American Public Education (NASDAQ:APEI) Issues Earnings Results, Beats Expectations By $0.06 EPS

American Public Education (NASDAQ:APEI) announced its quarterly earnings results on Monday. The company reported $0.32 earnings per share for the quarter, topping analysts’ consensus estimates of $0.26 by $0.06, FiscalAI reports. American Public Education had a net margin of 6.84% and a return on equity of 15.30%. The firm had revenue of $169.14 million during the quarter, compared to analysts’ expectations of $165.79 million.

Here are the key takeaways from American Public Education’s conference call:

• APEI exceeded third-quarter guidance on revenue, net income, Adjusted EBITDA and diluted EPS, and raised its full-year outlook across those measures. Full-year revenue guidance is now $695 million–$701 million, with diluted EPS guidance of $2.59–$2.84.
• Core demand remained solid: Military+ net course registrations rose 3.8%, while Health+ revenue increased 9%, led by campus nursing and online healthcare. However, weakness in non-healthcare online programs is weighing on Health+’s overall enrollment growth.
• Third-quarter Adjusted EBITDA fell to $17.5 million from $20.7 million a year earlier, and margin declined to 10.4% from 12.7%. Higher marketing costs and bad-debt expense related to delayed Title IV processing contributed; management said the delays were temporary, and about $6 million of Military+ revenue shifted into Q4.
• APEI repurchased about $9 million of shares in the quarter and reported $128.7 million of cash and short-term investments in excess of debt. Management reiterated its long-term growth plan, including targeted recurring cost synergies from the institutional combination and a Health+ Student Lifecycle Platform launch in early 2027.

American Public Education Stock Up 4.9%

APEI traded up $1.81 during trading hours on Monday, reaching $39.09. 344,179 shares of the stock traded hands, compared to its average volume of 289,333. American Public Education has a fifty-two week low of $31.13 and a fifty-two week high of $61.59. The company has a market cap of $715.43 million, a price-to-earnings ratio of 16.09, a PEG ratio of 0.95 and a beta of 1.49. The company has a debt-to-equity ratio of 0.26, a current ratio of 3.25 and a quick ratio of 3.25. The firm’s fifty day simple moving average is $44.80 and its two-hundred day simple moving average is $49.57.

Insider Buying and Selling

In other American Public Education news, insider James Kenigsberg sold 1,256 shares of the company’s stock in a transaction dated Thursday, October 22nd. The shares were sold at an average price of $47.69, for a total value of $59,898.64. Following the completion of the transaction, the insider directly owned 43,473 shares of the company’s stock, valued at $2,073,227.37. This represents a 2.81% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 10.60% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on the company. DA Davidson upgraded American Public Education to a “strong-buy” rating in a research note on Monday, October 5th. Weiss Ratings downgraded American Public Education from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Thursday, October 15th. Wall Street Zen lowered American Public Education from a “strong-buy” rating to a “buy” rating in a research note on Saturday, August 15th. Zacks Research downgraded American Public Education from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 11th. Finally, B. Riley Financial reduced their price target on American Public Education from $70.00 to $65.00 and set a “buy” rating on the stock in a research report on Wednesday, October 28th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $59.00.

American Public Education Company Profile

American Public Education, Inc (NASDAQ: APEI) is an education services company that provides postsecondary instruction and career-focused training through a group of institutions. Its portfolio includes American Public University System, Rasmussen University and Hondros College of Nursing.

American Public University System offers undergraduate and graduate programs primarily through online and distance-learning formats. Its institutions serve military personnel, veterans, working adults and other students, with academic offerings spanning areas such as business, public service, health care, technology, security and liberal arts.

Rasmussen University provides undergraduate and graduate education through online and campus-based programs, with a focus on health sciences, nursing, business, technology and other career-oriented fields.