STRIDE INC (LRN) Stock Fundamental Analysis
USA - NYSE:LRN - US86333M1080 - Common Stock
72.01 USD
+1.39 (+1.97%)
71.75 USD
-0.26 (-0.36%)
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 gets an excellent profitability rating and is at the same time showing great financial health properties. A decent growth rate in combination with a cheap valuation! Better keep an eye on LRN. These ratings would make LRN suitable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year LRN was profitable.
LRN had a positive operating cash flow in the past year.
In the past 5 years LRN has always 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 91.03% of its industry peers.
With an excellent Return On Equity value of 20.68%, LRN belongs to the best of the industry, outperforming 87.18% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 16.01%, LRN belongs to the top of the industry, outperforming 93.59% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LRN 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.
LRN's Profit Margin has improved in the last couple of years.
LRN's Operating Margin of 17.83% is amongst the best of the industry. LRN outperforms 80.77% 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 43.59% 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LRN is creating value.
Compared to 1 year ago, LRN has more shares outstanding
The number of shares outstanding for LRN has been increased compared to 5 years ago.
LRN has a better debt/assets ratio than last year.
2.2 Solvency
LRN has an Altman-Z score of 5.25. This indicates that LRN is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LRN (5.25) is better than 92.31% of its industry peers.
The Debt to FCF ratio of LRN is 1.74, which is an excellent value as it means it would take LRN, only 1.74 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.74, LRN belongs to the best of the industry, outperforming 82.05% of the companies in the same industry.
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 | 5.25 |
ROIC/WACC2.06
WACC7.77%
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.
LRN has a better Current ratio (6.77) than 94.87% of its industry peers.
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.
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
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.
LRN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 58.07% yearly.
LRN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.25%.
The Revenue has been growing by 18.24% on average over the past years. This is quite good.
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.
The Revenue is expected to grow by 4.21% on average over the next years.
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.
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
The Price/Earnings ratio is 11.11, which indicates a very decent valuation of LRN.
Compared to the rest of the industry, the Price/Earnings ratio of LRN indicates a rather cheap valuation: LRN is cheaper than 85.90% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.83, LRN is valued rather cheaply.
A Price/Forward Earnings ratio of 8.48 indicates a reasonable valuation of LRN.
Based on the Price/Forward Earnings ratio, LRN is valued cheaper than 92.31% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.68, LRN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 8.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LRN indicates a rather cheap valuation: LRN is cheaper than 88.46% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LRN is valued cheaper than 88.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.07 | ||
| EV/EBITDA | 4.87 |
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 18.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)0.19
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 |
72.01
+1.39 (+1.97%)
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 Cap3.14B
Revenue(TTM)2.48B
Net Income(TTM)315.86M
Analysts81.82
Price Target171.83 (138.62%)
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 | 11.11 | ||
| Fwd PE | 8.48 | ||
| P/S | 1.27 | ||
| P/FCF | 10.07 | ||
| P/OCF | 8.29 | ||
| P/B | 2.06 | ||
| P/tB | 2.78 | ||
| EV/EBITDA | 4.87 |
EPS(TTM)6.48
EY9%
EPS(NY)8.49
Fwd EY11.79%
FCF(TTM)7.15
FCFY9.93%
OCF(TTM)8.69
OCFY12.06%
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 | 5.25 |
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 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 11.11 and the Price/Book (PB) ratio is 2.06.
What is the financial health of STRIDE INC (LRN) stock?
The financial health rating of STRIDE INC (LRN) is 8 / 10.