Is the business good?
How good a business is LRN?
Stride, Inc. earns 25% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
25%
Return on invested capital · cost of capital 9.0% · 16 points above what the capital costs: growth creates value
- Operating margin
- 16%
Operating margin · Education & Training Services median 13% · 12 months to Q3 2026
- Cash conversion
- 1.34×
Cash conversion · 1.02× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −6.8%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 3.1% |
| FY2021 | 7.2% |
| FY2022 | 9.3% |
| FY2023 | 9.0% |
| FY2024 | 12% |
| FY2025 | 15% |
Details›
- Gross margin12 months to Q3 2026
- 38%
- Operating margin12 months to Q3 2026
- 16%
- Net margin12 months to Q3 2026
- 12%
- Free cash flow margin
- 16%
- Revenue, trailing twelve months
- $2.54B
- Free cash flow, trailing twelve months
- $414M
- Net income, trailing twelve months
- $308M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 25%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Education & Training Services
Ranks #12 of 16 by Smart Score