why wouldn' you chose to own BPI over LOPE? If you can stomach the volatility associated with this sector, BPI really stands out. relative to cpla, lope and apei, the company has exhibited much higher historical growth. on top of this, the valuation is lower than online peers due, in part, to lack of sponsorship. this will change when the underwriters roll out coverage during the next 30 days or so.
i believe most recommendations will support upside price objective of at least $17. this would place the valuation on par with online peers while still not giving gull credit for higher growth rate.
bpi will be reporting qtrly results in late may sometime..
here's a look at my estimate for valuation. all figures are on 09