- Stride, Inc. recently reported its fourth-quarter and full-year 2025 financial results, highlighting strong sales growth to US$653.65 million for the quarter and US$2.41 billion for the year, with new district partnerships announced in New Mexico driving record enrollments.
- Despite a one-time impairment charge of US$59.48 million in the quarter, the company's ongoing investments in targeted tutoring programs and expanded Career Learning offerings underscore its focus on evolving educational needs and diversified revenue streams.
- We'll now assess how record full-year sales and expanding enrollment momentum impact Stride's longer-term investment narrative.
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Stride Investment Narrative Recap
Stride’s investment story centers on sustained enrollment growth, recurring digital education revenues, and product expansion into tutoring and career learning. The company’s recent strong sales and new partnerships in New Mexico directly feed into its short-term catalyst, elevated enrollment momentum, while the impairment charge does not materially shift the main risks, such as political funding variability or cap constraints that limit scalable growth.
The August partnership with Chama Valley and Santa Rosa school districts in New Mexico stands out, marking a rapid recovery from recent contract losses and achieving record enrollments for the coming school year. This illustrates how new district wins can directly replenish or even enhance the company’s growth pipeline amid ongoing shifts in its client base.
By contrast, investors should stay mindful of the persistent risk posed by regulatory changes or state-level funding volatility, especially if...
Read the full narrative on Stride (it's free!)
Stride's outlook anticipates $3.1 billion in revenue and $523.9 million in earnings by 2028. This implies a 9.3% annual growth in revenue and a $236 million increase in earnings from the current $287.9 million.
Uncover how Stride's forecasts yield a $163.75 fair value, a 9% upside to its current price.
Exploring Other Perspectives
Simply Wall St Community members have published seven fair value estimates for Stride, ranging from US$106.68 to US$240.80 per share. While this reflects a broad spectrum of opinion, the recent surge in enrollment and new district partnerships continues to shape how each participant evaluates revenue predictability and potential growth ahead.
Explore 7 other fair value estimates on Stride - why the stock might be worth 29% less than the current price!
Build Your Own Stride Narrative
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
- A great starting point for your Stride research is our analysis highlighting 3 key rewards that could impact your investment decision.
- Our free Stride research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Stride's overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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