Adtalem Global Education

Adtalem Global Education

ATGE

$ 91.52

$1.39 1.54% 28%

IBD Stock Analysis

• Flat base has 92.93 buy point, support at 50-day moving average.

Composite Rating

95/99

Industry Group Ranking

47/197

Emerging Pattern

Flat Base

Flat Base

One of three positive chart patterns to look for when doing technical analysis. It usually occurs after a stock has advanced off of a “cup with handle” or “double bottom” pattern. The “flat base” moves straight sideways in a fairly tight price range for at least five weeks and does not correct more than 15%.

* Not real-time data. All data shown was captured at 12:10PM EST on 12/31/2024.

Adtalem Global Education (ATGE) is Tuesday's IBD Stock Of The Day as the leading provider of health care education, which has bet on artificial intelligence to help train health care professionals, traded just below a traditional buy point in stock market action.

Based in Chicago, Adtalem offers a range of academic programs aligned with health care industry needs. With nearly 10,000 employees and its network of institutions, Adtalem serves more than 90,000 students. It has a community of about 350,000 alumni, according to the company.

In September, Adtalem partnered with Hippocratic AI to advance health care education using artificial intelligence. Hippocratic AI is building the first large language model that focuses on safety for health care. Through the collaboration, Adtalem aims to integrate nurses' practical experience with the advanced capabilities of artificial intelligence.

Meanwhile, at the Google Cloud Next conference in May, Adtalem's Chief Customer Officer Steven Tom shared examples of Adtalem's AI journey. He highlighted Adtalem's AI-powered digital human and its collaboration with Alphabet's (GOOGL) Google on an AI-powered tutor named "Julian" — one of the first large-language-model applications in higher education.

Along with its push into the AI space, Adtalem earnings have rebounded to a 39% gain vs. year-ago levels in the past four quarters. Analysts project the bottom line rising 18% to $5.89 a share in the fiscal year ending in June 2025.

Despite the expected earnings growth, analyst coverage of ATGE has been sparse, according to FactSet analysis. Still, at the end of October, Barrington analysts raised their stock price target to 95 from 90 while BMO Capital hiked its target to 90 from 84.

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Adtalem Stock Performance

Adtalem gained about 0.9% to 90.92 during stock market action on Tuesday. The stock advanced more than 4% last week during stock market trade. ATGE stock is building a tight flat base with a traditional 92.93 buy point, according to MarketSurge chart analysis.

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Adtalem's relative strength line, which measures a stock's price performance compared to the S&P 500, is near a record high, signaling the stock is outperforming the broader market. ATGE has advanced about 55% in 2024.

The stock was highlighted on Dec. 20 in an IBD Stock Analysis piece.

Adtalem stock has a robust 95 Composite Rating out of a best-possible 99. Shares also have a 92 Relative Strength Rating and a 97 EPS Rating.

Please follow Kit Norton on X @KitNorton for more coverage.

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