For-Profit Education Sees Massive Win in D.C. Loss (STRA, APOL, CECO, EDMC, COCO, ESI, DV)

For-profit education stocks are soaring on the news even if this seems harsh on the surface.

Strayer Education Inc. (NASDAQ: STRA) was called “in full compliance” by RBC… Shares are up 19% at $145.50 versus a 52-week range of $113.25 to $255.65.

Apollo Group Inc. (NASDAQ: APOL) is up almost 13% at $48.40 and the 52-week range is $33.75 to $53.61, but this hit $75.00 in late 2009.

Career Education Corp. (NASDAQ: CECO) is up 18% at $27.00 against a 52-week range of $16.36 to $28.57, but this was $35.00 in late 2009.

Education Management Corporation (NASDAQ: EDMC) is up almost 15% at $23.32 and the 52-week range is $7.76 to $23.19.  This one came public in late-2009. BofA raised its rating today.

Corinthian Colleges Inc. (NASDAQ: COCO) is up 39% at $5.55 as its 52-week range is $3.76 to $13.16.

ITT Educational Services Inc. (NYSE: ESI) is up over 26% at $89.77 versus a 52-week range of $50.00 to $102.32.

DeVry, Inc. (NYSE: DV) is up almost 16% at $62.60 and its 52-week range is $36.34 to $59.53.  This was a $70 stock just over a year ago. BofA raised its rating.

We always wondered throughout this entire process how and why these schools have not fought harder for more of the same scrutiny to be placed upon community colleges or other universities because many students emerge with student debt that can be higher than this.  Many discount online degrees and for-profit education degrees, but in today’s job market it seems a bit pressuring to make these institutions live up to employment standards.

JON C. OGG