Dropping Enrollment Numbers Weigh on Apollo Group and DeVry Profits

NEW YORK, NY -- (Marketwire) -- 02/03/12 -- For profit education companies reported mixed results this earnings season. Due in part to their reputation for being unable to place alumni into the workforce, most for-profit schools have been posting a decline in student enrollment in recent quarters. For-profit educators are expected to face continued decline in student numbers as they tighten admission standards to comply with new education rules. Five Star Equities examines the outlook for companies in the Education & Training Services Industry and provides equity research on Apollo Group, Inc. (NASDAQ: APOL) and DeVry, Inc. (NYSE: DV). Access to the full company reports can be found at:

www.fivestarequities.com/APOL

www.fivestarequities.com/DV

A House committee approved a bill recently that would create an independent commission to increase oversight of the for-profit college industry amid allegations that some are taking advantage of students. House Bill 308 calls for the commission to replace the 11-member panel (that includes six members from for-profit schools), known as The State Board for Proprietary Education. Bill 308 would also strengthen the complaint process for students and establish a student protection fund.

Last year, the U.S. Department of Education tightened financial aid standards for for-profit schools in an attempt to improve graduation rates.

Five Star Equities releases regular market updates on the Education & Training Services industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.fivestarequities.com and get exclusive access to our numerous stock reports and industry newsletters.

Shares of DeVry, Inc. took a nosedive last week after the company announced that its net income plunged by 90 percent during the second quarter. DeVry's undergraduate enrollment dropped 13 percent and new enrollees fell by 25 percent.

For the three months ended Nov. 30, Apollo Group's net income sank by 37 percent in its fiscal first quarter as enrollment at its flagship University of Phoenix decreased. Degreed enrollment for the quarter was 373,100, down 15 percent from 438,100 a year ago.

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