Charles Schwab Investment Management Inc. Sells 27,737 Shares of Adtalem Global Education Inc. (NYSE:ATGE)

Key Points

• Charles Schwab Investment Management Inc. reduced its stake in Adtalem Global Education Inc. by 4.8%, owning 545,896 shares after selling 27,737 shares in the first quarter, valued at approximately $54.9 million.
• Adtalem Global Education reported a net margin of 13.26% and a revenue increase of 11.5% year-over-year, with a quarterly revenue of $457.11 million and an EPS of $1.66, surpassing analysts' expectations.
• The company's Board of Directors initiated a $150 million share repurchase program, signaling that leadership believes its stock may be undervalued.

Charles Schwab Investment Management Inc. cut its stake in Adtalem Global Education Inc. (NYSE:ATGE - Free Report) by 4.8% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 545,896 shares of the company's stock after selling 27,737 shares during the quarter. Charles Schwab Investment Management Inc. owned about 1.46% of Adtalem Global Education worth $54,939,000 as of its most recent SEC filing.

Other institutional investors also recently bought and sold shares of the company. GAMMA Investing LLC boosted its holdings in Adtalem Global Education by 11,723.8% in the first quarter. GAMMA Investing LLC now owns 173,101 shares of the company's stock worth $17,421,000 after acquiring an additional 171,637 shares in the last quarter. Allianz Asset Management GmbH boosted its holdings in Adtalem Global Education by 58.2% in the first quarter. Allianz Asset Management GmbH now owns 409,437 shares of the company's stock worth $41,206,000 after acquiring an additional 150,702 shares in the last quarter. Westport Asset Management Inc. acquired a new stake in Adtalem Global Education in the fourth quarter worth about $11,425,000. Balyasny Asset Management L.P. boosted its holdings in Adtalem Global Education by 799.2% in the fourth quarter. Balyasny Asset Management L.P. now owns 130,176 shares of the company's stock worth $11,826,000 after acquiring an additional 115,699 shares in the last quarter. Finally, Alyeska Investment Group L.P. boosted its holdings in Adtalem Global Education by 19.5% in the fourth quarter. Alyeska Investment Group L.P. now owns 609,428 shares of the company's stock worth $55,367,000 after acquiring an additional 99,491 shares in the last quarter. 98.84% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

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

Insider Activity at Adtalem Global Education

In related news, Director William W. Burke sold 2,291 shares of the stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $128.35, for a total value of $294,049.85. Following the completion of the transaction, the director directly owned 9,368 shares of the company's stock, valued at $1,202,382.80. This represents a 19.65% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 2.00% of the company's stock.

Adtalem Global Education Price Performance

ATGE stock traded up $0.56 during midday trading on Friday, hitting $128.87. 336,891 shares of the stock were exchanged, compared to its average volume of 428,398. The stock's 50-day moving average price is $120.52 and its 200-day moving average price is $113.20. The stock has a market cap of $4.63 billion, a price-to-earnings ratio of 20.82, a PEG ratio of 1.12 and a beta of 0.88. Adtalem Global Education Inc. has a fifty-two week low of $68.60 and a fifty-two week high of $140.12. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.82 and a current ratio of 0.82.

Adtalem Global Education (NYSE:ATGE - Get Free Report) last issued its earnings results on Thursday, August 7th. The company reported $1.66 earnings per share for the quarter, topping the consensus estimate of $1.51 by $0.15. Adtalem Global Education had a return on equity of 17.95% and a net margin of 13.26%. The company had revenue of $457.11 million during the quarter, compared to the consensus estimate of $440.93 million. During the same quarter in the prior year, the business earned $1.37 earnings per share. The company's revenue was up 11.5% compared to the same quarter last year. Research 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 has approved a stock buyback program on Tuesday, May 6th that allows the company to buyback $150.00 million in outstanding shares. This buyback authorization allows the company to repurchase up to 3.6% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

About Adtalem Global Education

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.