American Public Education (APEI) AI Stock Analysis

• Market Cap: $572.22M
• Dividend Yield: N/A
• Average Volume (3M): 321.37K
• Price to Earnings (P/E): 30.9
• Beta (1Y): 0.86
• Revenue Growth: 4.86%
• EPS Growth: N/A
• Country: US
• Employees: 2,493
• Sector: Consumer Defensive
• Sector Strength: 55
• Industry: Education & Training Services
• EPS (TTM): 0.55
• Shares Outstanding: 18,039,665
• 10 Day Avg. Volume: 261,970
• 30 Day Avg. Volume: 321,374
• PEG Ratio: 0.38
• Price to Book (P/B): 1.79
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.11
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 0.19
• Enterprise Value/Gross Profit: 1.49
• Enterprise Value/Ebitda: 2.09
• 1Y Price Target: $33.17
• Price Target Upside: 4.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 65 Neutral
• Price Target: $33.00 ▲(4.04%Upside)

American Public Education, Inc. has shown strong financial and operational performance with a stable growth trajectory. The most significant factor is the positive earnings call, reflecting improvements in revenue, EBITDA, and enrollment. Despite high valuation concerns, the technical analysis supports potential upward movement. Continued focus on strategic initiatives and cost management enhances prospects, though challenges at specific segments need addressing.

Positive Factors

Enrollment Growth

The Department of Education removed growth restrictions on new Rasmussen campuses and programs, which could have a positive impact on enrollment growth.

Financial Performance

Revenues increased 6.6% to $164.6 million, outperforming estimates and management’s guidance.

Profitability

Net income was $7.5 million, significantly better than a net loss last year and above estimates and guidance.

Negative Factors

Revenue Decline

Revenue declined by 12% at Graduate School USA (GSUSA).

American Public Education Business Overview & Revenue Model

Company Description

American Public Education, Inc., together with its subsidiaries, provides online and campus-based postsecondary education. The company operates through three segments: American Public University System, Rasmussen University, and Hondros College of Nursing. It offers 130 degree programs and 111 certificate programs in various fields of study, including business administration, health science, technology, criminal justice, education, and liberal arts, as well as national security, military studies, intelligence, and homeland security. The company also provides nursing-and health sciences-focused postsecondary education, diploma in practical nursing, an associate degree in nursing, and an associate degree in medical laboratory technology. American Public Education, Inc. was incorporated in 1991 and is headquartered in Charles Town, West Virginia.

How the Company Makes Money

American Public Education, Inc. generates revenue primarily through tuition and fees collected from students enrolled in its educational programs. The company offers a variety of undergraduate and graduate degree programs, as well as certificate programs, which attract a broad base of students, including military personnel who often use tuition assistance programs. Additionally, APEI benefits from federal financial aid programs, such as those provided under the Title IV of the Higher Education Act, as a significant portion of its students utilize these funds to finance their education. The company may also engage in partnerships with corporations and government entities to provide tailored educational solutions, further contributing to its revenue streams.

American Public Education Financial Statement Overview

Summary

American Public Education demonstrates a positive growth trajectory with improving profitability and stable financial health. While revenue and operational efficiency have shown significant gains, profitability margins and cash flow management present areas for further enhancement. The company's prudent use of leverage and robust cash generation capacity are strengths, but fluctuations in financial metrics warrant careful monitoring.

Income Statement

American Public Education has shown a positive revenue growth trajectory with a TTM revenue of $634.68 million, marking an increase compared to the previous periods. The gross profit margin is healthy at approximately 50.8% for TTM, indicating efficient cost management. However, the net profit margin remains modest at around 3.86% for TTM, suggesting room for improvement in overall profitability. Notably, the EBIT margin improved significantly from negative to positive in recent periods, reflecting better operational efficiency.

Balance Sheet

The company maintains a stable equity base with a debt-to-equity ratio of 0.34 in the TTM, indicating prudent financial leverage. Stockholders' equity represents a substantial portion of total assets, with an equity ratio of approximately 53.6%, reflecting financial stability. However, the historical fluctuations in total debt and equity levels suggest potential risks in financial management. The return on equity (ROE) has improved but remains moderate at 7.9% for TTM.

Cash Flow

Cash flow analysis reveals a strong free cash flow growth rate in the most recent period, driven by increased operating cash flow of $65.13 million for TTM. The operating cash flow to net income ratio is robust, indicating effective cash generation relative to net earnings. The free cash flow to net income ratio also suggests efficient cash utilization. However, historical volatility in capital expenditures and financing activities could pose risks to cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	634.68M	624.56M	600.54M	606.33M	418.80M	321.79M
Gross Profit	322.28M	328.86M	307.68M	317.86M	246.18M	199.62M
EBITDA	59.26M	52.37M	-20.49M	-101.39M	50.77M	38.59M
Net Income	24.49M	16.11M	-47.29M	-114.97M	17.75M	18.82M
Balance Sheet
Total Assets	578.66M	570.10M	557.39M	615.06M	725.61M	371.02M
Cash, Cash Equivalents and Short-Term Investments	187.50M	158.94M	116.66M	102.56M	122.63M	227.69M
Total Debt	104.96M	200.62M	204.73M	208.97M	243.71M	8.85M
Total Liabilities	268.65M	266.22M	265.41M	265.33M	310.00M	64.09M
Stockholders Equity	310.01M	303.88M	291.98M	349.73M	415.61M	306.93M
Cash Flow
Free Cash Flow	46.36M	27.79M	31.62M	12.83M	4.44M	39.88M
Operating Cash Flow	65.13M	48.87M	45.51M	29.21M	16.27M	44.81M
Investing Cash Flow	-18.27M	-21.08M	-13.77M	-13.67M	-336.67M	-4.16M
Financing Cash Flow	-12.55M	-13.19M	-16.86M	-35.71M	242.34M	-15.71M

American Public Education Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 31.72
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APEI, the sentiment is Positive. The current price of 31.72 is above the 20-day moving average (MA) of 29.78, above the 50-day MA of 28.44, and above the 200-day MA of 22.19, indicating a bullish trend. The MACD of 0.83 indicates Negative momentum. The RSI at 61.26 is Neutral, neither overbought nor oversold. The STOCH value of 83.92 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for APEI.

American Public Education Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LOPE	78 Outperform	$4.90B	21.71	29.85%	―	6.31%	11.24%
PRDO	77 Outperform	$1.92B	12.96	16.54%	1.77%	6.35%	0.35%
UTI	76 Outperform	$1.70B	30.14	21.81%	―	14.69%	188.00%
STRA	69 Neutral	$1.94B	17.18	6.86%	2.99%	5.72%	11.02%
APEI	65 Neutral	$572.22M	30.91	8.18%	―	4.86%	―
LINC	64 Neutral	$715.58M	58.87	7.04%	―	15.24%	-54.31%
Sector *	61 Neutral	HK$19.79B	11.88	0.81%	5.13%	2.72%	-47.45%

American Public Education Corporate Events

American Public Education Eliminates Series A Preferred Stock

On June 23, 2025, American Public Education, Inc. filed a Certificate of Elimination to remove all matters related to its Series A Senior Preferred Stock from its Charter. On the same day, the company redeemed all 400 outstanding shares of this Preferred Stock at $111,137.88 per share, including accrued and unpaid dividends, totaling $44,455,152.00.

The most recent analyst rating on (APEI) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on American Public Education stock, see the APEI Stock Forecast page.

American Public Education Announces Preferred Stock Redemption

On June 13, 2025, American Public Education, Inc. announced its decision to redeem all 400 outstanding shares of its Series A Senior Preferred Stock on June 23, 2025. The redemption will be at approximately $111,137.88 per share, including accrued and unpaid dividends, totaling around $44.46 million.

The most recent analyst rating on (APEI) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on American Public Education stock, see the APEI Stock Forecast page.

American Public Education Highlights Strong Q1 2025 Performance

On June 5, 2025, American Public Education, Inc. released a supplemental financial presentation to be used in investor meetings, highlighting its strong financial performance and strategic initiatives. The company reported a revenue of $164.6 million and a net income of $7.5 million for the first quarter of 2025, exceeding previous guidance. APEI continues to experience positive enrollment momentum, particularly in its nursing and military education programs, and is planning a consolidation of its institutions to enhance operational efficiency. The company’s robust financial standing and strategic focus on high-demand education sectors position it well for future growth.

The most recent analyst rating on (APEI) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on American Public Education stock, see the APEI Stock Forecast page.

American Public Education Holds Annual Meeting, Elects Directors

American Public Education held its Annual Meeting on May 23, 2025, where stockholders voted on several key proposals. The election of directors saw Granetta B. Blevins, Michael D. Braner, Anna M. Fabrega, James Kenigsberg, Daniel S. Pianko, Angela K. Selden, and Richard J. Statuto elected to the Board. Stockholders also approved a Plan Amendment, the compensation for named executive officers, and ratified Deloitte & Touche LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (APEI) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on American Public Education stock, see the APEI Stock Forecast page.