DV - DeVry Education Group Inc

[JayGatsby]

Has anyone spent much time with Devry (or thought much about good/bad businesses in for-profit education)? The latest earnings came out yesterday.

 

Long story short, the valuation has been hit by declines in their traditional Devry University segment and for-profit education in generally. Currently the vast majority of their operating income comes from their medical education segment (primarily nursing, but also has a med school in the caribbean) which continues to add locations and grow. Meanwhile they're closing down traditional Devry University locations. They also own Becker CPA Review, which is a really nice business, although too small to really move the needle.

[rb]

I've looked at it a couple of years ago when it was around $20. At these prices it's really good value if you think that they can carry on like the do now.

 

My view was that these types of schools are basically defrauding people and that will eventually come to an end. I don't know when that's gonna be but I didn't want to be around it when it happens. I'm not a big fan of cat risk.