Cti Has Hold On Apollo Group Inc (APOL)

Citi Investment Research has a Hold rating and a $48 price target on shares of Apollo Group Inc APOL. In a note sent to clients, Citi writes, "We are looking for Rev/EPS of $1.29B/$1.50, vs. Street at $1.26B/$1.40. Our above-street estimates are likely due to persistence assumptions that may prove optimistic. We note that every 100 bps drop in persistence lowers our Q1 EPS by roughly $0.03. By that math, we estimate the Street may be modeling in ~40% decline in new starts and ~300 bps decline in persistence (vs. CIRA at 39% decline in starts and flat persistence)."