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1. Company Snapshot

1.a. Company Description

Laureate Education, Inc., together with its subsidiaries, provides higher education programs and services to students through a network of universities and higher education institutions.The company offers a range of undergraduate and graduate degree programs in the areas of business and management, medicine and health sciences, and engineering and information technology through campus-based, online, and hybrid programs.It provides its services in Mexico, Peru, and the United States.


The company was formerly known as Sylvan Learning Systems, Inc.and changed its name to Laureate Education, Inc.in May 2004.


Laureate Education, Inc.was founded in 1989 and is headquartered in Miami, Florida.

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1.b. Last Insights on LAUR

Laureate Education's recent performance has been driven by strong enrollment growth, particularly in Mexico and Peru, with a 7% year-over-year increase, reaching 511,000 total enrollments. The company's Q3 revenue grew 8.5% year-over-year, accompanied by an 11% rise in adjusted net income. Institutional investors have shown confidence, with Campbell & CO Investment Adviser LLC increasing its stake by 46.0%, and Formula Growth acquiring 111,000 shares, valued at $3.5 million. Additionally, the company has increased its share repurchase authorization by $150 million.

1.c. Company Highlights

2. Laureate Education's Q3 2025 Earnings: A Strong Beat on Revenue and EBITDA

Laureate Education reported a robust third quarter, with revenue reaching $400 million and adjusted EBITDA coming in at $95 million, both exceeding the guidance provided three months prior. The company's earnings per share (EPS) was $0.25, falling short of analyst estimates of $0.82. New enrollment volumes increased 7% year-over-year, while total enrollment volumes rose 6%. The revenue growth was driven by a 5% increase in Mexico and a strong performance in Peru, where revenue was bolstered by a 21% jump in new enrollments.

Publication Date: Nov -18

📋 Highlights
  • Q3 2025 Financials:: Revenue $400M, adjusted EBITDA $95M, both exceeding prior guidance.
  • Mexico Performance:: Adjusted EBITDA rose 25%, total enrollment up 4% YoY.
  • Peru Growth:: New enrollments surged 21%, total enrollments +8%, revenue growth outpaced $7M timing adjustment.
  • New Campus Openings:: Two campuses launched in Monterrey (Mexico) and Lima (Peru), on time and on budget.
  • 2025 Outlook Raised:: Revenue $1.681B–$1.686B (+7–8% YoY), adjusted EBITDA $508M–$512M (+13–14% YoY).

Segment Performance

In Mexico, new enrollments grew 2% year-over-year, or 4% on an organic basis, driven primarily by traditional 18- to 24-year-old undergraduate students. Total enrollment volume in Mexico increased 4%, with 3% coming from same-store growth and 1% from new campus launches. Peru saw a significant 21% increase in new enrollments, with total enrollments rising 8%. The strong consumer sentiment and value proposition in Peru contributed to the robust revenue growth.

Guidance and Outlook

Laureate Education has increased its outlook for 2025, with revenue expected to be in the range of $1.681 billion to $1.686 billion, representing growth of 7% to 8% on an as-reported basis. Adjusted EBITDA is expected to be in the range of $508 million to $512 million, reflecting growth of 13% to 14%. Analysts estimate revenue growth of 9.1% for the next year, indicating a positive outlook for the company's future performance.

Valuation and Metrics

Laureate Education's current valuation metrics include a P/E Ratio of 21.66, P/B Ratio of 3.94, and P/S Ratio of 2.78. The EV/EBITDA ratio stands at 9.65, indicating a reasonable valuation given the company's growth prospects. The company's return on equity (ROE) is 20.18%, suggesting a decent return for shareholders. As per the management, "the strong consumer sentiment and a very strong value proposition work well in the premium segment, in the value segment as well as a very rapid increase in demand for fully online working adult products" in Peru, which is expected to drive future growth.

3. NewsRoom

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Laureate Education $LAUR Holdings Raised by Robeco Institutional Asset Management B.V.

Jan -11

Source: defenseworld.net

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VIRGINIA RETIREMENT SYSTEMS ET Al Lowers Stake in Laureate Education $LAUR

Jan -05

Source: defenseworld.net

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Laureate Education: Visible Long-Term Demand And Growth Potential

Dec -29

Source: seekingalpha.com

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Laureate Education (NASDAQ:LAUR) Hits New 12-Month High – Here’s What Happened

Dec -25

Source: defenseworld.net

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Laureate Education $LAUR Shares Sold by Assenagon Asset Management S.A.

Dec -22

Source: defenseworld.net

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Why a Soaring Education Stock at All-Time Highs Drew a New $3.5 Million Investment

Dec -20

Source: fool.com

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Cullen Capital Management LLC Has $14.09 Million Stock Holdings in Laureate Education $LAUR

Dec -15

Source: defenseworld.net

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Reviewing Laureate Education (NASDAQ:LAUR) & YogaWorks (OTCMKTS:YOGAQ)

Dec -14

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (6.64%)

6. Segments

Mexico

Expected Growth: 6.5%

Mexico's 6.5% growth is driven by increasing demand for higher education, a growing middle class, and government initiatives to improve education infrastructure. Additionally, Laureate's strong brand reputation, diverse program offerings, and strategic partnerships with local institutions contribute to its success in the region.

Peru

Expected Growth: 6.8%

Peru's 6.8% growth is driven by increasing demand for higher education, a growing middle class, and government initiatives to improve education infrastructure. Laureate Education's strong brand reputation, diverse program offerings, and strategic partnerships with local institutions also contribute to its success in the region.

Corporate

Expected Growth: 5.5%

Laureate Education, Inc.'s corporate segment growth of 5.5% is driven by increasing demand for online and hybrid education, strategic expansion into emerging markets, and effective cost management. Additionally, the company's focus on providing high-quality, affordable education and its strong brand reputation contribute to its growth momentum.

7. Detailed Products

Online Higher Education

Laureate Education offers online higher education programs and courses through its network of universities and institutions, providing students with flexible and accessible learning opportunities.

On-Campus Higher Education

Laureate Education operates a network of on-campus universities and institutions, offering students a traditional learning experience with face-to-face instruction and campus life.

Vocational and Technical Training

Laureate Education provides vocational and technical training programs, focusing on skills development in areas like healthcare, technology, and culinary arts.

Corporate Training and Development

Laureate Education offers customized corporate training and development programs, helping organizations upskill their workforce and improve performance.

Test Preparation and English Language Training

Laureate Education provides test preparation services and English language training, helping students prepare for standardized tests and improve their language proficiency.

8. Laureate Education, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Laureate Education, Inc. faces moderate threat from substitutes due to the availability of alternative education providers and online learning platforms.

Bargaining Power Of Customers

Laureate Education, Inc. has a diverse student base, which reduces the bargaining power of individual customers. Additionally, the company's strong brand reputation and quality of education also limit the bargaining power of customers.

Bargaining Power Of Suppliers

Laureate Education, Inc. has a diversified supplier base, which reduces the bargaining power of individual suppliers. The company's large scale of operations also gives it negotiating power over suppliers.

Threat Of New Entrants

The online education market is highly competitive, and new entrants can easily enter the market with innovative technologies and business models, posing a significant threat to Laureate Education, Inc.

Intensity Of Rivalry

The online education market is highly competitive, with many established players and new entrants vying for market share. This intense rivalry puts pressure on Laureate Education, Inc. to maintain its market position and pricing power.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 38.02%
Debt Cost 7.84%
Equity Weight 61.98%
Equity Cost 7.85%
WACC 7.85%
Leverage 61.33%

11. Quality Control: Laureate Education, Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Graham

A-Score: 6.5/10

Value: 7.6

Growth: 7.3

Quality: 6.5

Yield: 2.0

Momentum: 8.0

Volatility: 7.7

1-Year Total Return ->

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Stock-Card
Laureate Education

A-Score: 6.2/10

Value: 2.9

Growth: 5.6

Quality: 6.0

Yield: 5.0

Momentum: 10.0

Volatility: 7.7

1-Year Total Return ->

View Full Report
Stock-Card
Strategic Education

A-Score: 5.3/10

Value: 6.3

Growth: 4.0

Quality: 6.2

Yield: 6.0

Momentum: 2.0

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
Adtalem Global Education

A-Score: 5.3/10

Value: 5.7

Growth: 7.4

Quality: 7.4

Yield: 0.0

Momentum: 7.0

Volatility: 4.0

1-Year Total Return ->

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Stock-Card
Grand Canyon Education

A-Score: 5.2/10

Value: 3.1

Growth: 6.7

Quality: 8.1

Yield: 0.0

Momentum: 5.5

Volatility: 7.7

1-Year Total Return ->

View Full Report
Stock-Card
Stride

A-Score: 4.3/10

Value: 7.7

Growth: 8.3

Quality: 7.4

Yield: 0.0

Momentum: 0.5

Volatility: 2.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

34.48$

Current Price

34.48$

Potential

-0.00%

Expected Cash-Flows