The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Corinthian Colleges met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank slightly and GAAP earnings per share shrank to zero.
Gross margins dropped, operating margins increased, net margins dropped.
Corinthian Colleges reported revenue of $409.7 million. The 10 analysts polled by S&P Capital IQ anticipated revenue of $408.6 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.05. The 10 earnings estimates compiled by S&P Capital IQ averaged $0.06 per share. GAAP EPS dropped to zero from the prior-year quarter's $0.02.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 38.6%, 110 basis points worse than the prior-year quarter. Operating margin was 3.5%, 10 basis points better than the prior-year quarter. Net margin was 0.0%, 50 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $406.1 million. On the bottom line, the average EPS estimate is $0.05.
Next year's average estimate for revenue is $1.61 billion. The average EPS estimate is $0.19.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 284 members out of 359 rating the stock outperform, and 75 members rating it underperform. Among 89 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 65 give Corinthian Colleges a green thumbs-up, and 24 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Corinthian Colleges is hold, with an average price target of $2.66.
Looking for alternatives to Corinthian Colleges? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add Corinthian Colleges to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
More from The Motley Fool
U.S. Government Deals a Devastating Blow to For-Profit Education
In a stunning lawsuit against ITT Educational Services -- the company running the for-profit college ITT Technical Institute -- the Consumer Financial Protection Bureau (CFPB) has accused the firm against operating in a way that has harmed countless Americans.
For-Profit Colleges: Architects of Dreams or Fraudulent Diploma Mills?
Regulators are piling on the for-profit education sector amid accusations that students’ dreams are being turned into nightmares.
5 of Last Week's Biggest Losers
These five companies posted double-digit percentage declines this past week.