Wunderlich Securities Reiterates Buy, $3.50 on Corinthian Colleges

Wunderlich Securities maintains its Buy rating and $3.50 target price on Corinthian Colleges

as it expects the company to perform in line with estimates and its own guidance for the December quarter. Wunderlich Securities notes, "For Q2 the company expects revenue of $412-$422 million, diluted EPS of $0.00-$0.02, new student growth of -2% to -4%, a diluted share count of 85.4 million shares, and a tax rate of 40%. For the full year, COCO expects diluted EPS of $0.30-$0.35, positive new enrollment growth in Q3 and Q4, $55-$60 million in annualized cost reductions, capital expenditures of $45-$50 million, and cash flow from operations of $225 million." COCO closed at $3.15 a share yesterday.