The February 2nd earnings call should give a clearer picture of the layoffs ahead.
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The courses are entirely contained in the online course shells, including the textbook, quizzes, assignments, and everything. If the site is down, neither the students nor the faculty can do anything with the course content. Unfortunately, that's been happening a lot lately.
The IT systems have been hacked across the board and it is now difficult or impossible for students to complete their work....why would that affect students doing there work, sounds like an excuse they'd offer. Shouldn't the IT folks be resetting the system?
The company is in chaos. The IT systems have been hacked across the board and it is now difficult or impossible for students to complete their work, and for employees to perform their jobs. The hacks are getting worse, and managers simply do not know what to do to handle the situation.
With a P/E ratio of 127, someone will probably make a bundle shorting DeVry stock.
https://www.linkedin.com/pulse/devry-headed-wrong-direction-dahn-shaulis?published=t
@DeVry Spin, it's unlikely that DeVry will tell the truth, at least not right now. DV is following the same path as Corinthian Colleges, ITT Educational Services, and Education Management Corporation. Devry stock is still at $32.90, a long way from being a penny stock.
But the price of DeVry stock is outrageous given its value. A P/E of 127 is not normal--in fact it's almost surreal. A good conservative P/E (price to earnings) ratio is 10:1.
DeVry is becoming more smoke and more mirrors, just like those subprime colleges that crashed ahead of it.
I heard about reductions. Your boss already knows too.
Every earnings call we wait to hear about the upcoming and inevitable layoffs due to low enrollment and bloated operations costs. Yet somehow DVG leadership somehow moves around their cash and provides the appearance that things are going well. DeVry is the master of spin. Maybe this is finally the time that they tell the truth. Enrollment is down, costs are up, morale is terrible and student service is poor at best.
Many more campuses will be closed and there will be another 25-30% staff reduction across the board in the next several months. DeVry lost $10 million in 2016 due to operating expenses, loss of revenue from declining enrollment, and loss from sale of assets. New student enrollments are down 25% for 2017. Expect 300-400 people to be let go as part of a permanent reduction.