Stride (NYSE:LRN) Shares Gap Up After Earnings Beat

Stride, Inc. (NYSE:LRN)’s stock price gapped up before the market opened on Wednesday following a stronger than expected earnings report. The stock had previously closed at $64.49, but opened at $84.53. Stride shares last traded at $83.69, with a volume of 1,674,063 shares traded.

The company reported $0.94 EPS for the quarter, beating the consensus estimate of $0.22 by $0.72. The firm had revenue of $551.08 million during the quarter, compared to the consensus estimate of $504.29 million. Stride had a return on equity of 19.12% and a net margin of 10.01%. The business’s quarterly revenue was up 14.8% on a year-over-year basis. During the same period last year, the company earned $0.11 earnings per share.

Wall Street Analyst Weigh In

Several equities analysts have commented on LRN shares. Citigroup downgraded Stride from a “buy” rating to a “neutral” rating and increased their target price for the company from $77.00 to $90.00 in a research report on Tuesday, August 20th. Barrington Research raised their price objective on Stride from $90.00 to $100.00 and gave the stock an “outperform” rating in a research report on Wednesday. Canaccord Genuity Group started coverage on Stride in a research report on Thursday, August 8th. They set a “buy” rating and a $94.00 price objective for the company. StockNews.com downgraded Stride from a “buy” rating to a “hold” rating in a research report on Wednesday. Finally, BMO Capital Markets raised their price objective on Stride from $79.00 to $82.00 and gave the stock an “outperform” rating in a research report on Thursday, August 8th. Three analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat.com, Stride currently has a consensus rating of “Moderate Buy” and a consensus target price of $88.50.

Institutional Investors Weigh In On Stride

Several large investors have recently added to or reduced their stakes in the business. Louisiana State Employees Retirement System grew its stake in Stride by 2.5% during the third quarter. Louisiana State Employees Retirement System now owns 20,600 shares of the company’s stock worth $1,757,000 after purchasing an additional 500 shares during the period. International Assets Investment Management LLC grew its stake in Stride by 8,431.7% during the third quarter. International Assets Investment Management LLC now owns 5,119 shares of the company’s stock worth $437,000 after purchasing an additional 5,059 shares during the period. Private Advisor Group LLC acquired a new stake in Stride during the third quarter worth approximately $210,000. Retirement Guys Formula LLC acquired a new stake in Stride during the third quarter worth approximately $203,000. Finally, Allspring Global Investments Holdings LLC grew its stake in Stride by 634.9% during the third quarter. Allspring Global Investments Holdings LLC now owns 117,913 shares of the company’s stock worth $10,059,000 after purchasing an additional 101,869 shares during the period. Institutional investors and hedge funds own 98.24% of the company’s stock.

Stride Stock Up 39.1 %

The firm has a 50 day moving average of $79.30 and a 200 day moving average of $72.66. The firm has a market cap of $3.88 billion, a price-to-earnings ratio of 21.06, a PEG ratio of 0.74 and a beta of 0.26. The company has a quick ratio of 4.95, a current ratio of 5.10 and a debt-to-equity ratio of 0.38.

Stride Company Profile

Stride, Inc, a technology-based education service company, engages in the provision of proprietary and third-party online curriculum, software systems, and educational services in the United States and internationally. Its technology-based products and services enable clients to attract, enroll, educate, track progress, support, and facilitate individualized learning for students.