Sunday, October 14, 2012

"Looking for that pot of gold at the end of the rainbow? Maybe it leads to Grand Canyon Education (LOPE)"

Dow Jones Industrial Average 13328.85  (Down) Week Ending 10-11-2012

Grand Canyon Education Inc. 
(Symbol LOPE, $23.89)

 Return on Equity % 34.96     PEG ratio  0.91

My search for good stocks for you with my new rules applied on Return on Equity and PEG ratio has narrowed the sphere of stocks that I can bring to you. But I think that will be a good thing as the markets reach new heights and you will need this added discipline to stay out of trouble and avoid nasty equity losses.

Two areas in the US that have continued to grow and has delivered gains in jobs are health care and education. Education has become extremely important as international candidates vie and compete for fewer and more specialized jobs as they come available. So folks are loading up on education. 

Grand Canyon Education Inc. is a regionally accredited provider of post secondary education services which is focused on offering graduate and undergraduate degree programs in core disciplines of education, business, health care and liberal arts.

LOPE has taken full advantage of these conditions with 5 Year sales growth of 65.93% 

and 5 year earnings growth of 622.29%. Projected long term earnings growth is 19.16%.

The one year total return on this stock is 44.00%, so plenty of growth going on here. The company does not pay a dividend 
so is susceptible to some shorting by the
 market with a 8.14 short interest. The 
company carries very little long term

Earnings per share for 2012 are projecting at $1.41 and for 2013 they are 
looking like  $1.60 per share. 10 analyst have strong buy recommendations on the stock.

So make a Grand investment in the company that will bring you a great education and also a great return on your investment dollar. I do not see growth slowing here anytime soon.

Hope you are enjoying this beautiful fall day. 


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