Alert: Rating Downgrade (4/26/24)-Strategic Education Inc (NASDAQ: STRA).

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Stock Rating Downgrade

Reflecting eroding fundamentals and low Appreciation Potential, the Value Trend Rating for Strategic Education Inc (NASDAQ: STRA) weakened during the last several trading days. STRA’s current Value Trend Rating is C and the prior Rating was B. Details supporting this lower rating are included in our next report.

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Recent Price Action

Strategic Education Inc (NASDAQ: STRA) stock closed at $121.06 on 4/26/24 after a large increase of 3.4%. Moreover, exceptionally high trading volume at 271% of normal accompanied the advance. The stock has risen 23.4% during the last week and has been exceptionally strong relative to the market over the last nine months.

Current PriceTarget Research Rating

STRA is expected to continue to be a Value Builder reflecting capital returns that are forecasted to exceed the cost of capital.

Strategic Education has a current Value Trend Rating of C (High Neutral). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing very contradictory signals. Strategic Education has a poor Appreciation Score of 29 but a very high Power Rating of 94, resulting in the High Neutral Value Trend Rating.

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