Wunderlich Securities Reiterates Buy, $54 Target on American Public Education

Wunderlich Securities maintains its Buy rating and $54 target price on American Public Education

to reflect low regulatory risk, value proposition and multiple catalysts. Wunderlich Securities says, "The combination of low regulatory risk, a strong student value proposition, and multiple potential catalysts makes APEI our best investment idea in the for-profit education sector. Excluding estimated cash per share of $6.22, APEI trades at 14.5x estimated 2012 EPS — a multiple that is in line with the S&P 500. However, we believe the company's growth profile supports a premium valuation. The real driver of outperformance should be continued upward estimate revisions as WalMart begins to provide tuition support to its employees." APEI closed at $44 per share on Wednesday.