STRA Stock Analysis: Strategic Education | NASDAQ
Education & Training Services | NASDAQ, USA | Market Cap: 1.794m USD | 12M Return: -0.3% | US86272C1036 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 20.0M
EPS Trend: 88.7%
Qual. Beats: 0
Rev. Trend: 96.2%
Qual. Beats: 1
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Strategic Education, Inc. (NASDAQ: STRA) is a U.S.-based provider of post-secondary education services operating through three segments: U.S. Higher Education, Australia/New Zealand, and Education Technology Services. Founded in 1892 and headquartered in Herndon, Virginia, the company owns a portfolio of institutions including Strayer University and Capella University in the U.S., Torrens University, Think Education, and Media Design School in Australia and New Zealand, and the Jack Welch Management Institute, which offers an online MBA. Its programs span undergraduate, graduate, and vocational coursework in fields such as business, health services, information technology, design, and creative technology, delivered through both physical campuses and online platforms.
In addition to its academic institutions, Strategic Education operates technology-enabled education services, including Workforce Edge, a platform that helps employers manage employee education benefits, and Sophia Learning, which provides low-cost general education courses online. The company also runs tech-focused training brands Hackbright Academy and Devmountain, targeting job-ready skills in software development.
STRA is classified within the Education Services sub-industry of the Consumer Discot discretionary sector. The for-profit education industry has historically been subject to regulatory scrutiny, particularly around federal student aid programs and online program management. The shift toward online and competency-based learning has been a structural tailwind for multi-brand operators with diversified geographic and modality exposure.
- Australia segment enrollment recovery drives international revenue growth
- Online enrollment trends at Strayer and Capella pressure U.S. margins
- Workforce Edge expands as employers boost education benefits spending
| Net Income: 134.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 2.82 > 1.0 |
| NWC/Revenue: 1.97% < 20% (prev 5.27%; Δ -3.30% < -1%) |
| CFO/TA 0.11 > 3% & CFO 228.7m > Net Income 134.5m |
| Net Debt (-22.0m) to EBITDA (232.8m): -0.09 < 3 |
| Current Ratio: 1.10 > 1.5 & < 3 |
| Outstanding Shares: last quarter (21.7m) vs 12m ago -8.63% < -2% |
| Gross Margin: 49.06% > 18% (prev 47.36%; Δ 1.69% > 0.5%) |
| Asset Turnover: 61.84% > 50% (prev 59.41%; Δ 2.43% > 0%) |
| Interest Coverage Ratio: 166.2 > 6 (EBIT TTM 185.2m / Interest Expense TTM 1.11m) |
| A: 0.01 (Total Current Assets 290.1m - Total Current Liabilities 264.8m) / Total Assets 2.07b |
| B: 0.14 (Retained Earnings 283.3m / Total Assets 2.07b) |
| C: 0.09 (EBIT TTM 185.2m / Avg Total Assets 2.08b) |
| D: 3.75 (Book Value of Equity 1.63b / Total Liabilities 435.3m) |
| Altman-Z'' = 5.07 = AAA |
| DSRI: 1.03 (Receivables 105.6m/98.6m, Revenue 1.29b/1.24b) |
| GMI: 0.97 (GM 47.36% / 49.06%) |
| AQI: 1.02 (AQ_t 0.76 / AQ_t-1 0.75) |
| SGI: 1.04 (Revenue 1.29b / 1.24b) |
| TATA: -0.05 (NI 134.5m - CFO 228.7m) / TA 2.07b) |
| Beneish M = -2.99 (Cap -4..+1) = A |
As of October 27, 2026, the stock is trading at USD 81.19 with a total of 217,319 shares traded. Over the past week, the price has changed by -0.01%, over one month by +6.96%, over three months by +4.12% and over the past year by -0.33%.
Current recommended Stop Loss: 75.50 (which is 7% or 2.7 ATR below the current price).
Strategic Education has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy STRA.
- StrongBuy: 1
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 96.7 | 19.1% |
P/E Trailing = 13.4892
P/E Forward = 9.311
P/S = 1.3949
P/B = 1.0383
P/EG = 0.621
Revenue TTM = 1.29b USD
EBIT TTM = 185.2m USD
EBITDA TTM = 232.8m USD
Long Term Debt = 92.1m USD (estimated: total debt 106.7m - short term 14.6m)
Short Term Debt = 14.6m USD (from shortTermDebt, last quarter)
Debt = 106.7m USD (from shortLongTermDebtTotal, last quarter) (leases 106.7m already included)
Net Debt = -22.0m USD (calculated: Debt 106.7m - CCE 128.8m)
Enterprise Value = 1.77b USD (1.79b + Debt 106.7m - CCE 128.8m)
Interest Coverage Ratio = 166.2 (Ebit TTM 185.2m / Interest Expense TTM 1.11m)
EV/FCF = 9.77x (Enterprise Value 1.77b / FCF TTM 181.4m)
FCF Yield = 10.24% (FCF TTM 181.4m / Enterprise Value 1.77b)
FCF Margin = 14.10% (FCF TTM 181.4m / Revenue TTM 1.29b)
Net Margin = 10.46% (Net Income TTM 134.5m / Revenue TTM 1.29b)
Gross Margin = 49.06% ((Revenue TTM 1.29b - Cost of Revenue TTM 655.3m) / Revenue TTM)
Gross Margin QoQ = 47.26% (prev 49.41%)
Tobins Q-Ratio = 0.86 (Enterprise Value 1.77b / Total Assets 2.07b)
Interest Expense / Debt = 1.04% (Interest Expense 1.11m / Debt 106.7m)
Taxrate = 26.92% (49.6m / 184.1m)
NOPAT = 135.3m (EBIT 185.2m * (1 - 26.92%))
Current Ratio = 1.10 (Total Current Assets 290.1m / Total Current Liabilities 264.8m)
Debt / Equity = 0.07 (Debt 106.7m / totalStockholderEquity, last quarter 1.63b)
Debt / EBITDA = -0.09 (Net Debt -22.0m / EBITDA 232.8m)
Debt / FCF = -0.12 (Net Debt -22.0m / FCF TTM 181.4m)
Total Stockholder Equity = 1.64b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.47% (Net Income 134.5m / Total Assets 2.07b)
RoE = 8.19% (Net Income TTM 134.5m / Total Stockholder Equity 1.64b)
RoCE = 10.67% (EBIT 185.2m / Capital Employed (Equity 1.64b + L.T.Debt 92.1m))
RoIC = 7.71% (NOPAT 135.3m / Invested Capital 1.75b)
WACC = 5.48% (E(1.79b)/V(1.90b) * Re(5.76%) + D(106.7m)/V(1.90b) * Rd(1.04%) * (1-Tc(0.27)))
Discount Rate = 5.76% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -90.46 | Cagr: -4.41%
[DCF] Terminal Value 77.97% ; FCFF base≈158.6m ; Y1≈181.8m ; Y5≈267.6m
[DCF] Fair Price = 182.3 (EV 4.03b - Net Debt -22.0m = Equity 4.05b / Shares 22.2m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 88.74 | EPS CAGR: 26.44% | SUE: -0.15 | # QB: 0
Revenue Correlation: 96.17 | Revenue CAGR: 5.30% | SUE: 2.64 | # QB: 1
EPS current Quarter (2026-09-30): EPS=1.95 | Chg30d=+0.00% | Revisions=+50% | Analysts=3
EPS current Year (2026-12-31): EPS=7.21 | Chg30d=+0.00% | Revisions=+17% | GrowthEPS=+16.6% | GrowthRev=+2.5%
EPS next Year (2027-12-31): EPS=8.45 | Chg30d=+0.00% | Revisions=+50% | GrowthEPS=+17.2% | GrowthRev=+3.0%
[Analyst] Revisions Ratio: +58% (up=8, down=1)