Latest news with #Adtalem
Yahoo
2 days ago
- Business
- Yahoo
Adtalem (NYSE:ATGE) Beats Expectations in Strong Q2, Full-Year Sales Guidance is Optimistic
Vocational education company Adtalem Global Education (NYSE:ATGE) reported Q2 CY2025 results topping the market's revenue expectations , with sales up 11.5% year on year to $457.1 million. The company's full-year revenue guidance of $1.92 billion at the midpoint came in 1.8% above analysts' estimates. Its non-GAAP profit of $1.66 per share was 8.3% above analysts' consensus estimates. Is now the time to buy Adtalem? Find out in our full research report. Adtalem (ATGE) Q2 CY2025 Highlights: Revenue: $457.1 million vs analyst estimates of $439.6 million (11.5% year-on-year growth, 4% beat) Adjusted EPS: $1.66 vs analyst estimates of $1.53 (8.3% beat) Adjusted EBITDA: $110.2 million vs analyst estimates of $104.7 million (24.1% margin, 5.3% beat) Adjusted EPS guidance for the upcoming financial year 2026 is $7.75 at the midpoint, beating analyst estimates by 3.9% Operating Margin: 16.8%, in line with the same quarter last year Market Capitalization: $4.28 billion Company Overview Formerly known as DeVry Education Group, Adtalem Global Education (NYSE:ATGE) is a global provider of workforce solutions and educational services. Revenue Growth A company's long-term sales performance can indicate its overall quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Over the last five years, Adtalem grew its sales at a 11.2% annual rate. Although this growth is acceptable on an absolute basis, it fell short of our standards for the consumer discretionary sector, which enjoys a number of secular tailwinds. Long-term growth is the most important, but within consumer discretionary, product cycles are short and revenue can be hit-driven due to rapidly changing trends and consumer preferences. Adtalem's annualized revenue growth of 11% over the last two years aligns with its five-year trend, suggesting its demand was consistently weak. This quarter, Adtalem reported year-on-year revenue growth of 11.5%, and its $457.1 million of revenue exceeded Wall Street's estimates by 4%. Looking ahead, sell-side analysts expect revenue to grow 5.4% over the next 12 months, a deceleration versus the last two years. This projection is underwhelming and suggests its products and services will face some demand challenges. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Operating Margin Operating margin is a key measure of profitability. Think of it as net income - the bottom line - excluding the impact of taxes and interest on debt, which are less connected to business fundamentals. Adtalem's operating margin has risen over the last 12 months and averaged 18.3% over the last two years. On top of that, its profitability was top-notch for a consumer discretionary business, showing it's an well-run company with an efficient cost structure. In Q2, Adtalem generated an operating margin profit margin of 16.8%, in line with the same quarter last year. This indicates the company's overall cost structure has been relatively stable. Earnings Per Share Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Adtalem's EPS grew at a spectacular 23.8% compounded annual growth rate over the last five years, higher than its 11.2% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. In Q2, Adtalem reported adjusted EPS at $1.66, up from $1.37 in the same quarter last year. This print beat analysts' estimates by 8.3%. Over the next 12 months, Wall Street expects Adtalem's full-year EPS of $6.68 to grow 11.5%. Key Takeaways from Adtalem's Q2 Results It was great to see Adtalem's full-year revenue guidance top analysts' expectations. We were also happy its revenue outperformed Wall Street's estimates. Overall, we think this was a decent quarter with some key metrics above expectations. The stock traded up 2.3% to $122 immediately after reporting. Adtalem put up rock-solid earnings, but one quarter doesn't necessarily make the stock a buy. Let's see if this is a good investment. What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
Adtalem Global Education and Sallie Mae Sign Letter of Intent to Explore New Student Financing Model
Aims to establish uninterrupted access to responsible student financing ahead of changes to federal student loan programs CHICAGO & NEWARK, Del., August 06, 2025--(BUSINESS WIRE)--Adtalem Global Education Inc. (NYSE: ATGE) and Sallie Mae (Nasdaq: SLM), formally SLM Corporation, today announced they have signed a Letter of Intent to explore alternative financing solutions for healthcare students as the federal Grad PLUS loan program phases out beginning July 1, 2026. The planned initiative intends to establish an alternative financing framework to help students across Adtalem's five institutions—representing one of the largest concentrations of future healthcare professionals—access funding to pursue their career goals. According to U.S. Bureau of Labor Statistics projections, healthcare occupations are expected to grow much faster than the average for all occupations from 2023-2033, with healthcare workers benefiting from recession-resistant career stability within the $4.3 trillion U.S. healthcare sector. In addition, the U.S. faces healthcare workforce shortages, with more than 7,000 areas currently designated as Health Professional Shortage Areas by the Health Resources and Services Administration. Moreover, the Association of American Medical Colleges projects a physician shortage of up to 124,000 by 2034, highlighting the urgent need for healthcare workforce expansion. "Sallie Mae is an exceptional leader in student financing, and an ally in our mission to scale healthcare education nationwide," said Steve Beard, chairman and chief executive officer, Adtalem Global Education. "Our institutions support over 90,000 students in their career aspirations, many of whom form the backbone of the U.S. healthcare system. This anticipated program will deepen our relationship with Sallie Mae and is expected to expand financing access for our students to complete their education and work in communities across the country. Together, we're creating innovative solutions that drive student success while addressing critical healthcare workforce needs—it's a win-win." "As the market leader for private student lending, we are well-positioned to create innovative and scalable solutions that meet the evolving needs of our school partners and help as many students as possible access and responsibly fund their higher education," said Jon Witter, chief executive officer, Sallie Mae. "This proposed initiative with Adtalem will not only assist their students pursuing critical, in-demand healthcare professions but also could serve as a model for other institutions seeking alternative financing solutions as they navigate changes to the federal student loan program." The planned program will seek to establish a framework for developing tailored financing solutions specifically designed for healthcare education, which is expected to include deferred repayment options and degree-specific terms. The companies expect to finalize a definitive agreement and announce financing products in the coming months, subject to regulatory processes and final agreements. About Sallie Mae Sallie Mae (Nasdaq: SLM) believes education and life-long learning, in all forms, help people achieve great things. As the leader in private student lending, we provide financing and know-how to support access to college and offer products and resources to help customers make new goals and experiences, beyond college, happen. Learn more at Commonly known as Sallie Mae, SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States of America. About Adtalem Global Education Adtalem Global Education is the leading provider of healthcare education in the U.S., shaping the future of healthcare by preparing a workforce with high-quality academic programs. We innovate education pathways, align with industry needs and empower individuals to reach their full potential. Our commitment to excellence and access is reflected in our expansive network of institutions, serving over 90,000 students and supported by a strong community of approximately 365,000 alumni and nearly 10,000 dedicated employees. Visit for more information, and follow us on LinkedIn, Instagram and Facebook. Category: Corporate and Financial View source version on Contacts Media Contacts: Sallie MaeRick AdtalemMaureen Sign in to access your portfolio
Business Wire
4 days ago
- Business
- Business Wire
Adtalem Global Education and Sallie Mae Sign Letter of Intent to Explore New Student Financing Model
CHICAGO & NEWARK, Del.--(BUSINESS WIRE)--Adtalem Global Education Inc. (NYSE: ATGE) and Sallie Mae (Nasdaq: SLM), formally SLM Corporation, today announced they have signed a Letter of Intent to explore alternative financing solutions for healthcare students as the federal Grad PLUS loan program phases out beginning July 1, 2026. The planned initiative intends to establish an alternative financing framework to help students across Adtalem's five institutions—representing one of the largest concentrations of future healthcare professionals—access funding to pursue their career goals. According to U.S. Bureau of Labor Statistics projections, healthcare occupations are expected to grow much faster than the average for all occupations from 2023-2033, with healthcare workers benefiting from recession-resistant career stability within the $4.3 trillion U.S. healthcare sector. In addition, the U.S. faces healthcare workforce shortages, with more than 7,000 areas currently designated as Health Professional Shortage Areas by the Health Resources and Services Administration. Moreover, the Association of American Medical Colleges projects a physician shortage of up to 124,000 by 2034, highlighting the urgent need for healthcare workforce expansion. "Sallie Mae is an exceptional leader in student financing, and an ally in our mission to scale healthcare education nationwide," said Steve Beard, chairman and chief executive officer, Adtalem Global Education. "Our institutions support over 90,000 students in their career aspirations, many of whom form the backbone of the U.S. healthcare system. This anticipated program will deepen our relationship with Sallie Mae and is expected to expand financing access for our students to complete their education and work in communities across the country. Together, we're creating innovative solutions that drive student success while addressing critical healthcare workforce needs—it's a win-win." 'As the market leader for private student lending, we are well-positioned to create innovative and scalable solutions that meet the evolving needs of our school partners and help as many students as possible access and responsibly fund their higher education,' said Jon Witter, chief executive officer, Sallie Mae. "This proposed initiative with Adtalem will not only assist their students pursuing critical, in-demand healthcare professions but also could serve as a model for other institutions seeking alternative financing solutions as they navigate changes to the federal student loan program.' The planned program will seek to establish a framework for developing tailored financing solutions specifically designed for healthcare education, which is expected to include deferred repayment options and degree-specific terms. The companies expect to finalize a definitive agreement and announce financing products in the coming months, subject to regulatory processes and final agreements. About Sallie Mae Sallie Mae (Nasdaq: SLM) believes education and life-long learning, in all forms, help people achieve great things. As the leader in private student lending, we provide financing and know-how to support access to college and offer products and resources to help customers make new goals and experiences, beyond college, happen. Learn more at Commonly known as Sallie Mae, SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States of America. About Adtalem Global Education Adtalem Global Education is the leading provider of healthcare education in the U.S., shaping the future of healthcare by preparing a workforce with high-quality academic programs. We innovate education pathways, align with industry needs and empower individuals to reach their full potential. Our commitment to excellence and access is reflected in our expansive network of institutions, serving over 90,000 students and supported by a strong community of approximately 365,000 alumni and nearly 10,000 dedicated employees. Visit for more information, and follow us on LinkedIn, Instagram and Facebook.
Globe and Mail
4 days ago
- Business
- Globe and Mail
Adtalem Global Education and Sallie Mae Sign Letter of Intent to Explore New Student Financing Model
Adtalem Global Education Inc. (NYSE: ATGE) and Sallie Mae (Nasdaq: SLM), formally SLM Corporation, today announced they have signed a Letter of Intent to explore alternative financing solutions for healthcare students as the federal Grad PLUS loan program phases out beginning July 1, 2026. The planned initiative intends to establish an alternative financing framework to help students across Adtalem's five institutions—representing one of the largest concentrations of future healthcare professionals—access funding to pursue their career goals. This press release features multimedia. View the full release here: According to U.S. Bureau of Labor Statistics projections, healthcare occupations are expected to grow much faster than the average for all occupations from 2023-2033, with healthcare workers benefiting from recession-resistant career stability within the $4.3 trillion U.S. healthcare sector. In addition, the U.S. faces healthcare workforce shortages, with more than 7,000 areas currently designated as Health Professional Shortage Areas by the Health Resources and Services Administration. Moreover, the Association of American Medical Colleges projects a physician shortage of up to 124,000 by 2034, highlighting the urgent need for healthcare workforce expansion. "Sallie Mae is an exceptional leader in student financing, and an ally in our mission to scale healthcare education nationwide," said Steve Beard, chairman and chief executive officer, Adtalem Global Education. "Our institutions support over 90,000 students in their career aspirations, many of whom form the backbone of the U.S. healthcare system. This anticipated program will deepen our relationship with Sallie Mae and is expected to expand financing access for our students to complete their education and work in communities across the country. Together, we're creating innovative solutions that drive student success while addressing critical healthcare workforce needs—it's a win-win." 'As the market leader for private student lending, we are well-positioned to create innovative and scalable solutions that meet the evolving needs of our school partners and help as many students as possible access and responsibly fund their higher education,' said Jon Witter, chief executive officer, Sallie Mae. "This proposed initiative with Adtalem will not only assist their students pursuing critical, in-demand healthcare professions but also could serve as a model for other institutions seeking alternative financing solutions as they navigate changes to the federal student loan program.' The planned program will seek to establish a framework for developing tailored financing solutions specifically designed for healthcare education, which is expected to include deferred repayment options and degree-specific terms. The companies expect to finalize a definitive agreement and announce financing products in the coming months, subject to regulatory processes and final agreements. About Sallie Mae Sallie Mae (Nasdaq: SLM) believes education and life-long learning, in all forms, help people achieve great things. As the leader in private student lending, we provide financing and know-how to support access to college and offer products and resources to help customers make new goals and experiences, beyond college, happen. Learn more at Commonly known as Sallie Mae, SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States of America. About Adtalem Global Education Adtalem Global Education is the leading provider of healthcare education in the U.S., shaping the future of healthcare by preparing a workforce with high-quality academic programs. We innovate education pathways, align with industry needs and empower individuals to reach their full potential. Our commitment to excellence and access is reflected in our expansive network of institutions, serving over 90,000 students and supported by a strong community of approximately 365,000 alumni and nearly 10,000 dedicated employees. Visit for more information, and follow us on LinkedIn, Instagram and Facebook.
Fast Company
21-07-2025
- Business
- Fast Company
These are the keys to good strategic partnerships that can future-proof your business
Hello and welcome to Modern CEO! I'm Stephanie Mehta, CEO and chief content officer of Mansueto Ventures. Each week this newsletter explores inclusive approaches to leadership drawn from conversations with executives and entrepreneurs, and from the pages of Inc. and Fast Company. If you received this newsletter from a friend, you can sign up to get it yourself every Monday morning. Modern business is built on partnerships. Some 43% of mid-market executives surveyed by J.P. Morgan at the end of last year said they were planning to invest in strategic alliances in 2025 as part of their growth plans. A third of Fast Company's Most Innovative Companies surveyed in 2023 said they were looking at initiating partnerships with third parties to maintain their innovation readiness. What does it take to make such partnerships work? 'You need humility and the willingness to take a risk on behalf of the partner so that both sides have skin in the game,' says Steve Beard, chairman and CEO of Adtalem Global Education, a for-profit provider of education and training for the healthcare industry. Finding solutions together Adtalem, which reported $1.6 billion in sales in fiscal 2024, up 9.2% from a year earlier, routinely partners with schools, hospital systems, and training organizations to increase its pipeline of medical professionals and offer hands-on experience to students and graduates. Beard shared the example of a new alliance between Chamberlain University, one of Adtalem's nursing schools, and SSM Health, a nonprofit health system operating in Illinois, Missouri, Oklahoma, and Wisconsin. The arrangement aims to enroll 400 nurses annually, primarily in Chamberlain's online Bachelor of Science in Nursing (BSN) program. Students in the program have the opportunity to gain work experience at SSM Health facilities while in school and have access to full-time employment opportunities at SSM Health—with loan repayment—upon graduation. Beard and Amy Wilson, chief nurse executive of SSM Health, say the program is designed to help address a nursing shortage in the U.S. The Bureau of Labor Statistics is projecting nearly 200,000 nursing openings each year through 2032 due to retirements—but the size of the registered nurse population is only expected to grow by 177,400 nurses between 2022 and 2032. Chamberlain recruits 'nontraditional' students, including people whose educations have been interrupted or those who have been shut out of selective colleges and universities. The school says it is the No. 1 provider of nursing degrees to minority students. 'Prestige and selectivity are, by definition, intended to be small, and there's no incentive for those institutions to grow to meet the market demand, which creates a very attractive lane for us,' says Beard. 'That is exactly what we exist to do.' Critics of for-profit colleges say students can get a comparable education at community or state colleges for much less money and fret about the schools' low completion rates. 'While our tuition may be higher than community colleges, it's often lower than private nonprofit institutions and out-of-state public rates,' says Beard. 'When you factor in speed to completion and targeted career alignment, we believe we offer strong return on investment for students underserved by traditional models.' Chamberlain says its four-year graduation rate is 71.2% for full-time undergraduate students across all its campuses compared with about 50% across all four-year institutions. Partnerships at work Beard says Adtalem respects its partners' areas of expertise. 'We have to have the humility to understand that we'll never know as much about their business and the challenges they're facing as they do.' And in partnerships like the one with SSM Health, each party had to be willing to try something different in order to make the deal a win-win. In SSM's case, Wilson says, the health system had to get comfortable with giving Chamberlain students priority placement in its clinical settings, an accommodation Wilson says she was willing to make in order to help fill her hiring pipeline. 'Saying that you have a strategic relationship with one school can sometimes be difficult within the nursing profession,' she says. 'We had to overcome that hurdle internally and get people comfortable with that.' For Adtalem, the arrangement means that other health systems won't necessarily have access to recruit from the student population that commits to work at SSM. Beard advises other CEOs that their teams need to be willing to co-create and iterate for partnerships to succeed. 'We've built in a tremendous amount of flexibility to adapt the program and its features as we learn together.' Announcing Inc.'s Power Partners Does your company partner with small businesses and entrepreneurs? Every year, Inc.'s Power Partner Awards recognizes companies of all sizes that help independent companies scale. You can apply here to earn a slot on this prestigious list. The deadline is July 25.
