NasdaqGM:ASPU

Stock Analysis Report

Executive Summary

Aspen Group, Inc. provides online higher education services in the United States.

Snowflake

Fundamentals

High growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Aspen Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.6%

ASPU

-0.05%

US Consumer Services

1.0%

US Market


1 Year Return

-21.4%

ASPU

25.0%

US Consumer Services

6.7%

US Market

Return vs Industry: ASPU underperformed the US Consumer Services industry which returned 25% over the past year.

Return vs Market: ASPU underperformed the US Market which returned 6.7% over the past year.


Share holder returns

ASPUIndustryMarket
7 Day3.6%-0.05%1.0%
30 Day-3.5%-0.9%-1.8%
90 Day11.2%-1.9%-1.8%
1 Year-21.4%-21.4%25.5%25.0%9.1%6.7%
3 Year94.0%94.0%103.8%93.0%46.1%36.6%
5 Year108.3%108.3%144.9%119.8%66.9%48.6%

Price Volatility Vs. Market

How volatile is Aspen Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Aspen Group undervalued based on future cash flows and its price relative to the stock market?

3.99x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: Insufficient data to calculate ASPU's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate ASPU's fair value to establish if it is undervalued.


Price Based on Earnings

PE vs Industry: ASPU is unprofitable, so we can't compare its PE Ratio to the Consumer Services industry average.

PE vs Market: ASPU is unprofitable, so we can't compare its PE Ratio to the US market.


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate ASPU's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: ASPU is overvalued based on its PB Ratio (4x) compared to the US Consumer Services industry average (2.2x).


Next Steps

Future Growth

How is Aspen Group expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

70.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: ASPU is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

Earnings vs Market: ASPU is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: ASPU's loss is forecast to worsen by 0% next year.

Revenue vs Market: ASPU's revenue (26.1% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: ASPU's revenue (26.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if ASPU's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Aspen Group performed over the past 5 years?

-24.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ASPU is unprofitable, and losses have increased over the past 5 years at a rate of -24.4% per year.

Accelerating Growth: Unable to compare ASPU's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ASPU is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (5.5%).


Return on Equity

High ROE: ASPU has a negative Return on Equity (-34.29%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ASPU is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ASPU is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Aspen Group's financial position?


Financial Position Analysis

Short Term Liabilities: ASPU's short term assets ($19.0M) exceeds its short term liabilities ($7.9M)

Long Term Liabilities: ASPU's short term assets (19.0M) exceeds its long term liabilities (17.5M)


Debt to Equity History and Analysis

Debt Level: ASPU's debt to equity ratio (39.3%) is considered satisfactory

Reducing Debt: ASPU had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

Inventory Level: ASPU has a low level of unsold assets or inventory.

Debt Coverage by Assets: ASPU's debt is covered by short term assets (assets are 1.949320x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ASPU has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: ASPU has less than a year of cash runway if free cash flow continues to reduce at historical rates of -57.8% each year


Next Steps

Dividend

What is Aspen Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

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

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

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

Growing Dividend: Insufficient data to determine if ASPU'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 ASPU'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 Aspen Group's salary, the management and board of directors tenure and is there insider trading?

4.0yrs

Average management tenure


CEO

Mike Mathews (57yo)

7.6yrs

Tenure

US$947,061

Compensation

Mr. Michael D. Mathews, also known as Mike, has been the Chief Executive Officer at Aspen Group, Inc. since March 2012. Mr. Mathews has been the Chief Executive Officer of Aspen University Inc., the subsid ...


CEO Compensation Analysis

Compensation vs. Market: Mike's total compensation ($USD947.06K) is about average for companies of similar size in the US market ($USD495.80K).

Compensation vs Earnings: Mike's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

4.0yrs

Average Tenure

58.5yo

Average Age

Experienced Management: ASPU's management team is considered experienced (4 years average tenure).


Board Age and Tenure

4.1yrs

Average Tenure

60yo

Average Age

Experienced Board: ASPU's board of directors are considered experienced (4.1 years average tenure).


Insider Trading

Insider Buying: ASPU insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$9,44017 Jul 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$4.72
BuyUS$2,35015 Jul 19
Joseph Sevely
EntityIndividual
Role
Chief Financial Officer
CFO & Chief Accounting Officer
Shares500
Max PriceUS$4.70
BuyUS$24,98612 Jul 19
Michael Mathews
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board & CEO
Shares5,330
Max PriceUS$4.80
BuyUS$5,30205 Apr 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,100
Max PriceUS$4.82
BuyUS$10,27004 Apr 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,100
Max PriceUS$4.89
BuyUS$27,69014 Mar 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,600
Max PriceUS$4.94
BuyUS$36,63113 Mar 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares7,000
Max PriceUS$5.25
SellUS$25,78116 Jan 19
Verition Fund Management LLC
EntityCompany
Shares5,100
Max PriceUS$5.06
BuyUS$9,75015 Jan 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$4.95
BuyUS$6,57911 Jan 19
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,321
Max PriceUS$4.99
BuyUS$2,55010 Jan 19
Joseph Sevely
EntityIndividual
Role
Chief Financial Officer
CFO & Chief Accounting Officer
Shares500
Max PriceUS$5.10
BuyUS$9,71027 Dec 18
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$4.86
BuyUS$20,40622 Dec 18
Malcolm MacLean
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,091
Max PriceUS$4.99
BuyUS$29,99413 Dec 18
Andrew Kaplan
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,385
Max PriceUS$5.57

Ownership Breakdown


Management Team

  • Joseph Sevely (60yo)

    CFO & Chief Accounting Officer

    • Tenure: 1.1yrs
  • Anne McNamara

    Chief Nursing Officer

    • Tenure: 0yrs
  • Mike Mathews (57yo)

    Chairman of the Board & CEO

    • Tenure: 7.6yrs
    • Compensation: US$947.06k
  • Cheri St. Arnauld (62yo)

    Chief Academic Officer

    • Tenure: 2.3yrs
    • Compensation: US$790.98k
  • Gerard Wendolowski (34yo)

    Chief Operating Officer

    • Tenure: 5.6yrs
    • Compensation: US$790.94k

Board Members

  • Frank Cotroneo (60yo)

    Independent Director

    • Tenure: 0.8yrs
    • Compensation: US$83.33k
  • C. Jensen (78yo)

    Independent Director

    • Tenure: 7.6yrs
    • Compensation: US$24.11k
  • Andy Kaplan (53yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$18.99k
  • Sandy Rich (61yo)

    Independent Director

    • Tenure: 7.6yrs
    • Compensation: US$18.99k
  • Malcolm MacLean (50yo)

    Independent Director

    • Tenure: 2.9yrs
    • Compensation: US$30.24k
  • Mike Mathews (57yo)

    Chairman of the Board & CEO

    • Tenure: 7.6yrs
    • Compensation: US$947.06k
  • Norm Dicks (78yo)

    Independent Director

    • Tenure: 2.9yrs
    • Compensation: US$30.24k

Company Information

Aspen Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Aspen Group, Inc.
  • Ticker: ASPU
  • Exchange: NasdaqGM
  • Founded: 1987
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: US$99.300m
  • Shares outstanding: 18.91m
  • Website: https://www.aspu.com

Number of Employees


Location

  • Aspen Group, Inc.
  • 276 Fifth Avenue
  • Suite 505
  • New York
  • New York
  • 10001
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ASPUNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDMar 2012

Biography

Aspen Group, Inc. provides online higher education services in the United States. The company offers certificate programs; and associate, bachelor’s, master’s, and doctoral degree programs in a range of ar ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 02:52
End of Day Share Price2019/10/11 00:00
Earnings2019/07/31
Annual Earnings2019/04/30


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.

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