UTI's earnings conference call is November 29. Developments since the last quarterly call are:
(1) removal of the CFO
(2) resignation of a Director on the Auditing committee
(3) information from ED regarding programs that are failing or close to failing gainful employment rules
Look for any words about "gainful employment." Apollo Education Group last week reported that they were having to cut 16% of their programs due to the new ED rules. If students cannot repay their federal loans, programs are in trouble. From the numbers I'm looking at from ProPublica, UTI's numbers don't look great, but they may be able to avoid penalties. You can find particular schools at the below URL:
UTI has had a private lending program. I wonder what kind of shape that program is in. The Genesis Loan program at Corinthian Colleges and the PEAKS and CUSO loans at ITT Educational Services were short-term fixes for those companies, but led to their downfalls.
UTI also claimed that 88% of its graduates were "gainfully employed," that is, working in their fields of study. This is what got Devry in trouble with the Federal Trade Commission.