The Higher Education Act of 1965 requires that programs in need of federal aid must provide their students "gainful employment in a recognized profession."
DeVry averaged repayment rates of 40% at its universities last year. Strayer Education, like Corinthian's Everest colleges, averaged in the low 20s. The Washington Post's Kaplan came in slightly higher at weighted average of 28%, the company said.
At those levels, Strayer, Kaplan and Everest colleges would be ineligible for federal aid if the proposed legislation is enacted.
Santa Ana, Calif.-based Corinthian, which operates in 24 U.S. states and the Canadian province of Ontario, grew fiscal-fourth-quarter profits by 46.1% to $33.9 million, or 38 cents per share, up from $23.2 million, or 26 cents per share, in the year-earlier period.Despite the marked improvement, Corinthian's earnings missed expectations for earnings of $34.4 million, or 39 cents per share. Corinthian expects first-fiscal-quarter earnings per share in a range between 38 cents and 41 cents, while analysts' consensus call is for earnings of 45 cents per share. Revenue came in at $482.7 million, up 36.5% from $353.5 million in the fourth quarter of fiscal 2009, and beating expectations for revenue of $477.1 million. -- Reported by Miriam Marcus Reimer from New York. >>See our new stock quote page. Follow Miriam Marcus Reimer on Twitter and become a fan of TheStreet on Facebook. Get more stock ideas and investing advice on our sister site, Stockpickr.com.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV