Coursera (NYSE: COUR) is an education technology stock that is finally seeing some positive momentum. Since going public in March 2021, shares have lost 82% of their value from their initial price of $39. However, over the last three months, they have been recovering modestly, up 22%.
Bank of America has noticed its valuation feels depressed, prompting it to initiate the firm with a buy rating. Its price target indicates an upside of 39%, and compared to some other analysts, that's nothing. RBC's $18 price target indicates Coursera could generate more than double-bagger returns from its less than $8 share price now.
I'll explore Coursera's business and growth vectors and detail what I want to see next from the consumer discretionary company.
Coursera: Educating Consumers and Employees in High-Demand Fields
Coursera primarily generates revenue through its consumer and enterprise education solutions, which made up 57% and 34% of revenues in 2023, respectively. For consumers, Coursera offers a variety of professional certificates and classes. It works with big companies like Google and IBM to develop some of these, as well as hundreds of universities. Many of the courses are in STEM-based fields, teaching people skills they need to get entry-level jobs in related industries.
The company provides services similar to those of businesses and academic institutions for ...
