Unemployment Favoring For-Profit Schools

Unemployment Favoring For-Profit Schools

http://www.minyanville.com/articles/postsecondary-school-unemployment-minyanville-/index/a/24430

The summer is over, which means beaches are empty and classrooms are crowded. But it isn’t just kids staring dull-eyed at the blackboard: Men and women across the country are also back in school, benefitng for-profit education companies. This is a diverse sector encompassing a wide variety of different institutions such as DeVry (DV), Apollo Group (APOL), ITT Educational Services (ESI), Bridgepoint Education (BPI), Strayer Education (STRA), and Corinthian Colleges (COCO), to name just a few. Online or on campus, these schools teach a wide range of skills including health care, criminal justice, information technology, and construction trades. Investors haven’t been enthusiastic about the sector in recent months, but analysts covering the space argue that there are still reasons for optimism here: Specifically, the labor market is lousy, and some of these stocks are no longer looking as pricy.
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DV 53.92 +0.03 (+0.06%)

APOL 71.07 +0.42 (+0.59%)

ESI 107.65 +1.69 (+1.60%)

STRA 211.98 +1.33 (+0.63%)

COCO 17.86 +0.11 (+0.62%)

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Overhyped Products: SegwayUAL Leads Airline Stocks' FlightLessons From the Large CapsBehind General Mills’ Tasty ResultsWhy It's Time to Buy the Money ManagersDuring the market meltdown last year, the stocks of companies offering post-secondary education held up very nicely, notes James Maher, an analyst with ThinkEquity.Investors considered them smart counter-cyclical plays: As the economy tanked, the assumption was that more Americans would enroll in school because they couldn’t find work, or they would be looking to strengthen their resumes with more education. And indeed, enrollment at some of these schools surged. DeVry, for instance, reported solid fourth-quarter and full-year results in August with new student starts and enrollment growth increasing at a double-digit rate for essentially all segments.Compared with the same period last year, overall revenue increased 43% in the quarter and 34% for the year. In late June, Apollo reported that its third-quarter profit jumped 45% as it enjoyed a sizable enrollment increase and a healthy gain in revenue. But now, with all the cable news chatter of looming economic recovery, investors don’t appear as enthralled with these education companies. Stock pickers are rotating out of a sector they consider defensive as they hunt for early cycle winners.Over the past six months, for example, DeVry is up 16% as the broader market has rocketed up nearly 50%. (Over the same period, Apollo is up just 1% while ITT Educational Services is up 1.5%). However, James Maher of ThinkEquity argues that, looking ahead, for-profit schools will continue to enjoy robust enrollment and new student starts. A weak job market will guarantee a continued sizable pool of unemployed men and women looking to head back to the classroom, he thinks. “The recession may be ending, but unemployment isn’t,” Maher tells Minyanville. “That is a lagging indicator. Dig into the unemployment report, and you’ll see that the unemployment rate is substantially higher for those people with just a high school diploma or some college. Those folks will continue to look to bring new skills to their job searches and careers.” Even to those economists that have predicted a return to positive growth in the second half of this year, last Friday’s news on the August employment situation was worrisome.Joseph LaVorgna, Deutsche Bank’s chief US economist, who described the report as very disappointing, noted that the job market has now shrunk every month since January 2008. The economist also pointed out that temp hiring, which tends to lead overall labor demand by anywhere from three to six months, suffered its 19th consecutive monthly decline. There are some concerns when it comes to for-profit schools, analysts note, including credit market turmoil that has made private student loans more difficult for some students to obtain. Another worry: A weakening employment environment may affect job placement rates. “We have seen some lower placement rates from a number of schools,” says Maher. “But here is the other side of that: If you look at today’s job market, which is very difficult, then what is your alternative? You can compete without a degree, or you can seek a degree, and at least have something more to offer.” In terms of specific stock picks in the sector, Maher likes the cash flows at Apollo. “They have been able to do significant share repurchases and, more importantly, they have been able to go out and do some acquisitions. It’s still a growth story.” He also favors American Public Education (APEI), a smaller school that Maher believes is still in its early growth stages. But what'll happen when this economy does eventually recover, and that spooky unemployment rate moderates? Even then, when better times do arrive, analysts argue that for-profit schools will benefit from a broader trend: a secular, long-term shift of Americans pursuing post-secondary education, says Morningstar analyst Todd Young. “You might not see the huge growth rates we have seen over the last couple years, but there will still be solid, probably double-digit growth for most of these companies,” Young tells us. “I think the long-term prospects for the industry are good no matter what the economy does.”Ariel Sokol, an analyst at Wedbush Morgan who covers the sector, also notes that some of these stocks are looking as cheap as ever right now. DeVry, for example, is now trading with a forward P/E multiple of 14 and a price-to-earnings growth ratio of 0.77. (Anything under one represents a potentially good deal). Sokol is telling his clients to put money to work in Grand Canyon Education (LOPE). “They have a traditional ground campus in Arizona, and 50% of their students are graduate school students. They are focused on health care and education -- two areas that will have good growth rates regardless of what the economy does.”
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AVP of Regional Operations LA or San Jose

Title: AVP Regional Operations
Location: Los Angeles or San Jose
Salary: $125k
Benefits: Yes

The Associate Vice President of Regional Operations, provides innovative and visionary leadership for the expansion and growth of regional academic centers and related enrollments. This position will implement existing strategic and tactical programs that will continue to propel National University to become the leader in student enrollment, retention and matriculation. Additionally, develop and implement new and innovative ideas leading to growth in student recruitment and retention. This position directs multiple centers specializing in both on campus and online programs.

Minimum of 10 - 15 years experience required in progressively complex experience in at least one or more of the following fields: management, operations, business or academic administration experience; with at least 10 years of direct staff management experience. A minimum 5-10 years experience in the management of on site or online academic centers preferred. This is both a sales and operations role. Must be able to strategically manage in a multi-campuses, multi-brand environment. Travel 50%

Minimum qualifications are a Bachelors degree from an accredited institution. Masters degree preferred

Email your resume to hshepard@dshefrin.com

National Director of Admissions

National Director of Admissions Must Have:
Bachelors Degree, 5 years at a NATIONAL level in Admissions. Candidates must have a broad scope of responsibility and understand the admissions process as a whole. Demonstrated understanding and utilization of internet leads, an entrepreneurial spirit and hands on approach, Bilingual English/Spanish is a huge plus

Salary: $130k to $180k + Bonus, full benefits
Relo: Yes
Type of School: Allied Health, Biz, and Tech. DP, AS, BS
ACICS


*If interested, please attach your resume (in complete confidence) and ensure your “Greatest Achievements” are noted. If NOT interested, please feel free to forward to anyone “qualified” that you could recommend. In addition, we also have contracts with schools throughout the U.S.

Who'll be the best Student Entrepreneur?

Entrepreneurship shows daring, creativity and especially: thoroughness. Not only making a plan, but also implement it! There already existed different prices for enterprising students with a strong business plan. However, a price for students who run a real company was still missing. That was the reason for Pia van Boven, owner of ImpressiveGreenApple, to came up with the idea of initiating the Students Entrepreneur Award. Beside the fact that the most promising student entrepreneurs will be rewarded, other students will be stimulated to be active beside their study. [/p]
On September 1th 2009 the winner of this competition will be spectacularly revealed in the Fortis Circustheater Scheveningen. Marlies Dekkers, lingerie designer and entrepreneur, will hand out the price. Besides the grand prize of E 5000 and 15 hours of consultancy by KPMG, the entrepreneur with the most courage and potential will be awarded the Press Price as well; this consists of an extensive media campaign in the newspaper Dagblad De Pers. Besides this, the most innovative entrepreneur will have the enormous advantage of 25 hours consultancy by KMPG.
For more information about this competition and the inspiring student entrepreneurs, check out this website www.studentenondernemersprijs.nl!

Director of Admissions Denver

Confidential Director of Admissions position
Location: Denver, CO
Salary: $90k
Bonus: Not established…
Benefits: Yes
Relo: Yes but prefers local candidates
Prefers candidates from Arts / Graphics schools

Summary: This position reports to the Campus President / VP Admissions and serves as the chief sales executive for an assigned team. Assists in related marketing, budgeting and support activities key to the team’s performance. The incumbent may attend school Executive Committee (EC) meetings or be asked to provide input by special request but does not serve directly on the EC.
Job Requirements (Knowledge, Skills and Abilities):
Knowledge:a) Bachelor’s degree in business or a related field required preferredb) Three plus years of increasingly responsible experience managing a sales effort, particularly admissions recruitment or intangible products.
Skills: a) Excellent written and verbal communication skills. b) Strong interpersonal skills with both faculty and student populations.c) Superior organizational and problem resolution skills.d) Strong expertise with MS Office as well as field related hardware and software packages and systems for reporting features.
Abilities:
a) Proven ability to inspire, motivate and lead a sales team.b) Ability to interact effectively as a member of a team and work collaboratively with other departments.c) Ability to listen to customers (e.g. students, staff, etc.) and to understand and respond positively to their requests d) Ability to work without close supervision and to set one’s own priorities and work schedule

EMAIL YOUR RESUME TO hshepard@dshefrin.com

Gender, Majors and Money

August 10, 2009
SAN FRANCISCO -- These are great days for female undergraduates, who with their greater numbers are excelling in higher education, leaving their male counterparts in the dust. That's the increasingly common view, at least, leading to calls in some quarters to focus more on male students. Read more:
http://www.insidehighered.com/news/2009/08/10/majors

Director of Admissions

Location: Denver, CO
Salary: $85k-$90k
Bonus: Possible
Exp: Minimum of 5-10 years
Degree Required: Bach. Required
Relo: Yes

Summary: This position reports to the Campus President / VP Admissions and serves as the chief sales executive for an assigned team. Assists in related marketing, budgeting and support activities key to the team’s performance. The incumbent may attend school Executive Committee (EC) meetings or be asked to provide input by special request but does not serve directly on the EC. Responsibilities and outcomes are based on new student recruitment goals and sales management for the Admissions team, and support of the department at large. Responsible for attaining new student and start rate plans for their team. Assists with the oversight of the conversion of inquiries to applicants, and applicants to new students. Works closely with all school enrollment department managers and personnel to assure successful new student recruitment support. Incumbent must assure that the RMCAD philosophy: quality services to clients; development, growth, involvement, and recognition of employees; sound economic principles; and environment which is conducive to innovation, positive thinking and expansion - is considered in carrying out the duties and responsibilities of this position.
Key Job Elements:
Achieves the new student plans for Admissions team.
Assists in establishing and forecasting plans and class outcomes.
Assists in hiring of admissions staff, maintaining staffing plans, and assists in the training, development, motivation, and ongoing management of such staff including monthly, quarterly and annual reviews; new hire and veteran training; ongoing observations; turnover prevention via training and support provided.
Responsible for conversions of inquiry to applicant; and applicant to new student.
Responsible for local inquiry generation, database marketing and personally developed referrals.
Assists in generating marketing plans to support inquiry conversion and applicant lock-in.
Ensures compliance with all RMCAD standards, ethical standards, and compliance with all federal, state and accreditation requirements.

Reports To: Campus President / VP Admissions
Supervises: Associate and Assistant Directors of Admissions (vary by student population), Admissions Reps.
Interacts With: Campus President, Admissions Specialist, VP Admissions; Group Vice President, receptionist, admissions administrative assistants and outside potential student populations.
Job Requirements (Knowledge, Skills and Abilities):
Knowledge:a) Bachelor’s degree in business or a related field required preferredb) Three plus years of increasingly responsible experience managing a sales effort, particularly admissions recruitment or intangible products.
Skills: a) Excellent written and verbal communication skills. b) Strong interpersonal skills with both faculty and student populations.c) Superior organizational and problem resolution skills.d) Strong expertise with MS Office as well as field related hardware and software packages and systems for reporting features.
Abilities: a) Proven ability to inspire, motivate and lead a sales team.b) Ability to interact effectively as a member of a team and work collaboratively with other departments.c) Ability to listen to customers (e.g. students, staff, etc.) and to understand and respond positively to their requests d) Ability to work without close supervision and to set one’s own priorities and work schedule