STRIDE INC (LRN) Stock Fundamental Analysis
NYSE:LRN - New York Stock Exchange, Inc. - US86333M1080 - Common Stock
Overall LRN gets a fundamental rating of 7 out of 10. We evaluated LRN against 71 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 is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes LRN very considerable for growth 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.
In the past 5 years LRN has always been profitable.
In the past 5 years LRN always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 12.18%, LRN belongs to the best of the industry, outperforming 89.06% of the companies in the same industry.
LRN has a better Return On Equity (19.78%) than 81.25% of its industry peers.
LRN's Return On Invested Capital of 12.62% is amongst the best of the industry. LRN outperforms 89.06% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LRN is below the industry average of 11.87%.
The last Return On Invested Capital (12.62%) for LRN is above the 3 year average (9.47%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.18% | ||
| ROE | 19.78% | ||
| ROIC | 12.62% |
ROA(3y)8.12%
ROA(5y)6.23%
ROE(3y)14.65%
ROE(5y)11.29%
ROIC(3y)9.47%
ROIC(5y)7.52%
1.3 Margins
LRN has a Profit Margin of 11.38%. This is amongst the best in the industry. LRN outperforms 82.81% of its industry peers.
LRN's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 13.91%, LRN is in the better half of the industry, outperforming 76.56% of the companies in the same industry.
LRN's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 38.21%, LRN is not doing good in the industry: 64.06% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of LRN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.91% | ||
| PM (TTM) | 11.38% | ||
| GM | 38.21% |
OM growth 3Y19.4%
OM growth 5Y22.26%
PM growth 3Y29.12%
PM growth 5Y22.27%
GM growth 3Y2.45%
GM growth 5Y1.54%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LRN is still creating some value.
The number of shares outstanding for LRN has been increased compared to 1 year ago.
The number of shares outstanding for LRN has been increased compared to 5 years ago.
The debt/assets ratio for LRN has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.57 indicates that LRN is not in any danger for bankruptcy at the moment.
LRN has a Altman-Z score of 6.57. This is amongst the best in the industry. LRN outperforms 90.63% of its industry peers.
LRN has a debt to FCF ratio of 2.38. This is a good value and a sign of high solvency as LRN would need 2.38 years to pay back of all of its debts.
LRN has a better Debt to FCF ratio (2.38) than 75.00% of its industry peers.
A Debt/Equity ratio of 0.38 indicates that LRN is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.38, LRN is in line with its industry, outperforming 42.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.38 | ||
| Altman-Z | 6.57 |
ROIC/WACC1.14
WACC11.05%
2.3 Liquidity
LRN has a Current Ratio of 5.60. This indicates that LRN is financially healthy and has no problem in meeting its short term obligations.
LRN's Current ratio of 5.60 is amongst the best of the industry. LRN outperforms 92.19% of its industry peers.
A Quick Ratio of 5.50 indicates that LRN has no problem at all paying its short term obligations.
LRN has a Quick ratio of 5.50. This is amongst the best in the industry. LRN outperforms 92.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.6 | ||
| Quick Ratio | 5.5 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 52.35% 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 39.31% on average per year.
LRN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.55%.
The Revenue has been growing by 14.97% on average over the past years. This is quite good.
EPS 1Y (TTM)52.35%
EPS 3Y39.51%
EPS 5Y39.31%
EPS Q2Q%754.55%
Revenue 1Y (TTM)11.55%
Revenue growth 3Y9.9%
Revenue growth 5Y14.97%
Sales Q2Q%14.77%
3.2 Future
LRN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.41% yearly.
LRN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.70% yearly.
EPS Next Y40.96%
EPS Next 2Y25.28%
EPS Next 3Y20.41%
EPS Next 5YN/A
Revenue Next Year12.47%
Revenue Next 2Y10.37%
Revenue Next 3Y10.57%
Revenue Next 5Y8.7%
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
Based on the Price/Earnings ratio of 21.19, the valuation of LRN can be described as rather expensive.
65.63% of the companies in the same industry are more expensive than LRN, based on the Price/Earnings ratio.
LRN is valuated rather cheaply when we compare the Price/Earnings ratio to 27.94, which is the current average of the S&P500 Index.
LRN is valuated correctly with a Price/Forward Earnings ratio of 15.90.
Based on the Price/Forward Earnings ratio, LRN is valued a bit cheaper than 78.13% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of LRN to the average of the S&P500 Index (24.11), we can say LRN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.19 | ||
| Fwd PE | 15.9 |
4.2 Price Multiples
68.75% 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 a bit cheaper when compared to the industry. LRN is cheaper than 64.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.98 | ||
| EV/EBITDA | 11.79 |
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.
The excellent profitability rating of LRN may justify a higher PE ratio.
A more expensive valuation may be justified as LRN's earnings are expected to grow with 20.41% in the coming years.
PEG (NY)0.52
PEG (5Y)0.54
EPS Next 2Y25.28%
EPS Next 3Y20.41%
5. Dividend
5.1 Amount
LRN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
STRIDE INC
NYSE:LRN (1/21/2025, 5:05:00 PM)
After market: 116.54 0 (0%)116.54
+2.38 (+2.08%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners108.39%
Inst Owner Change0.17%
Ins Owners2.94%
Ins Owner Change3.24%
Market Cap5.08B
Analysts80
Price Target100.16 (-14.06%)
Short Float %12.87%
Short Ratio7.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.43
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)171.09%
Min EPS beat(2)10.63%
Max EPS beat(2)331.54%
EPS beat(4)4
Avg EPS beat(4)92.38%
Min EPS beat(4)10.63%
Max EPS beat(4)331.54%
EPS beat(8)8
Avg EPS beat(8)68.73%
EPS beat(12)11
Avg EPS beat(12)25.29%
EPS beat(16)14
Avg EPS beat(16)25.19%
Revenue beat(2)2
Avg Revenue beat(2)4.39%
Min Revenue beat(2)0.58%
Max Revenue beat(2)8.2%
Revenue beat(4)3
Avg Revenue beat(4)2.57%
Min Revenue beat(4)-0.2%
Max Revenue beat(4)8.2%
Revenue beat(8)7
Avg Revenue beat(8)3.02%
Revenue beat(12)11
Avg Revenue beat(12)2.95%
Revenue beat(16)15
Avg Revenue beat(16)3.19%
PT rev (1m)3.15%
PT rev (3m)14.19%
EPS NQ rev (1m)0%
EPS NQ rev (3m)20.06%
EPS NY rev (1m)0%
EPS NY rev (3m)31.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.85%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.19 | ||
| Fwd PE | 15.9 | ||
| P/S | 2.41 | ||
| P/FCF | 23.98 | ||
| P/OCF | 18.67 | ||
| P/B | 4.18 | ||
| P/tB | 6.51 | ||
| EV/EBITDA | 11.79 |
EPS(TTM)5.5
EY4.72%
EPS(NY)7.33
Fwd EY6.29%
FCF(TTM)4.86
FCFY4.17%
OCF(TTM)6.24
OCFY5.36%
SpS48.43
BVpS27.86
TBVpS17.89
PEG (NY)0.52
PEG (5Y)0.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.18% | ||
| ROE | 19.78% | ||
| ROCE | 16.86% | ||
| ROIC | 12.62% | ||
| ROICexc | 18.02% | ||
| ROICexgc | 27.99% | ||
| OM | 13.91% | ||
| PM (TTM) | 11.38% | ||
| GM | 38.21% | ||
| FCFM | 10.04% |
ROA(3y)8.12%
ROA(5y)6.23%
ROE(3y)14.65%
ROE(5y)11.29%
ROIC(3y)9.47%
ROIC(5y)7.52%
ROICexc(3y)14.4%
ROICexc(5y)11.23%
ROICexgc(3y)26.36%
ROICexgc(5y)21.09%
ROCE(3y)12.66%
ROCE(5y)10.14%
ROICexcg growth 3Y21.6%
ROICexcg growth 5Y11.49%
ROICexc growth 3Y26.37%
ROICexc growth 5Y16.18%
OM growth 3Y19.4%
OM growth 5Y22.26%
PM growth 3Y29.12%
PM growth 5Y22.27%
GM growth 3Y2.45%
GM growth 5Y1.54%
F-Score7
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.38 | ||
| Debt/EBITDA | 1.16 | ||
| Cap/Depr | 54.85% | ||
| Cap/Sales | 2.85% | ||
| Interest Coverage | 37.66 | ||
| Cash Conversion | 67.45% | ||
| Profit Quality | 88.21% | ||
| Current Ratio | 5.6 | ||
| Quick Ratio | 5.5 | ||
| Altman-Z | 6.57 |
F-Score7
WACC11.05%
ROIC/WACC1.14
Cap/Depr(3y)62.27%
Cap/Depr(5y)61.45%
Cap/Sales(3y)3.58%
Cap/Sales(5y)3.69%
Profit Quality(3y)114.31%
Profit Quality(5y)120.41%
High Growth Momentum
Growth
EPS 1Y (TTM)52.35%
EPS 3Y39.51%
EPS 5Y39.31%
EPS Q2Q%754.55%
EPS Next Y40.96%
EPS Next 2Y25.28%
EPS Next 3Y20.41%
EPS Next 5YN/A
Revenue 1Y (TTM)11.55%
Revenue growth 3Y9.9%
Revenue growth 5Y14.97%
Sales Q2Q%14.77%
Revenue Next Year12.47%
Revenue Next 2Y10.37%
Revenue Next 3Y10.57%
Revenue Next 5Y8.7%
EBIT growth 1Y48.64%
EBIT growth 3Y31.23%
EBIT growth 5Y40.56%
EBIT Next Year84.44%
EBIT Next 3Y32.14%
EBIT Next 5Y23.65%
FCF growth 1Y69.9%
FCF growth 3Y38.43%
FCF growth 5Y18.44%
OCF growth 1Y39.36%
OCF growth 3Y27.61%
OCF growth 5Y14.51%