Career Education (NASDAQ:CECO) Faces Year of Transition

With enrollment trends expected to continue to weaken in 2011, along with unknown impacts of possible new regulations, Career Education (NASDAQ:CECO) will be in transition going forward.

Barclays says, "CECO has a strong balance sheet and cash flows, above average program diversity, and an attractive valuation. However, we fear that enrollment trends will weaken in 2011, and expect a year of transition as the company adjusts its business to comply with a changing regulatory environment."

CECO did say they're going to close their culinary school in Pittsburgh and cuts staff.

Barclays maintains an "Equalweight" rating on Career Education (CECO), which closed Thursday at $21.73, up $0.41, or 1.92 percent. Barclays has a price target of $24 on them.