UPDATE: Piper Jaffray Reiterates Neutral Rating, Lowers PT on ITT Educational Services
In a report published Friday, Piper Jaffray & Co. reiterated its Neutral rating on ITT Educational Services (NYSE: ESI), but lowered its price target from $29.00 to $23.00.
Piper Jaffray noted, “While we are not inclined to upgrade our Neutral rating on ESI given still considerable execution and operating risks, we view the risk/reward as increasingly interesting given the stock's sharp underperformance in the past year and improved clarity on costs associated with its student lending program. Although estimates are coming down and enrollment trends are still negative, our confidence in the company's financial model has improved. For value investors with patience, ESI shares are intriguing.”
ITT Educational Services closed on Thursday at $16.86.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.