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Top Performer for Tuesday

March 17, 2009 | Comments: 0
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CECO | COCO | CPLA | ESI
Capella Education Company (CPLA - Analyst Report) is part of the Schools industry, so it has actually been able to capitalize on this recession as people look to strengthen their resumes in a more competitive, and smaller, job market.

Shares of CPLA are up by about 7% today, which makes it a top-performing Zacks #1 Rank company. There are 3 other Schools companies on today's Zacks #1 Rank List: Career Education Corporation (CECO - Snapshot Report), Corinthian Colleges (COCO - Snapshot Report) and ITT Educational (ESI - Analyst Report).

Earnings estimates for this year are up approximately 10% in the past 2 months, including a bump of 1.8% in 30 days.

The past 2 months have seen an advance of about 9.2% in expectations for next year. Furthermore, analysts currently anticipate 2010 profit to advance approximately 28% from 2009 profit, suggesting that CPLA has positive momentum moving forward.

Much of the earnings estimate growth can be attributed to a solid fourth-quarter and full-year report from February. During the quarter, earnings per share of 66 cents easily surpassed the year-ago result of 51 cents.

The result beat the consensus estimate by 6.45%, continuing CPLA's streak of better-than-expected quarterly EPS that has amassed an average surprise of more than 6% in the past 4 quarters.

Revenues in the quarter advanced 18.4% to $75.8 million from $64 million, as the company's demand dynamics remain strong.

According to the company, the strength of its business model is underscored in its operating results, solid balance sheet with no debt and strong cash position.