Core Insights - Coursera Inc (NYSE:COUR) is identified as one of the best small-cap stocks with significant upside potential according to Reddit investors [1][2] - The company is expected to benefit from increased engagement on its platform as individuals seek to upskill amid labor market concerns and AI-related job risks [2] Company Performance - In 2025, AI skills are projected to become essential, with demand accelerating [2] - Coursera is experiencing a rise in enrollments, with 14 enrollments per minute for its generative AI courses, up from 8 enrollments per minute the previous year [2] - Generative AI is noted as the most in-demand skill in Coursera's history [2] Strategic Partnerships - Coursera has announced a content partnership with Anthropic, a leading AI research company, to enhance its offerings [2] - The partnership aims to help learners and institutions apply the latest advancements in AI safely and effectively [2]

PresentationRyan MacDonaldNeedham & Company, LLC, Research Division Good afternoon, everyone. My name is Ryan MacDonald. I lead Needham's EdTech research efforts here at the firm. Thank you all for joining us today for this virtual fireside chat between myself and Coursera's CEO, Greg Hart. We've got about 40 minutes to go through a wide variety of topics around the business and outlook and product strategy and all the good stuff. And so we'll be jumping into that. But if you do have questions for Greg, you ...

Summary of Coursera's Earnings Call Company Overview - **Company**: Coursera - **Industry**: EdTech (Educational Technology) Key Points Company Insights - Coursera has 191 million registered learners globally, indicating a strong user base [7] - The company is leveraging AI to enhance learning experiences and improve content delivery [6][28] - Coursera's balance sheet is described as healthy, providing a solid foundation for growth [8] Leadership and Management Changes - Greg Hart joined as CEO in February and is focused on improving customer service and operational efficiency [3] - Mike Foley has been appointed as interim CFO following Ken's departure, with a search for a permanent CFO ongoing [10][12] Financial Performance and Guidance - For 2026, Coursera projects revenue between $750 million and $754 million, reflecting an 8%-9% growth rate [14] - The company has increased its EBITDA margin guidance to 8% for the same period [14] - Q3 showed a 10% year-over-year growth, indicating a positive trend in revenue growth [14] Product and Content Strategy - Coursera is focusing on rapid product innovation and expanding its catalog, which now includes over 12,000 courses, a 44% increase year-over-year [16] - The company is enhancing its content engine to facilitate quicker content creation and better alignment with learner outcomes [15] - AI-driven tools like Coursera Coach and CourseBuilder are being utilized to improve the learning experience [6][36] Consumer Market Dynamics - Consumer revenue grew by 10% year-over-year in Q2 and 13% in Q3, showing strong demand for online education [20] - The introduction of a freemium model allows learners to access the first module of courses for free, potentially increasing conversion rates [21] - Pricing adjustments were made in over 60 countries to align with local purchasing power, enhancing accessibility [22] AI and Future Opportunities - The partnership with OpenAI aims to integrate Coursera's content with ChatGPT, enhancing the learning experience [33] - Coursera is also collaborating with Anthropic to create AI-related content, reflecting the growing demand for AI education [41] - The World Economic Forum predicts that 59% of the global workforce will need retraining by 2030, presenting a significant opportunity for Coursera [26] Enterprise Segment Focus - Coursera is experiencing mixed trends in its enterprise segment, with a focus on improving Net Revenue Retention (NRR), which was 89% in Q3 [61] - Skills Tracks, curated sets of content for workforce upskilling, are being developed to meet enterprise needs [63][66] - The company aims to enhance its offerings by integrating verified assessments to ensure skill mastery [65] Global Expansion and Accessibility - Over 60% of Coursera's catalog is translated into 26 languages, making education accessible to a broader audience [45] - AI-dubbed courses are set to exceed 1,000 offerings in five languages by year-end, improving international enrollments [43] Conclusion - Coursera is well-positioned to capitalize on the growing demand for online education, particularly in the context of AI-driven workforce changes. The company's strategic focus on product innovation, content expansion, and partnerships with AI leaders will likely drive future growth and enhance its market position [28][29]

Group 1: Semtech Corp Financial Results - Semtech reported third-quarter revenue of $267 million, missing analyst estimates of $268.83 million [1] - The company reported third-quarter adjusted earnings of 48 cents per share, beating estimates of 45 cents per share [1] Group 2: Stock Performance - Semtech shares dipped 7.2% to $65.00 in pre-market trading [2] - Other stocks also experienced declines in pre-market trading, including Arcus Biosciences Inc, which fell 6.7% to $21.63, and Nanobiotix SA, which fell 6.2% to $20.64 [4]

This story was originally published on CFO Dive. To receive daily news and insights, subscribe to our free daily CFO Dive newsletter. Dive Brief: Online learning platform Coursera named Alphabet alum Michael Foley to the role of interim finance chief and treasurer effective immediately, the company said Monday in a press release and securities filing. The interim CFO appointment comes after the Mountain View, California-based company announced last month that its previous CFO, Ken Hahn, would be trans ...

Coursera, Inc. (NYSE:COUR) is one of the best EdTech stocks to buy now. On October 24, 2025, Wall Street started weighing in on Coursera following its Q3 print. Needham’s Ryan MacDonald reiterated a Buy with a $14 price target, staying constructive after the quarter and framing Coursera’s performance and reinvestment as supportive of the bull case. Needham Reiterates Buy on Coursera, Holds $14 Price Target ESB Professional/Shutterstock.com Coursera reported Q3 2025 results on October 23. Coursera’s Q3 ...

Core Insights - Ariel Sokol has over twenty years of experience in corporate finance, focusing on both established companies and startups [1] - Sokol founded Kolari Consulting, which specializes in strategy consulting for subscription and edtech businesses [1] - He previously held significant roles at Pearson, including VP of strategy and finance and General Manager of Institutional Business [1] - Sokol has experience as an equity research analyst on Wall Street, covering sectors such as education, software, and media [1] - He has served on the board of a for-profit university, indicating a strong background in the education sector [1]

Core Insights - Ariel Sokol has over twenty years of experience in corporate finance, focusing on both established companies and startups [1] - Sokol founded Kolari Consulting, which specializes in strategy consulting for subscription and edtech businesses [1] - He previously held significant roles at Pearson, including VP of strategy and finance and General Manager of Institutional Business [1] - Sokol has experience as an equity research analyst on Wall Street, covering sectors such as education, software, and media [1] - He has served on the board of a for-profit university, indicating a strong background in the education sector [1]

Financial Performance - Total revenue for Q3 2025 was $194.2 million, representing a 10% increase from $176.1 million in the same period last year[109]. - Gross profit was $106.0 million, compared to $96.2 million a year ago, with non-GAAP gross profit at $108.0 million, up from $98.1 million[109]. - Net loss narrowed to $(8.6) million from $(13.7) million a year ago, while non-GAAP net income remained stable at $16.7 million[109]. - Adjusted EBITDA increased to $15.6 million, compared to $13.3 million in the prior year[109]. - Revenue for the three months ended September 30, 2025 was $194.2 million, an increase of $18.1 million, or 10%, compared to $176.1 million for the prior-year quarter[123]. - Consumer revenue for the three months ended September 30, 2025 increased by $14.6 million, or 13%, primarily driven by growth in subscription revenue from Coursera Plus[124]. - Enterprise revenue for the three months ended September 30, 2025 increased by $3.5 million, or 6%, due to an increase in new customers[125]. - Gross profit for the three months ended September 30, 2025 was $106.0 million, representing a gross margin of 54.6%[131]. - Revenue for the nine months ended September 30, 2025 was $560.6 million, an increase of $45.1 million, or 9%, compared to $515.5 million for the same period in 2024[126]. - Gross margin for the nine months ended September 30, 2025 was 54.7%, an increase from 53.5% for the same period in 2024[135]. - Consumer revenue for the three months ended September 30, 2025, was $130.3 million, representing a year-over-year growth of 13% compared to $115.7 million in 2024[171]. - Enterprise revenue for the same period was $63.9 million, with a year-over-year growth of 6% from $60.4 million in 2024[171]. - Total revenue for the three months ended September 30, 2025, reached $194.2 million, reflecting a 10% increase from $176.1 million in 2024[171]. - Non-GAAP net income for the three months ended September 30, 2025, was $16.7 million, compared to $16.6 million in 2024[175]. - Free Cash Flow for the nine months ended September 30, 2025, was $80.5 million, an increase from $51.9 million in 2024[181]. - The net loss for the three months ended September 30, 2025, was $(8.6) million, an improvement from $(13.7) million in 2024[178]. Operational Metrics - The platform had approximately 191 million cumulative registered learners as of September 30, 2025[99]. - Total Registered Learners increased to 191 million as of September 30, 2025, representing an 18% year-over-year growth from 162 million[162]. - Paid Enterprise Customers grew to 1,724 as of September 30, 2025, reflecting a 10% year-over-year increase from 1,564[165]. - Net Retention Rate for Paid Enterprise Customers was 89% for both the three months ended September 30, 2025 and 2024, indicating stable customer retention[168]. - Operating expenses are incurred in local currencies, including British pound sterling, Canadian dollar, and Indian rupee[189]. - The company maintained a net retention rate for paid enterprise customers at 89% for both 2025 and 2024[169]. Expenses and Investments - Total operating expenses for the three months ended September 30, 2025 were $121.6 million, an increase of $3.7 million, or 3%, compared to $117.9 million for the prior-year quarter[136]. - Research and development expenses for the three months ended September 30, 2025 were $30.0 million, a decrease of $1.6 million, or 5%, compared to the prior-year quarter[137]. - Total stock-based compensation expense for the three months ended September 30, 2025 was $23.0 million, compared to $25.2 million for the prior-year quarter[121]. - Research and development expenses for the nine months ended September 30, 2025 were $88.8 million, a decrease of 11.1% from $99.9 million in the prior year[138]. - Sales and marketing expenses for the nine months ended September 30, 2025 increased to $187.8 million, up 7.8% from $174.7 million in the prior year, driven by higher performance marketing and advertising expenses[140]. - General and administrative expenses for the nine months ended September 30, 2025 decreased to $76.0 million, down 7.2% from $81.9 million in the prior year, primarily due to non-recurring expenses in the prior year[142]. - Net cash used in investing activities for the nine months ended September 30, 2025 was $22.4 million, primarily due to capitalized internal-use software costs and purchases of content assets[156]. Strategic Initiatives - The company reduced its global workforce by approximately 9% to create capacity for targeted investments and incremental profitability[108]. - The Enterprise segment is expected to drive growth through direct sales and data-driven insights from the Consumer platform[102]. - The company plans to expand its international operations and has tailored pricing and checkout options for local markets[118]. - New product innovations include AI-powered features such as Coach, Role Play, and Course Builder to enhance learning experiences[100]. - The shift to compensating content creators based on learner engagement rather than enrollment rates aims to incentivize the development of more engaging content[116]. Liquidity and Cash Flow - Cash and cash equivalents totaled $797.7 million as of September 30, 2025, serving as the principal source of liquidity[146]. - Net cash provided by operating activities for the nine months ended September 30, 2025 was $102.9 million, an increase of 35.1% from $76.2 million in the prior year[154]. Foreign Exchange Impact - The company has not entered into foreign currency hedging arrangements, but may consider it in the future[190]. - A hypothetical 10% increase in foreign exchange rates would impact loss before income taxes by $0.2 million, while a 10% decrease would impact it by $0.1 million for the three months ended September 30, 2025 and 2024[190].

Core Insights - The Q3 earnings season is starting, with high expectations due to record stock market levels, indicating that even strong earnings reports may not sustain market rallies [1] Group 1: Market Context - Stock markets are reaching new records, leading to heightened expectations for Q3 earnings [1] - The phrase "beat and raise" may not be sufficient to maintain market momentum during this earnings season [1] Group 2: Analyst Background - Gary Alexander has extensive experience in technology sectors, both on Wall Street and in Silicon Valley, and has been advising startups [1] - He has been a contributor to Seeking Alpha since 2017 and has been featured in various web publications [1]