Simple Concepts Research Group

These Education Stocks Are Trading at a Discount (All Under $12)

by | Sep 23, 2021 | Stock Picks

Our Current Picks of the Cheapest Education Stocks (Including Stock Price Targets) for September 2021

Education has been a hot topic over the past year. The pandemic has had a mixed impact on educational institution operations across the US. In this article, we provide an updated list of best education stocks (all under $12) trading at a bargain in the stock market, for September 2021.

All companies were identified using the Simple Investing Success stock screener, which scans for companies meeting our simple criteria of cheap and good, using simple metrics for discount and valuation.

Top Education Stocks for September 2021

  • Universal Technical Institute (UTI)
  • Educational Development Corp. (EDUC)
  • Perdoceo Education Corp. (PRDO)

Let’s take a closer look at each company.

Universal Technical Inst. (UTI)

UTI Stock Rating
  • Earnings Yield: 19.41%
  • 52-week range: $4.47 – $7.35
  • Analyst Price target: $9.17
  • Price/Free Cash Flow: NA
  • Price/Sales: 0.68
  • Price/Earnings: 61.30

Universal Technical Institute provides postsecondary education for students specializing in professional automotive and collision repair, motorcycle repair, and marine technicians in the US. The company offers certificate, diploma and degree programs but primarily focuses on technical education programs.

The company operates under the following brands: Universal Technical Institute, Motorcycle Mechanics Institute, Marine Mechanics Institute and the NASCAR Technical Institute.

UTI currently operates across 12 campuses. The company was founded in 1965 and is headquartered in Phoenix, Arizona. The current CEO is Jerome Grant.

Educational Development (EDUC)

EDUC Stock Rating
  • Earnings Yield: 12.06%
  • 52-week range: $9.36 – $20.00
  • Analyst Price target: $16.74
  • Price/Free Cash Flow: NA
  • Price/Sales: 0.42
  • Price/Earnings: 6.13

Educational Development Co. is a publishing company that specializes in educational children’s books in the US. The company offers board books, activity books, flashcards, adventure search books, art books, stickers, and foreign language books. It also provides science and math titles and novels. The company operates in two segments: Home Business and Publishing.

The Home Business segment distributes books through a network of independent consultants (direct sales, book fairs, and internet based social media platforms). The Publishing division markets books to bookstores, toy stores, specialty stores, museums, and other retail outlets.

The company also distributes children’s books published by Usborne Publishing Limited in the UK. Educational Development Co. was incorporated in 1965 and is headquartered in Tulsa, Oklahoma. The current CEO is Randall White.

Perdoceo Education (PRDO)

PRDO Stock Rating
  • Earnings Yield: 32.36%
  • 52-week range: $10.38 – $14.05
  • Analyst Price target: $15.04
  • Price/Free Cash Flow: 5.10
  • Price/Sales: 1.08
  • Price/Earnings: 5.99

Perdoceo Education provides postsecondary education online, campus based, and blended learning programs in the US. The company operates through two segments: Colorado Technical University and the American InterContinental University System. The company offers academic programs in computer science, engineering, information systems and technology, and cybersecurity.

Perdoceo campuses have a total student enrollment of 42,700 students. The company was incorporated in 1994 and is headquartered in Schaumburg, Illinois. The current CEO is Todd Nelson.

Be sure to add these picks to your Watch List and if you haven’t done so already, check in on the performance of our Current Portfolio. Keep it simple and always do your due diligence.