Arrowstreet Capital Limited Partnership Reduces Holdings in Coursera, Inc. $COUR

Key Points

• Arrowstreet Capital cut its Coursera stake by 72% in the first quarter, selling 2.28 million shares and retaining 886,601 shares valued at approximately $5.16 million.
• Despite Arrowstreet’s reduction, institutional ownership remains high at 89.55%, with Baillie Gifford, Vanguard, and Caledonia among investors that increased their positions.
• Coursera reported quarterly revenue of $298.6 million, up 59.6% year over year, and exceeded earnings expectations; analysts maintain a “Moderate Buy” consensus with an average price target of $8.50, while the company has authorized a $500 million share repurchase program.

Arrowstreet Capital Limited Partnership cut its holdings in Coursera, Inc. (NYSE:COUR - Free Report) by 72.0% during the first quarter, according to its most recent Form 13F filing with the SEC. The fund owned 886,601 shares of the company's stock after selling 2,281,392 shares during the period. Arrowstreet Capital Limited Partnership owned 0.52% of Coursera worth $5,160,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in the business. Baillie Gifford & Co. grew its stake in shares of Coursera by 97.0% in the fourth quarter. Baillie Gifford & Co. now owns 14,590,942 shares of the company's stock valued at $107,389,000 after buying an additional 7,184,167 shares in the last quarter. Mak Capital One LLC purchased a new stake in shares of Coursera in the 4th quarter valued at approximately $27,610,000. Caledonia Private Investments Pty Ltd increased its holdings in Coursera by 29.4% in the fourth quarter. Caledonia Private Investments Pty Ltd now owns 12,052,670 shares of the company's stock valued at $88,708,000 after buying an additional 2,739,039 shares during the last quarter. Vanguard Group Inc. increased its holdings in shares of Coursera by 15.8% in the 4th quarter. Vanguard Group Inc. now owns 16,116,748 shares of the company's stock valued at $118,619,000 after acquiring an additional 2,195,148 shares during the last quarter. Finally, Norges Bank acquired a new stake in shares of Coursera during the 4th quarter worth about $10,594,000. 89.55% of the stock is currently owned by hedge funds and other institutional investors.

Coursera Stock Performance

Shares of Coursera stock opened at $5.28 on Monday. Coursera, Inc. has a one year low of $5.00 and a one year high of $12.93. The company has a market cap of $894.57 million, a P/E ratio of -7.88, a PEG ratio of 1.78 and a beta of 1.24. The firm has a fifty day moving average of $5.55 and a two-hundred day moving average of $5.84.

Coursera (NYSE:COUR - Get Free Report) last issued its earnings results on Wednesday, July 29th. The company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.10 by $0.07. Coursera had a negative net margin of 15.39% and a negative return on equity of 2.08%. The business had revenue of $298.60 million for the quarter, compared to the consensus estimate of $293.61 million. During the same quarter in the previous year, the firm earned $0.12 earnings per share. The business's quarterly revenue was up 59.6% compared to the same quarter last year. As a group, equities analysts predict that Coursera, Inc. will post 0.06 earnings per share for the current year.

Coursera declared that its board has initiated a stock repurchase program on Monday, May 18th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the company to reacquire up to 55.9% of its shares through open market purchases. Shares buyback programs are often a sign that the company's leadership believes its stock is undervalued.

Analysts Set New Price Targets

Several equities research analysts recently commented on COUR shares. Zacks Research upgraded shares of Coursera from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 24th. BMO Capital Markets restated an "outperform" rating on shares of Coursera in a research note on Thursday. JPMorgan Chase & Co. dropped their price objective on Coursera from $10.00 to $8.00 and set an "overweight" rating on the stock in a report on Friday, April 24th. Wall Street Zen upgraded Coursera from a "hold" rating to a "buy" rating in a research report on Sunday. Finally, Bank of America reduced their target price on Coursera from $8.00 to $7.00 and set a "neutral" rating for the company in a report on Tuesday, June 30th. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, Coursera currently has a consensus rating of "Moderate Buy" and an average target price of $8.50.

More Coursera News

Here are the key news stories impacting Coursera this week:

• Positive Sentiment: Coursera reported second-quarter adjusted earnings of $0.17 per share, above the $0.11 consensus estimate, while revenue reached approximately $298.6 million and increased 59.6% year over year. The results also exceeded some revenue expectations. Coursera Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Management expects roughly a 14% adjusted EBITDA margin in 2026 and at least $85 million in annualized run-rate synergies by year-end, supporting the potential for improved profitability following its Udemy combination. Coursera EBITDA Margin and Synergies
• Positive Sentiment: Coursera announced a $100 million investment in LearnVector for an approximately one-third stake, potentially expanding its artificial-intelligence and learning technology capabilities. Zacks also upgraded COUR to a Rank #1, or Strong Buy, citing improving earnings prospects. Coursera Invests in LearnVector
• Neutral Sentiment: Analysts view the quarter as a defining test of Coursera’s growth strategy: strong reported growth and cost synergies must be sustained while the company integrates Udemy and expands its AI offerings. Coursera Faces a Defining Growth Test
• Negative Sentiment: The primary reason for the selloff was lower second-quarter core revenue and investor concern that enterprise customers are pulling back. This raised questions about the quality and durability of growth, even though headline revenue and EPS were strong. Coursera Slides on Lower Second-Quarter Core Revenue
• Negative Sentiment: Coursera shares fell sharply after the results, with bearish commentary highlighting enterprise customer weakness and uncertainty surrounding the post-Udemy outlook. The $100 million LearnVector investment may also increase near-term execution and capital-allocation risk. Coursera Plunges After Q2 Results

Insider Transactions at Coursera

In related news, SVP Alan B. Cardenas sold 9,139 shares of the company's stock in a transaction on Monday, May 18th. The stock was sold at an average price of $5.52, for a total transaction of $50,447.28. Following the transaction, the senior vice president owned 255,934 shares of the company's stock, valued at $1,412,755.68. This represents a 3.45% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, major shareholder Insight Holdings Group, Llc sold 1,466,372 shares of the company's stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $5.24, for a total transaction of $7,683,789.28. Following the transaction, the insider directly owned 419,784 shares in the company, valued at approximately $2,199,668.16. This trade represents a 77.74% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 2,009,139 shares of company stock valued at $10,643,180. 16.30% of the stock is owned by insiders.

Coursera Company Profile

Coursera, Inc NYSE: COUR operates a leading online learning platform that delivers courses, specializations, professional certificates and fully accredited degree programs in collaboration with top universities and industry partners. Founded in 2012 by Stanford University professors Andrew Ng and Daphne Koller, Coursera's mission is to provide universal access to world-class education and bridge skill gaps in a rapidly evolving job market.

The platform features more than 6,000 offerings created by over 275 academic institutions and corporate entities, spanning fields such as data science, business, technology, health care and the arts.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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