Perdoceo Education's Q3 revenue rises, beats estimates

Overview

• US postsecondary education provider's Q3 revenue rose 1.9% year-over-year

• Adjusted EPS for Q3 grew 18.5% year-over-year

• Company repurchased 0.6 mln shares for $19.9 mln during Q3

Outlook

• Perdoceo sees Q4 adj operating income of $56.9 mln to $59.9 mln

• Company expects Q4 adj EPS of $0.68 to $0.72

• Perdoceo forecasts 2026 full-year adj EPS of $3.15 to $3.19

Result Drivers

• STUDENT INTEREST AND RETENTION - Co said strong prospective student interest and near-historical highs in student retention supported Q3 results

• ENROLLMENT GROWTH AT AIUS AND USAHS - Co reported increased enrollments at AIUS and USAHS, offsetting a slight decline at CTU

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the miscellaneous educational service providers peer group is "buy."

• Wall Street's median 12-month price target for Perdoceo Education Corporation is $44.00, about 46.7% above its November 4 closing price of $29.99

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Reuters Recommended Reads

• Nov 5 - Strategic Education Q3 revenue rises 1.6%, slightly misses estimates

• Nov 5 - Grand Canyon Education Q3 service revenue rises on higher university partner enrollments

• Nov 5 - McGraw Hill Q2 revenue falls 5.5% as K-12 declines

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)