Perdoceo Education (NASDAQ:PRDO) Downgraded to "Buy" Rating by Wall Street Zen

Key Points

• Perdoceo Education was downgraded by Wall Street Zen from a "strong-buy" rating to a "buy" rating, reflecting a shift in analyst sentiment.
• Despite the downgrade, the company reported $0.67 earnings per share, exceeding expectations and showing a year-over-year revenue increase of 25.7%.
• Institutional investors hold 93.46% of the stock, indicating strong backing from larger financial entities as several increased their positions recently.

Perdoceo Education (NASDAQ:PRDO - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a note issued to investors on Saturday.

Other equities research analysts have also issued reports about the company. Weiss Ratings restated a "buy (b)" rating on shares of Perdoceo Education in a research report on Wednesday. Barrington Research raised their price objective on Perdoceo Education from $40.00 to $42.00 and gave the stock an "outperform" rating in a research report on Tuesday, September 23rd. Two research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Perdoceo Education currently has an average rating of "Buy" and an average price target of $42.00.

Perdoceo Education Trading Down 0.5%

NASDAQ:PRDO opened at $34.62 on Friday. The company has a quick ratio of 4.26, a current ratio of 4.27 and a debt-to-equity ratio of 0.01. Perdoceo Education has a 1-year low of $20.55 and a 1-year high of $38.02. The firm has a market capitalization of $2.25 billion, a price-to-earnings ratio of 14.99, a price-to-earnings-growth ratio of 0.92 and a beta of 0.88. The stock has a fifty day simple moving average of $33.77 and a 200 day simple moving average of $30.90.

Perdoceo Education (NASDAQ:PRDO - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.67 earnings per share for the quarter, beating analysts' consensus estimates of $0.65 by $0.02. Perdoceo Education had a return on equity of 17.13% and a net margin of 20.09%.The business had revenue of $209.58 million during the quarter, compared to analyst estimates of $206.92 million. During the same quarter last year, the company posted $0.60 EPS. Perdoceo Education's revenue for the quarter was up 25.7% on a year-over-year basis. Perdoceo Education has set its Q3 2025 guidance at 0.600-0.620 EPS. FY 2025 guidance at 2.480-2.550 EPS. Sell-side analysts forecast that Perdoceo Education will post 2.41 earnings per share for the current year.

Insider Activity at Perdoceo Education

In other news, SVP Greg E. Jansen sold 30,234 shares of the firm's stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $33.00, for a total transaction of $997,722.00. Following the completion of the sale, the senior vice president directly owned 96,279 shares of the company's stock, valued at $3,177,207. This trade represents a 23.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Ashish R. Ghia sold 53,081 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The shares were sold at an average price of $30.70, for a total value of $1,629,586.70. Following the completion of the transaction, the chief financial officer directly owned 157,632 shares in the company, valued at $4,839,302.40. The trade was a 25.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 205,656 shares of company stock worth $6,871,148. 2.11% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the stock. LSV Asset Management increased its position in Perdoceo Education by 1.5% in the 1st quarter. LSV Asset Management now owns 1,874,274 shares of the company's stock worth $47,194,000 after buying an additional 26,969 shares during the period. American Century Companies Inc. increased its position in Perdoceo Education by 1.5% in the 2nd quarter. American Century Companies Inc. now owns 1,820,262 shares of the company's stock worth $59,504,000 after buying an additional 27,310 shares during the period. Frontier Capital Management Co. LLC increased its position in Perdoceo Education by 2.0% in the 2nd quarter. Frontier Capital Management Co. LLC now owns 1,752,555 shares of the company's stock worth $57,291,000 after buying an additional 33,967 shares during the period. Goldman Sachs Group Inc. increased its position in Perdoceo Education by 49.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,547,405 shares of the company's stock worth $38,964,000 after buying an additional 513,599 shares during the period. Finally, Millennium Management LLC increased its position in Perdoceo Education by 48.9% in the 1st quarter. Millennium Management LLC now owns 1,297,465 shares of the company's stock worth $32,670,000 after buying an additional 425,893 shares during the period. 93.46% of the stock is owned by institutional investors.

About Perdoceo Education

Perdoceo Education Corporation provides postsecondary education through online, campus-based, and blended learning programs in the United States. It operates in two segments, Colorado Technical University and The American InterContinental University System. The Colorado Technical University segment offers academic programs, such as business and management, nursing, healthcare management, computer science, engineering, information systems and technology, project management, cybersecurity, and criminal justice.

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