Stock fact sheet · data as of
Stride, Inc. (LRN): fair value, margin of safety and Wheel Score
Consumer Defensive · Education & Training Services · United States · Value
Is LRN undervalued?
LRN has a margin of safety of 66%: the stock closed at 83.18 on 16 Oct 2026 against a GLS average fair value of 245.69. 6 of the 8 valuation models that produced a number sit above the price. Our screens treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.
The 8 models disagree widely: Lynch gives 72.63 while GLS Growth gives 484.68. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files LRN under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for LRN
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 475.40 | +472% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 82.50 | -1% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 207.83 | +150% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 72.63 | -13% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 484.68 | +483% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 225.48 | +171% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 329.05 | +296% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 87.97 | +6% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 21.97 | -74% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 38.00 | -54% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - LRN passes 6 of the nine Piotroski tests, which passes the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 8.5 out of 10, built from ten years of revenue, earnings, margins, cash flow, share count and returns on capital scored for consistency - a high reading that points to a durable business.
Returns on capital are high - ROIC 15.5%, ROE 20.7%, ROA 13.9% - with debt at 0.33 times equity and a free-cash-flow yield of 10.3%.
Stride, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from General Education 39%, Career Learning 31%, Middle High School 29% (quarter Q4 FY2026).
Institutional ownership scores 10/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 16 Sep 2026.
| Piotroski F-score | 6 / 9 | ROIC | 15.5% |
|---|---|---|---|
| GLS Moat | 8.5 / 10 | ROE | 20.7% |
| Debt / equity | 0.33 | ROA | 13.9% |
| Free-cash-flow yield | 10.3% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 85: Prime
LRN scores 85 out of 100 on the Wheel Score, in the Prime band (80 and above), which fewer than one stock in twenty reaches on any night. The score blends five things a wheel trader checks before selling a cash-secured put: the margin of safety (Value, 25/25), Piotroski health (13/20), the GLS moat (13/15), the option premium on offer (18/20) and how easily the stock trades (15/20).
Implied volatility is 66% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (18 of 20) because volatility this high usually comes with a reason. Chain open interest is 13,464 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 690k shares a day on a market cap of $3.5B, with a beta of 0.11 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 15 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 66% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 13 / 15 | moat 8.5/10 | |
| Premium | 18 / 20 | implied volatility 66% | |
| Stability | 15 / 20 | 690k shares/day, $3.5B cap, beta 0.11 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Stride, Inc. reports earnings on 20 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Education & Training Services
The 12 companies below are the closest to Stride, Inc. by market cap within the Education & Training Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| LOPE Grand Canyon Education, Inc. | 161.43 | 166.55 | +3% | 72Good | $4.2B |
| CVSA Covista Inc. | 127.24 | 235.79 | +46% | 89Prime | $4.3B |
| MH McGraw Hill, Inc. | 14.20 | 26.91 | +47% | 76Good | $2.7B |
| LAUR Laureate Education, Inc. | 39.04 | 63.72 | +39% | 86Prime | $5.4B |
| DAO Youdao, Inc. | 18.51 | 12.84 | -44% | 39Weak | $2.2B |
| PRDO Perdoceo Education Corporation | 33.55 | 48.56 | +31% | 87Prime | $2.1B |
| STRA Strategic Education, Inc. | 80.97 | 180.97 | +55% | 83Prime | $1.8B |
| TAL TAL Education Group | 12.51 | 95.56 | +87% | 85Prime | $7.6B |
| COUR Coursera, Inc. | 5.09 | 9.88 | +48% | 45Weak | $1.3B |
| AFYA Afya Limited | 14.52 | 85.46 | +83% | 66Good | $1.3B |
| EDU New Oriental Education & Technology Group Inc. | 60.35 | 82.36 | +27% | 85Prime | $9.4B |
| UTI Universal Technical Institute, Inc. | 20.31 | 18.31 | -11% | 66Good | $1.1B |
⚖ Compare LRN with 7 of them All Consumer Defensive stocks →
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the same eight-rule screen, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about LRN
Is LRN undervalued right now?
By the GLS models, yes: at 83.18 the stock is 66% below the average fair value of 245.69 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of LRN and what does it mean?
LRN scores 85 out of 100 (Prime). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for LRN?
245.69 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Stride, Inc. report earnings next?
The next earnings report is due on 20 Oct 2026 (after the close), 4 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does LRN have listed options, and how liquid are they?
Yes. The nightly snapshot found 334 listed contracts with 13,464 open interest across all expiries and implied volatility of 66% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.