STRIDE INC (LRN) Stock Fundamental Analysis
USA - NYSE:LRN - US86333M1080 - Common Stock
68.04 USD
+1.32 (+1.98%)
67.8993 USD
-0.14 (-0.21%)
Overall LRN gets a fundamental rating of 7 out of 10. We evaluated LRN against 77 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. These ratings could make LRN a good candidate 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.
Each year in the past 5 years LRN has been profitable.
Each year in the past 5 years LRN had a positive operating cash flow.
1.2 Ratios
LRN has a Return On Assets of 13.54%. This is amongst the best in the industry. LRN outperforms 90.91% of its industry peers.
LRN's Return On Equity of 20.68% is amongst the best of the industry. LRN outperforms 87.01% of its industry peers.
LRN's Return On Invested Capital of 16.01% is amongst the best of the industry. LRN outperforms 93.51% of its industry peers.
LRN had an Average Return On Invested Capital over the past 3 years of 11.97%. This is above the industry average of 9.47%.
The 3 year average ROIC (11.97%) for LRN is below the current ROIC(16.01%), indicating increased profibility in the last year.
| 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
The Profit Margin of LRN (12.76%) is better than 79.22% of its industry peers.
In the last couple of years the Profit Margin of LRN has grown nicely.
LRN has a Operating Margin of 17.83%. This is amongst the best in the industry. LRN outperforms 80.52% of its industry peers.
LRN's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 39.20%, LRN is in line with its industry, outperforming 42.86% 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.
Compared to 1 year ago, LRN has an improved debt to assets ratio.
2.2 Solvency
LRN has an Altman-Z score of 5.13. This indicates that LRN is financially healthy and has little risk of bankruptcy at the moment.
LRN has a better Altman-Z score (5.13) than 89.61% 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.
LRN has a Debt to FCF ratio of 1.74. This is amongst the best in the industry. LRN outperforms 81.82% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that LRN is not too dependend on debt financing.
LRN's Debt to Equity ratio of 0.32 is in line compared to the rest of the industry. LRN outperforms 51.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 5.13 |
ROIC/WACC2.07
WACC7.72%
2.3 Liquidity
LRN has a Current Ratio of 6.77. This indicates that LRN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 6.77, LRN belongs to the top of the industry, outperforming 94.81% of the companies in the same industry.
LRN has a Quick Ratio of 6.69. This indicates that LRN is financially healthy and has no problem in meeting its short term obligations.
LRN has a Quick ratio of 6.69. This is amongst the best in the industry. LRN outperforms 94.81% of its industry peers.
| 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 20.00% over the past year.
Measured over the past years, LRN shows a very strong growth in Earnings Per Share. The EPS has been growing by 58.07% on average per year.
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)20%
EPS 3Y33.5%
EPS 5Y58.07%
EPS Q2Q%61.7%
Revenue 1Y (TTM)17.25%
Revenue growth 3Y12.56%
Revenue growth 5Y18.24%
Sales Q2Q%12.67%
3.2 Future
The Earnings Per Share is expected to grow by 18.94% on average over the next years. This is quite good.
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 Y40.23%
EPS Next 2Y25.01%
EPS Next 3Y18.94%
EPS Next 5YN/A
Revenue Next Year12.47%
Revenue Next 2Y10.05%
Revenue Next 3Y9.78%
Revenue Next 5Y9.06%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.31 indicates a reasonable valuation of LRN.
88.31% of the companies in the same industry are more expensive than LRN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.10. LRN is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 7.23, the valuation of LRN can be described as very cheap.
Based on the Price/Forward Earnings ratio, LRN is valued cheaper than 94.81% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of LRN to the average of the S&P500 Index (22.52), we can say LRN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 7.23 |
4.2 Price Multiples
92.21% of the companies in the same industry are more expensive than LRN, based on the Enterprise Value to EBITDA ratio.
LRN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LRN is cheaper than 93.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.51 | ||
| EV/EBITDA | 4.56 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of LRN may justify a higher PE ratio.
LRN's earnings are expected to grow with 18.94% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.26
PEG (5Y)0.18
EPS Next 2Y25.01%
EPS Next 3Y18.94%
5. Dividend
5.1 Amount
LRN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
68.04
+1.32 (+1.98%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners111.31%
Inst Owner Change-0.18%
Ins Owners2.94%
Ins Owner Change4.91%
Market Cap2.97B
Revenue(TTM)2.48B
Net Income(TTM)315.86M
Analysts83.64
Price Target171.83 (152.54%)
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)-2.36%
Min EPS beat(2)-41.53%
Max EPS beat(2)36.81%
EPS beat(4)2
Avg EPS beat(4)-0.48%
Min EPS beat(4)-41.53%
Max EPS beat(4)36.81%
EPS beat(8)6
Avg EPS beat(8)45.95%
EPS beat(12)10
Avg EPS beat(12)45.66%
EPS beat(16)13
Avg EPS beat(16)18.85%
Revenue beat(2)2
Avg Revenue beat(2)1.75%
Min Revenue beat(2)0.15%
Max Revenue beat(2)3.34%
Revenue beat(4)4
Avg Revenue beat(4)2.14%
Min Revenue beat(4)0.15%
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)0%
PT rev (3m)2.67%
EPS NQ rev (1m)-2.44%
EPS NQ rev (3m)3.77%
EPS NY rev (1m)0%
EPS NY rev (3m)12.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.47%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 7.23 | ||
| P/S | 1.2 | ||
| P/FCF | 9.51 | ||
| P/OCF | 7.83 | ||
| P/B | 1.94 | ||
| P/tB | 2.63 | ||
| EV/EBITDA | 4.56 |
EPS(TTM)6.6
EY9.7%
EPS(NY)9.41
Fwd EY13.83%
FCF(TTM)7.15
FCFY10.51%
OCF(TTM)8.69
OCFY12.77%
SpS56.73
BVpS35.01
TBVpS25.87
PEG (NY)0.26
PEG (5Y)0.18
Graham Number72.1
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 | 250 | ||
| Cash Conversion | 68.05% | ||
| Profit Quality | 98.82% | ||
| Current Ratio | 6.77 | ||
| Quick Ratio | 6.69 | ||
| Altman-Z | 5.13 |
F-Score7
WACC7.72%
ROIC/WACC2.07
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)20%
EPS 3Y33.5%
EPS 5Y58.07%
EPS Q2Q%61.7%
EPS Next Y40.23%
EPS Next 2Y25.01%
EPS Next 3Y18.94%
EPS Next 5YN/A
Revenue 1Y (TTM)17.25%
Revenue growth 3Y12.56%
Revenue growth 5Y18.24%
Sales Q2Q%12.67%
Revenue Next Year12.47%
Revenue Next 2Y10.05%
Revenue Next 3Y9.78%
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 10.31 and the Price/Book (PB) ratio is 1.94.
What is the financial health of STRIDE INC (LRN) stock?
The financial health rating of STRIDE INC (LRN) is 8 / 10.