While there are things to like about Openlearning i think it's a stretch to compare them with IDP, apples and oranges comparison.
Most liked posts in thread: OLL - OpenLearning Limited
I think this is a good buying opportunity at current levels.
Knowledge and education is a huge, booming industry - see ASX listed company IDP EDUCATION LIMITED (IEL) with a current market cap of ~4.5 billion AUD.
Software as a service (SaaS) is also very popular at the moment, due to an inherently high ability to scale with minimal additional cost.
What happens when you combine the two? I don't know, but I'm willing to be it's a higher market cap than the company is currently being assigned.
Australian education is highly prized - so what happens when you open this market up to a larger audience? Especially in this day and age where modern technology effectively means no difference learning from home compared to in person. And people don't just go to university once and get a career - it's a lifelong learning experience with people continually refreshing their studies.
Furthermore, according to the recent investor webinar (a recording of which is available online), the company is also looking at learning analytics; using artificial intelligence to improve the facilitation process, and the efficiency of the assessment process etc.
They also say they have built out the company for a number of years now, and it's ready for scale without needing much additional investment at all. Possible inflection point at the end of calendar year 2020 where they anticipate being cashflow break-even.
The quality of the courses themselves on OpenLearning are superior to any other competitor alternative. This becomes self-evident after students take a course, due to the higher quality of the partnerships with the institutions involved (Tier 1 Aussie universities, governments etc.).
In conclusion, to paraphrase the company:
"A commanding position as the number one provider to institutions [including government and universities] in what is one of the world's top education markets"
Not bad for a microcap stock.
The brilliance and simplicity of OLL's recurring revenue model with this kind of business in particular, is that people no longer just go to university once and then never again.
Increasingly, people with full-time careers are treating their work as a lifelong learning experience, with people continually coming back to refresh their studies.
The high quality partnerships with Tier 1 Aussie universities, and governments means that you get both a high degree of credibility AND convenience in the same offering.
That is a powerful combination indeed. I will probably tip this one in the next monthly competition.
David Buckingham on the board of this. (former CEO and Managing Director Navitas)
Navitas was acquired by private equity firm BGH Capital and the nation's biggest super fund, AustralianSuper, in a cash deal valuing the global education group at $2.1 billion in 2019.
I figured the only way to get a better handle on the company was to try the platform itself. So I signed up for a brief (free) Blockchain course via the University of Technology Sydney.
Registration was simple, and I found it to be a very clean and uncluttered interface. Each module of the course allowed for comments, questions and general interaction by the students with the course facilitator.What I thought was interesting is that each module/activity displays all the previous knowledge and contributions by others who have ever taken the course since its inception (which can be filtered by most recent/most likes). This means you get the widest repository of information available compared to traditional teaching methods. Chances are, if you have a question, someone else has already asked and had it answered - which saves a lot of time.
You can integrate video/images/hyperlinks seamlessly into the course material. It was nice to see industry experts from the Australian Digital Commerce Association and ANZ Bank contributing material, for example. When you complete a module, you are usually prompted to complete a learning activity by commenting and sharing your answer with the rest of the online 'class'. Everyone gets their own profile and on your profile you can get a course "badge" (micro-credential) that verifies that you successfully completed the course. You build up a portfolio on your profile, which allows you to build up an online education CV (sort of like LinkedIn).
By the end of it, it really felt no different to what would traditionally be delivered by a very expensive contractor in a face-to-face classroom (except faster). And I believe that this is where real disruptive potential exists. For a fraction of the cost and overhead, you can deliver teaching material to a much wider audience all over the world - which enriches the learning experience because you are getting contributions from people with all different backgrounds. And I would argue that participation and interaction online is actually higher than what it would be in a face-to-face environment (because people are more comfortable learning in their own home).