Truist Financial Downgrades Strategic Education (NASDAQ:STRA) to Hold

Strategic Education (NASDAQ:STRA) was downgraded by equities research analysts at Truist Financial from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday, Marketbeat Ratings reports. They presently have a $85.00 price objective on the health services provider’s stock, down from their prior price objective of $95.00. Truist Financial’s price target indicates a potential upside of 1.81% from the stock’s previous close.

Several other research firms have also commented on STRA. Wall Street Zen raised shares of Strategic Education from a “buy” rating to a “strong-buy” rating in a research report on Saturday, February 28th. Zacks Research upgraded Strategic Education from a “hold” rating to a “strong-buy” rating in a research report on Monday, March 2nd. Barrington Research reissued an “outperform” rating and set a $105.00 target price on shares of Strategic Education in a research note on Monday, January 26th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Strategic Education in a research report on Thursday, January 22nd. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $92.67.

Strategic Education Trading Up 2.1%

Shares of STRA opened at $83.49 on Tuesday. Strategic Education has a 12-month low of $72.17 and a 12-month high of $93.45. The firm has a market capitalization of $1.89 billion, a P/E ratio of 15.40, a P/E/G ratio of 0.78 and a beta of 0.56. The firm has a 50-day moving average price of $80.98 and a 200 day moving average price of $80.86.

Strategic Education (NASDAQ:STRA) last issued its earnings results on Thursday, February 26th. The health services provider reported $1.74 EPS for the quarter, topping analysts’ consensus estimates of $1.47 by $0.27. Strategic Education had a net margin of 9.98% and a return on equity of 8.75%. The company had revenue of $311.46 million for the quarter, compared to the consensus estimate of $322.29 million. During the same period in the previous year, the firm earned $1.27 earnings per share. Strategic Education’s quarterly revenue was up 3.8% compared to the same quarter last year. Equities research analysts predict that Strategic Education will post 4.79 earnings per share for the current fiscal year.

Insider Activity at Strategic Education

In other news, Chairman Robert S. Silberman purchased 718 shares of the firm’s stock in a transaction on Friday, March 13th. The shares were bought at an average cost of $80.82 per share, for a total transaction of $58,028.76. Following the completion of the purchase, the chairman directly owned 319,870 shares of the company’s stock, valued at approximately $25,851,893.40. This trade represents a 0.22% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Daniel Wayne Jackson sold 13,000 shares of the company’s stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $82.37, for a total value of $1,070,810.00. Following the transaction, the chief financial officer owned 100,096 shares in the company, valued at $8,244,907.52. This trade represents a 11.49% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 62,420 shares of company stock worth $4,843,218. Company insiders own 3.60% of the company’s stock.

Institutional Investors Weigh In On Strategic Education

Several institutional investors and hedge funds have recently modified their holdings of the company. Blue Trust Inc. purchased a new stake in Strategic Education during the 3rd quarter worth approximately $25,000. Allworth Financial LP lifted its holdings in Strategic Education by 88.5% during the 3rd quarter. Allworth Financial LP now owns 294 shares of the health services provider’s stock worth $25,000 after buying an additional 138 shares in the last quarter. Hantz Financial Services Inc. boosted its position in Strategic Education by 154.2% in the 4th quarter. Hantz Financial Services Inc. now owns 333 shares of the health services provider’s stock valued at $27,000 after buying an additional 202 shares during the period. Osaic Holdings Inc. grew its stake in shares of Strategic Education by 85.2% in the second quarter. Osaic Holdings Inc. now owns 387 shares of the health services provider’s stock worth $33,000 after acquiring an additional 178 shares in the last quarter. Finally, Sankala Group LLC acquired a new position in shares of Strategic Education in the fourth quarter worth $37,000. Hedge funds and other institutional investors own 93.27% of the company’s stock.

Trending Headlines about Strategic Education

Here are the key news stories impacting Strategic Education this week:

• Positive Sentiment: Zacks added STRA to its March 24 list of top value stocks (Zacks Rank #1), which can attract value-oriented buyers and supporting demand for the shares. Best Value Stocks to Buy for March 24th
• Positive Sentiment: Zacks also included STRA on its March 24 list of top income stocks (Zacks Rank #1), which can draw income-focused investors given STRA’s payout profile and earnings yield. Best Income Stocks to Buy for March 24th
• Positive Sentiment: Strayer University (part of Strategic Education) launched a Master of Fine Arts in Screen Scoring & Music Design in Atlanta — a program expansion that modestly supports enrollment/product diversification and future revenue potential. Strayer University Launches MFA in Screen Scoring & Music Design
• Neutral Sentiment: A Zacks comparison piece looks at STRA vs. American Public Education (APEI) for value investors — useful context but unlikely to move price materially on its own. STRA or APEI: Which Is the Better Value Stock Right Now?
• Neutral Sentiment: Multiple short-interest reports posted anomalous data (showing 0 shares and NaN changes). The filings appear unreliable as published; until clarified, short-interest should not be treated as a confirmed catalyst.
• Negative Sentiment: Truist downgraded STRA from Buy to Hold and cut its price target to $85 from $95 — a professional analyst downgrade that can pressure the stock and reduce near-term upward momentum. Truist Securities downgrades Strategic Education (STRA)
• Negative Sentiment: An insider sold 2,982 shares for roughly $238K on March 18, trimming direct holdings by ~5.1% — insider sales can be perceived negatively by investors even when they are routine. Strategic Education Insider Sells $238K in Shares

About Strategic Education

Strategic Education, Inc is a publicly traded higher education services holding company headquartered in Herndon, Virginia. Through its primary operating subsidiaries, Strayer University and Capella University, the company delivers degree programs and professional development opportunities to working adults. Its offerings span undergraduate and graduate degrees, certificates, continuing education, and workforce training in fields such as business, technology, health services, education, and public administration.

Strayer University, with a network of physical campuses across the United States complemented by an online platform, provides associate’s through doctoral degrees designed to accommodate non-traditional students.