Laureate Education Inc. (NASDAQ: LAUR) stock jumped 0.28% on Thursday to $14.10 against a previous-day closing price of $14.06. With 0.58 million shares changed hands, the volume of the stock remained lighter than its average volume of 0.97 million shares. During the session, the Education & Training Services company that operates in wider Consumer Defensive sector, reached to the highest price of $14.30 whereas the lowest price it dropped to was $13.99. The 52-week range on LAUR shows that it touched its highest point at $14.80 and its lowest point at $9.22 during that stretch. It currently has a 1-year price target of $16.00. Beta for the stock currently stands at 0.72.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of LAUR was up-trending over the past week, with a rise of 5.07%, but this was down by -3.56% over a month. Three-month performance surged to 20.93% while six-month performance rose 21.55%. The stock gained 41.84% in the past year, while it has gained 46.57% so far this year. A look at the trailing 12-month EPS for LAUR yields 0.62 with Next year EPS estimates of 1.20. For the next quarter, that number is 0.19. This implies an EPS growth rate of 123.50% for this year and 58.94% for next year. EPS is expected to grow by 15.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 16.50%.
Float and Shares Shorts:
At present, 157.19 million LAUR shares are outstanding with a float of 126.45 million shares on hand for trading. On Aug 30, 2023, short shares totaled 4.51 million, which was 2.87% higher than short shares on Jul 30, 2023. In addition to Mr. Eilif Serck-Hanssen as the firm’s Pres, CEO & Director, Mr. Richard M. Buskirk serves as its Sr. VP & CFO.
Other institutions hold 47.78% of LAUR, in contrast to 40.85% held by mutual funds. Shares owned by individuals account for 34.95%. As the largest shareholder in LAUR with 8.55% of the stake, The Vanguard Group, Inc. holds 13,432,861 shares worth 13,432,861. A second-largest stockholder of LAUR, BlackRock Fund Advisors, holds 10,230,233 shares, controlling over 6.51% of the firm’s shares. Fidelity Management & Research Co is the third largest shareholder in LAUR, holding 7,825,948 shares or 4.98% stake. With a 2.80% stake in LAUR, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 4,403,694 shares are owned by the mutual fund manager. The Vanguard Small Cap Index Fund, which owns about 2.34% of LAUR stock, is the second-largest Mutual Fund holder. It holds 3,672,727 shares valued at 47.08 million. iShares Russell 2000 ETF holds 1.88% of the stake in LAUR, owning 2,956,506 shares worth 37.9 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, LAUR reported revenue of $385.38M and operating income of $126.64M. The EBITDA in the recently reported quarter was $150.92M and diluted EPS was $0.25.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for LAUR since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With LAUR analysts setting a high price target of $17.00 and a low target of $15.00, the average target price over the next 12 months is $16.00. Based on these targets, LAUR could surge 20.57% to reach the target high and rise by 6.38% to reach the target low. Reaching the average price target will result in a growth of 13.48% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded LAUR stock several times over the past three months with 1 Buys and 1 Sells. In these transactions, 1,262 shares were bought while 926 shares were sold. The number of buy transactions has increased to 21 while that of sell transactions has risen to 15 over the past year. The total number of shares bought during that period was 370,124 while 65,805,196 shares were sold.