American Public Education, Inc.
American Public Education, Inc. Fundamental Analysis
American Public Education, Inc. (APEI) shows weak financial fundamentals with a PE ratio of 32.91, profit margin of 4.86%, and ROE of 10.92%. The company generates $0.7B in annual revenue with moderate year-over-year growth of 4.00%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze APEI's fundamental strength across five key dimensions:
Efficiency Score
WeakAPEI struggles to generate sufficient returns from assets.
Valuation Score
WeakAPEI trades at a premium to fair value.
Growth Score
WeakAPEI faces weak or negative growth trends.
Financial Health Score
ExcellentAPEI maintains a strong and stable balance sheet.
Profitability Score
WeakAPEI struggles to sustain strong margins.
Key Financial Metrics
Is APEI Expensive or Cheap?
P/E Ratio
APEI trades at 32.91 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, APEI's PEG of 8.95 indicates potential overvaluation.
Price to Book
The market values American Public Education, Inc. at 3.52 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 16.72 times EBITDA. This signals the market has high growth expectations.
How Well Does APEI Make Money?
Net Profit Margin
For every $100 in sales, American Public Education, Inc. keeps $4.86 as profit after all expenses.
Operating Margin
Core operations generate 7.40 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.92 in profit for every $100 of shareholder equity.
ROA
American Public Education, Inc. generates $5.81 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
American Public Education, Inc. generates limited operating cash flow of $63.24M, signaling weaker underlying cash strength.
Free Cash Flow
American Public Education, Inc. produces free cash flow of $47.05M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.56 in free cash annually.
FCF Yield
APEI converts 4.35% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
32.91
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
8.95
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.52
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.63
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.55
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.46
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How APEI Stacks Against Its Sector Peers
| Metric | APEI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 32.91 | 22.36 | Worse (Expensive) |
| ROE | 10.92% | 1238.00% | Weak |
| Net Margin | 4.86% | -5096.00% (disorted) | Weak |
| Debt/Equity | 0.55 | 1.23 | Strong (Low Leverage) |
| Current Ratio | 3.46 | 2.47 | Strong Liquidity |
| ROA | 5.81% | -191998.00% (disorted) | Weak |
APEI outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews American Public Education, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
99.22%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
46.94%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
16.31%
Industry Style: Defensive, Dividend, Low Volatility
High Growth