American Public EducationAPEI +0.71%69 ROE % is 23.60% as of Mar. 2026, which is 305% above its 10-year median of 5.83. GuruFocus rates APEI with a GF Score™ of 69/100 and a GF Value™ of $20.36 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 263 Education companies, American Public Education ranks better than 67.68% on this metric.
The historical rank and industry rank for American Public Education's ROE % or its related term are showing as below:
APEI'
s ROE % Range Over the Past 10 Years
Min: -30.05 Med: 5.83 Max: 13.81
Current: 13.81
During the past 13 years, American Public Education's highest ROE % was 13.81%. The lowest was -30.05%. And the median was 5.83%.
APEI's ROE % is ranked better than 67.68% of 263
companies
in the Education industry
Industry Median: 7.31
vs APEI: 13.81
American Public Education (NAS:APEI) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Education & Training Services subindustry, American Public Education's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
American Public Education ROE % vs Education Industry
For the Education industry and Consumer Defensive sector, American Public Education's ROE % distribution charts can be found below:
* The bar in red indicates where American Public Education's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
American Public Education (APEI) has a ROE % of 23.60% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American Public Education and its competitors. This is 305% above median its historical median of 5.83. According to the industry distribution chart, American Public Education ranks #85 out of 263 companies in the Education industry, placing it in the top 32.3%.
Is American Public Education's ROE % too high?
American Public Education's current ROE % of 23.60% is 305% above median its 10-year median of 5.83. The Education industry median ROE % is 7.31. American Public Education's value of 23.60% is 222.8% above this industry median. Based on the distribution chart, American Public Education ranks #85 out of 263 companies in the Education industry, which is above the industry midpoint. Overall, American Public Education has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does American Public Education's ROE % compare to PXED and AFYA?
According to the Education industry distribution chart, American Public Education ranks #85 out of 263 companies for ROE %. This puts American Public Education in the upper half of its industry. The industry median ROE % is 7.31. American Public Education's value of 23.60% is 222.8% above this benchmark. While the company's 10-year median is 5.83 vs. the industry median of 7.31, American Public Education has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Education company?
The median ROE % among Education companies is 7.31, based on 263 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American Public Education's current ROE % of 23.60% is 222.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American Public Education and its competitors. For the Education industry, the median ROE % is 7.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Public Education's current ROE % is 23.60%, which is 305% above median its own 10-year median of 5.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Public Education stock overvalued right now?
Based on GuruFocus' analysis, American Public Education (APEI) is currently considered Significantly Overvalued. The stock's GF Value™ is $20.36, compared to a current price of $52.18 — trading 156.3% above its estimated fair value. The current ROE % is 23.60%, which is 305% above median its 10-year median of 5.83 and 222.8% above the Education industry median of 7.31. American Public Education's overall GF Score™ is 69/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For American Public Education (APEI), the current ROE % is 23.60% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is American Public Education (APEI) Overvalued in 2026?
Based on GuruFocus' analysis, American Public Education stock appears to be overvalued.
The current stock price of $52.18 is trading 156.3% above its estimated GF Value™ of $20.36.
GuruFocus considers American Public Education to be Significantly Overvalued.
Key valuation signals for APEI:
ROE %: 23.60% (305% above median its 10-year median of 5.83)
GF Value™: $20.36 vs. price of $52.18 (156.3% above fair value)
Industry Position: 222.8% above the Education median (#85 of 263)
No single metric tells the full story. See the APEI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
American Public Education Inc provides online and campus based postsecondary education including various undergraduate and graduate degree programs. The fields of study include business administration, health science, technology, criminal justice, education, liberal arts, national security, military studies, intelligence, and homeland security. There are three reporting segments: the American Public University segment which is the key revenue generator, provides online postsecondary education as a distance-learning, graduate-level institution for military officers seeking a degree in military studies; the Rasmussen University Segment and the Hondros College of Nursing segment. The revenue is generated from net course registrations and enrollment, tuition rate, net tuition, and other fees.
69GF Score
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