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LRN: Great Value Opportunity After Cataclysmic Price Drop

July 21, 2026 17:00 ET  | Source: Stride, Inc.

RESTON, Va., July 21, 2026 (GLOBE NEWSWIRE) -- Stride Inc. (NYSE: LRN) announced today it plans to discuss its fourth quarter and full fiscal year 2026 financial results during a conference call scheduled for Tuesday, August 4, 2026 at 5:00 p.m. eastern time (ET).

A live webcast of the call will be available at investors.stridelearning.com/events-and-presentations. To participate in the live call, investors and analysts should dial (833) 461-5787 (domestic) or +1 (585) 542-9983 (international) and provide the conference ID number 708 877 615. Please access the website at least 15 minutes prior to the start of the call.

A replay of the call will be posted at investors.stridelearning.com/events-and-presentations as soon as it is available.

About Stride Inc.

Stride Inc. (NYSE: LRN) is redefining lifelong learning with innovative, high-quality education solutions. Serving learners in primary, secondary, and postsecondary settings, Stride provides a wide range of services including K-12 education, career learning, professional skills training, and talent development. Stride reaches learners in all 50 states and over 100 countries. Learn more at stridelearning.com.

Investor Contact
Investor Relations
Stride, Inc.
[email protected]

Stride (LRN) offers alternative K-12 and career-focused online education, targeting enrollment growth as its main revenue driver. LRN's competitive edge is scale, but customer satisfaction issues and enrollment legitimacy risks threaten long-term sustainability. Flat 2026 revenue growth guidance (5%) and a fair value estimate of $87 align with the current $84 stock price.

Key Takeaways LRN has jumped 38.7% in 2026, outperforming a declining S&P 500 over the same period.INNV surged 34.5% after a Zacks Recommendation upgrade to Outperform in early February.PEP gained 13% in 12 weeks, supported by its inclusion in the ECAP portfolio. Last Friday, all three Wall Street benchmark stock indexes registered a week of gains. The tech-focused Nasdaq, the S&P 500 and the Dow Jones Industrial Average gained 4.4%, 3.4% and 3%, respectively.

The rebound was supported by easing concerns around inflation and interest rates, as investors took comfort from steady messaging by Jerome Powell and expectations that the Fed would avoid aggressive tightening. Cooling bond yields and stable economic data, including resilient jobs and consumer spending trends, improved risk appetite and encouraged investors to move back into equities after recent weakness.

At the same time, the ongoing Iran war played a complex role. While the conflict drove sharp spikes in oil prices due to disruptions in the Strait of Hormuz, markets partly rebounded as investors assessed that the economic impact, though serious, may remain contained in the near term. Tech stocks led gains, with dip-buying and optimism around corporate outlooks lifting sentiment, even as geopolitical risks and energy-driven inflation concerns lingered in the background.

Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. 

As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action.

Here are some of our key achievements:

Century Aluminum and Teradyne Surge Following Zacks Rank UpgradeShares of Century Aluminum Company (CENX - Free Report) have gained 23.9% (versus the S&P 500’s 4.9% decrease) since it was upgraded to a Zacks Rank #1 (Strong Buy) on February 4.

Another stock, Teradyne, Inc. (TER - Free Report) , which was also upgraded to a Zacks Rank #1 on February 4, has returned 9.4% since then.

An equal-weight portfolio of Zacks Rank # 1 (Strong Buy) stocks outperformed the equal-weight S&P 500 index by 7.7 percentage points in the year-to-date 2026 period (through March 3rd, 2026); The Zacks Rank #1 stocks returned +6.57% through March 3rd, while the equal-weight S&P 500 index lost -1.14% of its value.

In 2025, this hypothetical equal-weight portfolio returned +17.81% vs. +10.85% for the index, while performance comparison was +22.4% vs. +13.7% in 2024. Over the preceding 10-year period (2016 through 2025), this portfolio of qual-weight Zacks Rank #1 stocks outperformed the equal-weight S&P 500 index by more than 7 percentage points (+18.55% vs. +11.65%).

You can see the complete list of today’s Zacks Rank #1 stocks here >>>

Check Century Aluminum’s historical EPS and Sales here>>>

Check Teradyne’s historical EPS and Sales here>>>

Image Source: Zacks Investment Research

Zacks Recommendation Upgrades InnovAge and Teekay TankersShares of InnovAge Holding Corp. (INNV - Free Report) and Teekay Tankers Ltd. (TNK - Free Report) have surged 34.5% and 18.2% (versus the S&P 500’s 4.9% fall), respectively, since their Zacks Recommendation was upgraded to Outperform on February 4.

While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions.

The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model.

To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>>

Zacks Focus List Stocks Celanese, Quanta Services Shoot UpShares of Celanese Corporation (CE - Free Report) , which belongs to the Zacks Focus List, have gained 44% over the past 12 weeks. The stock was added to the Focus List on December 5, 2016. Another Focus-List holding, Quanta Services, Inc. (PWR - Free Report) , which was added to the portfolio on December 23, 2021, has returned 27.9% over the past 12 weeks. The S&P 500 has declined 5.2% over this period. 

The 50-stock Focus List portfolio returned +6.65% in 2026 (through February 28th) vs. +0.68% for the S&P 500 index and +7.06% for the equal-weight version of the index.

The portfolio returned +22.1% in 2025 vs. +17.9% for the S&P 500 index and +11.4% for the equal-weight version of the index.

The Zacks Focus List portfolio returned +18.41% in 2024 vs. +25.04% for the S&P 500 index and +13% for the equal-weight S&P 500 index. The portfolio had returned +29.54% in 2023 vs. +26.28% for the S&P 500 index and +13.61% for the equal-weight S&P 500 index. In 2022, the portfolio returned -15.2% vs. the S&P 500 index’s -17.96%.

Through February 28th, 2026, the portfolio’s rolling returns on a one-year, three-year, five-year, ten-year, and since 2004 have been +29.35% (vs. +17% for the S&P 500 index), +23.13% (vs. +21.81%), +14.15% (vs. +14.19%), +16.79% (vs. +15.50%) and +12.38% vs. (+10.66%), respectively.

Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >>

Zacks ECAP Stocks PepsiCo & Walmart Gain SignificantlyPepsiCo, Inc. (PEP - Free Report) , a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 13% over the past 12 weeks. Walmart Inc. (WMT - Free Report) followed PepsiCo with 10% returns.

The Zacks Earnings Certain Admiral Portfolio (ECAP), which consists of 30 concentrated, ultra-defensive, long-term Buy-and-Hold stocks, returned -2.3% in the fourth quarter of 2025 vs. the S&P 500 index’s +2.7% gain (SPY ETF). For 2025 as a whole, the portfolio returned -1.67% vs. +17.9% gain for the S&P 500 index.

For the year 2024, the portfolio returned +16.26% vs. +24.89% for the S&P 500 index (SPY ETF). In 2023, the portfolio returned +12.17% vs. +26.28% for the S&P 500 index. The portfolio returned -4.7% in 2022 vs. the S&P 500 index’s -17.96%.

With little to no turnover and annual rebalance periodicity, ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500.

The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo.

Zacks ECDP Stocks Hershey’s and Coca-Cola Outperform PeersThe Hershey Company (HSY - Free Report) , which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 15% over the past 12 weeks. Another ECDP stock, The Coca-Cola Company (KO - Free Report) , has climbed 13.1% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance.

Check Hershey’s dividend history here>>>

Check Coca-Cola’s dividend history here>>>

With an extremely low beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk.

The Zacks Earnings Certain Dividend Portfolio (ECDP) returned -2.1% in 2025 Q4 vs. the S&P 500 index’s +2.7% gain and the Dividend Aristocrats ETF’s (NOBL) +1.6% return. For 2025, the portfolio returned -0.6% vs. +6.8% gain for the Dividend Aristocrat ETF.

For the full year 2024, the portfolio returned +6.95% vs. +24.89% for the S&P 500 index and +6.72% for NOBL.

The portfolio returned -0.9% in 2023 vs. +26.28% for the S&P 500 index and +8.11% for NOBL. The portfolio returned -2.3% in 2022 vs. -17.96% for the S&P 500 index and -8.34% for NOBL.

Click here to access this portfolio on Zacks Advisor Tools.  

Zacks Top 10 Stock Stride Delivers Solid ReturnsStride, Inc. (LRN - Free Report) , from the Zacks Top 10 Stocks for 2025, has jumped 38.7% since January 5, 2026, against the S&P 500 Index’s 4% decrease.

The Top 10 portfolio retuned +10.5% in 2026 (through February 28th) vs. +0.5% for the S&P 500 index and +6.3% for the equal-weight version of the index.

The Top 10 portfolio returned +22.6% in 2025 vs. +17.9% for the S&P 500 index and +11.4% for the equal-weight version of the index.

The Top 10 portfolio returned +62.98% in 2024, vs. +25.04% for the S&P 500 index and +13% for the equal-weight version of the index. The portfolio had returned +25.15% in 2023 vs. +26.28% for the S&P 500 index.

Through the end of February 2026, the Top 10 portfolio has produced a cumulative return of +2,761.6% since 2012 vs. +564.8% for the S&P 500 index and +435% for the equal-weight version of the index. The portfolio has produced an average annual return of +26.4% in the period 2012 through February 28th, 2026 vs. +13% for the S&P 500 index and +11% for the equal-weight version of the index.

RESTON, Va., April 14, 2026 (GLOBE NEWSWIRE) -- Stride Inc. (NYSE: LRN) announced today it plans to discuss its third quarter fiscal year 2026 financial results during a conference call scheduled for Tuesday, April 28, 2026 at 5:00 p.m. eastern time (ET).

A live webcast of the call will be available at investors.stridelearning.com/events-and-presentations. To participate in the live call, investors and analysts should dial (800) 715-9871 (domestic) or +1 (646) 307-1963 (international) and provide the conference ID number 8901384. Please access the website at least 15 minutes prior to the start of the call.

A replay of the call will be posted at investors.stridelearning.com/events-and-presentations as soon as it is available.

About Stride Inc.

Stride Inc. (NYSE: LRN) is redefining lifelong learning with innovative, high-quality education solutions. Serving learners in primary, secondary, and postsecondary settings, Stride provides a wide range of services including K-12 education, career learning, professional skills training, and talent development. Stride reaches learners in all 50 states and over 100 countries. Learn more at stridelearning.com.

Investor Contact
Investor Relations
Stride, Inc.
[email protected]

RESTON, Va., April 28, 2026 (GLOBE NEWSWIRE) -- Stride, Inc. (NYSE: LRN), one of the nation’s most successful technology-based education companies, today announced its results for the third quarter of fiscal year 2026 ended March 31, 2026.

Third Quarter Fiscal 2026 Highlights Compared to 2025

Revenue of $629.9 million, compared with $613.4 millionIncome from operations of $129.1 million, compared with $130.8 millionNet income of $88.5 million, compared with $99.3 millionDiluted net income per share of $1.93, compared with $2.02Adjusted operating income of $140.4 million, compared with $141.7 million (1)Adjusted EBITDA of $171.3 million, compared with $168.3 million (1)Adjusted earnings per share of $2.30, compared with $2.33 (1)
Third Quarter Fiscal 2026 Summary Financial Metrics

 Three Months Ended March 31, Change 2026/2025 2026 2025 $ % (In thousands, except percentages and per share data)Revenues$629,873 $613,376 $16,497 2.7%           Income from operations 129,080  130,786  (1,706) (1.3%)Adjusted operating income (1) 140,424  141,744  (1,320) (0.9%)           Net income 88,527  99,346  (10,819) (10.9%)Net income per share, diluted 1.93  2.02  (0.09) (4.5%)Adjusted earnings per share (1) 2.30  2.33  (0.03) (1.3%)           EBITDA (1) 161,676  159,727  1,949 1.2%Adjusted EBITDA (1) 171,250  168,275  2,975 1.8% (1)  To supplement our financial statements presented in accordance with U.S. generally accepted accounting principles (GAAP), we also present non-GAAP financial measures including adjusted operating income (loss), EBITDA, adjusted EBITDA, and adjusted earnings per share. Management believes that these additional measures provide useful information to investors relating to our financial performance. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is provided below.

Nine Month Fiscal 2026 Highlights Compared to 2025

Revenue of $1,882.0 million, compared with $1,751.7 millionIncome from operations of $344.9 million, compared with $303.2 millionNet income of $256.8 million, compared with $236.6 millionDiluted net income per share of $5.39, compared with $4.95Adjusted operating income of $380.6 million, compared with $335.7 million (1)Adjusted EBITDA of $467.8 million, compared with $412.6 million (1)Adjusted earnings per share of $6.22, compared with $5.83 (1)
Nine Month Fiscal 2026 Summary Financial Metrics

 Nine Months Ended March 31, Change 2026/2025 2026 2025 $ % (In thousands, except percentages and per share data)Revenues$1,882,017 $1,751,670 $130,347 7.4%           Income from operations 344,915  303,229  41,686 13.7%Adjusted operating income (1) 380,559  335,673  44,886 13.4%           Net income 256,804  236,621  20,183 8.5%Net income per share, diluted 5.39  4.95  0.44 8.9%Adjusted earnings per share (1) 6.22  5.83  0.39 6.7%           EBITDA (1) 437,698  387,699  49,999 12.9%Adjusted EBITDA (1) 467,761  412,621  55,140 13.4% Revenue Data

 Three Months Ended      Nine Months Ended      March 31, Change 2026 / 2025 March 31, Change 2026 / 2025 2026 2025 $ % 2026  2025 $ % (In thousands, except percentages)                      General Education$357,463 $370,821 $(13,358) (3.6%) $1,061,976 $1,054,542 $7,434  0.7%Career Learning                     Middle - High School 259,520  223,868  35,652  15.9%  776,610  635,832  140,778  22.1%Adult 12,890  18,687  (5,797) (31.0%)  43,431  61,296  (17,865) (29.1%)Total Career Learning 272,410  242,555  29,855  12.3%  820,041  697,128  122,913  17.6%Total Revenues$629,873 $613,376 $16,497  2.7% $1,882,017 $1,751,670 $130,347  7.4%                       Enrollment and Revenue Per Enrollment Data

Third quarter enrollments were 244.5K, up 1.8% compared to 240.2K enrollments in the third quarter of fiscal year 2025. Of the total enrollments, 110.1K were Career Learning enrollments, up 11.6% compared to 98.7K Career Learning enrollments in the third quarter of fiscal 2025.

Enrollments only include those students in full service public or private programs where Stride provides a combination of curriculum, technology, and instructional and support services, inclusive of administrative support and may include enrollments for which Stride receives no public funding or revenue. Stride does not report enrollments for our Adult Learning business.

Revenue per enrollment for the third quarter was $2,485, up 2.9% compared to $2,415 in the third quarter of fiscal year 2025. General Education revenue per enrollment was $2,590, up 2.9% compared to the third quarter of fiscal year 2025, and Career Learning revenue per enrollment was $2,356, up 3.8%, compared to the third quarter of fiscal year 2025.

Cash Flow and Capital Allocation

As of March 31, 2026, the Company’s cash and cash equivalents and marketable securities totaled $856.0 million, compared with $1,011.4 million reported at June 30, 2025.

Capital expenditures for the three months ended March 31, 2026 were $18.5 million, compared to $15.8 million in the three months ended March 31, 2025, and were comprised of $0.5 million of property and equipment, $12.8 million of capitalized software development and $5.2 million of capitalized curriculum development.

Fiscal Year 2026 Outlook

The Company is narrowing its revenue, adjusted income, and capital expenditures forecast for the full fiscal year 2026:

Revenue in the range of $2.490 billion to $2.520 billion.Capital expenditures in the range of $75 million to $80 million. Note that capital expenditures include the purchase of property and equipment, and capitalized software and curriculum development costs as defined on our Statement of Cash Flows.Effective tax rate of 24% to 25%.Adjusted operating income in the range of $490 million to $500 million. (1) (1) In addition to providing an outlook for revenue and capital expenditures, adjusted operating income is provided as a supplemental non-GAAP financial measure as management believes that it provides useful information to our investors. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is provided below. Please also see Special Note on Forward-Looking Statements below.

Conference Call

The Company will discuss its third quarter of fiscal year 2026 financial results during a conference call scheduled for Tuesday, April 28, 2026 at 5:00 p.m. eastern time (ET).

A live webcast of the call will be available at investors.stridelearning.com/events-and-presentations. To participate in the live call, investors and analysts should dial (800) 715-9871 (domestic) or +1 (646) 307-1963 (international) and provide the conference ID number 8901384. Please access the website at least 15 minutes prior to the start of the call.

A replay of the call will be posted at investors.stridelearning.com/events-and-presentations.

About Stride Inc.

Stride Inc. (NYSE: LRN) is redefining lifelong learning with innovative, high-quality education solutions. Serving learners in primary, secondary, and postsecondary settings, Stride provides a wide range of services including K-12 education, career learning, professional skills training, and talent development. Stride reaches learners in all 50 states and over 100 countries. Learn more at stridelearning.com.

Special Note on Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release are forward-looking statements, including FY 2026 outlook. We have tried, whenever possible, to identify these forward-looking statements using words such as “outlook,” “forecasts,” “anticipates,” “believes,” “estimates,” “continues,” “likely,” “may,” “opportunity,” “potential,” “projects,” “will,” “will be,” “expects,” “plans,” “intends,” “should,” “would” and similar expressions to identify forward-looking statements, whether in the negative or the affirmative. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause our actual results, performance or achievements to differ materially from those expressed in, or implied by, such statements. These risks, uncertainties, factors and contingencies include, but are not limited to: reduction of per pupil funding amounts at the schools we serve; inability to achieve a sufficient level of new enrollments to sustain our business model or meet guidance; limitations of the enrollment data we present, which may not fully capture trends in the performance of our business; failure to enter into new school contracts or renew existing contracts, in part or in their entirety; failure of the schools we serve, our vendors, or us to comply with our contracts, or federal, state and local laws and regulations, resulting in a loss of funding, an obligation to repay funds previously received, contractual remedies, or actions or proceedings against us; governmental investigations that could result in fines, penalties, settlements, or injunctive relief; declines or variations in academic performance outcomes of the students and schools we serve, including due to the evolution of curriculum standards, testing programs and state accountability metrics; harm to our reputation resulting from poor performance or misconduct by operators or us in any school in our industry and/or in any school which we operate; legal and regulatory challenges from opponents of virtual public education or for-profit education companies; changes in national and local economic and business conditions and other factors, such as natural disasters, pandemics and outbreaks of contagious diseases and other adverse public health developments; discrepancies in interpretation of legislation by regulatory agencies that may lead to payment or funding disputes; termination of our contracts, or a reduction or termination in the scope of services, with schools; failure to develop the Career Learning business; entry of new competitors with superior technologies (including artificial intelligence) and lower prices; unsuccessful integration of mergers, acquisitions and joint ventures; failure to further develop, maintain and enhance our technology, products, services and brands; inadequate recruiting, training and retention of effective teachers and employees; infringement of our intellectual property; disruptions to our Internet-based learning and delivery systems, including, but not limited to, our data storage systems and third-party cloud systems and facilities, resulting from cybersecurity attacks; misuse or unauthorized disclosure of student and personal data; failure to prevent or mitigate a cybersecurity incident that affects our systems; problems in the implementation of new IT systems and technology; failure by us or third parties to maintain and support information technology systems, including addressing quality issues and timely delivering new products and enhancements; risks related to artificial intelligence; and other risks and uncertainties associated with our business described in the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended June 30, 2025 and any subsequently filed Quarterly Reports on Form 10-Q or the Company’s other filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this press release is as of today’s date, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.

Financial Statements

The financial statements set forth below are not the complete set of Stride, Inc.’s financial statements for the three and nine months ended March 31, 2026 and are presented below without footnotes. Readers are encouraged to obtain and carefully review Stride Inc.’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2026, including all financial statements contained therein and the footnotes thereto, filed with the SEC, which may be retrieved from the SEC’s website at www.sec.gov or from Stride Inc.’s Investor Relations website at investors.stridelearning.com.

STRIDE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
     Three Months Ended Nine Months Ended March 31, March 31, 2026
 2025
 2026
 2025
 (In thousands except share and per share data)Revenues$629,873  $613,376  $1,882,017  $1,751,670 Instructional costs and services 398,308   364,086   1,148,699   1,046,670 Gross margin 231,565   249,290   733,318   705,000 Selling, general, and administrative expenses 102,485   118,504   388,403   401,771 Income from operations 129,080   130,786   344,915   303,229 Interest expense, net (3,001)  (2,787)  (8,889)  (7,810)Other income (expense), net (5,338)  7,360   811   23,469 Income before income taxes and loss from equity method investments 120,741   135,359   336,837   318,888 Income tax expense (31,545)  (35,450)  (79,934)  (80,088)Loss from equity method investments (669)  (563)  (99)  (2,179)Net income attributable to common stockholders$88,527  $99,346  $256,804  $236,621 Net income attributable to common stockholders per share:           Basic$2.09  $2.31  $5.98  $5.50 Diluted$1.93  $2.02  $5.39  $4.95 Weighted average shares used in computing per share amounts:           Basic 42,330,276   43,092,682   42,925,740   42,992,727 Diluted 45,835,843   49,181,728   47,607,602   47,798,923  STRIDE, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS     March 31, June 30, 2026
 2025
   (audited)ASSETS(In thousands except share and per share data)      Current assets     Cash and cash equivalents$614,047  $782,497 Accounts receivable, net of allowance of $33,132 and $31,124 854,874   559,646 Inventories, net 21,501   37,570 Prepaid expenses 64,573   35,579 Marketable securities 191,793   202,769 Other current assets 12,002   14,673 Total current assets 1,758,790   1,632,734 Property and equipment, net 103,281   78,582 Capitalized software, net 82,653   75,314 Capitalized curriculum development costs, net 62,444   58,584 Intangible assets, net 12,646   18,227 Goodwill 246,676   246,676 Deferred tax asset —   26,377 Deposits and other assets 180,446   157,465 Total assets$2,446,936  $2,293,959 LIABILITIES AND STOCKHOLDERS' EQUITY     Current liabilities     Accounts payable$45,090  $43,962 Accrued liabilities 96,775   103,276 Accrued compensation and benefits 60,449   74,939 Deferred revenue 19,118   26,995 Current portion of finance lease liability 58,499   42,316 Current portion of operating lease liability 3,239   11,391 Total current liabilities 283,170   302,879 Long-term finance lease liability 59,297   44,567 Long-term operating lease liability 8,807   35,164 Long-term debt 417,579   416,322 Deferred tax liability 17,503   — Other long-term liabilities 18,655   15,408 Total liabilities 805,011   814,340 Commitments and contingencies     Stockholders’ equity     Preferred stock, par value $0.0001; 10,000,000 shares authorized; zero shares issued or outstanding —   — Common stock, par value $0.0001; 100,000,000 shares authorized; 49,133,813 and 48,852,419 shares issued; and 42,526,280 and 43,517,676 shares outstanding, respectively 4   4 Additional paid-in capital 729,851   735,711 Accumulated other comprehensive loss (59)  (67)Retained earnings 1,103,257   846,453 Treasury stock of 6,607,533 and 5,334,743 shares at cost, respectively (191,128)  (102,482)Total stockholders’ equity 1,641,925   1,479,619 Total liabilities and stockholders' equity$2,446,936  $2,293,959  STRIDE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
   Nine Months Ended March 31, 2026
 2025
 (In thousands)Cash flows from operating activities     Net income$256,804  $236,621 Adjustments to reconcile net income to net cash provided by operating activities:     Depreciation and amortization expense 92,783   84,470 Stock-based compensation expense 30,063   24,922 Deferred income taxes 45,622   5,655 Provision for credit losses 10,689   13,357 Amortization of fees on debt 1,257   1,238 Noncash operating lease expense 4,541   9,230 Other 11,877   1,712 Changes in assets and liabilities:     Accounts receivable (305,903)  (240,429)Inventories, prepaid expenses, deposits and other current and long-term assets 11,606   (3,643)Accounts payable 1,249   (528)Accrued liabilities (8,768)  8,463 Accrued compensation and benefits (14,275)  4,149 Operating lease liability (15,950)  (9,583)Deferred revenue and other liabilities (4,632)  (1,142)Net cash provided by operating activities 116,963   134,492 Cash flows from investing activities     Purchase of property and equipment (587)  (1,350)Capitalized software development costs (37,471)  (28,605)Capitalized curriculum development costs (18,156)  (15,451)Other acquisitions, loans and investments, net of distributions (54,342)  (1,681)Proceeds from the maturity of marketable securities 213,886   221,530 Purchases of marketable securities (222,643)  (227,786)Net cash used in investing activities (119,313)  (53,343)Cash flows from financing activities     Repayments on finance lease obligations (41,277)  (29,957)Purchase of treasury stock (88,645)  - Repurchase of restricted stock for income tax withholding (36,178)  (20,672)Net cash used in financing activities (166,100)  (50,629)Net change in cash, cash equivalents and restricted cash (168,450)  30,520 Cash, cash equivalents and restricted cash, beginning of period 782,497   500,614 Cash, cash equivalents and restricted cash, end of period$614,047  $531,134       Reconciliation of cash, cash equivalents and restricted cash to balance sheet as of March 31st:     Cash and cash equivalents$614,047  $528,547 Other current assets (restricted cash) —   476 Deposits and other assets (restricted cash) —   2,111 Total cash, cash equivalents and restricted cash$614,047  $531,134  Non-GAAP Financial Measures

To supplement our financial statements presented in accordance with GAAP, we have presented adjusted operating income (loss), EBITDA, adjusted EBITDA, and adjusted earnings per share, which are not presented in accordance with GAAP.

Adjusted operating income (loss) is defined as income (loss) from operations as adjusted for amortization of intangible assets, stock-based compensation, and other one-time charges or gains.EBITDA is defined as income (loss) from operations as adjusted for depreciation and amortization.Adjusted EBITDA is defined as income (loss) from operations as adjusted for depreciation and amortization, stock-based compensation, and other one-time charges or gains.Adjusted earnings per share (adjusted EPS) is defined as net income (loss) attributable to common stockholders as adjusted for the amortization of intangible assets, stock-based compensation, and other one-time charges or gains net of tax impact divided by the diluted weighted average number of common shares outstanding less the shares expected to be received for the capped call transaction related to Stride’s convertible senior notes. Adjusted operating income (loss), adjusted EBITDA, and adjusted EPS exclude stock-based compensation, which consists of expenses for restricted stock, restricted stock units, and performance stock units.

Management believes that the presentation of these non-GAAP financial measures provides useful information to investors relating to our financial performance. Adjusted operating income (loss), adjusted EBITDA and adjusted EPS remove stock-based compensation, which is a non-cash charge that varies based on market volatility and the terms and conditions of the awards. EBITDA and adjusted EBITDA remove depreciation and amortization, which can vary depending upon accounting methods and the book value of assets. Adjusted operating income (loss), adjusted EBITDA and adjusted earnings per share remove one-time charges or gains which are not related to core operating activities and are not indicative of our ongoing operating performance. Additionally, adjusted EPS includes the impact from shares expected to be received by the Company to offset potential dilution from the convertible senior notes. EBITDA and adjusted EBITDA provide a measure of corporate performance exclusive of capital structure and the method by which assets were acquired.

Management uses these non-GAAP financial measures:

as additional measures of operating performance because they assist in comparing the Company’s performance on a consistent basis; andin presentations to the members of the Company’s Board of Directors to enable the Board to review the same measures used by management to compare the Company’s current operating results with corresponding prior periods. Other companies may define these non-GAAP financial measures differently and, as a result, these non-GAAP financial measures may not be directly comparable to similar non-GAAP financial measures used by other companies. Although these non-GAAP financial measures are used to assess the performance of the business, the use of non-GAAP financial measures is limited as they include and/or do not include certain items included and/or not included in the most directly comparable GAAP financial measure.

These non-GAAP financial measures should be considered in addition to, and not as a substitute for, revenues, income (loss) from operations, net income (loss) and diluted net income (loss) per share or other related financial information prepared in accordance with GAAP. Adjusted EBITDA is not intended to be a measure of liquidity. You are cautioned not to place undue reliance on these non-GAAP financial measures.

Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are provided below.

Third Quarter Fiscal Year 2026

Reconciliation of Income from Operations to Adjusted Operating Income

 Three Months Ended Nine Months Ended March 31, March 31, 2026
 2025
 2026
 2025
 (In thousands)Income from operations$129,080 $130,786 $344,915 $303,229Amortization of intangible assets 1,770  2,410  5,581  7,522Stock-based compensation expense 9,574  8,548  30,063  24,922Adjusted operating income$140,424 $141,744 $380,559 $335,673         Reconciliation of Net Income to EBITDA and Adjusted EBITDA

 Three Months Ended
March 31, Nine Months Ended
March 31, 2026
 2025
 2026
 2025
 (In thousands)Net income$88,527 $99,346  $256,804  $236,621 Interest expense, net 3,001  2,787   8,889   7,810 Other (income) expense, net 5,338  (7,360)  (811)  (23,469)Income tax expense 31,545  35,450   79,934   80,088 Loss from equity method investments 669  563   99   2,179 Depreciation and amortization 32,596  28,941   92,783   84,470 EBITDA 161,676  159,727   437,698   387,699 Stock-based compensation expense 9,574  8,548   30,063   24,922 Adjusted EBITDA$171,250 $168,275  $467,761  $412,621                 Reconciliation of Net Income Attributable to Common Shareholders and Diluted Net Income Per Share to Adjusted Earnings Per Share

 Three Months Ended Nine Months Ended March 31, March 31,  2026   2025   2026   2025  (In thousands)Net income attributable to common stockholders$88,527  $99,346  $256,804  $236,621 Amortization of intangible assets 1,770   2,410   5,581   7,522 Stock-based compensation expense 9,574   8,548   30,063   24,922 Income tax effect from adjustments above (942)  (617)  (11,749)  (6,132)Adjusted net income attributable to common stockholders$98,929  $109,687  $280,699  $262,933         Share computation:       Weighted average common shares — diluted 45,835,843   49,181,728   47,607,602   47,798,923 Effect of capped call transactions (2,764,425)  (2,092,035)  (2,481,111)  (2,669,924)Adjusted weighted average common shares — diluted 43,071,418   47,089,693   45,126,491   45,128,999 Adjusted earnings per share$2.30  $2.33  $6.22  $5.83          Three Months Ended Nine Months Ended March 31, March 31,  2026   2025   2026   2025  (per share)Diluted net income per share$1.93  $2.02  $5.39  $4.95 Amortization of intangible assets 0.04   0.05   0.12   0.16 Stock-based compensation expense 0.21   0.17   0.64   0.52 Income tax effect from adjustments above (0.02)  (0.01)  (0.25)  (0.13)Effect of capped call transactions 0.14   0.10   0.32   0.33 Adjusted earnings per share$2.30  $2.33  $6.22  $5.83          Fiscal Year 2026 Outlook

Reconciliation of Income from Operations to Adjusted Operating Income (unaudited)

 Year Ended
June 30, 2026 Low High    Income from operations$443.0 $450.0Stock-based compensation expense 40.0  42.0Amortization of intangible assets 7.0  8.0Adjusted operating income$490.0 $500.0    

Stride, Inc. (LRN) Q3 2026 Earnings Call Transcript

A well-received quarterly earnings report was the catalyst behind Stride (LRN +1.20%) stock's leap into positive territory on Wednesday. Shares of the educational services company rose by nearly 3%, contrasting well with the slight decline of the benchmark S&P 500 index.

Earning from learning Stride released its fiscal third-quarter 2026 results after market close on Tuesday. These revealed that the company's revenue was $629.9 million for the period, bettering the same quarter of 2025 by almost 3%.

Image source: Getty Images.

Going in the opposite direction was attributable net income not under generally accepted accounting principles (GAAP). This sank by nearly 10% year-over-year but was still well in the black, at slightly below $99 million ($2.30 per share).

That crucial line item also came in well above the consensus analyst estimate of $1.92 per share on a non-GAAP (adjusted) basis. On the top line, Stride edged past the average pundit projection of $629.7 million.

The company divides its business into two broad categories, general education and career learning. Of the two, only the latter posted growth -- its revenue rose by 12%, thanks mainly to a 16% increase in the considerable middle-high school segment (to nearly $260 million). General education, meanwhile, slid by almost 4% to $357.5 million.

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Striding into the future Stride also narrowed its existing guidance for the entirety of the current fiscal year. It's now anticipating annual revenue of $2.49 billion to $2.52 billion, with adjusted operating income landing at $490 million to $500 million. It did not provide net income guidance. The average analyst estimate for revenue is slightly more than $2.52 billion.

It looks to me like management has identified a sweet spot in the middle-high school career-learning niche and is moving accordingly. While I like a proactive and opportunistic C-suite team, however, I'd be concerned about the slump in general education, which remains the company's largest revenue stream.

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Stride. The Motley Fool has a disclosure policy.

Stride, Inc. (LRN) is rated Buy at $93 as the post-crisis recovery is largely priced in and easy gains are behind. Career Learning segment drives growth, now 44% of revenue, with +15.9% y/y revenue and +11.6% y/y enrollment in Q3 FY2026. General Education enrollment decline (-5% y/y in Q3) is the key risk; stabilization is needed for further upside.

RESTON, Va., May 22, 2026 (GLOBE NEWSWIRE) -- Tallo, a free digital career platform, has earned a Gold Stevie® Award in the Education – Career and Workforce Readiness Solution category at the 24th Annual American Business Awards®.

Recognized for connecting two million individuals to careers, credentials, and opportunities, Tallo offers early talent ages 13 to 30 the tools and resources to move from career uncertainty to confident action. The award comes as workforce readiness remains a critical challenge nationwide. Tallo's 2025 Resource Gap research, which was covered by CBS Evening News and Fortune, found that nearly two-thirds of young adults lack clear career direction and one in four cannot find work in their intended field.

"The workforce readiness gap persists because resources aren't reaching the people who need them," said Allison Danielsen, CEO of Tallo. "Too many young people are navigating one of the most consequential decisions of their lives with almost no real support. Tallo was built to meet people where they are, give them tools that reflect their actual options, and trust them to move forward."

Tallo empowers users to make informed decisions about their futures with a variety of tools and resources. Career Navigator surfaces more than 1,800 careers across 170 industries, using real-time labor market data and personalized assessments to help students identify paths that align with their strengths and goals. Real Careers, Real Journeys™ connects users directly with working professionals across fields from medicine to manufacturing, grounding career exploration in real-world context through on-demand video and live sessions.

Tallo by the numbers:

21,000+ scholarships totaling $1.6 billion in available fundingFour million+ job listings matched to individual user profiles900+ employer partners recruiting directly through the platform, including Moog, Walgreens, and BAE Systems The Gold Stevie® adds to Tallo's growing record of industry recognition, which includes an EdTech Cool Tool Award for Hiring, Internships, or Apprenticeship Solution, multiple finalist recognitions across industry programs, and an Emerging Leader Award for CEO Allison Danielsen from Profiles in Leadership Journal. The recognition reflects Tallo's commitment to ensuring every young person has the guidance and access needed to build a future that works for them.

For more information, visit www.tallo.com.

About Tallo

Tallo is a free digital career platform that moves individuals age 13–30 from career uncertainty to confident action, providing the tools and connections for lasting success. With over 2 million users, Tallo helps individuals discover and explore career options, learn and earn valuable credentials, and ultimately, connect directly with employers to get a job that helps them build a better life. Tallo provides the tools for every step of the journey. Tallo is a portfolio brand of Stride, Inc., (NYSE: LRN) a leader in online education. Learn more at www.tallo.com.

Contact Data
Emily Riordan, Communications
Stride, Inc
[email protected]

LIVONIA, Mich. and PALO ALTO, Calif., June 01, 2026 (GLOBE NEWSWIRE) -- MedCerts, a leading online provider of allied health and IT certification training, and a Stride, Inc. (NYSE: LRN) portfolio company, and Pace AI today announced a strategic partnership to accelerate access to healthcare career pathways through personalized AI learning support for adult learners.

The partnership brings together MedCerts’ industry-recognized allied health training programs and Pace AI's personalized AI tutoring to provide real-time guidance that meets learners where they are, removing barriers and creating structured pathways into healthcare careers. Through this partnership, graduates of GED Testing Service – administrator of the official GED® test, the most widely recognized high school equivalency credential in the United States – will be the first in the country to access AI-powered healthcare certification training with MedCerts, creating a direct and supported pathway from high school diploma to healthcare training and employment. GED Testing Service has supported more than 20 million graduates to date and serves nearly 200,000 GED graduates each year who earn the credential as a springboard for continued education and career advancement.

Adult learners across the United States are eager to enter healthcare careers, but too often face barriers that prevent them from successfully starting or completing training, including language skills, financial access, and sustained learning support. At the same time, the U.S. healthcare system is experiencing an acute shortage of healthcare workers, with hospitals and care providers struggling to meet rising patient demand and maintain adequate staffing levels.

“This collaboration reflects what the healthcare labor market urgently needs,” said Todd Goldthwaite, Managing Director at Stride, Inc. “Solving workforce shortages requires more than expanding the number of training seats. It requires providing students with the support to persist, complete and transition into the roles healthcare systems are actively struggling to fill.”

“We started Pace AI with a mission to build AI focused on adult learners to unlock economic opportunity for adult learners, from the GED graduate balancing work and family to the English language learner building new skills, to the reentry learner rebuilding their career path,” said Victoria Pu, CEO of Pace AI. “What unites them is not a lack of ability, drive, or desire—but a lack of support. That is what we are solving for.”

Healthcare workforce demand continues to outpace supply, with hundreds of thousands of allied health roles projected to be added over the next decade. However, traditional education and training models have not evolved to support the scale or diversity of today’s adult learner population.

With this launch, Pace AI’s AI Tutors will be embedded inside foundational courses across eight of MedCerts’ most in-demand healthcare programs—including Phlebotomy Technician, Medical Assistant, Electronic Health Records Specialist, and Reimbursement Specialist—roles that represent critical entry points into the healthcare workforce.

For GED Testing Service, the partnership extends the value of the GED credential into a defined next step toward healthcare employment.

“Each year, hundreds of thousands of adults earn their GED credential with the goal of building a better future,” said CT Turner, President and CEO of GED Testing Service. “What has often been missing is a direct, supported pathway forward. This partnership creates that bridge into healthcare careers where demand is strong and opportunity is real.”

MedCerts, Pace AI, and GED Testing Service will jointly track learner persistence, completion, and credential attainment throughout 2026, with plans to expand into additional training programs and employer- and workforce-board-sponsored training cohorts.

Together, the partnership establishes a powerful model for workforce transformation, strengthening healthcare talent pipelines, addressing critical labor shortages, and expanding economic mobility for millions of adult learners across the United States.

For more information about this partnership, please visit: ged.medcerts.com

About MedCerts

MedCerts provides innovative, online career training programs that prepare adult learners for in-demand roles in healthcare and IT. With interactive eLearning, expert instruction and strong industry partnerships, MedCerts has helped over 100,000 students gain the skills and certifications needed for career success. Through MedCerts Partner Solutions, the company collaborates with employers, higher education institutions and workforce agencies to bridge the gap between training and career opportunities. MedCerts is a portfolio brand of Stride, Inc., a leader in online education. For more information on MedCerts, visit medcerts.com 

About Pace AI

Pace AI builds AI specifically to advance ESL, GED, and nontraditional learners onto high-quality career pathways and continuing education. The company develops personalized AI Tutors that support adult learners throughout their learning journey, delivering real-time guidance that meets learners at different levels and in 250+ languages—helping learners build skills, stay engaged, and progress toward credential and career goals. By improving confidence, retention, and completion, Pace AI helps learners overcome barriers to advancement while unlocking economic mobility and strengthening outcomes for families and communities. Learn more at paceapp.ai.

About GED Testing Service

GED Testing Service administers the official GED® test, the most widely recognized high school equivalency credential in the United States. The GED program provides adults who did not complete high school the opportunity to demonstrate high school-level academic skills and earn a credential that is accepted by employers, colleges, and universities nationwide, as well as workforce programs across the country. Each year, hundreds of thousands of adults pursue the GED credential, which serves as a critical foundation for continued education, career advancement, and economic mobility. Learn more at ged.com.

Media Contact
Corporate Communications
Stride, Inc.
[email protected]