Perdoceo Education Corporation
PRDO Consumer Defensive Education & Training Services
Perdoceo Education Corporation’s revenue for fiscal 2025 (year ended December 2025) was $846.1 million, up 24.2% from fiscal 2024. In the quarter to June 2026, revenue grew 1.80%, EPS grew 22.2%, free cash flow fell 3.87% and total debt fell 64.3%, each against the same quarter a year earlier. Dividend growth for three consecutive years.
Follow PRDO
Perdoceo Education Corporation (PRDO) Altman Z-score
Perdoceo Education Corporation's Altman Z-score for fiscal 2025 is 6.68, in the safe zone (above 2.99).
Altman Z-score, annual
Embed this chart
Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2025 | 6.68 | 0.74 |
| FY2024 | 5.94 | (0.80) |
| FY2023 | 6.74 | 2.09 |
| FY2022 | 4.64 | (0.26) |
| FY2021 | 4.90 | (0.76) |
| FY2020 | 5.66 | (1.02) |
| FY2019 | 6.69 | 0.97 |
| FY2018 | 5.71 | 0.89 |
| FY2017 | 4.82 | 2.04 |
| FY2016 | 2.79 | 1.30 |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.45 | — | 0.54 | |
| Retained earnings / total assets | 0.58 | — | 0.81 | |
| EBIT / total assets | 0.16 | — | 0.52 | |
| Market value of equity / total liabilities | 6.90 | — | 4.14 | |
| Sales / total assets | 0.68 | — | 0.68 | |
| Altman Z-score | Safe zone | 6.68 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Safe zone | 9.58 | ||
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| LOPE Grand Canyon Education, Inc. compare | 17.5× |
| PRDO Perdoceo Education Corporation | 6.7× |
| LRN Stride, Inc. compare | 5.8× |
| STRA Strategic Education Inc. compare | 3.9× |
| UTI Universal Technical Institute Inc compare | 3.7× |
| TAL TAL Education Group compare | 2.8× |
| AFYA Afya Limited compare | 2.4× |
| COUR Coursera, Inc. compare | 1.9× |
| MH McGraw Hill, Inc. compare | 0.5× |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets