The education technology space is geared up for strong growth going forward. However, two top company stocks in this space reacted in opposite directions to their recent quarterly reports.
Grand View Research recently valued the global education technology market at US$142 billion in 2023. The same report estimates that this space will deliver a compound annual growth rate (CAGR) of 13.4% from 2024 through to 2030. Some of the growth drivers in the education technology space include hardware and software that is used to provide virtual education.
Coursera (NYSE:COUR) is a California-based company that operates an online education content platform in the United States, Europe, Asia, and around the world. Its shares have dropped 2.7% week-over-week as of close on Monday, April 29, 2024. The company released its first quarter (Q1) fiscal 2024 earnings on that same day. It posted revenue growth of 15%, which fell below expectations, as did its overall guidance.
Chegg (NYSE:CHGG) is also based in California. This company operates a direct-to-student learning platform that seeks to help learners build life and job skills. Chegg stock has jumped 5.44% over the past week. In Q1 2024, Chegg posted a 7% revenue decline and announced a new chief executive officer (CEO).
Despite the mixed bag of earnings, both companies are worth monitoring in this exciting space going forward.
