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Moody’s Investors Service has projected a “stable” outlook for higher education in 2024.

The report, issued Thursday, projects that “revenue gains will materialize across multiple sources as the residual impacts of the pandemic wane” and “expense growth will moderate as inflation cools, preventing further deterioration in operating performance for most of the sector.”

Moody’s projected sectorwide revenue growth of 4 percent in its 2024 outlook.

“The outlook could move to positive if revenue growth significantly overtakes expenses, supported by material strengthening across multiple sources. A negative outlook could materialize if revenue stagnates and expense growth fails to slow, leading to further erosion in sectorwide operating performance,” a spokesperson for Moody’s wrote in a news release.

The report comes two days after Fitch Ratings projected enrollment and financial challenges will likely increase in 2024, which “could weaken operating margins and strain financial flexibility.” While Moody’s offers a “stable” outlook for 2024, Fitch expects pressures to “intensify.”

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