S&P Not-for-profit Higher Education Outlook for 2021

2020 tested colleges and universities in unparalleled ways; we expect to see the impacts for a longtime to come. In our view, revenue forecast updates and management teams’ ability to adjust budgets will remain critical. We enter 2021 with 39% of our rated colleges and universities on negative outlook, highlighting our opinion that the increasing pressures in the sector will continue to stress the lower end of the rating spectrum or schools that were already struggling operationally pre-COVID.