DeVry Inc.

DeVry Inc. ( DV - Analyst Report ) just announced that it will offer 500 scholarships to workers affected by recent layoffs as it replaces GM on the S&P 500. The company also recently declared a semi-annual dividend of 8 cents per share, which translates into an industry-leading yield of 0.35%.

Company Description

DeVry is the holding company for DeVry University, Ross University, Chamberlain College of Nursing and Becker Professional Review. The education provider prepares students for careers in technology, business and management, delivering undergraduate, graduate and life long learning programs.

Ross University offers programs for general medical and veterinary practice. Chamberlain College of Nursing delivers undergraduate health care education programs.

Becker Professional Review prepares students for professional certification exams such as the certified public accountant (CPA), certified management accountant (CMA) and chartered financial analyst (CFA).

DV Joins the S&P 500

Devry just announced that it is now a member of the S&P 500 in place of GM. In conjunction with this event, the education provider said it will offer 500 scholarships to workers affected by recent layoffs as of July 1.

Solid Income

The company recently declared a semi-annual dividend of 8 cents per share, noting that it is payable July 9 to common stockholders of record as of June 16. The education player offers an industry-leading dividend yield of 0.35%. It is operating in an industry that virtually offers no dividends.

Bullish Estimates

Analysts lifted earnings projections for the fiscal year ending June 2009. Current forecasts of $2.31 per share are up from $2.24 over the past 2 months. For the following year, earnings expectations of $2.90 were increased from $2.80 over the past 2 months.

Earnings results for the fourth quarter and full year are scheduled for release on August 6.

Strong Earnings

The company delivered strong results for the fiscal third quarter. Earnings per share of 70 cents came in well ahead of last year’s 53 cents and topped the consensus estimate by 4.5%. Revenues jumped 35% year-over-year to $391.9 million.

The company continued to post strong undergraduate enrollment growth as new spring enrollments widened by 15% to 14,288, versus last year’s 12,410. Total student enrollment grew 19% to 53,259 students from 44,814 in spring 2008.