Do you know who/what is ISS group?
Received an alert email from COCO.... mention filing form 14A.
It is in the news, check STRA.
The tuition should be lower, it is good. It will bring more students to the schools.
Right now, COCO's school is only 50% full. If we can drop the tuition 20% and get 25% more enrollment, it is break even in term of Revenue. Schools is like an hotel, a lot of fix cost items. So leaving the hotel vacancy rate low is not a good idea, drop the hotel ADR (average daily rate) low and increase occupancy is good.
The FP sector is dead enough, it should stabilize and bottoming right about now.
Low volume, down a bit. Is it the 8k filing, what bothers you?
The Fed keeps pumping, Dow downs ever so slightly still at 15600. CECO soften a bit, yes, I think the Education sectors will go up more before Jan, especially the low price stocks like COCO, CECO, because the risk is overstated.
Look at BPI, how can we imagine a year ago that we are in the $20. What changes? Nothing significant.
I say Yes, because COCO is made of WyoTech, Heald, Everest...... We can always part with one smaller one and survive if necessary. But we have enough cash now, I do not see we need to do that. Rev is $1.6B that is not a small number. It has a leverage for such big operation, years of cost cutting and streamlining, I think this company can operate under even smaller revenue. We can also consolidate some and get rid of the fix cost..... lots of ways to survive the down turn.
Now it seems the down turn is bottoming for other schools, so I can't see why we are not in the same boat.
Sell some real estate, lease it back, Pay down some debt to cut expenses, I can not see us $2.5 as if we are to be out of business soon. Investors do not see COCO's values, just like CECO's .... same situation, but COCO fundamental is better.
Long and holding...
Yahoo is screwing up, I wrote the above message 15 hours ago, now it became Jenetter---'s strange. how can that be?
You are kidding! You can avoid, or even short it if you are so sure, but you will be sorry.
$2.5 is not at all different from the recent low of $1.93 if this stock can recover to $5 or $10. It is only different if we plan to sell it at $3 for example. But hey, we missed to add at $1.93 simply we do not know. Don't feel bad, you have not missed a thing, don't need to talk this stock down. Because it won't, major holder is Wells Fargo (13%) and others, total 92%, .... very little retail investors like us. Don't busy bad mouthing this, you just miss the boat by ever so slightly. Jump over it, you are on. LOL..
CECO had more cash to weather the regulation issues, now they even have more cash after this.
I still like the COCO story better.... We don't know when, the politician will be tired of the Obama Care, Debt Ceiling, .... and begin to realize whoever start the For-Education tune could win some political revenue, then the FP schools can turn the corner.
This good weeks we have is just because analysts realized the evaluation on FP schools are too low. And for which we might match CECO's price any day now, give it 30 days.
I hope Nov 5th have a small loss, then we will ramp up pass $5 easily.
In addition, how much it is worth for the rest of the schools.
I do not know much of CECO, the website shows 95 schools in 23 states and 5 countries... so after munis 2 = 93 schools
How much 93 remaining school worth???
AH is now $6 for CECO, $2.5 for COCO. Can't wait until tomorrow!
My God, Quickkeep, you are right, Thursday AH trade high is $2.69 !!! you make your 2.5 target ahead of time..
Maybe investors look at CECO and re-evaluate COCO's equity and student enrollment etc. Also CECO settled the NY law suites $10M-ish, so yes it is bothering from law suits, but it is a smaller damage over 1-2 years. a pain, but it is OK.
Anyway, what comes tomorrow? we will find out.
Of all the things I do with FP school, I never have CECO ..... now they sold 2 international schools to a private investor firm for $305M .... AH trading at 53% jump!
COCO has equity and cash position, hopefully we do not have to sell anything.... we have good balance sheet.
Based on other FP schools action today, maybe this whole sector is bottoming, and going up soon.
I like the move, strong volume up. But it is a bit surprised by the quick move. I do agree, all days before earning could be up.
high volume, higher price, no news ... good support. It seems that investors had factored in all the negatives to evaluate coco at $2-ish, or maybe someone knows the result will be good.
I am nervous, it will not go up as fast as you wish. There is no news, only a value-buy support here. It needs some very good news to bring it up. Maybe the quarter will be good, loss 5 cents will make my day. May even beat that, a company this size has a lot of accounting/tax strategy it can employ.
As much as we investors and analysts know everything about the law suit, students attending the school or the potential new students has NO idea what is going on. No one really check a school in the way we check it. The impact is minimum. In fact coco should NOT use those seals etc anyway, it does not make any difference. Right now, the issue is really due to the economy.... otherwise students will find job and will pay down their loans, coco will make profit.
the question is, economy in 1-2 years any good? I think it will not tank, it will remain slow growth. coco chart kinds of show some support. Open down today, but came right back up.