Is Adtalem Global Education (ATGE) Stock Undervalued Right Now?

Core Viewpoint - The article emphasizes the importance of value investing and highlights specific companies, Adtalem Global Education (ATGE) and Strategic Education (STRA), as strong value stock picks based on their financial metrics and Zacks Rank system [2][9]. Company Analysis: Adtalem Global Education (ATGE) - ATGE has a Zacks Rank of 2 (Buy) and a Value grade of A, indicating strong potential as a value stock [4]. - The Forward P/E ratio for ATGE is 14.67, which is lower than the industry average of 16.62. Over the past year, ATGE's Forward P/E has fluctuated between 8.93 and 14.91, with a median of 12.32 [4]. - The P/B ratio for ATGE is 2.50, compared to the industry average of 3.19. Its P/B has ranged from 1.30 to 2.50 over the past year, with a median of 1.88 [5]. - ATGE's P/CF ratio stands at 13.13, significantly lower than the industry average of 43.81. The P/CF has varied between 7.52 and 13.13 over the past year, with a median of 10.90 [6]. Company Analysis: Strategic Education (STRA) - STRA also holds a Zacks Rank of 2 (Buy) and a Value score of A, making it another attractive value stock [7]. - The Forward P/E ratio for STRA is 19.26, while its PEG ratio is 1.28, both of which are favorable compared to the industry averages of 16.62 and 0.86, respectively [7]. - Over the past year, STRA's P/E has ranged from 16.17 to 27.11, with a median of 20.26. The PEG ratio has fluctuated between 0.85 and 1.32, with a median of 0.82 [8]. - STRA's P/B ratio is 1.32, significantly lower than the industry average of 3.19. This ratio has varied from 1.23 to 1.84 over the past year, with a median of 1.42 [8]. Conclusion - Both Adtalem Global Education and Strategic Education are identified as likely undervalued stocks based on their financial metrics and earnings outlook, making them strong candidates for value investors [9].