For Profit Education Stocks Soaring

Corinthian Colleges, Inc. COCO, Apollo Group, Inc. APOL, and Bridgepoint Education, Inc. BPI are soaring this morning, all gaining more than 10% after the Department of Education imposed rules that were not as tough as originally thought. Corinthian Colleges is the one benefiting the most, soaring some 38% this morning. Apollo, which reported earnings this morning, is up 11%, and Bridgepoint is up around 13%. The Department of Education said today that there would be a denial of federal aid if programs don't lead to “gainful employment” in a recognized occupation. Investors cheered as the rules go into affect as early as 2015, as opposed to immediately. “If you get three strikes in four years, you're out,” Secretary of Education Arne Duncan said in a statement.