This one I do not own any shares but when reviewing the information is certainly very attractive. ITT Educational Services, Inc. (ESI) is "...a leading provider of technology-oriented postsecondary degree programs."
ESI had a GREAT day today in the midst of what anyone except a short-seller would call a lousy market. They closed today at $36.13 up $5.81 or 19.16% on the day.
It is earnings season and ESI reported their second quarter figures today: Revenues increased 15.2% from $108.3 million in 2002 to $124.8 million in 2003. Operating income was up 52.0% to $15.5 million from $10.1 million last year. Net Income jumped 45% to $9.8 million from $6.8 million last year. On a per share basis, earnings jumped 50% to $.21 from $.14 last year. Not too shabby indeed!
Morningstar.com shows a steady growth in revenues from $291 million in 1998, $316 million in 1999, $348 million in 2000, $411 million in 2001, $465 million in 2002 and if we extrapolate the second quarter we will get somewhere near $500 million in revenue for 2003.
Free cash flow while not consistently growing has been positive ranging from $27 million in 2000, $26 million in 2001, $93 million in 2002, and $50 million in the trailing twelve months.
The balance sheet is pretty even with $134.7 million in cash against $137.2 million in current liabilities. In addition there is $20 million in other current assets enough to cover the reported $15.4 in long-term liabilities.
Per Yahoo, ESI has a market cap of $1.36 Billion with 44.8 million in shares outstanding and 40.7 million shares float. There ARE 1.28 million shares out short...representing 3.77 days of trading so this is a positive insofar as these sellers are waiting in line to purchase sales to replace their borrowed shares they have sold.
All in all a nice stock...p/e is a moderate 30.50 and no dividends are paid.
Technically the stock looks nice as well....but I am not a technician and do not want to get into reading charts lol. Regards to all of my friends and visitors.