DeVry Earnings: Here’s Why the Stock is Falling Now
DeVry, Inc. (NYSE:DV) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 9%.
DeVry, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 10% to $0.90 in the quarter versus EPS of $1.00 in the year-earlier quarter.
Revenue: Decreased 5.93% to $508.75 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: DeVry, Inc. reported adjusted EPS income of $0.90 per share. By that measure, the company beat the mean analyst estimate of $0.82. It missed the average revenue estimate of $516.64 million.
Quoting Management: “While most of our institutions are performing well, we were disappointed with new student enrollment at DeVry University,” said Daniel Hamburger, DeVry’s president and chief executive officer. “We are focused on better communicating the return on educational investment of DeVry University degrees to potential students. In addition, we are aggressively managing our costs and now expect to achieve $100 million in cost savings this fiscal year.”
Key Stats (on next page)…