Laureate Education Valuation

Is LA3A undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of LA3A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LA3A (€17.5) is trading below our estimate of fair value (€28.42)

Significantly Below Fair Value: LA3A is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for LA3A?

Key metric: As LA3A is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for LA3A. This is calculated by dividing LA3A's market cap by their current earnings.
What is LA3A's PE Ratio?
PE Ratio11.3x
EarningsUS$250.33m
Market CapUS$2.81b

Price to Earnings Ratio vs Peers

How does LA3A's PE Ratio compare to its peers?

The above table shows the PE ratio for LA3A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.3x
TIMA ZEAL Network
20x-5.0%€939.9m
7x17.3%€3.8b
KLC KinderCare Learning Companies
46.9x42.5%US$2.7b
ATGE Adtalem Global Education
19.1x20.4%US$3.3b
LA3A Laureate Education
11.3x2.3%€2.8b

Price-To-Earnings vs Peers: LA3A is good value based on its Price-To-Earnings Ratio (11.3x) compared to the peer average (23.3x).


Price to Earnings Ratio vs Industry

How does LA3A's PE Ratio compare vs other companies in the European Consumer Services Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
LA3A 11.3xIndustry Avg. 17.5xNo. of Companies5PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LA3A is good value based on its Price-To-Earnings Ratio (11.3x) compared to the Global Consumer Services industry average (17.5x).


Price to Earnings Ratio vs Fair Ratio

What is LA3A's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

LA3A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.3x
Fair PE Ratio21.7x

Price-To-Earnings vs Fair Ratio: LA3A is good value based on its Price-To-Earnings Ratio (11.3x) compared to the estimated Fair Price-To-Earnings Ratio (21.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst LA3A forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€17.50
€18.46
+5.5%
8.2%€20.30€16.61n/a3
Nov ’25€15.70
€18.46
+17.6%
8.2%€20.30€16.61n/a3
Oct ’25€14.80
€16.25
+9.8%
7.9%€18.05€15.35n/a3
Sep ’25€13.60
€16.49
+21.3%
7.9%€18.33€15.58n/a3
Aug ’25€14.20
€16.68
+17.5%
7.9%€18.53€15.75n/a3
Jul ’25€13.30
€16.42
+23.5%
9.6%€18.59€14.88n/a3
Jun ’25€14.40
€16.42
+14.1%
9.6%€18.59€14.88n/a3
May ’25€13.90
€16.51
+18.8%
9.6%€18.69€14.95n/a3
Apr ’25€13.40
€16.17
+20.7%
10.2%€18.48€14.79n/a3
Mar ’25€12.30
€16.17
+31.5%
10.2%€18.48€14.79n/a3
Feb ’25€11.60
€16.17
+39.4%
11.9%€18.65€13.99n/a3
Jan ’25€12.20
€16.17
+32.5%
11.9%€18.65€13.99n/a3
Dec ’24€11.90
€16.17
+35.8%
11.9%€18.65€13.99n/a3
Nov ’24€13.40
€16.37
+22.1%
11.9%€18.88€14.16€15.703
Oct ’24€13.10
€14.71
+12.3%
6.3%€15.63€13.79€14.802
Sep ’24€12.60
€14.71
+16.8%
6.3%€15.63€13.79€13.602
Jul ’24€10.70
€14.56
+36.1%
8.8%€16.39€13.65€13.303
Jun ’24€11.20
€14.24
+27.1%
6.0%€15.45€13.63€14.403
May ’24€11.10
€14.22
+28.1%
9.4%€16.11€13.27€13.903
Apr ’24€10.60
€14.22
+34.1%
9.4%€16.11€13.27€13.403
Mar ’24€11.00
€14.22
+29.3%
9.4%€16.11€13.27€12.303
Feb ’24€9.90
€13.55
+36.9%
6.6%€14.83€12.51€11.604
Jan ’24€9.05
€13.83
+52.8%
4.4%€14.64€13.18€12.203
Dec ’23€9.65
€13.83
+43.3%
4.4%€14.64€13.18€11.903
Nov ’23€12.70
€14.76
+16.2%
3.3%€15.45€14.42€13.403

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies