Ever since 2010, the for-profit education industry has been under fire. Following an undercover investigation by the Government Accountability Office, the Department of Education has tightened the strings on these schools that rely overwhelmingly on government funding to turn a profit.
As a result, shares of for-profit educators have plunged. Apollo (NASDAQ: APOL ) , parent company of The University of Phoenix and the largest industry player, hasn't been exempt from that trend.
Ever since March of last year, however, several for-profit educators have seen their shares skyrocket. Apollo's shares are up more than 80%, Bridgepoint Education's (NYSE: BPI ) are up more than 70%, and Education Management (NASDAQOTH: EDMC ) has seen its shares rise an astounding 180%.
But does this mean things are really getting better in the industry? In the video below, Motley Fool contributor Brian Stoffel explains what metrics long-term investors should really be paying attention to before investing in these companies.
Start saving for your child's college education now
Investing with for-profit educators might not be the best way to save for college. Instead, it's worth investigating an astounding strategy Motley Fool co-founder David Gardner has used to whip the market for more than a decade. Time and time again this unique approach has succeeded, with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his six carefully chosen picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.