Coursera (NYSE:COUR) Shares Gap Down - Should You Sell?

Key Points

• Coursera's stock price gapped down significantly from $10.56 to $9.22 before stabilizing at $9.69, reflecting a 12.3% drop.
• Analyst ratings are mixed, with Zacks downgrading Coursera to a "hold" while Cantor Fitzgerald and Loop Capital maintain more optimistic price targets.
• The company reported positive earnings for the last quarter with $0.10 EPS, beating expectations; quarterly revenue increased by 10.3% year-over-year to $194.20 million.

Coursera, Inc. (NYSE:COUR - Get Free Report)'s stock price gapped down before the market opened on Friday . The stock had previously closed at $10.56, but opened at $9.22. Coursera shares last traded at $9.69, with a volume of 1,935,122 shares.

Analyst Ratings Changes

COUR has been the topic of a number of analyst reports. Zacks Research downgraded shares of Coursera from a "strong-buy" rating to a "hold" rating in a research note on Monday, August 18th. Cantor Fitzgerald reiterated an "overweight" rating and set a $13.00 price objective on shares of Coursera in a research note on Friday. Loop Capital increased their price objective on shares of Coursera from $12.00 to $15.00 and gave the stock a "buy" rating in a research note on Friday, July 25th. JPMorgan Chase & Co. increased their price objective on shares of Coursera from $8.00 to $9.00 and gave the stock a "neutral" rating in a research note on Wednesday, July 16th. Finally, Morgan Stanley increased their price objective on shares of Coursera from $11.00 to $12.00 and gave the stock an "equal weight" rating in a research note on Friday, July 25th. Seven research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, Coursera has a consensus rating of "Hold" and a consensus price target of $11.71.

Coursera Trading Down 12.3%

The business's 50 day moving average price is $11.07 and its two-hundred day moving average price is $9.68. The company has a market capitalization of $1.50 billion, a price-to-earnings ratio of -28.07 and a beta of 1.40.

Coursera (NYSE:COUR - Get Free Report) last posted its quarterly earnings results on Thursday, October 23rd. The company reported $0.10 earnings per share for the quarter, beating analysts' consensus estimates of $0.09 by $0.01. Coursera had a negative net margin of 7.05% and a negative return on equity of 5.16%. The company had revenue of $194.20 million for the quarter, compared to the consensus estimate of $190.33 million. During the same period last year, the company posted $0.10 EPS. The firm's quarterly revenue was up 10.3% compared to the same quarter last year. Coursera has set its Q4 2025 guidance at EPS. Analysts expect that Coursera, Inc. will post -0.28 EPS for the current year.

Insider Activity

In related news, CAO Michele M. Meyers sold 3,500 shares of Coursera stock in a transaction that occurred on Thursday, October 16th. The shares were sold at an average price of $10.27, for a total transaction of $35,945.00. Following the sale, the chief accounting officer directly owned 234,295 shares in the company, valued at $2,406,209.65. This trade represents a 1.47% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Alan B. Cardenas sold 24,631 shares of Coursera stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $11.14, for a total transaction of $274,389.34. Following the sale, the senior vice president owned 258,526 shares in the company, valued at approximately $2,879,979.64. This represents a 8.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 184,131 shares of company stock worth $2,156,134. Corporate insiders own 16.80% of the company's stock.

Institutional Investors Weigh In On Coursera

Several hedge funds have recently added to or reduced their stakes in COUR. Wealth Enhancement Advisory Services LLC boosted its position in Coursera by 34.8% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 13,649 shares of the company's stock worth $91,000 after buying an additional 3,521 shares during the period. Waterfront Wealth Inc. boosted its position in Coursera by 19.7% during the 1st quarter. Waterfront Wealth Inc. now owns 187,270 shares of the company's stock worth $1,247,000 after buying an additional 30,859 shares during the period. Teacher Retirement System of Texas acquired a new stake in Coursera during the 1st quarter worth approximately $131,000. Bank of New York Mellon Corp boosted its position in Coursera by 2.8% during the 1st quarter. Bank of New York Mellon Corp now owns 448,943 shares of the company's stock worth $2,990,000 after buying an additional 12,082 shares during the period. Finally, Cerity Partners LLC boosted its position in Coursera by 23.6% during the 1st quarter. Cerity Partners LLC now owns 31,560 shares of the company's stock worth $210,000 after buying an additional 6,021 shares during the period. 89.55% of the stock is currently owned by institutional investors and hedge funds.

Coursera Company Profile

Coursera, Inc operates an online educational content platform in the United States, Europe, Africa, the Asia Pacific, the Middle East, and internationally. It operates in three segments: Consumer, Enterprise, and Degrees. The company offers guided projects, courses, and specializations, as well as online degrees; and certificates for entry-level professional, non-entry level professional, university, and MasterTrack.

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