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DeVry Education at 52-Week High on Solid Q3, Initiatives

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On Nov 16, shares of DeVry Education Group Inc. rallied to a 52-week high of $28.45. The stock pulled back to end the trading session at $28.30. The IL-based provider of educational services has a market cap of around $1.75 billion and has seen its shares rise roughly 13.7% so far this year as against an 8.2% increase for the S&P 500 over the same period.

What’s Driving DeVry Education?

DeVry reported robust first-quarter fiscal 2017 results, surpassing the Zacks Consensus Estimate for both earnings and sales for the third quarter in a row. DeVry’s earnings were driven by Medical and Healthcare, Professional Education and International Institutions.

First-quarter fiscal 2017 adjusted earnings of 45 cents per share beat the Zacks Consensus Estimate of 41 cents by 9.8%. Earnings also increased 18.4% year over year. DeVry’s quarterly net sales of $450 million surpassed the Zacks Consensus Estimate of $447 million by 0.7%. Total revenue increased 1.9% on a year-over-year basis.

DeVry’s medical schools have been consistently opening campuses and introducing programs in order to capitalize on the strong demand. Recently, Becker Professional Education, part of DeVry Education, announced the availability of more than $450,000 in scholarship funds for aspiring students. Through this program, more than 240 Certified Public Accountant (“CPA”) candidates will receive financial assistance for Becker’s CPA Exam Review, after meeting the required criteria.

Also, DeVry University, in collaboration with RefactorU, is offering full-stack web development program under the DeVry Bootcamp in Denver. Through this program, students will be able to learn coding skills, prepare and expand their professional network and attend a DeVry Bootcamp career fair to connect with local employers.

DEVRY EDUCATION Price and Consensus

DeVry Education carries a Zacks Rank #2 (Buy).

Stocks to Consider

Better-ranked stocks in the broader consumer discretionary sector include New Oriental Education & Technology Group Inc. (EDU - Free Report) , SodaStream International Ltd. (SODA - Free Report) and Las Vegas Sands Corp. (LVS - Free Report) .

All three companies sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here

Fiscal 2017 earnings for New Oriental are expected to grow 23.3%.

SodaStream is expected to 62.4% rise in full-year 2016 earnings.

Fiscal 2016 earnings for Las Vegas Sands are expected to decline 8.9%.

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