It seems like an outlandish question to ask on a day when COCO shares have gapped up a draw-dropping 30% in response to a modest earnings beat that was almost entirely driven by lower bad-debt expense and a 2Q12 enrollment intake that was inline with expectations. However, we think...
READ MORE >Yesterday we published a lengthy report that outlined the 12 issues that we think will have the greatest impact on the enrollment, revenue, EPS and stock sentiment of the publicly traded for-profit...
READ MORE >Perhaps it happens every year, but the relative outperformance of last year’s losers compared to the prior year’s winners has been particularly pronounced thus far in 2012. The 25 worst...
READ MORE >What a difference a few months can make. To put the performance of the publicly traded for-profit postsecondary education companies in perspective for the past few months, we thought it might be...
READ MORE >In an article on Insidehighered.com today entitled “Hitting Hard at Fraud”, more details on the extent of online fraud rings in higher education have emerged. As a reminder, two weeks ago, the Department of...
READ MORE >Earlier today PAA Research hosted a conference call with Deanne Loonin of the National Consumer Law Center, one of the best known and most influential non-profit consumer advocacy organizations in the...
READ MORE >PAA Research will host a conference call TODAY at 2:30PM ET with Deanne Loonin of the National Consumer Law Center, one of the best known and most influential non-profit consumer advocacy...
READ MORE >PAA Research will host a conference call at 2:30PM ET Wednesday October 5th with Deanne Loonin of the National Consumer Law Center, one of the best known and most influential non-profit consumer...
READ MORE >Earlier this week, the Department of Education’s Office of Inspector General published an investigative program advisory report on “Online Education Fraud Rings”. The report was sent to Federal Student Aid (FSA) and...
READ MORE >PAA Research will host a conference call at 2:30PM ET Wednesday October 5th with Deanne Loonin of the National Consumer Law Center, one of the best known and most influential non-profit consumer...
READ MORE >Approximately 5-6 weeks ago, we published an industry report on the for-profit postsecondary education industry entitled “12 Reasons Why We Remain Bearish; Observations from Our Proprietary Paid Search Analysis”. The subject matter of the report is somewhat self-explanatory. Now that...
READ MORE >We are 24-hours away from what might be the single most important earnings release and conference call in the history of Corinthian Colleges, Inc. The (-50.7%) decline in COCO shares over the past month, even in the context of the broader market decline has been nothing short of...
READ MORE >For the past six weeks, we feel like we have been “spitting into the wind” when it comes to our bearish call on stocks in the for-profit postsecondary education sector. Despite our best efforts...
READ MORE >In the 6 trading days following APOL’s earnings release, the shares of publicly traded for-profit postsecondary education companies have rallied anywhere from 10-20% compared to a modest sell-off of (-0.2%) for...
READ MORE >COCO Announces New “Private Loan” Facility, And We Use That Term Loosely This morning, COCO announced a new “private loan” facility with ASFG LLC, presumably a subsidiary of American Student...
READ MORE >Details of the Department of Education’s Gainful Employment regulation were released this evening. The full regulation will likely be published tomorrow on the Department of Education’s website here or here, or ultimately in the Federal Register by Friday...
READ MORE >In a move that has received little attention among investors in the for-profit postsecondary education space, approximately 10-days ago, the Appropriations Higher Education Committee in the House of...
READ MORE >Questions We Would Like to Hear on the CallHere are some of the questions that we would like to hear management answer on COCO’s upcoming 3Q11 conference call: In light of the substantial tuition price increases, why did revenue per student...
READ MORE >For an industry that has distinguished itself in the equity markets as a consistent source of trading opportunities, the “whip-saw” action in the for-profit education sector in the first four months of the year has...
READ MORE >In a move that has been largely overlooked by most investors in the for-profit postsecondary education space, Governor Jerry Brown (CA-D) signed Senate Bill 70 into law on March 24, 2011. While SB 70 includes many other elements aimed at reducing unwieldy budget deficits in...
READ MORE >There was a time not too long ago when investors in the for-profit postsecondary education sector viewed those institutions that generated a high percentage of their revenues from Pell Grant funding...
READ MORE >From what we can gather, few investors if any have paid close attention to the progress of the various securities class action suits filed against almost every one of the publicly traded for-profit postsecondary education companies. We are...
READ MORE >Yesterday afternoon, the California Student Aid Commission voted unanimously to support a drastic reduction of Cal Grant awards to for-profit education institutions in the event that cuts to the program are needed to help solve...
READ MORE >The Department of Education released “trial” 3-year cohort default rate data this morning on an national level and institution by institution basis. Before we get into a discussion of the national level data and some of our findings on a school...
READ MORE >COCO reported 2Q11 earnings results this morning and will host a conference call at 12PM EST today. You can read the company’s earnings release here. The stock is trading higher based on four...
READ MORE >On Tuesday, February 1st, COCO will report 2Q11 earnings and potentially provide initial guidance for 3Q11 results. At the start of 2011, COCO finds itself at a critical impasse. The company faces ENORMOUS...
READ MORE >Today the US Department of Education released data on the number of Free Applications for Federal Student Aid (FAFSA) submitted during 4Q10-11 (calendar fourth quarter of 2010). In our view the FAFSA data provided by...
READ MORE >For an industry that has distinguished itself in the equity markets as a consistent source of trading opportunities, the “whip-saw” action in the for-profit education sector in the first few...
READ MORE >At the risk of dating ourselves, we couldn't help but think of Faith No More's edgy rock tune from the late 1980's "Epic" when STRA's negative pre-announcement hit the tape late Friday afternoon."What is...
READ MORE >Over the past several months there has been a growing bifurcation in the for-profit postsecondary education industry between those companies that have enacted significant "self regulation" measures in order to improve compliance with...
READ MORE >LONG
$70
SELL/SHORT
$4
SELL
$50
SELL/SHORT
$45
SHORT
$18
SELL/SHORT
$5
SELL/SHORT
$42
LONG
$75
SELL/SHORT
$50
SELL/SHORT
$50
LONG
$5.50
SHORT
$50
SHORT
$28
LONG
$65
LONG
$37
PAIR TRADE
$10
PAIR TRADE
$30
LONG
$35
SHORT
$35
SELL/SHORT
$10
SHORT
$101
SHORT
$15
SHORT
$0
SHORT
$9
SHORT
$0
PAIR - LONG BGG/SHORT TTC
25%
PAIR - LONG BGG/SHORT TTC
25%
SHORT
$14.00
SHORT
$22
SHORT
$15
SHORT
$20
SHORT
$31
SHORT
$35
SHORT
$30
PAIR - LONG KNL/SHORT MLHR
25%
SHORT
$100
LONG
$8
LONG
$20
SHORT
$22
PAIR - LONG CSGP/SHORT LOOP
40%
LONG
$35
SHORT
$275
SHORT
$0