79.63 USD
+0.64 (+0.81%)
79.63 USD
0 (0%)
STRA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 77 industry peers in the Diversified Consumer Services industry. While STRA has a great health rating, its profitability is only average at the moment. STRA has a correct valuation and a medium growth rate. Finally STRA also has an excellent dividend rating. With these ratings, STRA could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
STRA had positive earnings in the past year.
In the past year STRA had a positive cash flow from operations.
In the past 5 years STRA has always been profitable.
STRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
STRA has a Return On Assets of 5.40%. This is in the better half of the industry: STRA outperforms 68.83% of its industry peers.
STRA has a Return On Equity (6.89%) which is in line with its industry peers.
STRA has a better Return On Invested Capital (6.92%) than 72.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for STRA is significantly below the industry average of 9.42%.
The 3 year average ROIC (4.24%) for STRA is below the current ROIC(6.92%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 6.89% | ||
| ROIC | 6.92% |
ROA(3y)3.65%
ROA(5y)3.42%
ROE(3y)4.62%
ROE(5y)4.4%
ROIC(3y)4.24%
ROIC(5y)4.18%
1.3 Margins
STRA has a better Profit Margin (9.08%) than 71.43% of its industry peers.
In the last couple of years the Profit Margin of STRA has grown nicely.
The Operating Margin of STRA (14.48%) is better than 72.73% of its industry peers.
In the last couple of years the Operating Margin of STRA has remained more or less at the same level.
The Gross Margin of STRA (47.95%) is comparable to the rest of the industry.
STRA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.48% | ||
| PM (TTM) | 9.08% | ||
| GM | 47.95% |
OM growth 3Y9.44%
OM growth 5Y-0.54%
PM growth 3Y23.79%
PM growth 5Y2.58%
GM growth 3Y0.31%
GM growth 5Y-0.05%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), STRA is destroying value.
The number of shares outstanding for STRA has been increased compared to 1 year ago.
The number of shares outstanding for STRA has been increased compared to 5 years ago.
There is no outstanding debt for STRA. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
STRA has an Altman-Z score of 3.54. This indicates that STRA is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.54, STRA belongs to the top of the industry, outperforming 83.12% of the companies in the same industry.
STRA has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.54 |
ROIC/WACC0.8
WACC8.65%
2.3 Liquidity
A Current Ratio of 1.22 indicates that STRA should not have too much problems paying its short term obligations.
The Current ratio of STRA (1.22) is comparable to the rest of the industry.
A Quick Ratio of 1.22 indicates that STRA should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.22, STRA is in line with its industry, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.33% over the past year.
STRA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.07% yearly.
Looking at the last year, STRA shows a small growth in Revenue. The Revenue has grown by 3.74% in the last year.
Measured over the past years, STRA shows a small growth in Revenue. The Revenue has been growing by 4.12% on average per year.
EPS 1Y (TTM)8.33%
EPS 3Y0.34%
EPS 5Y-6.07%
EPS Q2Q%40.52%
Revenue 1Y (TTM)3.74%
Revenue growth 3Y2.53%
Revenue growth 5Y4.12%
Sales Q2Q%4.57%
3.2 Future
Based on estimates for the next years, STRA will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.66% on average per year.
Based on estimates for the next years, STRA will show a small growth in Revenue. The Revenue will grow by 3.53% on average per year.
EPS Next Y16.38%
EPS Next 2Y15.51%
EPS Next 3Y16.66%
EPS Next 5YN/A
Revenue Next Year3.21%
Revenue Next 2Y3.66%
Revenue Next 3Y3.53%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.92, the valuation of STRA can be described as correct.
STRA's Price/Earnings ratio is a bit cheaper when compared to the industry. STRA is cheaper than 72.73% of the companies in the same industry.
STRA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.37.
The Price/Forward Earnings ratio is 12.26, which indicates a correct valuation of STRA.
STRA's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. STRA is cheaper than 75.32% of the companies in the same industry.
STRA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.92 | ||
| Fwd PE | 12.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, STRA is valued a bit cheaper than 75.32% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, STRA is valued a bit cheaper than 74.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.21 | ||
| EV/EBITDA | 7.34 |
4.3 Compensation for Growth
STRA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of STRA may justify a higher PE ratio.
STRA's earnings are expected to grow with 16.66% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.85
PEG (5Y)N/A
EPS Next 2Y15.51%
EPS Next 3Y16.66%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.08%, STRA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.12, STRA pays a better dividend. On top of this STRA pays more dividend than 97.40% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, STRA pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
The dividend of STRA has a limited annual growth rate of 2.49%.
STRA has paid a dividend for at least 10 years, which is a reliable track record.
STRA has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.49%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
STRA pays out 50.94% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of STRA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP50.94%
EPS Next 2Y15.51%
EPS Next 3Y16.66%
79.63
+0.64 (+0.81%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners94.12%
Inst Owner Change-1.55%
Ins Owners3.06%
Ins Owner Change-0.06%
Market Cap1.87B
Revenue(TTM)1.26B
Net Income(TTM)114.04M
Analysts84.44
Price Target100.3 (25.96%)
Short Float %3.45%
Short Ratio5.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
Yearly Dividend2.41
Dividend Growth(5Y)2.49%
DP50.94%
Div Incr Years0
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.21%
Min EPS beat(2)3.97%
Max EPS beat(2)22.46%
EPS beat(4)4
Avg EPS beat(4)15.61%
Min EPS beat(4)0.41%
Max EPS beat(4)35.59%
EPS beat(8)8
Avg EPS beat(8)27.54%
EPS beat(12)11
Avg EPS beat(12)20.15%
EPS beat(16)13
Avg EPS beat(16)15.67%
Revenue beat(2)0
Avg Revenue beat(2)-1.47%
Min Revenue beat(2)-2.38%
Max Revenue beat(2)-0.55%
Revenue beat(4)0
Avg Revenue beat(4)-1.75%
Min Revenue beat(4)-3.12%
Max Revenue beat(4)-0.55%
Revenue beat(8)1
Avg Revenue beat(8)-0.55%
Revenue beat(12)1
Avg Revenue beat(12)-0.93%
Revenue beat(16)1
Avg Revenue beat(16)-1.21%
PT rev (1m)-2.96%
PT rev (3m)-1.01%
EPS NQ rev (1m)-1.07%
EPS NQ rev (3m)-8.55%
EPS NY rev (1m)-0.95%
EPS NY rev (3m)-1.07%
Revenue NQ rev (1m)0.38%
Revenue NQ rev (3m)0.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.92 | ||
| Fwd PE | 12.26 | ||
| P/S | 1.49 | ||
| P/FCF | 14.21 | ||
| P/OCF | 10.69 | ||
| P/B | 1.13 | ||
| P/tB | 11 | ||
| EV/EBITDA | 7.34 |
EPS(TTM)5.72
EY7.18%
EPS(NY)6.5
Fwd EY8.16%
FCF(TTM)5.61
FCFY7.04%
OCF(TTM)7.45
OCFY9.35%
SpS53.49
BVpS70.5
TBVpS7.24
PEG (NY)0.85
PEG (5Y)N/A
Graham Number95.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 6.89% | ||
| ROCE | 9.95% | ||
| ROIC | 6.92% | ||
| ROICexc | 7.64% | ||
| ROICexgc | 74.51% | ||
| OM | 14.48% | ||
| PM (TTM) | 9.08% | ||
| GM | 47.95% | ||
| FCFM | 10.48% |
ROA(3y)3.65%
ROA(5y)3.42%
ROE(3y)4.62%
ROE(5y)4.4%
ROIC(3y)4.24%
ROIC(5y)4.18%
ROICexc(3y)4.74%
ROICexc(5y)4.68%
ROICexgc(3y)39.25%
ROICexgc(5y)36.61%
ROCE(3y)6.09%
ROCE(5y)6%
ROICexgc growth 3Y24.96%
ROICexgc growth 5Y0.87%
ROICexc growth 3Y16.27%
ROICexc growth 5Y-3.19%
OM growth 3Y9.44%
OM growth 5Y-0.54%
PM growth 3Y23.79%
PM growth 5Y2.58%
GM growth 3Y0.31%
GM growth 5Y-0.05%
F-Score7
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 92.99% | ||
| Cap/Sales | 3.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.55% | ||
| Profit Quality | 115.45% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 3.54 |
F-Score7
WACC8.65%
ROIC/WACC0.8
Cap/Depr(3y)74.79%
Cap/Depr(5y)63%
Cap/Sales(3y)3.55%
Cap/Sales(5y)3.91%
Profit Quality(3y)135.55%
Profit Quality(5y)151.19%
High Growth Momentum
Growth
EPS 1Y (TTM)8.33%
EPS 3Y0.34%
EPS 5Y-6.07%
EPS Q2Q%40.52%
EPS Next Y16.38%
EPS Next 2Y15.51%
EPS Next 3Y16.66%
EPS Next 5YN/A
Revenue 1Y (TTM)3.74%
Revenue growth 3Y2.53%
Revenue growth 5Y4.12%
Sales Q2Q%4.57%
Revenue Next Year3.21%
Revenue Next 2Y3.66%
Revenue Next 3Y3.53%
Revenue Next 5YN/A
EBIT growth 1Y5.59%
EBIT growth 3Y12.22%
EBIT growth 5Y3.55%
EBIT Next Year62.19%
EBIT Next 3Y27.89%
EBIT Next 5YN/A
FCF growth 1Y160.21%
FCF growth 3Y-0.6%
FCF growth 5Y-4.65%
OCF growth 1Y97.41%
OCF growth 3Y-2.11%
OCF growth 5Y-3.48%
STRATEGIC EDUCATION INC / STRA FAQ
What is the ChartMill fundamental rating of STRATEGIC EDUCATION INC (STRA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to STRA.
What is the valuation status of STRATEGIC EDUCATION INC (STRA) stock?
ChartMill assigns a valuation rating of 6 / 10 to STRATEGIC EDUCATION INC (STRA). This can be considered as Fairly Valued.
How profitable is STRATEGIC EDUCATION INC (STRA) stock?
STRATEGIC EDUCATION INC (STRA) has a profitability rating of 6 / 10.
What is the expected EPS growth for STRATEGIC EDUCATION INC (STRA) stock?
The Earnings per Share (EPS) of STRATEGIC EDUCATION INC (STRA) is expected to grow by 16.38% in the next year.
Can you provide the dividend sustainability for STRA stock?
The dividend rating of STRATEGIC EDUCATION INC (STRA) is 7 / 10 and the dividend payout ratio is 50.94%.