Lord Abbett & CO. LLC Makes New $40.83 Million Investment in Adtalem Global Education Inc. $ATGE

Key Points

• Lord Abbett & CO. LLC acquired 405,693 shares of Adtalem Global Education Inc., valued at approximately $40.83 million, representing a 1.09% stake in the company as of the latest SEC filing.
• Adtalem Global Education reported a quarterly earnings per share (EPS) of $1.66, exceeding consensus estimates by $0.15, with revenues increasing 11.5% year-over-year.
• The board approved a $150 million stock repurchase program, indicating a belief that the company's shares are currently undervalued.

Lord Abbett & CO. LLC bought a new stake in Adtalem Global Education Inc. (NYSE:ATGE - Free Report) in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund bought 405,693 shares of the company's stock, valued at approximately $40,829,000. Lord Abbett & CO. LLC owned 1.09% of Adtalem Global Education as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also made changes to their positions in the business. Fifth Third Bancorp grew its stake in Adtalem Global Education by 56.8% during the first quarter. Fifth Third Bancorp now owns 287 shares of the company's stock worth $29,000 after buying an additional 104 shares during the last quarter. Financial Management Professionals Inc. bought a new position in shares of Adtalem Global Education in the first quarter worth approximately $31,000. Sterling Capital Management LLC raised its position in shares of Adtalem Global Education by 774.8% in the 4th quarter. Sterling Capital Management LLC now owns 971 shares of the company's stock worth $88,000 after purchasing an additional 860 shares during the last quarter. USA Financial Formulas increased its position in shares of Adtalem Global Education by 214.9% during the 1st quarter. USA Financial Formulas now owns 888 shares of the company's stock valued at $89,000 after purchasing an additional 606 shares during the last quarter. Finally, Skandinaviska Enskilda Banken AB publ boosted its stake in shares of Adtalem Global Education by 10,488.9% during the first quarter. Skandinaviska Enskilda Banken AB publ now owns 953 shares of the company's stock valued at $96,000 after purchasing an additional 944 shares during the period. 98.84% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at Adtalem Global Education

In other news, Director William W. Burke sold 2,291 shares of the firm's stock in a transaction on Thursday, June 5th. The stock was sold at an average price of $128.35, for a total transaction of $294,049.85. Following the transaction, the director directly owned 9,368 shares of the company's stock, valued at approximately $1,202,382.80. This trade represents a 19.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 2.00% of the company's stock.

Adtalem Global Education Price Performance

NYSE ATGE traded up $0.56 on Friday, hitting $128.87. The company had a trading volume of 336,891 shares, compared to its average volume of 428,398. The company's fifty day moving average price is $120.52 and its 200-day moving average price is $113.20. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.82 and a quick ratio of 0.82. The company has a market capitalization of $4.63 billion, a PE ratio of 20.82, a PEG ratio of 1.12 and a beta of 0.88. Adtalem Global Education Inc. has a 12-month low of $68.60 and a 12-month high of $140.12.

Adtalem Global Education (NYSE:ATGE - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $1.66 EPS for the quarter, beating the consensus estimate of $1.51 by $0.15. The company had revenue of $457.11 million for the quarter, compared to analyst estimates of $440.93 million. Adtalem Global Education had a net margin of 13.26% and a return on equity of 17.95%. The firm's revenue was up 11.5% on a year-over-year basis. During the same period in the prior year, the firm posted $1.37 earnings per share. As a group, analysts predict that Adtalem Global Education Inc. will post 6.2 earnings per share for the current year.

Adtalem Global Education declared that its Board of Directors has approved a stock repurchase plan on Tuesday, May 6th that authorizes the company to buyback $150.00 million in shares. This buyback authorization authorizes the company to purchase up to 3.6% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's board believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the company. BMO Capital Markets lifted their target price on Adtalem Global Education from $115.00 to $132.00 and gave the stock an "outperform" rating in a research report on Monday, May 12th. Barrington Research boosted their price objective on Adtalem Global Education from $140.00 to $150.00 and gave the stock an "outperform" rating in a research report on Friday, August 8th. Finally, Jefferies Financial Group began coverage on Adtalem Global Education in a research report on Wednesday, April 23rd. They set a "buy" rating and a $135.00 price target on the stock.

Adtalem Global Education Company Profile

Adtalem Global Education Inc provides workforce solutions worldwide. It operates through three segments, Chamberlain, Walden, and Medical and Veterinary. The Chamberlain segment offers degree and non-degree programs in the nursing and health professions postsecondary education industry. This segment operates Chamberlain University.