Investment Analysts’ Recent Ratings Changes for Adtalem Global Education (ATGE)

Several brokerages have updated their recommendations and price targets on shares of Adtalem Global Education (NYSE: ATGE) in the last few weeks:

  • 5/16/2019 – Adtalem Global Education was upgraded by analysts at Zacks Investment Research from a “sell” rating to a “hold” rating. According to Zacks, “Adtalem Global Education reported mixed third-quarter fiscal 2019 results, wherein earnings topped analysts’ expectation by 4.6%, while revenues lagged the same by 2.2%. Although new student and total student enrollment grew 15.4% and of 4.3%, respectively, both the top and bottom line declined year over year. The decline was mainly due to currency headwinds in Brazil and delays in government funding, which negatively impacted its top-line growth. Certain restructuring charges related to real estate consolidations in Adtalem Brazil and its home office also negatively impacted the results. Adtalem’s shares have underperformed the industry so far this year. Earnings estimates for fiscal 2019 and 2020 have been trending downward over the past seven days, depicting concerns surrounding its earnings performance going forward.”
  • 5/16/2019 – Adtalem Global Education had its “buy” rating reaffirmed by analysts at Barrington Research. They now have a $55.00 price target on the stock.
  • 5/15/2019 – Adtalem Global Education had its “outperform” rating reaffirmed by analysts at BMO Capital Markets. They now have a $50.00 price target on the stock.
  • 5/8/2019 – Adtalem Global Education was downgraded by analysts at Zacks Investment Research from a “hold” rating to a “sell” rating. According to Zacks, “Adtalem Global Education reported mixed third-quarter fiscal 2019 results, wherein earnings topped analysts’ expectation by 4.6%, while revenues lagged the same by 2.2%. Although new student and total student enrollment grew 15.4% and of 4.3%, respectively, both the top and bottom line declined year over year. The decline was mainly due to currency headwinds in Brazil and delays in government funding, which negatively impacted its top-line growth. Certain restructuring charges related to real estate consolidations in Adtalem Brazil and its home office also negatively impacted the results. Adtalem’s shares have underperformed the industry in the past three months. Earnings estimates for fiscal 2019 and 2020 have been trending downward over the past seven days, depicting concerns surrounding its earnings performance going forward.”
  • 5/3/2019 – Adtalem Global Education had its “buy” rating reaffirmed by analysts at Barrington Research. They now have a $62.00 price target on the stock. They wrote, “We are reiterating our OUTPERFORM investment rating and $62 price target, suggesting 24% upside from current levels.””
  • 4/22/2019 – Adtalem Global Education was upgraded by analysts at Zacks Investment Research from a “sell” rating to a “hold” rating. According to Zacks, “Shares of Adtalem have witnessed a sharp decline in a year’s time. The company has been witnessing tepid enrolment growth at its institutions, as improving employment situation is hampering the growth prospects of for-profit education companies. Additionally, it has been experiencing restructuring charges related to closing of the Ross University School of Medicine campus in Dominica and real estate consolidations. Nonetheless, Adtalem has been undertaking initiatives for achieving strong multi-year organic growth. Its cost-saving initiatives, transformation strategy and continued focus on stackable programs that are aligned with key growth areas should drive growth. Earnings estimates for the current quarter and fiscal year have remained stable over the past 60 days.”
  • 4/8/2019 – Adtalem Global Education was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “Shares of Adtalem have outperformed the industry in a year’s time. The momentum is likely to continue on the back of strong new and total student enrollment growth, and cost-control efforts. Its portfolio management approach and effective cost management will help it drive sustainability over the long term. However, restructuring charges related to the closing of the Ross University School of Medicine campus in Dominica and real estate consolidations have been dampening its earnings over the last few quarters. Meanwhile, earnings estimates for fiscal 2019 have remained stable over the past 60 days, limiting the stock’s upside potential.”

Shares of ATGE traded up $0.36 during trading hours on Friday, hitting $43.60. 257,483 shares of the company were exchanged, compared to its average volume of 343,246. The company has a market cap of $2.47 billion, a PE ratio of 15.68, a price-to-earnings-growth ratio of 1.15 and a beta of 0.86. Adtalem Global Education Inc has a 52 week low of $42.36 and a 52 week high of $58.80. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.75 and a current ratio of 1.75.

Adtalem Global Education (NYSE:ATGE) last released its quarterly earnings results on Thursday, May 2nd. The company reported $0.68 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.65 by $0.03. The company had revenue of $308.61 million during the quarter, compared to the consensus estimate of $315.35 million. Adtalem Global Education had a return on equity of 11.38% and a net margin of 8.83%. The firm’s revenue was down .5% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.70 EPS. On average, research analysts predict that Adtalem Global Education Inc will post 2.83 earnings per share for the current year.

In other news, insider Patrick J. Unzicker sold 2,953 shares of the company’s stock in a transaction dated Thursday, May 23rd. The stock was sold at an average price of $43.07, for a total transaction of $127,185.71. Following the completion of the sale, the insider now owns 36,070 shares in the company, valued at approximately $1,553,534.90. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 1.91% of the company’s stock.

Several hedge funds and other institutional investors have recently bought and sold shares of ATGE. Penserra Capital Management LLC acquired a new position in shares of Adtalem Global Education during the 4th quarter worth about $28,000. Fort L.P. acquired a new position in shares of Adtalem Global Education during the 4th quarter worth about $54,000. Marshall Wace North America L.P. acquired a new position in shares of Adtalem Global Education during the 1st quarter worth about $56,000. Enlightenment Research LLC acquired a new position in shares of Adtalem Global Education during the 4th quarter worth about $76,000. Finally, Bank of Montreal Can lifted its position in shares of Adtalem Global Education by 17.8% during the 4th quarter. Bank of Montreal Can now owns 2,681 shares of the company’s stock worth $126,000 after purchasing an additional 405 shares during the last quarter. 96.83% of the stock is owned by institutional investors and hedge funds.

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.

Featured Story: Correction

Receive News & Ratings for Adtalem Global Education Inc Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Adtalem Global Education Inc and related companies with MarketBeat.com's FREE daily email newsletter.