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Adtalem Global Education Inc (ATGE)
NYSE:ATGE
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Adtalem Global Education (ATGE) AI Stock Analysis

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ATGE

Adtalem Global Education

(NYSE:ATGE)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
$106.00
▲(8.14% Upside)
Adtalem Global Education's overall stock score is driven by strong earnings call performance and solid financials, despite technical indicators suggesting bearish momentum. The company's strategic initiatives and growth in enrollment provide a positive outlook, but technical and valuation concerns temper the score.
Positive Factors
Revenue Growth
The significant revenue growth indicates strong demand for Adtalem's educational offerings, supporting long-term business expansion and market presence.
Enrollment Growth
Consistent enrollment growth reflects the company's ability to attract students, ensuring stable revenue streams and reinforcing its competitive position.
Strategic Partnerships
Strategic partnerships enhance Adtalem's educational offerings, aligning with industry trends and increasing its value proposition in the healthcare sector.
Negative Factors
Chamberlain Enrollment Challenges
Enrollment challenges at Chamberlain could impact future revenue growth and highlight operational inefficiencies that need addressing.
Free Cash Flow Concerns
Negative free cash flow growth may hinder Adtalem's ability to invest in new initiatives or weather economic downturns, affecting long-term financial health.
Debt Levels
High debt levels can limit financial flexibility and increase risk, potentially impacting Adtalem's ability to fund growth or manage economic challenges.

Adtalem Global Education (ATGE) vs. SPDR S&P 500 ETF (SPY)

Adtalem Global Education Business Overview & Revenue Model

Company DescriptionAdtalem Global Education Inc. provides workforce solutions worldwide. It operates through three segments, Chamberlain, Walden, and Medical and Veterinary. The Chamberlain segment offers degree and non-degree programs in the nursing and health professions postsecondary education industry. This segment operates Chamberlain University. The Walden segment offers online certificates, bachelor's, master's, and doctoral degrees, including nursing, education, counseling, business, psychology, public health, social work and human services, public administration and public policy, and criminal justice. This segment also operates Walden University. The Medical and Veterinary segment provides degree and non-degree programs in the medical and veterinary postsecondary education industry. This segment operates American University of the Caribbean School of Medicine, Ross University School of Medicine, and Ross University School of Veterinary Medicine. The company was formerly known as DeVry Education Group Inc. and changed its name to Adtalem Global Education Inc. in May 2017. Adtalem Global Education Inc. was incorporated in 1987 and is based in Chicago, Illinois.
How the Company Makes MoneyAdtalem Global Education generates revenue primarily through tuition and fees paid by students enrolled in its educational programs. The company operates several institutions, including medical and nursing schools, which often charge higher tuition rates due to the specialized nature of their programs. Additionally, ATGE earns revenue from online education offerings, adult and continuing education programs, and professional certification courses. The company may also benefit from partnerships with employers looking to upskill their workforce, as well as government funding for education programs. Financial aid and federal student loans are significant factors in driving enrollment and, consequently, revenue for the company.

Adtalem Global Education Earnings Call Summary

Earnings Call Date:Oct 30, 2025
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Feb 03, 2026
Earnings Call Sentiment Positive
The earnings call reflected strong overall performance with significant growth in enrollment and financial metrics, particularly at Walden University. However, challenges at Chamberlain with marketing and enrollment execution were noted as areas needing improvement. Despite these challenges, the company remains confident in its strategic direction and long-term growth prospects.
Q1-2026 Updates
Positive Updates
Record Enrollment Growth
Adtalem achieved its ninth consecutive quarter of enrollment growth, with total enrollment up 8% year-over-year to 97,000 students.
Revenue and Earnings Surge
Revenue increased by nearly 11% to $462 million, and adjusted earnings per share grew by 36% year-over-year to $1.75.
Walden University Milestone
Walden University reported its ninth consecutive quarter of enrollment growth at nearly 14%, achieving record total enrollment of over 52,000 students.
Strong Financial Position
Adtalem generated trailing 12-month free cash flow of $319 million, increased its revolving credit facility to $500 million, and extended its maturity.
Strategic Partnerships
New partnerships with Google Cloud and other organizations to prepare health care workers for an AI-enabled future.
Medical and Veterinary Segment Growth
Total enrollment in the Medical and Veterinary segment grew by 2.4% to approximately 5,300 students.
Negative Updates
Chamberlain Enrollment Challenges
Chamberlain's total enrollment grew by just over 2%, falling short of expectations due to marketing and enrollment operation execution failures.
Post-Licensure Enrollment Softness
Anticipated continued softness in post-licensure enrollment through the second and third quarters due to marketing and enrollment issues.
Company Guidance
In the first quarter of fiscal year 2026, Adtalem Global Education reported significant growth, with total enrollment increasing by 8% year-over-year to 97,000 students. Revenue rose nearly 11% to $462 million, and adjusted EBITDA margins expanded by 100 basis points. Adjusted earnings per share reached $1.75, reflecting a 36% year-over-year increase. Specific institutional highlights included Walden University's record enrollment growth of nearly 14% and Chamberlain University's 11th consecutive quarter of enrollment growth at 2.2%. The company maintained its full-year guidance, anticipating revenue between $1.9 billion and $1.94 billion and adjusted EPS ranging from $7.60 to $7.90. Despite execution challenges at Chamberlain, Adtalem remains confident in its strategic position and operational enhancements, including a partnership with Google Cloud to bolster AI credentials for healthcare professionals.

Adtalem Global Education Financial Statement Overview

Summary
Adtalem Global Education demonstrates solid financial performance with consistent revenue growth and improved profitability margins. The balance sheet shows a positive trend in leverage management and return on equity. However, challenges in free cash flow growth and a moderately high debt-to-equity ratio suggest areas for improvement.
Income Statement
Adtalem Global Education has shown consistent revenue growth over the years, with a recent growth rate of 2.71%. The gross profit margin has remained strong, indicating efficient cost management. The net profit margin has improved significantly from negative figures in 2022 to a healthy 13.25% in 2025, reflecting enhanced profitability. EBIT and EBITDA margins have also shown positive trends, supporting overall profitability. However, the growth rate has slowed down compared to previous years, which could be a concern for future expansion.
Balance Sheet
The company's debt-to-equity ratio has improved over the years, indicating better leverage management, though it remains moderately high. Return on equity has increased to 16.54% in 2025, showcasing improved efficiency in generating profits from shareholders' equity. The equity ratio remains stable, suggesting a balanced capital structure. However, the company should continue to focus on reducing debt levels to further strengthen its financial position.
Cash Flow
Operating cash flow has increased, reflecting better cash generation from core operations. However, free cash flow growth has been negative recently, indicating potential challenges in maintaining liquidity. The operating cash flow to net income ratio is healthy, suggesting good cash conversion efficiency. The company should focus on improving free cash flow to ensure sustainable financial health.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.83B1.79B1.58B1.45B1.39B899.25M
Gross Profit799.03M1.07B886.10M802.34M722.07M441.34M
EBITDA404.25M435.30M335.56M326.29M264.45M210.80M
Net Income252.73M237.06M136.78M93.36M310.99M70.03M
Balance Sheet
Total Assets2.87B2.75B2.74B2.81B3.03B3.05B
Cash, Cash Equivalents and Short-Term Investments264.69M199.60M219.31M272.19M346.97M476.38M
Total Debt775.95M774.00M847.85M896.19M1.07B1.29B
Total Liabilities1.41B1.32B1.37B1.35B1.52B1.75B
Stockholders Equity1.46B1.43B1.37B1.46B1.51B1.30B
Cash Flow
Free Cash Flow323.28M287.57M246.88M165.90M-20.63M143.53M
Operating Cash Flow379.21M337.90M295.77M202.91M10.42M192.20M
Investing Cash Flow-48.41M-41.92M-47.85M23.74M-551.63M-56.69M
Financing Cash Flow-331.41M-316.02M-301.80M-288.51M-424.48M676.47M

Adtalem Global Education Technical Analysis

Technical Analysis Sentiment
Negative
Last Price98.02
Price Trends
50DMA
142.40
Negative
100DMA
131.83
Negative
200DMA
120.16
Negative
Market Momentum
MACD
-2.81
Positive
RSI
16.20
Positive
STOCH
10.83
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATGE, the sentiment is Negative. The current price of 98.02 is below the 20-day moving average (MA) of 146.12, below the 50-day MA of 142.40, and below the 200-day MA of 120.16, indicating a bearish trend. The MACD of -2.81 indicates Positive momentum. The RSI at 16.20 is Positive, neither overbought nor oversold. The STOCH value of 10.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ATGE.

Adtalem Global Education Risk Analysis

Adtalem Global Education disclosed 45 risk factors in its most recent earnings report. Adtalem Global Education reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Adtalem Global Education Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$1.82B15.806.89%3.16%4.31%-1.08%
$4.28B17.1220.15%0.44%35.19%
$2.29B15.0316.39%1.70%15.99%13.25%
$5.29B22.8230.77%6.52%11.72%
$4.42B6.0517.20%0.71%4.13%228.37%
$3.56B15.8216.60%12.85%81.69%
$20.33B14.63-3.31%3.23%1.93%-12.26%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ATGE
Adtalem Global Education
98.02
18.32
22.99%
PRDO
Perdoceo Education
31.76
10.13
46.83%
LOPE
Grand Canyon Education
188.30
52.16
38.31%
STRA
Strategic Education
75.98
-8.30
-9.85%
GHC
Graham Holdings
1,012.13
176.78
21.16%
LAUR
Laureate Education
29.03
12.13
71.78%

Adtalem Global Education Corporate Events

Adtalem Global Education Reports Strong Growth Amid Challenges
Nov 1, 2025

Adtalem Global Education’s recent earnings call conveyed a positive sentiment, highlighting robust performance and growth, particularly at Walden University. The company demonstrated significant improvements in key financial metrics, although challenges at Chamberlain University were acknowledged. Despite these hurdles, Adtalem remains optimistic about its strategic direction and long-term growth potential.

Adtalem Global Education Reports Strong Q1 Performance
Oct 31, 2025

Adtalem Global Education is a leading provider of healthcare education in the United States, offering a wide range of academic programs aimed at preparing a skilled workforce for the healthcare industry.

Executive/Board Changes
Adtalem Announces Retirement of Chamberlain University President
Neutral
Oct 7, 2025

On October 6, 2025, Adtalem Global Education announced the retirement of Dr. Karen Cox, President of Chamberlain University, after nearly 40 years in healthcare and nursing education. Under her leadership since 2018, Chamberlain University became the largest school of nursing in the U.S., significantly expanding its student base and strengthening its position as a leading grantor of Bachelor of Science in Nursing degrees. The company has initiated an external search for her successor, highlighting the impact of her tenure on the institution’s growth and commitment to academic excellence.

The most recent analyst rating on (ATGE) stock is a Buy with a $172.00 price target. To see the full list of analyst forecasts on Adtalem Global Education stock, see the ATGE Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Adtalem Global Education Amends Credit Agreement for Growth
Positive
Aug 7, 2025

On August 6, 2025, Adtalem Global Education Inc. announced an amendment to its credit agreement, increasing its revolving facility by $100 million and extending its maturity to 2030. The company reported exceptional fiscal year 2025 results, with a 12.9% increase in revenue and a 33.1% growth in adjusted earnings per share. Total enrollment grew by 10.2% year-over-year, driven by strong performances from Chamberlain and Walden Universities. Adtalem’s strategic initiatives, including partnerships and program accreditations, are positioning it for sustained growth and impact in the healthcare education sector.

The most recent analyst rating on (ATGE) stock is a Buy with a $84.00 price target. To see the full list of analyst forecasts on Adtalem Global Education stock, see the ATGE Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 01, 2025