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STRA:NASDAQStrategic Education, Inc. Analysis

Data as of 2026-06-07 - not real-time

$81.58

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

Strategic Education trades well below its discounted cash‑flow estimate, offering a clear valuation cushion. The forward price‑to‑earnings multiple sits comfortably below the historical range, reinforcing the discount. A dividend yield near three percent combined with a payout ratio under half signals cash‑flow strength. Revenue growth is flat, but gross and operating margins remain solid, supporting earnings stability. Return on equity and assets are modest but positive, indicating efficient use of capital.
The 20‑day and 50‑day simple moving averages are essentially flat and sit just above the 200‑day average, suggesting a lack of strong directional bias. The MACD line is above its signal line, delivering a bullish momentum cue. RSI hovers in the upper‑mid range, implying limited upside before overbought conditions could emerge. Volume has been trending down, which may temper short‑term price moves.
Volatility over the past month is elevated, yet beta remains low, pointing to limited systematic risk. Support sits near the mid‑seventies while resistance caps near the low eighties, framing the current price corridor. Overall, the blend of defensive sector positioning, sustainable dividend, and valuation upside supports a buy stance for medium to long horizons while advising caution in the near term.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Bearish technical trend despite bullish MACD
  • Decreasing volume limiting upside
  • Strong dividend yield providing downside cushion

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Undervaluation relative to DCF fair value
  • Stable cash flow and sustainable dividend
  • Defensive consumer sector shielding earnings

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Long‑term demand for higher‑education and ed‑tech services
  • Geographic diversification across US and ANZ
  • Consistent profitability and margin resilience

Key Metrics & Analysis

Financial Health

Revenue Growth0.80%
Profit Margin10.21%
P/E Ratio14.4
ROE7.91%
ROA5.95%
Debt/Equity6.68
P/B Ratio1.1
Op. Cash Flow$217.9M
Free Cash Flow$156.1M

Technical Analysis

TrendBearish
RSI59.6
Support$76.02
Resistance$82.51
MA 20$79.00
MA 50$79.90
MA 200$80.70
MACDBullish
VolumeDecreasing
Fear & Greed Index83.02

Valuation

Fair Value$95.95
Target Price$87.00
Upside/Downside6.64%
GradeUndervalued
TypeBlend
Dividend Yield2.94%

Risk Assessment

Beta0.43
Volatility24.82%
Sector RiskLow
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.