NasdaqGS:APEI

Stock Analysis Report

Executive Summary

American Public Education, Inc., together with its subsidiaries, provides online and campus-based postsecondary education.

Rewards

Trading at 43.1% below its fair value

Earnings are forecast to grow 34.9% per year

Risk Analysis

Large one-off items impacting financial results

Profit margins (4.6%) are lower than last year (8.4%)



Snowflake Analysis

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has American Public Education's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: APEI has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.9%

APEI

0.6%

US Consumer Services

1.1%

US Market


1 Year Return

-10.5%

APEI

25.8%

US Consumer Services

17.8%

US Market

Return vs Industry: APEI underperformed the US Consumer Services industry which returned 25.8% over the past year.

Return vs Market: APEI underperformed the US Market which returned 17.8% over the past year.


Shareholder returns

APEIIndustryMarket
7 Day4.9%0.6%1.1%
30 Day12.1%2.8%1.4%
90 Day7.0%4.3%3.9%
1 Year-10.5%-10.5%26.4%25.8%20.3%17.8%
3 Year6.3%6.3%103.2%92.0%44.8%35.4%
5 Year-26.2%-26.2%142.8%115.5%71.3%52.4%

Price Volatility Vs. Market

How volatile is American Public Education's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is American Public Education undervalued compared to its fair value and its price relative to the market?

43.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: APEI ($26.31) is trading below our estimate of fair value ($46.23)

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


Price To Earnings Ratio

PE vs Industry: APEI is poor value based on its PE Ratio (32.1x) compared to the Consumer Services industry average (28.9x).

PE vs Market: APEI is poor value based on its PE Ratio (32.1x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: APEI is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: APEI is good value based on its PB Ratio (1.4x) compared to the US Consumer Services industry average (2.2x).


Next Steps

Future Growth

How is American Public Education forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

34.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APEI's forecast earnings growth (34.9% per year) is above the savings rate (1.7%).

Earnings vs Market: APEI's earnings (34.9% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: APEI's revenue (2.8% per year) is forecast to grow slower than the US market (7.4% per year).

High Growth Revenue: APEI's revenue (2.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: APEI's Return on Equity is forecast to be low in 3 years time (5.8%).


Next Steps

Past Performance

How has American Public Education performed over the past 5 years?

-16.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: APEI has a large one-off loss of $7.6M impacting its September 30 2019 financial results.

Growing Profit Margin: APEI's current net profit margins (4.6%) are lower than last year (8.4%).


Past Earnings Growth Analysis

Earnings Trend: APEI's earnings have declined by -16.5% per year over the past 5 years.

Accelerating Growth: APEI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: APEI had negative earnings growth (-46.4%) over the past year, making it difficult to compare to the Consumer Services industry average (7.1%).


Return on Equity

High ROE: APEI's Return on Equity (4.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is American Public Education's financial position?


Financial Position Analysis

Short Term Liabilities: APEI's short term assets ($230.0M) exceed its short term liabilities ($45.7M).

Long Term Liabilities: APEI's short term assets ($230.0M) exceed its long term liabilities ($14.6M).


Debt to Equity History and Analysis

Debt Level: APEI is debt free.

Reducing Debt: APEI has not had any debt for past 5 years.

Debt Coverage: APEI has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: APEI has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: APEI has a high level of physical assets or inventory.

Debt Coverage by Assets: APEI's debt is covered by short term assets (assets are 1.2948411878643E+17x debt).


Next Steps

Dividend

What is American Public Education's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate APEI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate APEI's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if APEI's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if APEI's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of APEI's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of American Public Education's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Angela Selden 0

0.3yrs

Tenure

0

Ms. Angela K. Selden has been Chief Executive Officer & Director at American Public Education, Inc. since September 23, 2019. Ms. Selden served as the Chief Executive Officer of Workforce Insight, Inc. Ms. ...


Management Age and Tenure

3.8yrs

Average Tenure

51yo

Average Age

Experienced Management: APEI's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

6.4yrs

Average Tenure

60yo

Average Age

Experienced Board: APEI's board of directors are considered experienced (6.4 years average tenure).


Insider Trading

Insider Buying: APEI insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$94,26321 Nov 19
Robert Gay
EntityIndividual
Shares3,488
Max PriceUS$27.02

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Rick Sunderland (59yo)

    Executive VP & CFO

    • Tenure: 5.9yrs
    • Compensation: US$1.12m
  • Amy Bevilacqua

    Chief Innovation Officer & Senior VP

    • Tenure: 3.6yrs
  • Angela Selden

    CEO & Director

    • Tenure: 0.3yrs
  • Gwendolyn Hall

    Senior VP & Chief of Staff

    • Tenure: 0yrs
  • Chris Symanoskie (47yo)

    Vice President of Investor Relations & Corporate Communications

    • Tenure: 12.9yrs
  • Tom Beckett (51yo)

    Senior VP

    • Tenure: 3.9yrs
    • Compensation: US$630.21k
  • Patrik Dyberg (55yo)

    Executive VP & CTO

    • Tenure: 1.6yrs
    • Compensation: US$1.16m
  • Tony Mediate

    Chief Executive Officer of Hondros College of Nursing

    • Tenure: 0yrs
  • Amy Panzarella (44yo)

    Senior Vice President of Human Resources

    • Tenure: 0yrs
    • Compensation: US$427.28k
  • Beth Cooper

    Senior VP & Chief Marketing Officer

    • Tenure: 0yrs

Board Members

  • Wally Boston (65yo)

    Director

    • Tenure: 15.5yrs
    • Compensation: US$3.26m
  • Tim Landon (56yo)

    Independent Director

    • Tenure: 10.9yrs
    • Compensation: US$142.99k
  • Ric Andersen (57yo)

    Independent Director

    • Tenure: 7.5yrs
    • Compensation: US$134.99k
  • Bobbi Kurshan (71yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$134.99k
  • Jean Halle (60yo)

    Independent Director

    • Tenure: 13.8yrs
    • Compensation: US$149.99k
  • Angela Selden

    CEO & Director

    • Tenure: 0.3yrs
  • Barbara Fast (65yo)

    Independent Chairperson of the Board

    • Tenure: 4.5yrs
    • Compensation: US$198.99k
  • Bill Robinson (54yo)

    Independent Director

    • Tenure: 3.5yrs
    • Compensation: US$245.87k

Company Information

American Public Education, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: American Public Education, Inc.
  • Ticker: APEI
  • Exchange: NasdaqGS
  • Founded: 1991
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: US$405.128m
  • Shares outstanding: 15.40m
  • Website: https://www.apei.com

Number of Employees


Location

  • American Public Education, Inc.
  • 111 West Congress Street
  • Charles Town
  • West Virginia
  • 25414
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
APEINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 2007
51ADB (Deutsche Boerse AG)YesCommon StockDEEURNov 2007

Biography

American Public Education, Inc., together with its subsidiaries, provides online and campus-based postsecondary education. The company operates in two segments, American Public Education and Hondros Colleg ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 00:15
End of Day Share Price2019/12/10 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.