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Apollo Education Group, Inc. (APOL)

  • Mar. 31, 2014, 5:35 PM
  • Mar. 14, 2014, 4:33 AM
    • The White House has proposed rules that could cut federal funding to higher-education training programs if the cohort default rate among graduates for their student loans exceeds 30% for three years in a row.
    • Programs could also lose out if annual related debt payments surpass 20% of their discretionary income or 8% of their total income.
    • The proposed regulations are tougher than similar rules that were struck down in court in 2011.
    • The for-profit sector is unsurprisingly not happy with the rules.
    • Related tickers: APOL, CECO, COCO, DV, STRA, ESI, LOPE, APEI, EDMC, LINC.
  • Feb. 27, 2014, 1:47 PM
    • "ITT Educational Services (ESI -2.2%) believes that the CFPB's complaint should never have been filed. The complaint overwhelmingly focuses on issues that are unrelated to consumer finance, and attempts to cast a negative light on aspects of ITT Tech's activities that are extensively regulated by other government agencies."
    • The core of the CFPB's claims concern just six months of loans, but the bureau knows, says ITT, independent parties provided those loans and the programs ended years ago. "Significantly, ITT Tech did not make any money, in interest or fees, from those third-party programs, which were designed to help students during the recent economic downturn."
    • "Much of the complaint relies on 'mystery shoppers,' a program that ITT Tech itself voluntarily uses to make sure its policies are being followed by its employees, and to help ensure that errors in implementation are caught and corrected."
    • "The complaint is an aggressive attempt by the Bureau, recently created by the Dodd-Frank Act, to extend its jurisdiction into matters well beyond consumer finance.  It is unjustified as a matter of law and mistaken as a matter of fact."
    • That's the point, says Herb Greenberg. "It creates a roadmap ... other for profits should shudder."
    • Press release
    • Previous coverage of CFPB suit
    • Other sector names: APOL, CECO, COCO, DV, STRA, LOPE, APEI, EDMC, LINC
    | 1 Comment
  • Jan. 8, 2014, 11:38 AM
    • Education stocks are ripping gains up and down the sector after Apollo Education (APOL +12.7%) showed the way to profitability.
    • The slice-and-dice job at the company did wonders for Q1 EPS, but didn't cut into FY14 revenue projections.
    • Investors are betting other for-profit players will follow the road map.
    • Gainers: CECO +7.4%, COCO +1.8%, DV +5.1%, STRA +5.5%, ESI +4.7%, LOPE +2.6%, APEI +1.8%, EDMC +3.5%, LINC +2.4%.
    | Comment!
  • Jan. 7, 2014, 5:38 PM
    • Top gainers, as of 5:15 p.m.: CEC +11.1%. MU +5.8%. FRO +5.3%. CALD +4.9%. APOL +2.7%.
    • Top losers, as of 5:15 p.m.: TCS -8.3%. RBCN -6.9%. AVNR -5.5%. JLL -5.3%. CADX -3.6%.
  • Jan. 7, 2014, 4:56 PM
    • Shares of Apollo Group (APOL) are up 3.2% AH as investors digest the company's Q1 results.
    • Net revenue falls 22% Y/Y as University of Phoenix degreed enrollment slides 17.7%.
    • New degreed enrollment slips 22.9% over the same period in 2013.
    • FY14 outlook: Operating income of $400-450M on net revenue of $3-3.1B. Consensus on the top-line is $3.04B. (PR)
    | 1 Comment
  • Jan. 7, 2014, 4:09 PM
    • Apollo Group (APOL): FQ1 EPS of $1.04 beats by $0.14.
    • Revenue of $856.3M misses by $4.28M. Shares +2.45% . (PR)
    | Comment!
  • Jan. 7, 2014, 12:10 AM
  • Jan. 6, 2014, 5:35 PM
  • Dec. 17, 2013, 4:19 PM
    • Apollo Education (APOL) agrees to buy a majority stake in Open Colleges Australia, and will purchase 70% of the common stock for about $98,5M, plus contingent payments of up to $47M. Apollo has an option for the remaining 30% of the company.
    • The deal is expected to close in 2014 FQ2.
    • Shares +0.2% AH
    • Press release
  • Nov. 14, 2013, 10:28 AM
    • Markel's (MKL) Tom Gayner added five new stocks to the company portfolio in the last quarter, and he likes fertilizers and private equity, buying 150K shares of Mosaic (MOS) and 70K shares of Potash (POT), 100K shares of Apollo Global (APO), 105K shares of Apollo Group (APOL), and 10K shares of Copart (CPRT). In addition to the Apollo Global purchase, he greatly boosted stakes in KKR, Blackstone (BX), and Carlyle Group (CG).
    • He completely sold out of positions in Quaterra Resources (QMM) and Union First Market Bankshares (UBSH).
    • CarMax (KMX) remains his portfolio's top holding at 8.4%, but Gayner did cut his stake by 1.46%.
    | Comment!
  • Oct. 23, 2013, 12:46 PM
    | Comment!
  • Oct. 23, 2013, 9:11 AM
    | Comment!
  • Oct. 22, 2013, 5:50 PM
    • Top gainers, as of 5:15 p.m.: GLW +20.5%. APOL +13.4%. LTS +8.2%. FOXF +4.5%. FOLD +3.5%.
    • Top losers, as of 5:15 p.m.: UIS -16.6%. CREE -13.4%. RFMD -7.3%. IRBT -7.1%. FTI -6.5%.
    | Comment!
  • Oct. 22, 2013, 4:39 PM
    • FQ4 revenue of $845M is off 15% Y/Y with University of Phoenix enrollemtn down 18.1% to 269K. Operating income of $34.7M is off 61%.
    • FY2014 revenue guidance of $2.95B-$3.05B and operating income of $375M-$450M. Fixed operating costs are expected to be cut by a minimum $300M, bringing the cost base to $650M or 18% lower than FY2012.
    • Conference call at 5 ET.
    • FQ3 results, press release.
    • APOL +13% AH.
    | Comment!
  • Oct. 22, 2013, 4:20 PM
    • Apollo Group (APOL): FQ4 EPS of $0.55 beats by $0.30.
    • Revenue of $845M beats by $21.4M. Shares +5.4% AH. (PR)
    | Comment!
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Company Description
Apollo Education Group Inc is a private education service provider. It offers undergraduate, graduate, professional development & other non-degree educational programs and services.