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News  ›  The Motley Fool

Divisadero Street Opens New $56 Million Stride Position: Is the Stock a Buy?

The Motley Fool Logo The Motley Fool By Josh Kohn-Lindquist
Divisadero Street Opens New $56 Million Stride Position: Is the Stock a Buy?

Divisadero Street Capital Management acquired a new $55.85 million position in Stride, representing 2.44% of its assets. Despite a recent significant stock drop due to platform upgrade issues, the author sees potential opportunity in the online education company trading at a low earnings multiple.

Insights
RIVN   neutral

High-risk electric vehicle manufacturer with potential partnerships and future mass-market vehicle plans, but currently unprofitable and stock significantly down from historical highs


LRN   neutral

Mixed performance with earnings beat but significant enrollment loss (10,000-15,000 new enrollments) due to platform upgrade issues. Trading at low earnings multiple suggests potential value, but near-term challenges exist.