5. Dividend
5.1 Amount
No dividends for LRN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
71.07
-0.61 (-0.85%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners111.31%
Inst Owner Change-1.35%
Ins Owners2.94%
Ins Owner Change4.91%
Market Cap3.10B
Revenue(TTM)2.48B
Net Income(TTM)315.86M
Analysts81.82
Price Target171.83 (141.78%)
Short Float %10.57%
Short Ratio5.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-7.76%
Min EPS beat(2)-41.53%
Max EPS beat(2)26.01%
EPS beat(4)2
Avg EPS beat(4)-3.18%
Min EPS beat(4)-41.53%
Max EPS beat(4)26.01%
EPS beat(8)6
Avg EPS beat(8)44.6%
EPS beat(12)10
Avg EPS beat(12)44.76%
EPS beat(16)13
Avg EPS beat(16)18.17%
Revenue beat(2)2
Avg Revenue beat(2)1.75%
Min Revenue beat(2)0.16%
Max Revenue beat(2)3.34%
Revenue beat(4)4
Avg Revenue beat(4)2.14%
Min Revenue beat(4)0.16%
Max Revenue beat(4)3.34%
Revenue beat(8)7
Avg Revenue beat(8)2.35%
Revenue beat(12)11
Avg Revenue beat(12)2.73%
Revenue beat(16)15
Avg Revenue beat(16)2.74%
PT rev (1m)1%
PT rev (3m)3.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)11.15%
EPS NY rev (1m)0%
EPS NY rev (3m)12.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 8.37 | ||
| P/S | 1.25 | ||
| P/FCF | 9.93 | ||
| P/OCF | 8.18 | ||
| P/B | 2.03 | ||
| P/tB | 2.75 | ||
| EV/EBITDA | 4.95 |
EPS(TTM)6.48
EY9.12%
EPS(NY)8.49
Fwd EY11.94%
FCF(TTM)7.15
FCFY10.07%
OCF(TTM)8.69
OCFY12.22%
SpS56.73
BVpS35.01
TBVpS25.87
PEG (NY)0.35
PEG (5Y)0.19
Graham Number71.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.54% | ||
| ROE | 20.68% | ||
| ROCE | 21.12% | ||
| ROIC | 16.01% | ||
| ROICexc | 24.34% | ||
| ROICexgc | 34.29% | ||
| OM | 17.83% | ||
| PM (TTM) | 12.76% | ||
| GM | 39.2% | ||
| FCFM | 12.61% |
ROA(3y)10.13%
ROA(5y)8.29%
ROE(3y)16.74%
ROE(5y)14.46%
ROIC(3y)11.97%
ROIC(5y)10.27%
ROICexc(3y)20.97%
ROICexc(5y)16.99%
ROICexgc(3y)36.26%
ROICexgc(5y)30.39%
ROCE(3y)15.79%
ROCE(5y)13.55%
ROICexgc growth 3Y30.19%
ROICexgc growth 5Y48.22%
ROICexc growth 3Y36.36%
ROICexc growth 5Y54.51%
OM growth 3Y23.39%
OM growth 5Y41.07%
PM growth 3Y23.52%
PM growth 5Y38.44%
GM growth 3Y3.53%
GM growth 5Y3.28%
F-Score7
Asset Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.74 | ||
| Debt/EBITDA | 0.87 | ||
| Cap/Depr | 57.81% | ||
| Cap/Sales | 2.7% | ||
| Interest Coverage | 44.78 | ||
| Cash Conversion | 68.05% | ||
| Profit Quality | 98.82% | ||
| Current Ratio | 6.77 | ||
| Quick Ratio | 6.69 | ||
| Altman-Z | 5.29 |
F-Score7
WACC7.77%
ROIC/WACC2.06
Cap/Depr(3y)56.69%
Cap/Depr(5y)59.43%
Cap/Sales(3y)3.07%
Cap/Sales(5y)3.32%
Profit Quality(3y)114.14%
Profit Quality(5y)117.4%
High Growth Momentum
Growth
EPS 1Y (TTM)17.82%
EPS 3Y33.5%
EPS 5Y58.07%
EPS Q2Q%48.94%
EPS Next Y31.64%
EPS Next 2Y18.75%
EPS Next 3Y12.74%
EPS Next 5YN/A
Revenue 1Y (TTM)17.25%
Revenue growth 3Y12.56%
Revenue growth 5Y18.24%
Sales Q2Q%12.67%
Revenue Next Year7.21%
Revenue Next 2Y5.56%
Revenue Next 3Y5.59%
Revenue Next 5Y9.06%
EBIT growth 1Y50.26%
EBIT growth 3Y38.88%
EBIT growth 5Y66.8%
EBIT Next Year49.08%
EBIT Next 3Y22.23%
EBIT Next 5Y18.08%
FCF growth 1Y115.04%
FCF growth 3Y38.85%
FCF growth 5Y60.14%
OCF growth 1Y79.65%
OCF growth 3Y27.9%
OCF growth 5Y40.03%
STRIDE INC / LRN FAQ
What is the ChartMill fundamental rating of STRIDE INC (LRN) stock?
ChartMill assigns a fundamental rating of 7 / 10 to LRN.
What is the valuation status for LRN stock?
ChartMill assigns a valuation rating of 9 / 10 to STRIDE INC (LRN). This can be considered as Undervalued.
Can you provide the profitability details for STRIDE INC?
STRIDE INC (LRN) has a profitability rating of 9 / 10.
What is the valuation of STRIDE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for STRIDE INC (LRN) is 10.97 and the Price/Book (PB) ratio is 2.03.
What is the financial health of STRIDE INC (LRN) stock?
The financial health rating of STRIDE INC (LRN) is 8 / 10.