For Profit College Bargain Hunting - Education Management Corporation

Shares of many US based for-profit colleges have been under attack last year due to government probe.  The government probes into the for-profit colleges scared away the investors and drove down share prices of the entire group.  However this may be exactly the right time to invest in these stocks as the wise investors alway do.  So far we've already looked at Apollo Group , DeVry and Corinthian College.  Today lets look at another major player in the for-profit colleges.

Education Management Corporation(Nasdaq:EDMC) is a Pittsburgh, Pennsylvania based career-focused education provider with approximately 158,300 students. The school offer a range of academic programs in the creative and applied arts, behavioral sciences, education, health sciences and business fields.


The company's financial looks really strong as the company's annual revenue growth consistently 20% every year since 2007 and has almost doubled from $1.3 billion in 2007 to $2.5 billion in 2010.  Net income during the same period surged more than 400% from $32 million to $168 million.  Looking at the stock, the technical chart indicates a bullish trend as 50 day moving average has crossed on top over 100 day moving average with KD line on the rise.  With recovery of education stocks underway we should see EDMC hitting $20 very soon.