Zacks Investment Research·19h ago
Implied Volatility Surging for Afya Stock OptionsInvestors need to pay close attention to AFYA stock based on the movements in the options market lately.
Afya Limited(AFYA)Earnings, Financials & Key Ratios
AFYA•NASDAQ
$14.77
9.4× P/E·Price updated Jul 7, 2026
SectorConsumer DefensiveIndustryEducation & TrainingSub-IndustryDegree-Granting Colleges and Universities
AboutAfya Limited, through its subsidiaries, operates as a medical education group in Brazil. It offers educational products and services, including medical schools, medical residency preparatory courses, graduate courses, and other programs to lifelong medical learners enrolled across its distribution network, as well as to third-party medical schools. The company also provides digital health services, such as subscription-based mobile app and website portal that focuses on assisting health professionals and students with clinical decision-making through tools, such as medical calculators, charts, and updated content, as well as prescriptions, clinical scores, medical procedures and laboratory exams, and others. It offers health sciences courses, which comprise medicine, dentistry, nursing, radiology, psychology, pharmacy, physical education, physiotherapy, nutrition, and biomedicine; and degree programs and courses in other subjects and disciplines, including undergraduate and post graduate courses in business administration, accounting, law, civil engineering, industrial engineering, and pedagogy. In addition, the company provides medical postgraduate specialization programs; printed and digital content; and an online medical education platform and practical medical training services. As of December 31, 2021, it operated a network of 46 undergraduate and graduate medical school campuses consisted of 30 undergrad operating units and five approved units; and a network of 2,731 medical school seats that consisted of 2,481 operating seats and 278 approved seats. The company was founded in 1999 and is headquartered in Nova Lima, Brazil.Show more
- Revenue$3.62B+9.7%
- EBITDA$1.19B-2.2%
- Net Income$738M+16.8%
- EPS (Diluted)8.11+17.0%
- Gross Margin64.46%+2.0%
- EBITDA Margin32.81%-10.8%
- Operating Margin32.81%+7.1%
- Net Margin20.35%+6.5%
- ROE16.04%+1.0%
AFYA Price & Volume
Afya Limited (AFYA) stock price & volume — 10-year historical chart
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Premium Medical Education Margins Face Regulatory Headwinds
Investment Thesis • Updated 2026Q1
VerdictNeutral
Growth:Decelerating
Profitability:Strong
Financial:Healthy
Cash Flow:Robust
Primary Risk:Regulatory seat expansion risk
Key Thesis Takeaways
- Afya Limited demonstrates robust profitability and strong cash generation, evidenced by a 38.8% operating margin in 2026Q1, yet faces structural deceleration as revenue growth slowed to 6.1% from 25% in 2023Q4.
- While the company maintains a healthy liquidity buffer with $1.3 billion in cash, the long-term competitive moat is threatened by the Mais Médicos regulatory framework which may erode the scarcity premium of its medical seats.
- Investors should monitor the sustainability of these high margins against potential supply-side expansion in the Brazilian medical education market.
Verdict Logic
while the stock trades at a low 9.49 P/E TTM and 1.66 Forward P/E, the potential for regulatory-driven margin compression warrants caution despite the current 38.8% operating margin.
AFYA Growth Metrics
Afya Limited (AFYA) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years-
5 Years24.72%
3 Years15.89%
TTM9.66%
Profit CAGR
10 Years-
5 Years20.36%
3 Years25.46%
TTM11.05%
EPS CAGR
10 Years-
5 Years21.05%
3 Years25.02%
TTM11.13%
Return on Capital
10 Years22.67%
5 Years12.19%
3 Years13.64%
Last Year14.72%
AFYA Recent Earnings
Afya Limited (AFYA) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 8/12 qtrs (67%)●Beat Revenue 6/12 qtrs (50%)
Q2 2026Latest
May 7, 2026Metric
Actual
Est
EPS
$0.56+5.7%
$0.53
Rev
$193M-5.8%
$204M
Q2 2026
Mar 12, 2026Metric
Actual
Est
EPS
$0.41+7.9%
$0.38
Rev
$166M-0.8%
$168M
Q4 2025
Nov 12, 2025Metric
Actual
Est
EPS
$0.38+18.8%
$0.32
Rev
$174M-0.3%
$175M
Q3 2025
Aug 13, 2025Metric
Actual
Est
EPS
$0.40+0.0%
$0.40
Rev
$169M-2.2%
$173M
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q2 2026Latest | May 7, 2026 | $0.56vs $0.53+5.7% | $193Mvs $204M-5.8% |
| Q2 2026 | Mar 12, 2026 | $0.41vs $0.38+7.9% | $166Mvs $168M-0.8% |
| Q4 2025 | Nov 12, 2025 | $0.38vs $0.32+18.8% | $174Mvs $175M-0.3% |
| Q3 2025 | Aug 13, 2025 | $0.40vs $0.40+0.0% | $169Mvs $173M-2.2% |
Based on last 12 quarters of dataView full earnings history →
Latest AFYA News
Recent stock market news and headlines for Afya Limited (AFYA)
Business Wire·Jun 22, 2026
Afya Limited Announces Results of Annual General Meeting Held on June 22, 2026BELO HORIZONTE, Brazil--(BUSINESS WIRE)--Afya Limited, or “Afya” (Nasdaq: AFYA) announced today that the resolution set out in its Notice of Annual General Meeting dated June 2, 2026 was duly passed at its Annual General Meeting held today: the approval and ratification of Afya's financial statements as of and for the fiscal year ended December 31, 2025. About Afya Limited Afya is a leading medical education group in Brazil based on the number of medical school seats, delivering an end-to-end p.
Zacks Investment Research·Jun 15, 2026
Are Investors Undervaluing Afya (AFYA) Right Now?Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Peers Comparison
Key metrics vs top competitors for Afya Limited (AFYA)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $14.77 | $1.33B | 9.35 | 9.69% | 20.35% | 16.04% | — | |
| $35.16 | $2.2B | 14.53 | 24.2% | 19.91% | 17.21% | — | |
| $39.86 | $5.69B | 21.09 | 8.64% | 16.08% | 25.36% | — | |
| $79.19 | $1.8B | 14.61 | 3.96% | 10.21% | 7.85% | — | |
| $1155.24 | $5.02B | 17.38 | 2.52% | 7.94% | 6.39% | — | |
| $152.96 | $4.15B | 19.84 | 7.07% | 26.92% | 29.53% | — |
Compare AFYA vs Peers
Afya Limited (AFYA) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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AFYA Frequently Asked Questions
Afya Limited (AFYA) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is Afya Limited's revenue?
Afya Limited (AFYA) reported $3.77B in revenue for fiscal year 2025. This represents a 1645% increase from $216.0M in 2017.
How fast is Afya Limited growing?
Afya Limited (AFYA) grew revenue by 9.7% over the past year. This is steady growth.
Is AFYA profitable?
Yes, Afya Limited (AFYA) is profitable, generating $755.3M in net income for fiscal year 2025 (20.4% net margin).
Dividend & Returns
What is AFYA's return on equity?
Afya Limited (AFYA) has a return on equity (ROE) of 16.0%. This is reasonable for most industries.
What is Afya Limited's free cash flow?
Afya Limited (AFYA) generated $1.17B in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.