Earnings Preview: Strayer to report earnings after mixed results from peers

theflyonthewall.com

Strayer (STRA) is expected to report Q4 earnings before the open on Thursday, February 14, with a conference call scheduled for 10:00 am ET. Strayer is a for-profit education company that offers college degrees to students... EXPECTATIONS: Analysts are looking for earnings per share of $1.44 on revenue of $145.25M. The consensus range is $1.43-$1.46 for EPS on revenue of $144.17M-$147.14M, according to First Call... LAST QUARTER: Strayer reported Q3 EPS of 36c against estimates of 32c, on revenue of $124.3M against estimates of $123.45M. Strayer's Q4 EPs guidance and its FY13 EPS guidance were also lower than expected. Moreover, the company suspended its dividend, but raised its share repurchase authorization to $120M from $80M... RESEARCH AND NEWS: Investors reacted very differently to earnings reported by two of Strayer's competitors in the for-profit education sector recently. DeVry's (DV) stock climbed on February 7 after the company's Q2 EPS beat analysts' consensus estimates by a wide margin. On the other hand, Capella Education (CPLA) saw its shares sink yesterday after its Q4 EPS came in below analysts' consensus estimate. In addition, research firm Barrington called Capella's Q1 guidance "soft," noting that its total enrollment projections, revenue, and implied EPS guidance all fell below the consensus estimates. On a positive note... PRICE ACTION: Strayer has climbed 3.5% this week, and has risen 20% over the last month. Over the last three months, the stock has jumped over 36%.

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