4-Star Stocks Poised to Pop: Bridgepoint Education

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, for-profit educator Bridgepoint Education (NYS: BPI) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Bridgepoint's business and see what CAPS investors are saying about the stock right now.

Bridgepoint facts

Headquarters (founded)

San Diego (1999)

Market Cap

$1.1 billion

Industry

Education services

Trailing-12-Month Revenue

$933.4 million

Management

Co-Founder/CEO Andrew Clark
CFO Daniel Devine

Return on Equity (average, past 3 years)

61%

Cash/Debt

$287.7 million / $0

Competitors

Apollo Group
Corinthian Colleges

DeVry


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 462 members who have rated Bridgepoint believe the stock will outperform the S&P 500 going forward.

This month, one of those bulls, BlacknGold, touched on a hidden trend working in Bridgepoint's favor:

Most people don't know it, but the Federal government has mandated that all new graduate school loans be unsubsidized. Furthermore, a growing number of undergraduate loans are also moving into the unsubsidized realm.

These moves will put a higher strain on the already overwhelmed college student and make online schools even more attractive. Bridgepoint is well positioned to capitalize on this trend.

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Bridgepoint may not be your top choice.

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At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Bridgepoint. Motley Fool newsletter services have recommended writing puts on Bridgepoint. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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