STRIDE INC (LRN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LRN - US86333M1080 - Common Stock
63.8 USD
+0.84 (+1.33%)
63.8 USD
0 (0%)
Taking everything into account, LRN scores 7 out of 10 in our fundamental rating. LRN was compared to 77 industry peers in the Diversified Consumer Services industry. Both the health and profitability get an excellent rating, making LRN a very profitable company, without any liquidiy or solvency issues. LRN may be a bit undervalued, certainly considering the very reasonable score on growth This makes LRN very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year LRN was profitable.
In the past year LRN had a positive cash flow from operations.
LRN had positive earnings in each of the past 5 years.
In the past 5 years LRN always reported a positive cash flow from operatings.
1.2 Ratios
LRN has a better Return On Assets (13.54%) than 89.61% of its industry peers.
LRN has a Return On Equity of 20.68%. This is amongst the best in the industry. LRN outperforms 88.31% 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.
Measured over the past 3 years, the Average Return On Invested Capital for LRN is above the industry average of 9.62%.
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
LRN's Profit Margin of 12.76% is fine compared to the rest of the industry. LRN outperforms 79.22% of its industry peers.
LRN's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 17.83%, LRN belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
In the last couple of years the Operating Margin of LRN has grown nicely.
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.
In the last couple of years the Gross Margin of LRN has grown nicely.
| 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.
The number of shares outstanding for LRN has been increased compared to 1 year ago.
Compared to 5 years ago, LRN has more shares outstanding
Compared to 1 year ago, LRN has an improved debt to assets ratio.
2.2 Solvency
LRN has an Altman-Z score of 5.00. This indicates that LRN is financially healthy and has little risk of bankruptcy at the moment.
LRN's Altman-Z score of 5.00 is amongst the best of the industry. LRN outperforms 90.91% 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 79.22% of its industry peers.
LRN has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
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 |
ROIC/WACC2.11
WACC7.57%
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 97.40% of the companies in the same industry.
A Quick Ratio of 6.69 indicates that LRN has no problem at all paying its short term obligations.
LRN has a better Quick ratio (6.69) than 97.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.77 | ||
| Quick Ratio | 6.69 |
3. Growth
3.1 Past
LRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.82%, which is quite good.
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
The Earnings Per Share is expected to grow by 18.03% on average over the next years. This is quite good.
LRN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.21% yearly.
EPS Next Y31.64%
EPS Next 2Y18.75%
EPS Next 3Y18.03%
EPS Next 5YN/A
Revenue Next Year7.21%
Revenue Next 2Y5.56%
Revenue Next 3Y5.59%
Revenue Next 5Y4.21%
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
A Price/Earnings ratio of 9.85 indicates a reasonable valuation of LRN.
84.42% of the companies in the same industry are more expensive than LRN, based on the Price/Earnings ratio.
LRN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.15.
Based on the Price/Forward Earnings ratio of 7.52, the valuation of LRN can be described as very cheap.
96.10% of the companies in the same industry are more expensive than LRN, based on the Price/Forward Earnings ratio.
LRN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.85 | ||
| Fwd PE | 7.52 |
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.
Based on the Price/Free Cash Flow ratio, LRN is valued cheaply inside the industry as 92.21% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.92 | ||
| EV/EBITDA | 4.27 |
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.
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 18.03% in the coming years.
PEG (NY)0.31
PEG (5Y)0.17
EPS Next 2Y18.75%
EPS Next 3Y18.03%
5. Dividend
5.1 Amount
LRN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
63.8
+0.84 (+1.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners111.31%
Inst Owner Change0.25%
Ins Owners2.94%
Ins Owner Change4.54%
Market Cap2.78B
Revenue(TTM)2.48B
Net Income(TTM)315.86M
Analysts81.82
Price Target134.77 (111.24%)
Short Float %12.74%
Short Ratio2.83
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)-20.78%
PT rev (3m)-19.58%
EPS NQ rev (1m)-14.95%
EPS NQ rev (3m)-12.55%
EPS NY rev (1m)-6.13%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)-2.91%
Revenue NQ rev (3m)-3.13%
Revenue NY rev (1m)-4.67%
Revenue NY rev (3m)-4.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.85 | ||
| Fwd PE | 7.52 | ||
| P/S | 1.12 | ||
| P/FCF | 8.92 | ||
| P/OCF | 7.34 | ||
| P/B | 1.82 | ||
| P/tB | 2.47 | ||
| EV/EBITDA | 4.27 |
EPS(TTM)6.48
EY10.16%
EPS(NY)8.49
Fwd EY13.31%
FCF(TTM)7.15
FCFY11.21%
OCF(TTM)8.69
OCFY13.62%
SpS56.73
BVpS35.01
TBVpS25.87
PEG (NY)0.31
PEG (5Y)0.17
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 |
F-Score7
WACC7.57%
ROIC/WACC2.11
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 3Y18.03%
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 5Y4.21%
EBIT growth 1Y50.26%
EBIT growth 3Y38.88%
EBIT growth 5Y66.8%
EBIT Next Year49.08%
EBIT Next 3Y17.4%
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 9.85 and the Price/Book (PB) ratio is 1.82.
What is the financial health of STRIDE INC (LRN) stock?
The financial health rating of STRIDE INC (LRN) is 8 / 10.