Core Insights - Adtalem Global Education Inc. has been named "Stock to Study" by BetterInvesting Magazine for March 2026, indicating potential interest from investors regarding its stock valuation [1] - A comprehensive report on Adtalem's financial metrics, including sales, earnings, and return on equity, will be available in the upcoming issue of BetterInvesting Magazine [2] - The same issue will also feature a fundamental review of Trex Company, which is considered undervalued by the Editorial Advisory and Securities Review Committee [3] Company Overview - Adtalem Global Education Inc. is under scrutiny for its stock valuation, prompting further analysis by BetterInvesting Magazine [1] - The National Association of Investors Corp. provides detailed financial data for Adtalem, allowing investors to assess its performance metrics [2] - The Editorial Advisory and Securities Review Committee of BetterInvesting includes several CFA members, indicating a professional approach to stock evaluation [3]

Core Insights - The U.S. education market is transitioning from traditional methods to digital and career-focused programs, driven by student demand and government initiatives [2][11] - The Zacks Schools industry shows resilience, with median share prices above the S&P 500 composite, indicating promising mid to long-term prospects despite current stock performance [3] - Five education stocks are identified with expected earnings growth of over 10% year-over-year by 2026, including Chegg, Adtalem Global Education, Grand Canyon Education, Nerdy, and Legacy Education [4] Market Trends - The shift towards hybrid and AI-based learning models is gaining traction, with education companies adapting to meet the demand for flexible learning formats [5][8] - Companies like Chegg and Nerdy are benefiting from the rise of online and hybrid learning, leveraging AI-enhanced tools and subscription-based digital offerings [6][8] - The focus on career-oriented programs is increasing, particularly in high-demand fields like healthcare, aligning with workforce needs and supporting enrollment growth [9][10] Government Support - Federal and state initiatives are promoting EdTech adoption and workforce development, enhancing the prospects for education companies [11] - New interagency agreements aim to streamline program delivery and reduce administrative burdens, while a national policy established in April 2025 focuses on advancing AI education [11][12] Stock Performance - Chegg (CHGG) has a Zacks Rank of 1, with a projected earnings growth of 228.6% for 2026 despite a year-to-date drop of 42.9% [16] - Adtalem (ATGE) holds a Zacks Rank of 2, with a fiscal 2026 EPS estimate of $7.85 and expected growth of 17.7% [17] - Grand Canyon Education (LOPE) has a Zacks Rank of 2, with a projected earnings growth of 11.2% for 2026 [18] - Nerdy (NRDY) carries a Zacks Rank of 2, with an expected growth of 35.9% for 2026 despite a year-to-date decline of 16.7% [19] - Legacy Education (LGCY) also holds a Zacks Rank of 2, with a projected earnings growth of 11.9% for 2026 and a year-to-date gain of 23.8% [20]

Core Viewpoint - Adtalem Global Education (ATGE) shares have increased by 2.2% recently, with analysts suggesting a potential upside of 76.6% based on a mean price target of $166.5 [1] Price Targets and Analyst Estimates - The mean estimate includes four short-term price targets with a standard deviation of $7.51, indicating a range of estimates from $158.00 (67.6% increase) to $175.00 (85.6% increase) [2] - A low standard deviation suggests a strong agreement among analysts regarding the stock's price movement [2][9] Earnings Estimates and Market Sentiment - Analysts are optimistic about ATGE's earnings prospects, with a positive trend in earnings estimate revisions, which historically correlates with stock price movements [4][11] - Over the past 30 days, one earnings estimate has increased, leading to a 0.8% rise in the Zacks Consensus Estimate for the current year [12] Zacks Rank and Investment Potential - ATGE holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for upside [13] - While consensus price targets may not be entirely reliable, the implied direction of price movement appears to be a useful guide for investors [14]

Core Insights - The Zacks Schools industry is experiencing a recovery driven by increased demand for applied and career-oriented education, particularly in healthcare, skilled trades, cybersecurity, and IT [1][5] - Technology is becoming a significant competitive advantage, with institutions investing in adaptive learning systems and online platforms to enhance student engagement and operational efficiency [2][8] - The industry is consolidating, with larger providers acquiring smaller institutions to expand offerings and improve operational leverage [6] Industry Overview - The Zacks Schools industry includes for-profit education companies offering various programs in finance, healthcare, technology, and skilled trades, focusing on career-oriented education [4] - The sector is addressing the shortage of healthcare professionals through intensive training models linked to industry needs [1][5] Trends Influencing Growth - There is a rising demand for workforce-oriented programs, particularly among adult learners and career switchers, as the labor market increasingly values job-ready skills [5] - Government initiatives supporting vocational education and non-degree pathways are contributing to the growth outlook [3][5] Financial Performance and Valuation - The Zacks Schools industry has a Zacks Industry Rank of 65, placing it in the top 27% of over 250 Zacks industries, indicating positive near-term prospects [11][12] - The industry's forward 12-month price-to-earnings ratio is currently at 12.58X, significantly lower than the S&P 500's 23.57X, suggesting potential undervaluation [18] Key Companies and Their Prospects - **McGraw Hill**: Experiencing growth from digital and subscription models, with a projected fiscal 2026 earnings of $1.63 per share on $2.05 billion in revenues, reflecting a 300% surprise in the last quarter [21][24] - **Grand Canyon Education**: Focused on scalable online expansion and healthcare programs, with expected earnings growth of 12.9% and 11.2% for 2025 and 2026, respectively [27][28] - **Perdoceo Education**: Benefiting from rising student interest and expanding program offerings, with expected earnings growth of 11.4% and 9% for 2025 and 2026 [31][32] - **Adtalem**: Gaining from enrollment momentum and strategic partnerships, with projected earnings growth of 17.7% and 13.7% for fiscal 2026 and 2027 [35][37] - **Nerdy**: Enhancing its platform with AI integration, with improvements in earnings estimates for 2025 and 2026, indicating a potential investment opportunity [39][40]

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates can be challenging due to inherent risks and volatility [1] Group 1: Company Overview - Adtalem Global Education (ATGE) is highlighted as a recommended growth stock, possessing a favorable Growth Score and a top Zacks Rank [2] - The company has a historical EPS growth rate of 22.4%, with projected EPS growth of 17.6% this year, surpassing the industry average of 17.1% [5] Group 2: Financial Metrics - Adtalem's asset utilization ratio is 0.66, indicating that the company generates $0.66 in sales for every dollar in assets, which is higher than the industry average of 0.65 [6] - The company's sales are expected to grow by 7.6% this year, compared to the industry average of 3.4% [7] Group 3: Earnings Estimates - There has been a positive trend in earnings estimate revisions for Adtalem, with the Zacks Consensus Estimate for the current year increasing by 1.5% over the past month [9] - The combination of a Growth Score of A and a Zacks Rank of 2 suggests that Adtalem is positioned as a potential outperformer for growth investors [11]

Core Insights - Zacks Premium provides tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, research reports, and stock screens [1] - The Zacks Style Scores offer a unique rating system for stocks based on value, growth, and momentum, helping investors identify securities with high potential for market outperformance [2] Zacks Style Scores - Stocks are rated from A to F based on their value, growth, and momentum characteristics, with A being the highest score indicating a better chance of outperforming the market [3] - The Value Score identifies attractive stocks using financial ratios like P/E and Price/Sales, appealing to value investors [3] - The Growth Score focuses on a company's future prospects, analyzing earnings, sales, and cash flow to find stocks with sustainable growth [4] - The Momentum Score helps investors capitalize on price trends, using metrics like weekly price changes and monthly earnings estimate changes [5] - The VGM Score combines the three Style Scores, providing a comprehensive rating that highlights stocks with strong value, growth, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +23.93% since 1988, significantly outperforming the S&P 500 [8] - With over 800 top-rated stocks available, investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [9] Stock Highlight: Adtalem Global Education - Adtalem Global Education Inc. is a prominent provider of healthcare education and workforce solutions, operating in three reportable segments [11] - Currently rated 3 (Hold) with a VGM Score of A, Adtalem is positioned as a potential growth investment [11] - The company forecasts a year-over-year earnings growth of 17.7% for the current fiscal year, supported by upward revisions in earnings estimates [12] - Adtalem has an average earnings surprise of +17.4%, making it a strong candidate for investors seeking growth opportunities [12]

Core Viewpoint - Adtalem Global Education (ATGE) has been outperforming the Consumer Discretionary sector in 2023, with a year-to-date return of approximately 5.4%, while the sector has seen an average loss of 14.7% [4]. Company Performance - Adtalem Global Education is ranked 12 in the Zacks Sector Rank among 265 companies in the Consumer Discretionary group [2]. - The Zacks Rank for ATGE is currently 2 (Buy), indicating a positive earnings outlook [3]. - The Zacks Consensus Estimate for ATGE's full-year earnings has increased by 1.2% over the past quarter, reflecting improved analyst sentiment [4]. Industry Comparison - Adtalem Global Education belongs to the Schools industry, which is ranked 70 in the Zacks Industry Rank. This industry has experienced an average loss of 2.7% this year, indicating that ATGE is performing better than its peers [6]. - In contrast, Ralph Lauren, another stock in the Consumer Discretionary sector, has a year-to-date return of 42.1% and belongs to the Textile - Apparel industry, which is ranked 88 and has declined by 18.8% this year [5][6]. Future Outlook - Investors interested in Consumer Discretionary stocks should monitor Adtalem Global Education and Ralph Lauren, as both companies are expected to maintain their strong performance [7].

Core Viewpoint - Adtalem Global Education (ATGE) has experienced a significant decline of 37.5% in its stock price over the past four weeks, but it is now considered to be in oversold territory, indicating a potential for a trend reversal supported by positive earnings forecasts from Wall Street analysts [1]. Group 1: Technical Analysis - The Relative Strength Index (RSI) is a key technical indicator used to determine if a stock is oversold, with readings below 30 typically indicating this condition [2]. - ATGE's current RSI reading is 25.58, suggesting that the heavy selling pressure may be exhausting itself and a trend reversal could occur soon [5]. Group 2: Fundamental Analysis - Analysts have shown strong consensus in raising earnings estimates for ATGE, with a 1.5% increase in the consensus EPS estimate over the last 30 days, which often correlates with price appreciation [7]. - ATGE holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [8].

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying those with genuine growth prospects can be challenging [1] Group 1: Company Overview - Adtalem Global Education (ATGE) is highlighted as a recommended growth stock with a favorable Growth Score and a top Zacks Rank [2][10] Group 2: Earnings Growth - Historical EPS growth rate for Adtalem is 22.4%, with projected EPS growth of 16.6% this year, surpassing the industry average of 12.9% [5] Group 3: Asset Utilization - Adtalem has an asset utilization ratio (sales-to-total-assets) of 0.66, indicating greater efficiency compared to the industry average of 0.65 [6] Group 4: Sales Growth - The company's sales are expected to grow by 7.6% this year, significantly higher than the industry average of 3.7% [7] Group 5: Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Adtalem, with a 0.6% increase in the Zacks Consensus Estimate for the current year over the past month [8]

Financial Data and Key Metrics Changes - The total shares voted were at least 24.8 million shares, representing at least 68% of the issued and outstanding shares as of the record date, confirming a quorum for the transaction of business [11] - In the matter of the election of 10 directors, each nominee received at least 22 million votes, indicating substantial majority support [11] - At least 98% of shareholders voted in favor of the ratification of PricewaterhouseCoopers LLP as the independent registered public accounting firm for the current fiscal year [11] - Over 86% of shareholders voted in favor of the advisory vote on executive compensation of Adtalem's named executive officers [11] Business Line Data and Key Metrics Changes - No specific data on business line performance or key metrics was provided in the meeting records Market Data and Key Metrics Changes - No specific market data or key metrics changes were discussed in the meeting records Company Strategy and Development Direction and Industry Competition - The company continues to focus on maintaining strong governance with the election of directors and the ratification of independent auditors, which reflects a commitment to transparency and accountability [6][12] - The advisory vote on executive compensation indicates a focus on aligning management incentives with shareholder interests [9][10] Management's Comments on Operating Environment and Future Outlook - No specific comments from management regarding the operating environment or future outlook were provided in the meeting records Other Important Information - The meeting was conducted virtually, and a support line was available for technical difficulties [1] - The company expressed appreciation to shareholders for their participation and proxy submissions [4] Q&A Session Summary - No questions were submitted during the Q&A session, and the meeting concluded without any additional inquiries [14]