Strayer Education - Value Alert
Texas (October 4, 2013) Wax Ink has issued a No Investment Interest opinion for Strayer Education (Nasdaq: STRA) based on a recent baseline equity review that placed fair value between $52-$56.
No investment interest means that the current risk reward ratio is neither favorable nor unfavorable for investment consideration at this time.
The recent close of $42.24 is approximately 36% above the fair value buy target for the stock and approximately 34% below the fair value close target for the stock. The recent close is also 4% above analysts’ twelve-month $40.50 median price target for the stock.
The recent close represents a 36% decrease in the one-year price of the stock, while year-over-year sales decreased 10%, year-over-year earnings decreased 29%, and year-over-year debt increased 7%.
The stock currently has a trailing twelve-month PE Ratio of 5, a flow ratio of 1.06, and a PEG Ratio of (1.6) basis estimated forward earnings growth of (3.5%).
In the past 52 weeks, share prices have moved between a high of $69.16 and a low of $39.27, placing equilibrium at $46.07.
With the recent close, the stock is trading 64% below the 52 week high, 7% above the 52 week low, and 9% below equilibrium.
The three-month average daily trading volume for this stock is, approximately 208,000 shares.
Strayer Education through Strayer University provides post-secondary education services for working adults. It offers undergraduate and graduate degrees in various fields, including business administration, education, and accounting, among others.
The company's listed competitors include Apollo Group, Corinthian Colleges, and DeVry.
Financial information contained herein is based on the company's most recent annual SEC filing for year ending December 31, 2013 and all prices are per share unless otherwise noted.
Wax Ink currently has no investment position in any company mentioned in this alert.
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