PRDO Stock Overview
Perdoceo Education Corporation provides postsecondary education to student through online, campus based, and blended learning programs in the United States.
Perdoceo Education Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$10.37|
|52 Week High||US$14.05|
|52 Week Low||US$9.65|
|1 Month Change||-4.60%|
|3 Month Change||-4.51%|
|1 Year Change||-15.62%|
|3 Year Change||-19.30%|
|5 Year Change||1.07%|
|Change since IPO||330.96%|
Recent News & Updates
Perdoceo Education: The Fears Are Overblown
Fears of an apocalyptic event due to Democratic leadership destroying for-profit universities is likely overblown, creating a buying opportunity for companies like Perdoceo Education. Perdoceo Education is diversifying its revenue streams, insulating against a perceived attack by a Democrat President and Congress on its primary business line. The company is certainly undervalued, but that doesn’t necessarily mean it’s a long-term hold as headwinds will still likely deteriorate revenues, profitability, or both.
Perdoceo: Head I Win, Tails I Don't Lose Much
PRDO is one of the cheapest stocks around, with more than half of the total market cap in net cash. This company is constantly getting ridiculous multiples, with an EV/FCF (2021E) of just 2.5, and an FCF conversion rate higher than 20%. The market is betting on democrats banning private colleges or favoring free public colleges, but so far the reward highly compensates for the risks. At the current price, Perdoceo could return as much as 60% in the next few months.
Perdoceo Education: 2 Sides Of A Very Puzzling Coin
On one side of the coin - Perdoceo could have 80% upside based on conservative earnings projections. But on the other side - there's a chance for 50% downside if this company is forced to close its doors. For these reasons, I'm neutral.
|PRDO||US Consumer Services||US Market|
Return vs Industry: PRDO exceeded the US Consumer Services industry which returned -62.8% over the past year.
Return vs Market: PRDO underperformed the US Market which returned 19.4% over the past year.
|PRDO Average Weekly Movement||4.2%|
|Consumer Services Industry Average Movement||8.3%|
|Market Average Movement||6.1%|
|10% most volatile stocks in US Market||14.8%|
|10% least volatile stocks in US Market||2.4%|
Stable Share Price: PRDO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: PRDO's weekly volatility (4%) has been stable over the past year.
About the Company
Perdoceo Education Corporation provides postsecondary education to student through online, campus based, and blended learning programs in the United States. It operates through two segments, Colorado Technical University and American InterContinental University. The company offers academic programs in the career-oriented disciplines of business and management, nursing, healthcare management, computer science, engineering, information systems and technology, project management, cybersecurity, criminal justice, education, and health sciences.
Perdoceo Education Fundamentals Summary
|PRDO fundamental statistics|
Is PRDO overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|PRDO income statement (TTM)|
|Cost of Revenue||US$92.85m|
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
|Earnings per share (EPS)||1.60|
|Net Profit Margin||15.94%|
How did PRDO perform over the long term?See historical performance and comparison
Is Perdoceo Education undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PRDO ($10.37) is trading below our estimate of fair value ($107.8)
Significantly Below Fair Value: PRDO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PRDO is good value based on its PE Ratio (6.5x) compared to the US Consumer Services industry average (18.3x).
PE vs Market: PRDO is good value based on its PE Ratio (6.5x) compared to the US market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: PRDO is poor value based on its PEG Ratio (5x)
Price to Book Ratio
PB vs Industry: PRDO is good value based on its PB Ratio (1.1x) compared to the US Consumer Services industry average (1.9x).
How is Perdoceo Education forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PRDO's forecast earnings growth (1.3% per year) is below the savings rate (2%).
Earnings vs Market: PRDO's earnings (1.3% per year) are forecast to grow slower than the US market (14.1% per year).
High Growth Earnings: PRDO's earnings are forecast to grow, but not significantly.
Revenue vs Market: PRDO's revenue (2.2% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: PRDO's revenue (2.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if PRDO's Return on Equity is forecast to be high in 3 years time
How has Perdoceo Education performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PRDO has high quality earnings.
Growing Profit Margin: PRDO's current net profit margins (15.9%) are lower than last year (18.5%).
Past Earnings Growth Analysis
Earnings Trend: PRDO's earnings have grown significantly by 41.1% per year over the past 5 years.
Accelerating Growth: PRDO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PRDO had negative earnings growth (-10.1%) over the past year, making it difficult to compare to the Consumer Services industry average (-1%).
Return on Equity
High ROE: PRDO's Return on Equity (17.4%) is considered low.
How is Perdoceo Education's financial position?
Financial Position Analysis
Short Term Liabilities: PRDO's short term assets ($537.1M) exceed its short term liabilities ($134.4M).
Long Term Liabilities: PRDO's short term assets ($537.1M) exceed its long term liabilities ($56.6M).
Debt to Equity History and Analysis
Debt Level: PRDO is debt free.
Reducing Debt: PRDO had no debt 5 years ago.
Debt Coverage: PRDO has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: PRDO has no debt, therefore coverage of interest payments is not a concern.
What is Perdoceo Education current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PRDO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PRDO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if PRDO's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PRDO's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PRDO's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Todd Nelson (62 yo)
Mr. Todd S. Nelson has been the Chief Executive Officer and President of Perdoceo Education Corporation (formerly known as Career Education Corporation) since August 12, 2015. He worked as an independent c...
CEO Compensation Analysis
Compensation vs Market: Todd's total compensation ($USD4.87M) is above average for companies of similar size in the US market ($USD2.36M).
Compensation vs Earnings: Todd's compensation has been consistent with company performance over the past year.
Experienced Management: PRDO's management team is seasoned and experienced (6.3 years average tenure).
Experienced Board: PRDO's board of directors are seasoned and experienced ( 13.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PRDO insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Perdoceo Education Corporation's employee growth, exchange listings and data sources
- Name: Perdoceo Education Corporation
- Ticker: PRDO
- Exchange: NasdaqGS
- Founded: 1994
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: US$726.994m
- Shares outstanding: 70.11m
- Website: https://www.perdoceoed.com
Number of Employees
- Perdoceo Education Corporation
- 231 North Martingale Road
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/12/03 23:57|
|End of Day Share Price||2021/12/03 00:00|
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.