Dr. Kris'  Instablog

Dr. Kris
Send Message
Dr. Kris hails from the land o' lakes, beer, bratwurst, and Bucky Badger. She traded in her cheese hat for a propeller beanie and has never looked back. She has two degrees from MIT because one just wasn't enough. Her life goal was to figure out the universe and having done that (at least to her... More
My company:
Stock Market Cook Book
My blog:
Stock Market Cook Book
  • Intraday Market Notes: For-Profit Educators Sinking Fast -- October 17 0 comments
    Oct 17, 2012 4:52 PM | about stocks: BAL, FIW, APOL, ESI, STRA

    4:00 pm ET: The major averages continued in rally mode and the burning question now is whether they can keep it up. They're still not back to their September highs, although the S&P is getting close. Their daily charts are showing a series of lower lows and lower highs--a bearish pattern--and one that is especially pronounced in the chart of the Nasdaq. The fact that the VIX is still hanging above support is a sign that this rally still has some juice left.

    For-profit educators took it on the chin today as the Apollo Group (NASDAQ:APOL), operator of the University of Phoenix, reported disastrous numbers. How bad were they? Fourth quarter revenues were off by 60%. The company issued full-year guidance well-below the Street's expectations forcing management to close 115 campuses. The stock got walloped ending the day 22% below yesterday's close to a level not seen in over ten years amid myriad analyst downgrades (didn't they see this coming?). The rest of the group suffered along with it as both Strayer (NASDAQ:STRA) and ITT (NYSE:ESI) both hit new lows. This group will likely see further contraction as they begin to compete with cheap online alternatives offered by traditional universities. (My alma mater, MIT, is a pioneer in this area.)

    In commodities, the cotton etf (NYSEARCA:BAL) broke out of a four month base on heavy volume while one water etf (NYSEARCA:FIW) broke major resistance to make a new high.

    That's about it for now.

    Note to Subscribers: There is one new Stock Darling. My candidate for Stock of the Day blew up as further research indicated possible stock manipulation. I shall strive to replace it.

    Stocks: BAL, FIW, APOL, ESI, STRA
Back To Dr. Kris' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


  • Semis rolling up: Semiconductor etfs $SMH & $SOXX notching new yearly highs, aided by 14% jump in $NXPI on buyout rumors.
    about 7 hours ago
  • Next hot VC area? If Musk wants to colonize Mars soon, he'll some fancy terraforming.
    2 days ago
  • Did Hillary win? Judging from the jump in Mexican etfs $EWW (+3.5%) $MXF (+2.4%) & healthcare stocks, Wall Street seems to think so.
    2 days ago
More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.