I have written many times here on Slope about my distaste for the for-profit education industry. As I’ve said in the past, the business model is simple:
(a) trick poor saps who are unemployed and watching TV at home into thinking that an “education” from thus-and-such organization will make them profoundly desirable to employers;
(b) extract cash from the nimrods of the US Federal Government into bankrolling the “education” so that “workers” can be “retrained” for the “economy” so they can go get “jobs”;
(c) wash your hands of the entire affair when the aforementioned sap graduates with his phony-baloney degree, fails to get a job, is unable to pay the student debt, and leaves you and me (the honest, hardworking taxpayers) holding the bag.
It’s a scam, and it’s an exploitation of the ignorant as well as the rest of the American public. Indeed, the scam is so screamingly obvious that over the past couple of years, even the bozos in our government have finally realized that they are being subjected to lubricant-free rape, so they aren’t shelling out as much cash anymore. Thus, fine institutions like DeVry, Phoenix, and ITT Educational Institute have been withering away.
As far as ITT (symbol ESI) has fallen, it’s down nearly another 20% today, thus making its loss over the past few years something close to 90%. During the past few weeks, I guess some folks figured the stock had bottomed and gobbled it up. Oh, well. Firm support for stocks in this industry is at $0.00.