Zacks Investment Research upgraded shares of K12 (NYSE:LRN) from a hold rating to a buy rating in a research note published on Wednesday morning. The brokerage currently has $27.00 price objective on the stock.

According to Zacks, “K12 Inc., a technology-based education company, is a leading national provider of proprietary curriculum and educational services created for online delivery to students in kindergarten through 12th grade, or K-12. Its mission is to maximize a child’s potential by providing access to an engaging and effective education, regardless of geographic location or socio-economic background. “

A number of other equities analysts have also issued reports on the company. Barrington Research reissued a buy rating and issued a $22.00 price objective on shares of K12 in a report on Friday, October 5th. ValuEngine raised K12 from a hold rating to a buy rating in a research note on Wednesday, October 24th. BMO Capital Markets increased their price target on K12 from $19.00 to $21.00 and gave the company an outperform rating in a research note on Wednesday, October 24th. Finally, Sidoti initiated coverage on K12 in a research note on Wednesday, January 2nd. They set a neutral rating and a $29.00 price target for the company. One research analyst has rated the stock with a hold rating and four have issued a buy rating to the company’s stock. The stock currently has an average rating of Buy and a consensus target price of $25.50.

LRN stock traded down $0.36 on Wednesday, reaching $24.58. The company’s stock had a trading volume of 278,424 shares, compared to its average volume of 355,513. K12 has a 52 week low of $12.72 and a 52 week high of $25.78. The firm has a market capitalization of $1.01 billion, a price-to-earnings ratio of 36.15, a price-to-earnings-growth ratio of 2.19 and a beta of -0.14. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.06 and a quick ratio of 2.95.

K12 (NYSE:LRN) last issued its quarterly earnings data on Tuesday, October 23rd. The company reported ($0.22) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.33) by $0.11. K12 had a return on equity of 4.67% and a net margin of 2.91%. The business had revenue of $251.30 million during the quarter, compared to analyst estimates of $226.82 million. During the same period in the prior year, the company posted ($0.21) EPS. The business’s revenue for the quarter was up 9.8% compared to the same quarter last year. On average, equities analysts anticipate that K12 will post 0.76 EPS for the current fiscal year.

In other news, Chairman Nathaniel A. Davis sold 60,000 shares of the firm’s stock in a transaction on Wednesday, October 24th. The stock was sold at an average price of $20.71, for a total transaction of $1,242,600.00. Following the completion of the sale, the chairman now directly owns 414,778 shares of the company’s stock, valued at approximately $8,590,052.38. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Chairman Nathaniel A. Davis sold 100,000 shares of the firm’s stock in a transaction on Thursday, January 3rd. The stock was sold at an average price of $24.05, for a total value of $2,405,000.00. Following the sale, the chairman now directly owns 214,778 shares of the company’s stock, valued at $5,165,410.90. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 167,000 shares of company stock valued at $3,801,530. 7.00% of the stock is currently owned by corporate insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. One Wealth Advisors LLC bought a new stake in shares of K12 during the 3rd quarter worth $159,000. Trexquant Investment LP bought a new stake in shares of K12 during the 3rd quarter worth $180,000. Ibex Investors LLC bought a new stake in shares of K12 during the 3rd quarter worth $206,000. Jefferies Group LLC bought a new stake in shares of K12 during the 3rd quarter worth $244,000. Finally, Paloma Partners Management Co bought a new stake in shares of K12 during the 2nd quarter worth $249,000. 81.77% of the stock is owned by institutional investors and hedge funds.

About K12

K12 Inc, a technology-based education company, together with its subsidiaries, provides online curriculum, software systems, and educational services to facilitate individualized learning for students primarily in kindergarten through 12th grade in the United States and internationally. The company also offers curriculum and technology solutions for full-time virtual and blended programs; full-time virtual programs, semester courses, and supplemental educational products; teacher training, teaching, and other academic and technology support services to public schools, school districts, private schools, charter schools, early childhood learning centers, and corporate partners.

Featured Story: Cost of equity and a company’s balance sheet

Get a free copy of the Zacks research report on K12 (LRN)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Receive News & Ratings for K12 Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for K12 and related companies with MarketBeat.com's FREE daily email newsletter.