Adtalem Global Education Inc. (CVSA)
Covista: Tech-Enabled Education In Tandem With Enrollment
I am bullish on Covista due to sustained enrollment growth driven by technology-enabled and AI-integrated healthcare education. CVSA's partnerships with AI leaders like GE Healthcare's HelloAI and Google Cloud position it to address the widening U.S. physician supply gap. CVSA reported Q2 2026 revenue of $503.4M (12.4% YoY growth), with consistent estimate beats and a P/S multiple below peers despite superior growth.
Covista: A Mispriced Bet On The Healthcare Worker Shortage
Covista is trading significantly below its intrinsic value despite short-term headwinds at Chamberlain University. All segments are growing revenue; Walden University's 27% revenue and 13% enrollment growth offset Chamberlain's 1% enrollment decline. Key risks include heavy reliance on Title IV funding and regulatory changes, though long-term healthcare demand and AI-driven career shifts support growth and limit risk.
