Grand Canyon Education (LOPE) Fundamental Analysis: Revenue, Earnings & Valuation

9.40 / 10

Outperform

LOPE boasts superior fundamentals (9.4/10), highlighted by a high gross profit margin of 51.88% and solid asset quality, with current assets at 42.02% of total assets. However, its equity ratio is low at 0.36, and both asset-to-market-value and profit-to-market-value factors are negative, signaling some balance-sheet leverage and muted profitability relative to market peers. These characteristics place the company in a solid but not exceptional fundamental tier, warranting cautious optimism.

Analysis Checks(5/10)

Revenue-MV

Value-0.95

Score2/3

Weight3.29%

1M Return0.46%

Gross profit margin (%)

Value51.88

Score2/3

Weight9.16%

1M Return1.31%

Equity ratio (Total liabilities / Shareholders’ equity attributable to parent company) (%)

Value0.36

Score0/3

Weight-14.15%

1M Return-2.33%

Profit-MV

Value0.03

Score0/3

Weight-3.15%

1M Return-0.43%

Non-current assets / Total assets (%)

Value57.98

Score2/3

Weight6.20%

1M Return0.94%

Cash-UP

Value-0.06

Score3/3

Weight144.03%

1M Return10.04%

Long-term debt to working capital ratio (%)

Value0.46

Score0/3

Weight-18.09%

1M Return-3.06%

Cost of sales ratio (%)

Value48.12

Score2/3

Weight9.17%

1M Return1.32%

Asset-MV

Value-0.50

Score1/3

Weight-38.52%

1M Return-6.95%

Current assets / Total assets (%)

Value42.02

Score1/3

Weight2.05%

1M Return0.33%

Is LOPE fundamentally strong?

LOPE scores 9.40/10 on fundamentals and holds a Discounted valuation at present. Backed by its 16.79% ROE, 19.38% net margin, 20.16 P/E ratio, 6.29 P/B ratio, and -2.61% earnings growth, these metrics solidify its Outperform investment rating.