Not a good buy right now for an impatient buyer: momentum is strong but overstretched (RSI_6 86) and price is approaching near-term resistance ($89.43), which increases the odds of a near-term pullback.
Options positioning is very bullish (very low put/call ratios and heavy call interest), which supports the trend—but that also raises the risk of a crowded long trade near resistance.
News flow includes a law-firm “investigation” headline, a sentiment drag that can cap upside or add headline risk short term.
Financials are growing and margins improved (2026/Q2), which supports the medium-term story; however, the current setup is more “chase risk” than “clean entry.”
Trend/Momentum: MACD histogram is positive (1.669) but positively contracting, suggesting upside momentum is still present but decelerating.
Overbought: RSI_6 at 86.202 indicates an overbought condition—near-term upside is statistically harder to sustain without consolidation.
Moving averages: Converging MAs often precede a volatility expansion; given RSI levels, the higher-probability expansion is a pullback/consolidation first.
Levels: Pivot ~$80.67 (key near-term “line in the sand”); Resistance R1 ~$89.43 then R2 ~$94.85; Support S1 ~$71.90.
Context: Broader tape is risk-off today (S&P 500 -1.18%), which can make extended names more prone to mean reversion.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Positioning/Sentiment: Open interest skew is call-heavy (OI P/C 0.26) and daily volume is extremely call-dominant (volume P/C 0.02) → strong bullish sentiment.
Activity: Today’s option volume is ~291.68% of 30-day average; today’s open interest is ~167.48% of average → elevated attention/participation.
Volatility: 30D IV ~51.47 vs historical vol ~44.21; IV percentile 71.31 suggests options are relatively expensive, consistent with heightened expectations and/or demand for calls.
Takeaway: Options market is leaning bullish, but the combination of high IV + overbought technicals implies less favorable immediate risk/reward for initiating fresh longs at this exact price.
Gross margin: 41.13%, up 0.69% YoY (margin improvement supports quality of growth).
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent trend: price targets have rebounded from prior cuts, but ratings remain neutral.
2026-01-29 (BMO): PT raised to $94 (from $75), Market Perform; noted beat included a one-time gain and weaker General Education trends offset by stronger Career Learning.
2025-12-17 (Morgan Stanley): PT cut to $95 (from $130), Equal Weight; more cautious framing tied to sector dynamics.
2025-11-07 (BMO): PT cut to $82 (from $108), Market Perform; concerns tied to a platform integration issue.
Wall Street “pros”: improving PTs, resilient results, Career Learning strength.
Wall Street “cons”: neutral ratings, prior execution/platform concerns, and parts of the business showing weaker trends.
Wall Street analysts forecast LRN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LRN is 106.75 USD with a low forecast of 82 USD and a high forecast of 125 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
Wall Street analysts forecast LRN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LRN is 106.75 USD with a low forecast of 82 USD and a high forecast of 125 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 86.430
Low
82
Averages
106.75
High
125
Current: 86.430
Low
82
Averages
106.75
High
125
BMO Capital
Market Perform
maintain
$75 -> $94
AI Analysis
2026-01-29
Reason
BMO Capital
Price Target
$75 -> $94
AI Analysis
2026-01-29
maintain
Market Perform
Reason
BMO Capital raised the firm's price target on Stride to $94 from $75 and keeps a Market Perform rating on the shares. The company's results beat expectations, though largely due to a one-time gain, and General Education trends were worse than expected but more than offset by Career Learning, the analyst tells investors in a research note.
Morgan Stanley
Greg Parrish
Equal Weight
downgrade
$130 -> $95
2025-12-17
Reason
Morgan Stanley
Greg Parrish
Price Target
$130 -> $95
2025-12-17
downgrade
Equal Weight
Reason
Morgan Stanley analyst Greg Parrish lowered the firm's price target on Stride to $95 from $130 and keeps an Equal Weight rating on the shares. 2025 marked a shift in Info Services, bifurcating leaders and laggards in the group based on AI, notes the analyst, who assumes AI will continue to be an important theme in 2026 among the group.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for LRN
