ATGE Valuation

Adtalem Global Education Inc

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130.950

-0.82(-0.622%)1D

Overview
Forecast
Valuation
Earnings

ATGE Relative Valuation

ATGE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ATGE is overvalued; if below, it's undervalued.

Historical Valuation

Adtalem Global Education Inc (ATGE) is now in the Undervalued zone, suggesting that its current forward PE ratio of 16.93 is considered Undervalued compared with the five-year average of 10.96. The fair price of Adtalem Global Education Inc (ATGE) is between 140.45 to 173.89 according to relative valuation methord. Compared to the current price of 130.95 USD , Adtalem Global Education Inc is Undervalued By 6.77%.

Relative Value

Fair Zone

140.45-173.89

Current Price：130.95

6.77%

Undervalued

16.93

Trailing

Forward

10.41

EV/EBITDA

Adtalem Global Education Inc. (ATGE) has a current EV/EBITDA of 10.41. The 5-year average EV/EBITDA is 7.58. The thresholds are as follows: Strongly Undervalued below 4.64, Undervalued between 4.64 and 6.11, Fairly Valued between 9.05 and 6.11, Overvalued between 9.05 and 10.52, and Strongly Overvalued above 10.52. The current Forward EV/EBITDA of 10.41 falls within the Overvalued range.

12.69

EV/EBIT

Adtalem Global Education Inc. (ATGE) has a current EV/EBIT of 12.69. The 5-year average EV/EBIT is 9.42. The thresholds are as follows: Strongly Undervalued below 6.45, Undervalued between 6.45 and 7.94, Fairly Valued between 10.91 and 7.94, Overvalued between 10.91 and 12.39, and Strongly Overvalued above 12.39. The current Forward EV/EBIT of 12.69 falls within the Strongly Overvalued range.

2.46

Adtalem Global Education Inc. (ATGE) has a current PS of 2.46. The 5-year average PS is 1.41. The thresholds are as follows: Strongly Undervalued below 0.62, Undervalued between 0.62 and 1.01, Fairly Valued between 1.81 and 1.01, Overvalued between 1.81 and 2.20, and Strongly Overvalued above 2.20. The current Forward PS of 2.46 falls within the Strongly Overvalued range.

12.85

P/OCF

Adtalem Global Education Inc. (ATGE) has a current P/OCF of 12.85. The 5-year average P/OCF is 10.32. The thresholds are as follows: Strongly Undervalued below -0.77, Undervalued between -0.77 and 4.78, Fairly Valued between 15.87 and 4.78, Overvalued between 15.87 and 21.42, and Strongly Overvalued above 21.42. The current Forward P/OCF of 12.85 falls within the Historic Trend Line -Fairly Valued range.

15.70

P/FCF

Adtalem Global Education Inc. (ATGE) has a current P/FCF of 15.70. The 5-year average P/FCF is 12.10. The thresholds are as follows: Strongly Undervalued below 4.15, Undervalued between 4.15 and 8.12, Fairly Valued between 16.08 and 8.12, Overvalued between 16.08 and 20.05, and Strongly Overvalued above 20.05. The current Forward P/FCF of 15.70 falls within the Historic Trend Line -Fairly Valued range.

Adtalem Global Education Inc (ATGE) has a current Price-to-Book (P/B) ratio of 3.30. Compared to its 3-year average P/B ratio of 1.81 , the current P/B ratio is approximately 82.98% higher. Relative to its 5-year average P/B ratio of 1.58, the current P/B ratio is about 109.58% higher. Adtalem Global Education Inc (ATGE) has a Forward Free Cash Flow (FCF) yield of approximately 6.07%. Compared to its 3-year average FCF yield of 6.57%, the current FCF yield is approximately -7.60% lower. Relative to its 5-year average FCF yield of 6.31% , the current FCF yield is about -3.83% lower.

3.30

P/B

Median3y

1.81

Median5y

1.58

6.07

FCF Yield

Median3y

6.57

Median5y

6.31

Competitors Valuation Multiple

The average P/S ratio for ATGE's competitors is 1.93, providing a benchmark for relative valuation. Adtalem Global Education Inc Corp (ATGE) exhibits a P/S ratio of 2.46, which is 27.32% above the industry average. Given its robust revenue growth of 11.51%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

ATGE.N

Adtalem Global Education Inc

Global Business Travel Group Inc

Life Time Group Holdings Inc

Peloton Interactive Inc

Loss

-5.70%

3.10B

Performance Decomposition

Market capitalization of ATGE increased by 74.05% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 13.08 to 21.71.

The secondary factor is the Revenue Growth, contributed 11.51%to the performance.

Overall, the performance of ATGE in the past 1 year is driven by P/E Change. Which is more unsustainable.

11.51%

409.91M → 457.11M

Revenue Growth

-3.48%

12.34 → 11.91

Margin Expansion

66.02%

13.08 → 21.71

P/E Change

74.05%