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WillScot Mobile Mini (WSC) Buys Elite Modular, Stock Rise

WillScot Mobile Mini Holdings Corp.’s WSC shares moved up 1.21% in the after-hours trading session on May 16, after it announced the acquisition of Elite Modular Leasing and Sales, Inc. The company funded the transaction through cash on hand and borrowings under the revolving credit agreement.

The deal has helped WSC add approximately 900 modular units to its existing California operations and particular expertise in serving the public education sector.

Acquisitions to Drive Growth

Over the past several years, WillScot Mobile Mini has been on an acquisition spree. It has a strong track record of business integrations generating significant synergies. On May 9, the company announced that it acquired the rental fleet and related assets from Georgia Storage Containers, Inc., enhancing its existing greater Atlanta operation with more than 1,000 storage units.

From January to April, the company closed three acquisitions. The buyout strategy helps WSC reach new customers, expand product and service offerings, and create additional revenue and cost synergies opportunities. The company expects more such acquisitions in the rest of 2022.

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Shares of this Zacks Rank #2 (Buy) company have outperformed the Zacks Furniture industry in the year-to-date period. The company benefits from continuous product innovation, solid segmental results and transformation of the legacy WillScot business into Mobile Mini's SAP platform. Improved housing market fundamentals in the United States make the company’s near-term outlook encouraging.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Other Top-Ranked Stocks in the Consumer Discretionary Sector

Adtalem Global Education Inc. ATGE: This Zacks Rank #1 company is focusing on innovation in product offerings, driving growth in Becker and providing a broad range of options for Association of Certified Anti-Money Laundering Specialists or ACAMS offerings. Adtalem has multiple courses to drive revenues that comprise tapping strong demand for Medical and Healthcare professionals, capitalizing on solid demand in the mortgage market and OnCourse Learning.

The stock has climbed 2.8% year to date. This company’s earnings for fiscal 2022 are expected to rise by 9.1%.

Stride, Inc. LRN: A Zacks Rank #2 company has been gaining from higher enrollment and cost-saving efforts. Persistent demand for online learning options has been benefiting Stride’s top line in recent times. Investments focused on improving user experience, enhancing teacher tools and strengthening student engagement also bode well. In addition to higher enrollments and stronger-than-expected student retention, acquisitions are expected to drive growth.

The stock has gained 11.4% so far this year. The company’s earnings for fiscal 2022 are expected to surge by 48%.

Perdoceo Education Corporation PRDO: This Zacks Rank #2 company has been benefiting from an improvement in enrollment trends at both of its segments — Colorado Technical University (CTU) and American InterContinental University (AIU). Apart from higher revenues, operating efficiencies at both CTU and AIU and the Trident acquisition bode well. The company’s focus on increased investments in technology and student-serving processes drives growth.

The stock has lost 14.3% year to date, outperforming the industry. Although its earnings for 2022 are expected to decline 18.8%, the company has surpassed analysts’ expectation in each of the trailing four quarters with an average of 13.1%.

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WillScot Mobile Mini Holdings Corp. (WSC) : Free Stock Analysis Report

Stride, Inc. (LRN) : Free Stock Analysis Report

Adtalem Global Education Inc. (ATGE) : Free Stock Analysis Report

Perdoceo Education Corporation (PRDO) : Free Stock Analysis Report

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