Citigroup Inc. has significantly reduced its stake in Adtalem Global Education Inc. (NYSE: ATGE), cutting its holdings by 56.5% during the third quarter of 2023. According to the firm’s latest Form 13F filing with the Securities and Exchange Commission (SEC), Citigroup now owns 15,320 shares after selling 19,894 shares during this period. The remaining shares are valued at approximately $2.37 million.
Several other institutional investors have also adjusted their positions in Adtalem Global Education, indicating a shift in investor sentiment. For instance, Penserra Capital Management LLC acquired a new stake worth about $28,000 in the second quarter, while Salomon & Ludwin LLC also took a similar position during the third quarter. UMB Bank n.a. increased its holdings by 79.7%, now owning 266 shares valued at $41,000 after purchasing an additional 118 shares. Allworth Financial LP raised its stake by 82.9% in the second quarter, now holding 342 shares worth $44,000 after acquiring 155 more shares.
In a notable shift, SBI Securities Co. Ltd. elevated its position by 727.9%, now owning 356 shares worth $45,000 following an acquisition of 313 additional shares. Institutional investors and hedge funds now control approximately 98.84% of Adtalem’s stock.
Recent Analyst Ratings and Stock Performance
Analysts have recently revised their ratings for Adtalem Global Education. On January 12, Weiss Ratings downgraded the company from a “buy (b-)” to a “hold (c+)” rating. Conversely, Barrington Research reaffirmed an “outperform” rating with a target price of $170.00 on January 29, while BMO Capital Markets reiterated a similar rating with a target of $138.00 on January 30. Currently, three investment analysts have given the stock a Buy rating, while two have issued a Hold rating, resulting in a consensus rating of “Moderate Buy” with a price target of $151.50, according to MarketBeat.com.
Adtalem Global Education’s recent stock performance shows its resilience. The company has a current ratio of 0.68, a quick ratio of 0.68, and a debt-to-equity ratio of 0.37. Over the past twelve months, the stock has fluctuated between a low of $86.26 and a high of $156.26. As of now, Adtalem holds a market capitalization of $3.40 billion and has a PE ratio of 14.47.
Financial Results and Future Outlook
Adtalem Global Education recently reported its earnings for the quarter ending January 28, 2024. The company achieved an earnings per share (EPS) of $2.43, surpassing analysts’ expectations of $2.19 by $0.24. Revenue for the quarter reached $503.39 million, exceeding forecasts of $488.72 million. This represents a 12.4% increase in revenue compared to the same quarter last year, where the company reported an EPS of $1.81.
Looking ahead, Adtalem has set its fiscal year 2026 guidance at EPS between $7.800 and $8.000. Analysts predict that Adtalem Global Education will report an EPS of $6.20 for the current fiscal year.
Adtalem Global Education, headquartered in the United States, is recognized as a prominent provider of postsecondary education and professional development solutions. Through its various brands and institutions, the company offers degree programs and continuing education in fields such as healthcare, business, technology, and the sciences. Its portfolio includes institutions like Chamberlain University, Carrington College, and Walden University, as well as medical and veterinary schools, positioning Adtalem as a leader in the education sector.
