UDMY
Udemy, Inc.
Education & Training Services
Market Cap$700M
5Y Perf.-82.5%
Compare Stocks
2 / 10Try these comparisons:
Stock Comparison
UDMY vs STRA
Revenue, margins, valuation, and 5-year total return — side by side.
STRA
Strategic Education, Inc.
Education & Training Services
Market Cap$1.79B
5Y Perf.+15.2%
UDMY vs STRA — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | UDMY | STRA |
|---|---|---|
| Industry | Education & Training Services | Education & Training Services |
| Market Cap | $700M | $1.79B |
| Revenue (TTM) | $790M | $1.27B |
| Net Income (TTM) | $4M | $130M |
| Gross Margin | 65.6% | 37.4% |
| Operating Margin | -0.5% | 14.0% |
| Forward P/E | 9.6x | 10.9x |
| Total Debt | $10M | $109M |
| Cash & Equiv. | $231M | $141M |
UDMY vs STRA — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
UDMY
STRA
| Stock | Oct 21 | May 26 | Return |
|---|---|---|---|
| Udemy, Inc. (UDMY) | 100 | 17.5 | -82.5% |
| Strategic Education… (STRA) | 100 | 115.2 | +15.2% |
Price return only. Dividends and distributions are not included.
Quick Verdict: UDMY vs STRA
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: STRA leads in 6 of 7 categories, making it the strongest pick for growth and revenue expansion and profitability and margin quality. Udemy, Inc. is the stronger pick specifically for valuation and capital efficiency. As sector peers, any of these can serve as alternatives in the same allocation.
UDMY
Udemy, Inc.
The Growth Play
UDMY is the clearest fit if your priority is growth exposure and sleep-well-at-night.
- Rev growth 0.4%, EPS growth 104.6%, 3Y rev CAGR 7.9%
- Lower volatility, beta 1.21, Low D/E 4.9%, current ratio 1.31x
- Lower P/E (9.6x vs 10.9x)
Best for: growth exposure and sleep-well-at-night
STRA
Strategic Education, Inc.
The Income Pick
STRA carries the broadest edge in this set and is the clearest fit for income & stability and long-term compounding.
- Dividend streak 1 yrs, beta 0.48, yield 3.2%
- 114.7% 10Y total return vs UDMY's -82.5%
- Beta 0.48, yield 3.2%, current ratio 1.27x
Best for: income & stability and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | STRA | 4.0% revenue growth vs UDMY's 0.4% |
| Value | UDMY | Lower P/E (9.6x vs 10.9x) |
| Quality / Margins | STRA | 10.2% margin vs UDMY's 0.5% |
| Stability / Safety | STRA | Beta 0.48 vs UDMY's 1.21 |
| Dividends | STRA | 3.2% yield; 1-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | STRA | -7.8% vs UDMY's -25.9% |
| Efficiency (ROA) | STRA | 6.2% ROA vs UDMY's 0.6%, ROIC 9.0% vs -56.7% |
UDMY vs STRA — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
UDMY vs STRA — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLSTRALAGGINGUDMY
UDMYUdemy, Inc.
0leads
STRAStrategic Education, …
4leads
6 Total Categories
CATEGORYLEADERvs UDMYMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
STRA4/6
Valuation MetricsMultiples, price ratios, and targets
Tied
—
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
STRA4/7
Total Returns1Y, 3Y, 5Y total returns with dividends
STRA6/6
Risk & VolatilityBeta, volatility, and downside exposure
STRA2/2
Analyst OutlookRatings, price targets, and dividends
—
—
Income & Cash Flow (Last 12 Months)
STRA leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
STRA is the larger business by revenue, generating $1.3B annually — 1.6x UDMY's $790M. STRA is the more profitable business, keeping 10.2% of every revenue dollar as net income compared to UDMY's 0.5%. On growth, STRA holds the edge at +0.8% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| RevenueTrailing 12 months | $790M | $1.3B |
| EBITDAEarnings before interest/tax | $21M | $216M |
| Net IncomeAfter-tax profit | $4M | $130M |
| Free Cash FlowCash after capex | $73M | $174M |
| Gross MarginGross profit ÷ Revenue | +65.6% | +37.4% |
| Operating MarginEBIT ÷ Revenue | -0.5% | +14.0% |
| Net MarginNet income ÷ Revenue | +0.5% | +10.2% |
| FCF MarginFCF ÷ Revenue | +9.3% | +13.7% |
| Rev. Growth (YoY)Latest quarter vs prior year | -3.0% | +0.8% |
| EPS Growth (YoY)Latest quarter vs prior year | +76.2% | +19.4% |
STRA leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
Evenly matched — UDMY and STRA each lead in 3 of 6 comparable metrics.
Valuation Metrics
At 14.5x trailing earnings, STRA trades at a 92% valuation discount to UDMY's 186.8x P/E. On an enterprise value basis, STRA's 7.2x EV/EBITDA is more attractive than UDMY's 21.0x.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| Market CapShares × price | $700M | $1.8B |
| Enterprise ValueMkt cap + debt − cash | $479M | $1.8B |
| Trailing P/EPrice ÷ TTM EPS | 186.77x | 14.50x |
| Forward P/EPrice ÷ next-FY EPS est. | 9.61x | 10.93x |
| PEG RatioP/E ÷ EPS growth rate | — | 1.93x |
| EV / EBITDAEnterprise value multiple | 21.04x | 7.17x |
| Price / SalesMarket cap ÷ Revenue | 0.89x | 1.41x |
| Price / BookPrice ÷ Book value/share | 3.42x | 1.09x |
| Price / FCFMarket cap ÷ FCF | 8.71x | 11.60x |
Evenly matched — UDMY and STRA each lead in 3 of 6 comparable metrics.
Profitability & Efficiency
STRA leads this category, winning 4 of 7 comparable metrics.
Profitability & Efficiency
STRA delivers a 7.9% return on equity — every $100 of shareholder capital generates $8 in annual profit, vs $2 for UDMY. UDMY carries lower financial leverage with a 0.05x debt-to-equity ratio, signaling a more conservative balance sheet compared to STRA's 0.07x.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| ROE (TTM)Return on equity | +1.7% | +7.9% |
| ROA (TTM)Return on assets | +0.6% | +6.2% |
| ROICReturn on invested capital | -56.7% | +9.0% |
| ROCEReturn on capital employed | -1.2% | +10.7% |
| Piotroski ScoreFundamental quality 0–9 | 8 | 8 |
| Debt / EquityFinancial leverage | 0.05x | 0.07x |
| Net DebtTotal debt minus cash | -$221M | -$32M |
| Cash & Equiv.Liquid assets | $231M | $141M |
| Total DebtShort + long-term debt | $10M | $109M |
| Interest CoverageEBIT ÷ Interest expense | 18.19x | — |
STRA leads this category, winning 4 of 7 comparable metrics.
Total Returns (Dividends Reinvested)
STRA leads this category, winning 6 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in STRA five years ago would be worth $11,955 today (with dividends reinvested), compared to $1,745 for UDMY. Over the past 12 months, STRA leads with a -7.8% total return vs UDMY's -25.9%. The 3-year compound annual growth rate (CAGR) favors STRA at 1.1% vs UDMY's -18.8% — a key indicator of consistent wealth creation.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| YTD ReturnYear-to-date | -13.8% | +0.8% |
| 1-Year ReturnPast 12 months | -25.9% | -7.8% |
| 3-Year ReturnCumulative with dividends | -46.4% | +3.2% |
| 5-Year ReturnCumulative with dividends | -82.5% | +19.5% |
| 10-Year ReturnCumulative with dividends | -82.5% | +114.7% |
| CAGR (3Y)Annualised 3-year return | -18.8% | +1.1% |
STRA leads this category, winning 6 of 6 comparable metrics.
Risk & Volatility
STRA leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
STRA is the less volatile stock with a 0.48 beta — it tends to amplify market swings less than UDMY's 1.21 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. STRA currently trades 84.1% from its 52-week high vs UDMY's 59.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.21x | 0.48x |
| 52-Week HighHighest price in past year | $8.09 | $93.45 |
| 52-Week LowLowest price in past year | $4.01 | $69.70 |
| % of 52W HighCurrent price vs 52-week peak | +59.3% | +84.1% |
| RSI (14)Momentum oscillator 0–100 | 49.2 | 48.2 |
| Avg Volume (50D)Average daily shares traded | 1.4M | 317K |
STRA leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates UDMY as "Hold" and STRA as "Buy". Consensus price targets imply 10.7% upside for STRA (target: $87) vs 4.2% for UDMY (target: $5). STRA is the only dividend payer here at 3.21% yield — a key consideration for income-focused portfolios.
| Metric | UDMYUdemy, Inc. | STRAStrategic Educati… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $5.00 | $87.00 |
| # AnalystsCovering analysts | 12 | 18 |
| Dividend YieldAnnual dividend ÷ price | — | +3.2% |
| Dividend StreakConsecutive years of raises | — | 1 |
| Dividend / ShareAnnual DPS | — | $2.52 |
| Buyback YieldShare repurchases ÷ mkt cap | +7.3% | +7.8% |
Insufficient data to determine a leader in this category.
Key Takeaway
STRA leads in 4 of 6 categories — strongest in Income & Cash Flow and Profitability & Efficiency. 1 category is tied.
Best OverallStrategic Education, Inc. (STRA)Leads 4 of 6 categories
Loading custom metrics...
UDMY vs STRA: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is UDMY or STRA a better buy right now?
For growth investors, Strategic Education, Inc.
(STRA) is the stronger pick with 4. 0% revenue growth year-over-year, versus 0. 4% for Udemy, Inc. (UDMY). Strategic Education, Inc. (STRA) offers the better valuation at 14. 5x trailing P/E (10. 9x forward), making it the more compelling value choice. Analysts rate Strategic Education, Inc. (STRA) a "Buy" — based on 18 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — UDMY or STRA?
On trailing P/E, Strategic Education, Inc.
(STRA) is the cheapest at 14. 5x versus Udemy, Inc. at 186. 8x. On forward P/E, Udemy, Inc. is actually cheaper at 9. 6x — notably different from the trailing picture, reflecting expected earnings growth.
03Which is the better long-term investment — UDMY or STRA?
Over the past 5 years, Strategic Education, Inc.
(STRA) delivered a total return of +19. 5%, compared to -82. 5% for Udemy, Inc. (UDMY). Over 10 years, the gap is even starker: STRA returned +114. 7% versus UDMY's -82. 5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — UDMY or STRA?
By beta (market sensitivity over 5 years), Strategic Education, Inc.
(STRA) is the lower-risk stock at 0. 48β versus Udemy, Inc. 's 1. 21β — meaning UDMY is approximately 150% more volatile than STRA relative to the S&P 500. On balance sheet safety, Udemy, Inc. (UDMY) carries a lower debt/equity ratio of 5% versus 7% for Strategic Education, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — UDMY or STRA?
By revenue growth (latest reported year), Strategic Education, Inc.
(STRA) is pulling ahead at 4. 0% versus 0. 4% for Udemy, Inc. (UDMY). On earnings-per-share growth, the picture is similar: Udemy, Inc. grew EPS 104. 6% year-over-year, compared to 16. 1% for Strategic Education, Inc.. Over a 3-year CAGR, UDMY leads at 7. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — UDMY or STRA?
Strategic Education, Inc.
(STRA) is the more profitable company, earning 10. 0% net margin versus 0. 5% for Udemy, Inc. — meaning it keeps 10. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: STRA leads at 15. 5% versus -0. 3% for UDMY. At the gross margin level — before operating expenses — UDMY leads at 65. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is UDMY or STRA more undervalued right now?
On forward earnings alone, Udemy, Inc.
(UDMY) trades at 9. 6x forward P/E versus 10. 9x for Strategic Education, Inc. — 1. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for STRA: 10. 7% to $87. 00.
08Which pays a better dividend — UDMY or STRA?
In this comparison, STRA (3.
2% yield) pays a dividend. UDMY does not pay a meaningful dividend and should not be held primarily for income.
09Is UDMY or STRA better for a retirement portfolio?
For long-horizon retirement investors, Strategic Education, Inc.
(STRA) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 48), 3. 2% yield, +114. 7% 10Y return). Both have compounded well over 10 years (STRA: +114. 7%, UDMY: -82. 5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between UDMY and STRA?
Both stocks operate in the Consumer Defensive sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: UDMY is a small-cap quality compounder stock; STRA is a small-cap deep-value stock. STRA pays a dividend while UDMY does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that outperform both.
Revenue Growth>
%
(UDMY: -3.0% · STRA: 0.8%)P/E Ratio<
x
(UDMY: 186.8x · STRA: 14.5x)You Might Also Compare
Based on how these companies actually compete and overlap — not just which sector they're filed under.