Rating of Corinthian Colleges downgraded to ‘Underperform’ by Zacks

Zacks, one of the top most market analyst and investment advisory firms, changed the stocks ratings of Corinthian Colleges (NASDAQ:COCO) to ‘underperform’ from a previously held rating of ‘neutral”. Moreover, Zacks gave the company’s stocks a price target of $0.20; this latest target price indicates a decrease of approximately 12.66 percent in the stocks of Corinthian Colleges (NASDAQ:COCO), in the near future.

Corinthian Colleges, Inc is one of the biggest post-secondary education provider companies in Canada and United States. The company has approximately 81,284 students enrolled in its colleges and it has around 97 schools in 25 different States. Moreover, the company has 14 schools in the State of Ontario, Canada.

The company announced its financial reports for the first quarter of the year 2014 on May 6, 2014. According to the reports and charts, the company’s EPS for the quarter was $0.03 which was far less than the estimated EPS of $0.05 by Thomson Reuters; the figures were also not so great when compared with last year’s EPS for the same time period: $0.04. Similarly, the company’s reported revenue was also less than its expected revenue; the company’s revenue for the first quarter was $349.80 million whereas the estimated revenue was $355.13 million. If compared with last year’s revenue figures, a decrease of 11.6 percent can be seen. Market analyst firms are of the view that Corinthian Colleges (NASDAQ:COCO) will have a total EPS of $0.10 for the fiscal year 2014.

Zacks is not the only investment firm that has run its research on Corinthian Colleges’ stocks; rather many other firms have also commented on company’s stocks. Gabelli, on June 20, 2014, demoted its ratings on Corinthian Colleges’ stocks to a ‘sell’ from a previously held rating of ‘hold’. Similarly, on June 19, senior analysts at Compass Point released their research reports; the reports maintained a rating of ‘sell’ on the stocks of Corinthian Colleges.

Moreover, on May 7, 2014, Deutsche Bank reduced their target price to $0.75 from $1 on Corinthian Colleges stocks, and gave Corinthian Colleges a rating of ‘hold’. Three other investment firms have given the stocks a rating of ‘sell’ whereas two others have given a ‘hold’ rating to the stocks. Currently, the company has a target price of $1.32 and a rating of ‘sell’ on its stocks.

On Tuesday, Corinthian Colleges (NASDAQ:COCO)’s shares prices increased by 4.72% and hit the figures of $0.2398. Moreover, the company’s trading volume for the day reached the numbers of 789,877 shares. As far as Corinthian Colleges’ 52 week high and low figures are concerned, the numbers are reported to be around $2.75 and $0.20 respectively. Corinthian Colleges (NASDAQ:COCO)’s SMA50 is $0.62 whereas its SMA200 is $1.21, with a market capitalization of $2.10 million.

The company’s average trading volume is 4.95 million shares whereas its beta is 2.71. As far as the institutional ownership of company’s stocks is concerned, the figures are reported to be around 68 percent. Corinthian Colleges’ EPS is going in a negative right now: -$0.84.