Aspen Group (ASGR) AI Stock Analysis

• Market Cap: 488.98M
• Dividend Yield: 7.71%
• Average Volume (3M): 12.55K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.07
• Revenue Growth: -3.10%
• EPS Growth: 53.93%
• Country: IL
• Employees: 30
• Sector: Technology
• Sector Strength: 88
• Industry: Real Estate - Services
• EPS (TTM): N/A
• Shares Outstanding: 64,292,274
• 10 Day Avg. Volume: 21,762
• 30 Day Avg. Volume: 12,546
• PEG Ratio: -0.10
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 2.00
• P/FCF Ratio: -22.26
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: 712.00 ▲(1.45% Upside)

Aspen Group's overall stock score is primarily influenced by its financial performance and technical analysis. While there are positive trends in operational efficiency and cash flow, significant risks remain due to high leverage and profitability challenges. The technical analysis provides a more optimistic outlook with short-term bullish momentum. The valuation is mixed, with a negative P/E ratio but a high dividend yield offering some appeal.

Positive Factors

Operational Efficiency

Improved operational efficiency through better EBIT and EBITDA margins indicates a stronger ability to manage costs and enhance profitability over time.

Cash Generation

Enhanced free cash flow growth reflects improved cash management, which can support reinvestment in the business and provide financial flexibility.

Revenue Model

The direct-to-consumer model ensures a steady revenue stream from tuition fees, providing a reliable financial base and potential for growth in the education sector.

Negative Factors

High Leverage

High leverage indicates a heavy reliance on debt, which can increase financial risk, especially if interest rates rise, affecting long-term stability.

Profitability Challenges

Struggles with profitability, as shown by a negative net profit margin, highlight difficulties in converting revenue into profit, impacting long-term financial health.

Revenue Volatility

Revenue volatility suggests instability in income streams, which can complicate financial planning and affect the company's ability to sustain growth.

Aspen Group Business Overview & Revenue Model

Company Description

Aspen Group (ASGR) is a forward-thinking education company that focuses on providing high-quality online degree programs and educational services primarily through its subsidiary, Aspen University. The company operates in the higher education sector, offering degrees in fields such as business, nursing, and education. Aspen Group aims to enhance access to affordable education, leveraging technology to deliver flexible and innovative learning experiences to students across the United States and beyond.

How the Company Makes Money

Aspen Group generates revenue primarily through tuition fees collected from students enrolled in its online degree programs. The company operates on a direct-to-consumer model, where students pay for their courses and programs, contributing to a consistent revenue stream. In addition to tuition, Aspen Group may also earn revenue through partnerships with organizations that provide educational services or through grants and financial aid that facilitate students' enrollment. The emphasis on affordable, accessible education positions Aspen Group to attract a diverse student base, further enhancing its revenue potential.

Aspen Group Financial Statement Overview

Summary

Aspen Group faces significant financial challenges, with declining revenues and profitability issues impacting its income statement. The high leverage on the balance sheet poses risks, while cash flow improvements provide some relief. Overall, the company needs to address its operational inefficiencies and manage its debt levels to improve financial health.

Income Statement

Aspen Group's income statement reveals a challenging financial position. The company has experienced declining revenue growth, with a negative growth rate in the TTM period. Gross profit margins remain strong, but net profit margins are negative, indicating profitability issues. The EBIT and EBITDA margins have also deteriorated over time, reflecting operational challenges.

Balance Sheet

The balance sheet shows high leverage, with a debt-to-equity ratio significantly above industry norms, posing a risk to financial stability. The return on equity is negative, highlighting inefficiencies in generating returns for shareholders. The equity ratio is low, indicating a heavy reliance on debt financing.

Cash Flow

Cash flow analysis shows some improvement, with a significant increase in free cash flow growth in the TTM period. However, the operating cash flow to net income ratio is low, suggesting challenges in converting income into cash. The free cash flow to net income ratio is positive but remains low, indicating limited cash generation relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	215.34M	213.71M	251.75M	282.91M	196.21M	182.35M
Gross Profit	154.63M	159.07M	197.82M	165.80M	144.46M	143.85M
EBITDA	124.14M	31.96M	-16.02M	320.17M	309.34M	94.95M
Net Income	-37.66M	-103.34M	-72.80M	35.33M	91.96M	34.20M
Balance Sheet
Total Assets	3.89B	3.52B	5.27B	5.35B	4.37B	2.82B
Cash, Cash Equivalents and Short-Term Investments	684.07M	182.63M	326.25M	447.26M	384.12M	378.21M
Total Debt	2.71B	2.43B	3.32B	3.16B	2.59B	1.76B
Total Liabilities	2.90B	2.59B	3.72B	3.73B	2.98B	1.97B
Stockholders Equity	573.24M	572.62M	721.31M	787.93M	722.57M	665.34M
Cash Flow
Free Cash Flow	68.83M	-19.18M	-28.15M	33.52M	-36.59M	41.92M
Operating Cash Flow	71.89M	49.71M	45.05M	100.77M	11.48M	42.06M
Investing Cash Flow	106.20M	-426.44M	-75.34M	-583.11M	-362.82M	102.90M
Financing Cash Flow	73.68M	240.33M	-83.35M	589.68M	295.87M	23.90M

Aspen Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 701.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ASGR, the sentiment is Positive. The current price of 701.8 is below the 20-day moving average (MA) of 726.72, above the 50-day MA of 686.52, and above the 200-day MA of 699.99, indicating a bullish trend. The MACD of 25.96 indicates Negative momentum. The RSI at 70.37 is Negative, neither overbought nor oversold. The STOCH value of 91.41 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:ASGR.

Aspen Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ASGR	53 Neutral	488.98M	-13.04	―	7.71%	-3.10%	53.93%