Adtalem Global Education (NYSE:CVSA) Shares Gap Down After Analyst Downgrade

Key Points

• Adtalem Global Education shares fell 2.9% after Truist Financial downgraded the stock from “buy” to “hold.” The shares opened at $130.00 versus a prior close of $134.16, while Truist set a $140 price target.
• Analyst sentiment is mixed but currently centers on a consensus “Hold” rating, with a consensus price target of $155. Recent ratings range from “buy” and “outperform” to “hold.”
• Insiders sold 27,753 shares worth approximately $3.7 million over the past 90 days, while institutional investors own 98.84% of the company. The company’s latest quarterly earnings beat expectations, with EPS of $2.09 versus a $1.90 consensus estimate.

Adtalem Global Education Inc. (NYSE:CVSA - Get Free Report) gapped down prior to trading on Thursday after Truist Financial downgraded the stock from a buy rating to a hold rating. The stock had previously closed at $134.16, but opened at $130.00. Truist Financial now has a $140.00 price target on the stock. Adtalem Global Education shares last traded at $130.7960, with a volume of 47,610 shares.

Other equities analysts have also issued research reports about the stock. Wall Street Zen raised shares of Adtalem Global Education from a "hold" rating to a "buy" rating in a report on Saturday, August 8th. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Adtalem Global Education in a report on Wednesday, August 19th. Finally, Barrington Research reiterated an "outperform" rating and issued a $170.00 target price on shares of Adtalem Global Education in a research report on Monday, June 8th. One investment analyst has rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $155.00.

Insider Activity at Adtalem Global Education

In other news, SVP Douglas G. Beck sold 4,526 shares of Adtalem Global Education stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $135.81, for a total transaction of $614,676.06. Following the sale, the senior vice president owned 28,544 shares of the company's stock, valued at approximately $3,876,560.64. The trade was a 13.69% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Manjunath Gangadharan sold 1,802 shares of Adtalem Global Education stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $137.18, for a total value of $247,198.36. Following the sale, the chief accounting officer directly owned 5,083 shares in the company, valued at approximately $697,285.94. The trade was a 26.17% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 27,753 shares of company stock worth $3,717,982. 2.50% of the stock is currently owned by insiders.

Institutional Trading of Adtalem Global Education

A hedge fund recently bought a new position in Adtalem Global Education stock. Kendall Capital Management bought a new position in Adtalem Global Education Inc. (NYSE:CVSA - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund bought 11,622 shares of the company's stock, valued at approximately $1,449,000. 98.84% of the stock is owned by institutional investors.

Adtalem Global Education Trading Down 2.9%

The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.09 and a current ratio of 1.09. The company has a market cap of $4.44 billion, a price-to-earnings ratio of 18.54, a P/E/G ratio of 0.99 and a beta of 0.63. The stock's 50 day moving average price is $128.15.

Adtalem Global Education (NYSE:CVSA - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported $2.09 earnings per share for the quarter, beating the consensus estimate of $1.90 by $0.19. The firm had revenue of $501.38 million for the quarter. Adtalem Global Education had a return on equity of 20.88% and a net margin of 12.87%.Adtalem Global Education has set its FY 2027 guidance at 8.900-9.150 EPS. On average, sell-side analysts anticipate that Adtalem Global Education Inc. will post 9 earnings per share for the current year.

Adtalem Global Education Company Profile

Adtalem Global Education NYSE: CVSA is a provider of higher education and workforce solutions focused primarily on programs that prepare students for professional careers in healthcare, medicine, veterinary medicine and related fields. The company operates campus-based and online degree programs, continuing professional education, clinical training and exam-preparation offerings designed to support students seeking licensure and employment in regulated professions.

Adtalem’s portfolio includes institution brands that deliver undergraduate, graduate and professional training across nursing, medicine, veterinary medicine and allied health disciplines.

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