Legg Mason Upgrades DeVry to 'Buy'
Legg Mason upgraded DeVry (DV ) to buy from hold, while Jefferies upgraded the stock to hold from underperform.
Analyst Jerry Martin says as a leading provider of information-technology education, he thinks DeVry is positioned to benefit from an economic recovery, an investment in corporate technology infrastructure and human resources, and renewed interest in technology education from would-be students.
As such, he believes DeVry should be beneficiary of money flows migrating to companies with greater economic leverage. Martin notes enrollment trends have been improving, especially in the U.S., with modest increases reported in the summer against less challenging comparisons. He sees 90 cents fiscal 2004 (June) earnings per share, and $1.08 earnings per share in fiscal 2005. Martin has a $31 target.