[from Inside Higher Ed] The financial fortunes of large and small private universities are veering in opposite directions, with small colleges under growing pressure, according to research released Monday by Moody’s Investors Service. About a third of small private colleges rated by Moody’s generated operating deficits in fiscal 2016, up from 20 percent in 2013. In contrast, 13 percent of large comprehensive universities posted operating deficits in 2016, down from 20 percent three years before.
The divergence comes at a time of constrained tuition growth. In the 2016 fiscal year, 31 percent of private universities rated by Moody's posted declining net tuition revenue.
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