Returns On Capital At Perdoceo Education (NASDAQ:PRDO) Paint A Concerning Picture

Perdoceo Education's ROCE has decreased from 24% to 17% over five years, indicating lower short-term returns. However, the company is reinvesting for growth, leading to increased capital and revenue. Despite the decline in ROCE, the stock has returned 154% to shareholders in five years, suggesting potential long-term benefits. Investors are encouraged to explore further, as the stock may be attractively priced.

Wall Street Zen Downgrades Perdoceo Education (NASDAQ:PRDO) to Buy

Wall Street Zen downgraded Perdoceo Education (NASDAQ:PRDO) from a "strong-buy" to a "buy" rating. Other analysts, including Weiss Ratings and Barrington Research, maintained positive ratings with a target price of $42.00. Perdoceo's stock opened at $31.53, with a 12-month range of $23.87 to $38.02. The company reported $0.65 EPS for the last quarter, exceeding estimates, and had a revenue increase of 24.8% year-over-year. Insider transactions revealed significant stock sales by executives, while institutional investors hold 93.46% of shares.

Perdoceo Education (NASDAQ:PRDO) Issues Earnings Results, Beats Estimates By $0.04 EPS

Perdoceo Education (NASDAQ:PRDO) reported quarterly earnings of $0.65 EPS, surpassing estimates of $0.61 by $0.04. The company achieved revenue of $211.87 million, exceeding the expected $207.02 million, with a year-over-year revenue increase of 24.8%. Perdoceo also updated its Q4 2025 EPS guidance to 0.530-0.550 and FY 2025 guidance to 2.540-2.560. The company declared a quarterly dividend of $0.15, with a yield of 2.0%. Analysts maintain a positive outlook, with an average target price of $42.00.

Perdoceo Education shares are trading higher after the company reported better-than-expected Q3 financial results and raised its FY25 EPS guidance above estimates.

Perdoceo Education's Q3 revenue rises 24.8%, beats estimates

Perdoceo Education reported a 24.8% year-over-year increase in Q3 revenue, surpassing analyst expectations. The adjusted EPS also exceeded consensus, reflecting strong operational performance. The company repurchased shares and paid $30.3 million in dividends. For Q4, Perdoceo anticipates operating income between $38.1 million and $40.1 million, with a full-year forecast of $192.2 million to $194.2 million. A 15.1% rise in student enrollments contributed to revenue growth. The stock is rated as a "strong buy" with a 12-month price target of $42.00, indicating a potential upside from its current price of $30.89.