University of Phoenix
We begin today’s hour with excellent news the University of Phoenix is experiencing a record number of students un enrolling from their educational institution and their stock price has plummeted considerably because of negative press around their program so according to CNN enrollment at America’s for-profit university was 460,00 students five years ago now it’s 213,000 now that number still extremely high considering the amount of students any other conventional university has but they’re experiencing such a dip that investors are questioning whether or not.
I makes sense to invest in this company revenues and enrollment both sank roughly 14% in its latest quarter compared to a year ago and the stock tanked over 20% on Wednesday drams yeah well those are big numbers when you lose 14% in the latest quarter that’s not over a long period of time so you start to worry even if it’s year over year and when you’ve lost more than half of your school that’s cause for concern right that’s a giant hit on their business model I love this OK yeah I mean part of the reason is some of the actions
Study In Australia University of Phoenix
that the Obama administration has taken which to be fair I don’t think we’ve given him a enough credit for and part of it is Ana Riparian OK now look I’m somewhat serious Ana’s on the war path against these for profit colleges for good reason cause it’s a bit of a scam right huge default rates they’re just trying to get the federal money in they give the kids a poor education some times.
it works out there’s people at the Young Turks who went to for profit colleges and they’re some of our best workers so everybody who went to for profit colleges aren’t bad guys no no no it’s not the students fault and they didn’t all get a bad education but unfortunately a large percentage of them did and they’re left to fend for themselves and not get real good meaningful jobs and so part of the reason they’re taking this hits is because of the bad publicity of people like Ana and others pointing out what they’re doing wrong which is what.
we’re supposed to be doing so some people are confused as to what a for profit college is because there are lots of college that seem to be making profit conventional colleges but those colleges will take their money and they will invest it into the school right so they’ll create new programs they’ll build new buildings you get the picture but with a for profit college they have investors so it’s run like a business and they’re number one priority is the make a profit and so how do they make a profit what they do is they have these deceptive recruiting methods
Student University of Phoenix
where they bring in students and they tell them hey we got a sous chef program and you’re likely to be gainfully employed once you graduate and so they will use these ridiculous statistics like 85% of our students became chefs after they graduated this program or they were gainfully employed after they graduated this program often the gainful employment is someone who’s working at McDonald’s.
he’s a chef isn’t he cooking up those fries so they of course use misleading statistics in order to convince students to enroll another thing that they do is they rely heavily on government aid so what they do is they push the students to take out federal loans and then that federal money goes to these schools and often times the students don’t end up graduating or if they do graduate
They’re not gainfully employed so they’re unable to pay back their student loan debt in fact let me give you this amazing statistic for profit colleges only enroll roughly 12% of the country’s students but account for about half of the student loan defaults in 2013 and another thing about 90% of the revenue that these for profit colleges make is in the form of federal aid see that’s the amazing part here.
so for those of you who still think the Republican on the national level is legit think this through Obama says hey look they’re living off the high off the hog off of big government.
They’re taking federal aid the college gets the money right away they put it in their pocket but then sometimes the students can’t repay that loan it’s terrible for the tax payer it doesn’t help the student cause he dropped out