Brian Grosso
Investment advisor, long only, long-term horizon, value

Corinthian Colleges: Tread Carefully

On November 12, I wrote an article titled Corinthian Colleges: A Perpetual Mess in which I completely reversed my view of Corinthian Colleges (NASDAQ:COCO). Prior to that article, in August, I wrote a few bullish pieces in which I acknowledged flaws and risks in Corinthian's business, but concluded that the valuation was overwhelmingly attractive. The November article is now embargoed, but I reversed my view based on what I observed to be a cavalier attitude of executive management towards regulatory compliance and clear evidence that the business is deteriorating. The stock was at $2.03 then and is now down 35% to $1.32. The company recently reported its Q2 2014 numbers this Wednesday and so in this article I...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details