Adtalem Global Education
Market Cap
US$1.2b
Last Updated
2020/04/04 02:25 UTC
Data Sources
Company Financials +
Executive Summary
Adtalem Global Education Inc. provides educational services worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with adequate balance sheet.
Similar Companies
Share Price & News
How has Adtalem Global Education's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ATGE's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-5.0%
ATGE
-5.4%
US Consumer Services
-2.0%
US Market
1 Year Return
-50.7%
ATGE
-7.2%
US Consumer Services
-15.1%
US Market
Return vs Industry: ATGE underperformed the US Consumer Services industry which returned -6.3% over the past year.
Return vs Market: ATGE underperformed the US Market which returned -14.9% over the past year.
Shareholder returns
| ATGE | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.0% | -5.4% | -2.0% |
| 30 Day | -21.1% | -21.1% | -19.7% |
| 90 Day | -31.8% | -14.9% | -23.2% |
| 1 Year | -50.7%-50.7% | -7.0%-7.2% | -13.4%-15.1% |
| 3 Year | -33.7%-33.7% | 52.9%46.1% | 10.9%3.7% |
| 5 Year | -31.2%-33.2% | 114.7%90.2% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is Adtalem Global Education's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
These 4 Measures Indicate That Adtalem Global Education (NYSE:ATGE) Is Using Debt Reasonably Well2 weeks ago | Simply Wall St
What Is Adtalem Global Education's (NYSE:ATGE) P/E Ratio After Its Share Price Tanked?3 weeks ago | Simply Wall St
Is Now The Time To Look At Buying Adtalem Global Education Inc. (NYSE:ATGE)?Valuation
Is Adtalem Global Education undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ATGE ($23.57) is trading below our estimate of fair value ($60.23)
Significantly Below Fair Value: ATGE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ATGE is good value based on its PE Ratio (11.2x) compared to the Consumer Services industry average (25.2x).
PE vs Market: ATGE is good value based on its PE Ratio (11.2x) compared to the US market (12.5x).
Price to Earnings Growth Ratio
PEG Ratio: ATGE is good value based on its PEG Ratio (0.4x)
Price to Book Ratio
PB vs Industry: ATGE is good value based on its PB Ratio (1x) compared to the US Consumer Services industry average (1.7x).
Next Steps
Future Growth
How is Adtalem Global Education forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
27.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ATGE's forecast earnings growth (27.1% per year) is above the savings rate (1.7%).
Earnings vs Market: ATGE's earnings (27.1% per year) are forecast to grow faster than the US market (12.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ATGE's revenue is expected to decline over the next 3 years (-0.6% per year).
High Growth Revenue: ATGE's revenue is forecast to decline over the next 3 years (-0.6% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if ATGE's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Adtalem Global Education performed over the past 5 years?
6.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ATGE has high quality earnings.
Growing Profit Margin: ATGE's current net profit margins (9.2%) are lower than last year (15.8%).
Past Earnings Growth Analysis
Earnings Trend: ATGE's earnings have grown by 6.9% per year over the past 5 years.
Accelerating Growth: ATGE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ATGE had negative earnings growth (-33.9%) over the past year, making it difficult to compare to the Consumer Services industry average (17.6%).
Return on Equity
High ROE: ATGE's Return on Equity (9.1%) is considered low.
Next Steps
Financial Health
How is Adtalem Global Education's financial position?
Financial Position Analysis
Short Term Liabilities: ATGE's short term assets ($389.9M) exceed its short term liabilities ($304.2M).
Long Term Liabilities: ATGE's short term assets ($389.9M) do not cover its long term liabilities ($788.4M).
Debt to Equity History and Analysis
Debt Level: ATGE's debt to equity ratio (32%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if ATGE's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: ATGE's debt is well covered by operating cash flow (40.5%).
Interest Coverage: ATGE's interest payments on its debt are well covered by EBIT (11.9x coverage).
Balance Sheet
Inventory Level: ATGE has a low level of unsold assets or inventory.
Debt Coverage by Assets: ATGE's debt is not covered by short term assets (assets are 0.9x debt).
Next Steps
Dividend
What is Adtalem Global Education's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ATGE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate ATGE'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 ATGE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ATGE's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ATGE is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ATGE's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Lisa Wardell (50yo)
3.92s
Tenure
US$2,373,194
Compensation
Ms. Lisa W. Wardell A/L Lisa W. Pickrum, Esq., serves as Chairman at Adtalem Global Education Inc. since July 16, 2019. Ms. Wardell has been the Chief Executive Officer and President of Adtalem Global Educ ...
CEO Compensation Analysis
Compensation vs Market: Lisa's total compensation ($USD2.37M) is below average for companies of similar size in the US market ($USD4.70M).
Compensation vs Earnings: Lisa's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3.92yrs | US$2.37m | 0.27% $3.3m | |
| Chief Operating Officer | 1.25yrs | US$1.72m | 0.0051% $63.5k | |
| Group President of Medical & Healthcare Education | 1.92yrs | US$1.79m | 0.011% $137.9k | |
| Executive Dean | no data | no data | no data | |
| no data | no data | no data | ||
| Dean & Chancellor - Ross University School of Medicine | no data | no data | no data | |
| Senior VP | 0.67yr | no data | 0.15% $1.8m | |
| Senior VP & Chief Information Officer | 6.83yrs | no data | 0.026% $321.9k | |
| Vice President of Investor Relations | 1yr | no data | no data | |
| General Counsel & Corporate Secretary | 0.17yr | no data | 0.0064% $79.4k |
1.3yrs
Average Tenure
50.5yo
Average Age
Experienced Management: ATGE's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3.92yrs | US$2.37m | 0.27% $3.3m | |
| Co-Founder and Director Emeritus | 11.42yrs | US$502.18k | no data | |
| Director Emeritus | no data | US$108.37k | no data | |
| Lead Independent Director | 0.75yr | US$252.47k | 0.0081% $101.6k | |
| Independent Director | 3.83yrs | no data | no data | |
| Independent Director | 12.42yrs | US$243.97k | 0.037% $466.4k | |
| Independent Director | 4.83yrs | US$339.97k | 0.011% $136.8k | |
| Independent Director | 1.5yrs | US$188.72k | 0.0033% $41.0k | |
| Independent Director | 1.92yrs | US$209.97k | 0.0042% $52.5k | |
| Independent Director | 1.92yrs | US$209.97k | 0.0042% $52.5k |
1.9yrs
Average Tenure
59.5yo
Average Age
Experienced Board: ATGE's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ATGE insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Adtalem Global Education Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Adtalem Global Education Inc.
- Ticker: ATGE
- Exchange: NYSE
- Founded: 1987
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: US$1.247b
- Shares outstanding: 52.91m
- Website: https://www.adtalem.com
Number of Employees
Location
- Adtalem Global Education Inc.
- 500 West Monroe Street
- Suite 28
- Chicago
- Illinois
- 60661
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ATGE | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jun 1991 |
| DVY | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jun 1991 |
| DVY | BRSE (Berne Stock Exchange) | Yes | Common Stock | CH | CHF | Jun 1991 |
Biography
Adtalem Global Education Inc. provides educational services worldwide. It operates through three segments: Medical and Healthcare, Professional Education, and Technology and Business. The Medical and Healthcare segment operates Chamberlain University, which provides a pre-licensure bachelor’s degree in nursing at 21 campus locations and post-licensure bachelor’s, master’s, and doctorate degree programs in nursing through its online platform; and operates medical and veterinary schools, including American University of the Caribbean School of Medicine, Ross University School of Medicine, and Ross University School of Veterinary Medicine. The Professional Education segment operates an Association of Certified Anti-Money Laundering Specialists, which provides membership services, certified anti-money laundering specialist certification, conferences, risk assessment, training, and publications; and Becker Professional Education that prepares candidates for the Certified Public Accountant, Certified Management Accountant, and U.S. Medical Licensing Examination certification examinations, as well as professional education programs and seminars in accounting and finance. This segment also offers professional education in the areas of finance, accounting, analytics, marketing, and healthcare. The Technology and Business segment operates approximately 13 institutions, which offers undergraduate and graduate programs in the areas of engineering, healthcare, law, management, medical, and technology; and provides legal bar exam review courses. The company was formerly known as DeVry Education Group Inc. and changed its name to Adtalem Global Education Inc. in May 2017. Adtalem Global Education Inc. was incorporated in 1987 and is based in Chicago, Illinois.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/04 02:25 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.