Laureate Education (LAUR) Could Be 5% Below Fair Value As Earnings Near

Laureate Education (LAUR) has set a firm date for its next catalyst. The higher education group plans to release third quarter 2026 results on October 29, before the market opens.

At a share price of US$38.16, Laureate Education has seen a 14.56% year to date share price return and a 22.35% total shareholder return over the past year. The 3 year total shareholder return of 196.81% and 5 year figure of 366.56% point to momentum that long term holders will be watching closely into the upcoming earnings release.

Scan how Laureate Education compares with other education and consumer services stocks showing strong fundamentals and momentum in the 19 high quality undiscovered gems.

After such a strong multi year run, the real tension for Laureate Education holders is simple: lock in exposure at US$38.16 now or wait for a cleaner entry that better matches the current valuation setup?

Most Popular Narrative: 5% Undervalued

The most widely followed narrative on Laureate Education pegs fair value at $40.25, a touch above the latest close at $38.16. That gap is small, so the focus shifts to what could justify any further repricing.

Ongoing expansion into high-growth Latin American markets (Mexico, Peru) through new campus openings and targeted capacity investments leverages rising demand for private tertiary education, which is likely to drive sustained enrollment and revenue growth over the next several years.

Strong momentum in digital learning, particularly the expansion of fully online degree programs for working adults in both Mexico and Peru, broadens Laureate's addressable market and supports accelerated top-line growth by attracting non-traditional students beyond the core undergraduate base.

See why 21 investors see Laureate Education as 5% undervalued.

Result: Fair Value of $40.25 (UNDERVALUED)

Still, the Laureate Education story could change quickly if heavy campus investment in Mexico and Peru fails to earn back its cost, or if currency swings cut reported earnings.

Find out about the key risks to this Laureate Education narrative.

Another View on Laureate Education’s Valuation

On simple earnings multiples, Laureate Education screens less generous than the narrative suggests. The stock trades on a P/E of 16.3x versus 14.9x for peers and 13.3x for the broader US Consumer Services group, while the fair ratio sits higher at 17.4x. That gap points to some valuation cushion, but also less room for error if growth expectations soften. Which side of that trade-off do you want to lean into?

For a closer look at how those earnings ratios stack up against what the fair ratio implies, See what the numbers say about this price — find out in our valuation breakdown.

Next Steps

With sentiment around Laureate Education already split, it helps to move fast, pull up the numbers yourself, and pressure test the bullish story. To see what investors are optimistic about in the current setup, take a closer look at the 3 key rewards.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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