Adtalem Global Education Inc Stock Research

Market Summary

USD38.62+1.30

Delayed

3.48%

ATGE Alerts

Big jump in Earnings (Y/Y)

ATGE Stock Price

ATGE RSI Chart

ATGE Valuation

Market Cap

1.8B

Price/Earnings (Trailing)

4.57

Price/Sales (Trailing)

1.21

EV/EBITDA

8.06

Price/Free Cashflow

71.01

ATGE Price/Sales (Trailing)

ATGE Profitability

EBT Margin

4.06%

Return on Equity

25.23%

Return on Assets

13.51%

Free Cashflow Yield

1.41%

ATGE Fundamentals

ATGE Revenue

Revenue (TTM)

1.4B

Revenue Y/Y

-2.13%

Revenue Q/Q

2.47%

ATGE Earnings

Earnings (TTM)

384.2M

Earnings Y/Y

35.24%

Earnings Q/Q

1.0K%

Price Action

52 Week Range

27.8544.40

(Low)(High)

Last 7 days

5.6%

Last 30 days

0.3%

Last 90 days

8.8%

Trailing 12 Months

30.0%

ATGE Financial Health

Current Ratio

1.14

ATGE Investor Care

Buy Backs (1Y)

8.74%

Diluted EPS (TTM)

7.84

Peers (Alternatives to Adtalem Global Education)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
MGM	16.8B	13.1B	0.09%	5.94%	11.43	1.28	35.61%	17.44%
WYNN	12.7B	3.8B	-0.28%	40.34%	-29.93	3.38	-0.18%	43.92%
MID-CAP
SCI	10.5B	4.1B	2.58%	4.90%	18.62	2.56	-0.83%	-29.59%
MTN	9.4B	2.8B	-0.64%	-8.63%	28.08	3.34	29.86%	54.02%
HRB	6.7B	3.5B	-3.53%	36.40%	12.03	1.92	-	-
PENN	4.7B	6.4B	-3.23%	-30.08%	21.05	0.73	8.41%	-47.22%
BFAM	4.4B	2.0B	-5.87%	-41.98%	54.93	2.19	15.11%	14.45%
LOPE	3.5B	911.3M	0.22%	17.29%	19.16	3.88	1.64%	-29.07%
GHC	2.9B	3.9B	-4.96%	-2.03%	42.71	0.73	23.18%	-80.95%
STRA	2.2B	1.1B	8.66%	38.88%	46.97	2.06	-5.85%	-15.28%
CHGG	2.1B	766.9M	5.09%	-55.07%	7.73	2.69	-1.21%	18387.93%
SMALL-CAP
ATGE	1.8B	1.4B	0.26%	29.99%	4.57	1.21	29.69%	6022.49%
LRN	1.7B	1.8B	-7.01%	8.04%	17.08	0.96	10.07%	40.67%
PRDO	902.2M	695.2M	-1.90%	16.99%	9.41	1.3	0.31%	-12.56%
APEI	102.4M	606.3M	-48.13%	-74.48%	-0.89	0.17	44.78%	-747.77%

Financials for Adtalem Global Education

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	-0.5%	1,445	1,453	1,387	1,249	1,114
S&GA Expenses	-2.2%	574	587	568	508	432
EBITDA	9.6%	192	175	129	129	-
EBITDA Margin	10.2%	0.13*	0.12*	0.09*	0.10*	-
Earnings Before Taxes	92.7%	59.00	30.00	-45.06	-67.90	-36.83
EBT Margin	93.8%	0.04*	0.02*	-0.03*	-0.04*	-
Interest Expenses	-10.4%	89.00	100	129	135	107
Net Income	1.7%	384	378	318	319	-6.49
Net Income Margin	2.2%	0.27*	0.26*	0.23*	0.24*	-
Free Cahsflow	-20.4%	25.00	31.00	-20.63	65.00	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	-5.1%	2,843	2,996	3,029	3,518	3,660
Current Assets	-25.8%	423	570	556	1,011	611
Cash Equivalents	-36.6%	208	328	347	789	275
Net PPE	-2.1%	276	282	290	295	302
Goodwill	0%	961	961	961	961	960
Liabilities	-11.2%	1,320	1,486	1,524	2,027	2,370
Current Liabilities	-24.3%	371	491	418	521	497
LT Debt, Current	NaN%	-	-	-	-	9.00
LT Debt, Non Current	-6.5%	694	742	839	1,225	1,600
Shareholder's Equity	0.8%	1,523	1,510	1,505	1,491	1,288
Retained Earnings	1.0%	2,349	2,325	2,323	2,315	1,965
Additional Paid-In Capital	6.1%	561	529	522	517	542
Shares Outstanding	0.1%	45.00	45.00	45.00	45.00	50.00
Minority Interest	NaN%	-	-	-	-	2.00
Float	-	1,449	-	-	-	-

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	-16.8%	51.00	61.00	10.00	100	130
Share Based Compensation	-11.8%	17.00	19.00	23.00	21.00	20.00
Cashflow From Investing	1.0%	940	931	-551	-562	-1,537
Cashflow From Financing	-6.1%	-1,106	-1,042	-424	-51.48	1,244
Buy Backs	-56.7%	120	277	110	-	-

Risks for ATGE

What is the probability of a big loss on ATGE?

80%

Probability that Adtalem Global Education stock will be more than 20% underwater in next one year

60.4%

Probability that Adtalem Global Education stock will be more than 30% underwater in next one year.

26.5%

Probability that Adtalem Global Education stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does ATGE drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Adtalem Global Education was unfortunately bought at previous high price.

Drawdowns

Returns for ATGE

Cumulative Returns on ATGE

2.7%

10-Year Cumulative Returns

12.4%

7-Year Cumulative Returns

-4.1%

5-Year Cumulative Returns

13.0%

3-Year Cumulative Returns

What are the long-term rolling returns for ATGE?

FIve years rolling returns for Adtalem Global Education.

Annualized Returns

Which funds bought or sold ATGE recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-23	MetLife Investment Management, LLC	unchanged	-	-21,905	818,559	0.01%
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	reduced	-2.8	-64,260	1,131,740	-%
2023-03-06	Rockefeller Capital Management L.P.	unchanged	-	-	3,000	-%
2023-02-28	Voya Investment Management LLC	unchanged	-	-16,098	613,902	-%
2023-02-24	NATIXIS	sold off	-100	-1,749,000	-	-%
2023-02-22	TEACHERS RETIREMENT SYSTEM OF THE STATE OF KENTUCKY	unchanged	-	-13,000	490,000	-%
2023-02-21	MACQUARIE GROUP LTD	sold off	-100	-69,000	-	-%
2023-02-16	GHP Investment Advisors, Inc.	unchanged	-	-380	15,620	-%
2023-02-15	PUBLIC EMPLOYEES RETIREMENT SYSTEM OF OHIO	reduced	-29.35	-377,000	831,000	-%
2023-02-15	Financial Gravity Asset Management, Inc.	new	-	108	108	-%

Latest Funds Activity

Are funds buying ATGE calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own ATGE

No. of Funds

ATGE Alerts

Big jump in Earnings (Y/Y)

Adtalem Global Education News

Schedule 13G FIlings of Adtalem Global Education

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 14, 2023	ariel investments, llc	8.4%	3,809,879	SC 13G/A
Feb 09, 2023	fmr llc	-	0	SC 13G/A
Feb 09, 2023	vanguard group inc	10.77%	4,891,122	SC 13G/A
Jan 26, 2023	blackrock inc.	16.0%	7,242,184	SC 13G/A
Jan 20, 2023	blackrock inc.	16.0%	7,242,184	SC 13G
Feb 09, 2022	fmr llc	-	0	SC 13G/A
Feb 09, 2022	vanguard group inc	10.42%	5,187,988	SC 13G/A
Feb 08, 2022	dimensional fund advisors lp	7.4%	3,698,005	SC 13G/A
Feb 04, 2022	wedge capital management l l p/nc	2.6%	1,273,599	SC 13G/A
Jan 27, 2022	blackrock inc.	15.9%	7,898,398	SC 13G/A

ATGE Fair Value

Adtalem Global Education fair value in different scenarios

The table shows the Fair Value estimates for Adtalem Global Education for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	46.69 20.90%	56.73 46.89%	76.65 98.47%	87.96 127.76%	120.27 211.42%
Current Inflation	44.86 16.16%	54.18 40.29%	72.38 87.42%	82.25 112.97%	107.94 179.49%
Very High Inflation	42.47 9.97%	50.88 31.75%	66.93 73.30%	75.05 94.33%	93.37 141.77%

Historical Adtalem Global Education Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Adtalem Global Education

View All Filings

Date Filed	Form Type	Document
Mar 09, 2023	4	Insider Trading
Mar 01, 2023	4	Insider Trading
Feb 14, 2023	SC 13G/A	Major Ownership Report
Feb 13, 2023	4	Insider Trading
Feb 10, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 03, 2023	4	Insider Trading
Feb 02, 2023	8-K	Current Report
Feb 02, 2023	10-Q	Quarterly Report

Latest Insider Trading transactions for ATGE

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-28	James Cheryl	sold (taxes)	-32,547	39.12	-832	svp, chro
2023-02-12	Phelan Robert J.	sold (taxes)	-39,789	40.11	-992	chief financial officer
2022-12-15	Herrera Maurice	sold	-103,180	36.85	-2,800	chief marketing officer
2022-11-22	BURKE WILLIAM W	sold	-36,594	40.66	-900	-
2022-11-10	Herrera Maurice	sold (taxes)	-151,215	42.91	-3,524	chief marketing officer
2022-11-10	MALAFRONTE MICHAEL W	sold (taxes)	-65,266	42.91	-1,521	-
2022-11-10	Phelan Kenneth J	sold (taxes)	-39,734	42.91	-926	-
2022-11-10	BURKE WILLIAM W	sold (taxes)	-55,439	42.91	-1,292	-
2022-11-10	Hrinak Donna J	sold (taxes)	-34,842	42.91	-812	-
2022-11-10	DeShazer Charles	sold (taxes)	-51,234	42.91	-1,194	-

About Adtalem Global Education

Stephen W. Beard

www.devryeducationgroup.com

4430

Adtalem Global Education Inc. provides workforce solutions worldwide. It operates through two segments, Medical and Healthcare; and Financial Services. The Medical and Healthcare segment offers degree and non-degree programs in the medical and healthcare postsecondary education industry. This segment operates Chamberlain University, American University of the Caribbean School of Medicine, Ross University School of Medicine, and Ross University School of Veterinary Medicine. The Financial Services segment provides test preparation, certifications, conferences, seminars, memberships, and subscriptions to business professionals in the areas of accounting, anti-money laundering, banking, and mortgage lending. It operates Association of Certified Anti-Money Laundering Specialists, Becker Professional Education, OnCourse Learning, and EduPristine. 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.

ATGE Income Statement

2022-12-31

Consolidated Statements of Income (Loss) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Income Statement [Abstract]
Revenue	$ 363,302	$ 371,198	$ 717,861	$ 660,268
Operating cost and expense:
Cost of educational services	159,303	180,420	318,948	332,470
Student services and administrative expense	140,668	153,597	289,009	283,033
Restructuring expense	1,363	3,387	16,428	6,481
Business acquisition and integration expense	15,941	9,060	24,356	35,613
Total operating cost and expense	317,275	346,464	648,741	657,597
Operating income	46,027	24,734	69,120	2,671
Other income (expense):
Interest expense	(15,589)	(25,929)	(33,349)	(73,322)
Other (expense) income, net	(2,574)	861	(1,007)	1,739
Income (loss) from continuing operations before income taxes	27,864	(334)	34,764	(68,912)
(Provision for) benefit from income taxes	(4,247)	39,368	(5,301)	30,764
Income (loss) from continuing operations	23,617	39,034	29,463	(38,148)
Discontinued operations:
Income (loss) from discontinued operations before income taxes	524	4,159	(2,914)	(1,891)
Gain (loss) on disposal of discontinued operations before income taxes	185	0	(3,174)	0
(Provision for) benefit from income taxes	(182)	(25,340)	2,961	(112)
Income (loss) from discontinued operations	527	(21,181)	(3,127)	(2,003)
Net income (loss)	$ 24,144	$ 17,853	$ 26,336	$ (40,151)
Basic:
Continuing operations	$ 0.52	$ 0.78	$ 0.65	$ (0.77)
Discontinued operations	0.01	(0.43)	(0.07)	(0.04)
Total basic earnings (loss) per share	0.53	0.36	0.58	(0.81)
Diluted:
Continuing operations	0.51	0.78	0.64	(0.77)
Discontinued operations	0.01	(0.42)	(0.07)	(0.04)
Total diluted earnings (loss) per share	$ 0.52	$ 0.36	$ 0.57	$ (0.81)
Weighted-average shares outstanding:
Basic shares	45,425	49,776	45,350	49,719
Diluted shares	46,121	50,237	46,232	49,719

ATGE Balance Sheet

2022-12-31

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2022	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 207,776	$ 346,973	$ 275,420
Restricted cash	2,234	964	1,224
Accounts receivable, net	99,542	81,635	92,744
Prepaid expenses and other current assets	113,564	126,467	166,722
Current assets held for sale	0	0	74,397
Total current assets	423,116	556,039	610,507
Noncurrent assets:
Property and equipment, net	275,617	289,926	301,666
Operating lease assets	175,097	177,995	155,356
Deferred income taxes	52,460	51,093	61,536
Intangible assets, net	838,873	873,577	923,701
Goodwill	961,262	961,262	960,058
Other assets, net	116,613	119,283	117,621
Noncurrent assets held for sale	0	0	529,328
Total noncurrent assets	2,419,922	2,473,136	3,049,266
Total assets	2,843,038	3,029,175	3,659,773
Current liabilities:
Accounts payable	71,189	57,140	65,422
Accrued payroll and benefits	42,465	66,642	52,086
Accrued liabilities	93,705	98,124	134,585
Deferred revenue	115,658	144,840	124,347
Current operating lease liabilities	48,445	50,781	54,845
Current portion of long-term debt	0	0	8,500
Current liabilities held for sale	0	0	57,690
Total current liabilities	371,462	417,527	497,475
Noncurrent liabilities:
Long-term debt	693,781	838,908	1,599,538
Long-term operating lease liabilities	166,496	177,045	155,827
Deferred income taxes	26,676	25,554	27,127
Other liabilities	61,901	65,074	58,040
Noncurrent liabilities held for sale	0	0	32,086
Total noncurrent liabilities	948,854	1,106,581	1,872,618
Total liabilities	1,320,316	1,524,108	2,370,093
Commitments and contingencies (Note 19)
Redeemable noncontrolling interest	0	0	1,790
Shareholders' equity:
Common stock, $0.01 par value per share, 200,000 shares authorized; 45,443, 45,177, and 49,797 shares outstanding as of December 31, 2022, June 30, 2022, and December 31, 2021, respectively	822	818	817
Additional paid-in capital	561,376	521,848	542,296
Retained earnings	2,349,146	2,322,810	1,964,954
Accumulated other comprehensive loss	(2,227)	(960)	(634)
Treasury stock, at cost, 36,713, 36,619, and 31,908 shares as of December 31, 2022, June 30, 2022, and December 31, 2021, respectively	(1,386,395)	(1,339,449)	(1,219,543)
Total shareholders' equity	1,522,722	1,505,067	1,287,890
Total liabilities and shareholders' equity	$ 2,843,038	$ 3,029,175	$ 3,659,773