Strategic Education price target lowered to $85 from $100 at BMO Capital

BMO Capital analyst Jeffrey Silber lowered the firm’s price target on Strategic Education (STRA) to $85 from $100 and keeps an Outperform rating on the shares. The company’s Q3 results beat estimates given better-than-anticipated margins, mostly in U.S. Higher Education, and the management seeks to make large changes to its expense base focused on productivity improvement, though some of the gains may be reinvested, and this could help Strategic Education return to its pre-pandemic margin profile over time, the analyst tells investors in a research note.