Covista (CVSA) has a credible path back to mid-to-high single-digit enrollment growth at Chamberlain, given healthy student demand and the potential for a new corporate partnership by the end of 2026, Truist Securities said in a Friday note.

Truist said it remains confident that a reacceleration in Chamberlain enrollment growth could drive potential upside to estimates and support a re-rating in the stock, citing two consecutive quarters of double-digit application growth, a healthy demand backdrop and new segment president Amelia Manning having taken the reins in May.

Truist also said Covista could potentially announce another corporate partnership by year-end, noting that the success of the company's relationship with SSM Health could be an attractive selling point to additional healthcare systems.

The firm said it expects capital expenditure estimates for fiscal 2027 may need to move closer to its $110 million forecast, compared with consensus of $101 million, considering the capital intensity of Chamberlain's campus expansion plan.

Truist maintained its buy rating on Covista and a $140 price target.