ATGE & Education Services Short Selling
Author:
Ihor Dusaniwsky
Managing Director of Predictive Analytics, S3 Partners
Fahmi Quadir of short selling activist fund Safkhet Capital Management LLC is shorting Adtalem Global Education Inc. (ATGE), a for-profit provider of “post-secondary education … to the healthcare industry”. Shares of ATGE are down 16% in mid-day trading and many companies in the Education Services sub-industry are also experiencing price weakness.
The largest shorts in the Education Services sub-industry are:
Education Services Short Interest
Ticker
SI % Float
Short Interest
1
DUOLINGO INC
DUOL
6.25%
$416,286,289
2
NEW ORIENTAL EDUC TECH ADR
EDU
2.74%
$355,140,927
3
TAL EDUCATION GROUP ADR
TAL
5.55%
$290,312,344
4
STRIDE INC
LRN
11.14%
$277,725,052
5
BRIGHT HORIZONS FAMILY SOLUTIONS
BFAM
3.61%
$208,927,489
6
CHEGG INC
CHGG
13.31%
$151,169,009
7
COURSERA INC
COUR
4.59%
$106,571,313
8
ADTALEM GLOBAL EDUCATION INC
ATGE
3.36%
$76,580,969
9
UDEMY INC
UDMY
6.29%
$67,998,978
10
GRAND CANYON EDUCATION INC
LOPE
1.67%
$63,560,128
11
LAUREATE EDUCATION INC
LAUR
3.60%
$60,467,850
12
STRATEGIC EDUCATION INC
STRA
2.29%
$52,427,733
13
GAOTU TECHEDU INC
GOTU
8.85%
$42,293,339
14
PERDOCEO EDUCATION CORP
PRDO
3.30%
$38,111,528
15
GRAHAM HLDGS CO B
GHC
1.51%
$38,020,055
16
UNIVERSAL TECHNICAL INSTITUTE INC
UTI
2.14%
$16,010,274
17
PEARSON PLC ADR
PSO
0.13%
$10,610,053
18
NERDY INC
NRDY
4.82%
$10,510,625
19
AFYA LTD
AFYA
2.51%
$10,138,656
20
2U INC
TWOU
9.43%
$8,292,541
Total Education Services Short Interest
5.82%
$2,314,603,229
Over the last thirty days we have seen both short selling and short covering in the sector with a net $18 million of increased short selling in the sub-industry. Duolingo Inc (DUOL), Adtalem Global Education Inc (ATGE) and Grand Canyon Education Inc (LOPE) have had the largest increase of short selling over the last thirty days while Tal Education Group ADR (TAL), Chegg Inc (CHGG) and Coursera Inc (COUR) and seen the most short covering.
Education Services Short Selling
Ticker
SI % Float
Short Interest
30D Change Shares Shorted
DUOLINGO INC
DUOL
6.25%
$416,286,289
$23,665,409
ADTALEM GLOBAL EDUCATION INC
ATGE
3.36%
$76,580,969
$17,135,497
GRAND CANYON EDUCATION INC
LOPE
1.67%
$63,560,128
$11,886,382
BRIGHT HORIZONS FAMILY SOLUTIONS
BFAM
3.61%
$208,927,489
$9,552,883
UDEMY INC
UDMY
6.29%
$67,998,978
$5,971,431
Education Services Short Covering
Ticker
SI % Float
Short Interest
30D Change Shares Shorted
TAL EDUCATION GROUP ADR
TAL
5.55%
$290,312,344
($44,480,200)
CHEGG INC
CHGG
13.31%
$151,169,009
($17,798,024)
COURSERA INC
COUR
4.59%
$106,571,313
($14,318,062)
LAUREATE EDUCATION INC
LAUR
3.60%
$60,467,850
($9,105,224)
GAOTU TECHEDU INC
GOTU
8.85%
$42,293,339
($4,991,680)
Total Education Services Short Activity
5.82%
$2,314,603,229
($18,253,924)
ATGE shorts are up +$12.7 million in mid-day mark-to-market profits, +16.4% and up $13.0 million, +18.2% for the year. Education Services shorts are up +$46.1 million in mid-day mark-to-market profits, +1.9%, and up $155.7 million, +6.6%, for the year.
Education Services MTM P\L
Ticker
Day MTM P\L
P\L %
YTD MTM P\L
P\L %
DUOLINGO INC
DUOL
$13,599,640
3.11%
$85,410,704
19.46%
NEW ORIENTAL EDUC TECH ADR
EDU
($3,129,433)
-0.81%
($17,999,500)
-5.06%
TAL EDUCATION GROUP ADR
TAL
($1,878,908)
-0.60%
$51,404,110
15.42%
STRIDE INC
LRN
$3,542,807
1.26%
($2,534,487)
-0.94%
BRIGHT HORIZONS FAMILY SOLUTIONS
BFAM
$4,360,939
2.02%
($9,008,457)
-4.61%
CHEGG INC
CHGG
$4,884,932
3.15%
$24,089,629
14.33%
COURSERA INC
COUR
$3,634,383
3.78%
($2,475,585)
-2.48%
ADTALEM GLOBAL EDUCATION INC
ATGE
$12,654,949
16.36%
$13,017,866
18.15%
UDEMY INC
UDMY
$2,902,346
4.24%
$3,719,093
5.87%
GRAND CANYON EDUCATION INC
LOPE
$326,078
0.49%
$920,286
1.59%
LAUREATE EDUCATION INC
LAUR
$880,986
1.41%
$4,769,312
7.28%
STRATEGIC EDUCATION INC
STRA
$1,021,858
1.98%
($1,180,726)
-2.33%
GAOTU TECHEDU INC
GOTU
$1,199,859
2.66%
$6,800,296
14.16%
PERDOCEO EDUCATION CORP
PRDO
$718,060
1.88%
($511,104)
-1.37%
GRAHAM HLDGS CO B
GHC
($144,656)
-0.36%
($2,329,841)
-6.43%
UNIVERSAL TECHNICAL INSTITUTE INC
UTI
$222,773
1.38%
($1,953,257)
-14.14%
PEARSON PLC ADR
PSO
$37,385
0.37%
$90,748
0.94%
NERDY INC
NRDY
$350,896
3.43%
$849,733
8.19%
AFYA LTD
AFYA
($20,528)
-0.20%
$1,216,071
10.80%
2U INC
TWOU
$890,578
10.87%
$1,400,730
19.59%
Top Twenty
$46,054,944
1.93%
$155,695,621
6.64%
Total Sector
$46,329,981
1.93%
$156,559,974
6.65%
With three-fifths of the stocks in the Education Services sub-industry down in today’s trading we should see a surge of short selling in the sector with ATGE leading the pack.
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