S&P Global Ratings on Tuesday issued a negative outlook for U.S. nonprofit colleges, saying institutions will face mounting operating pressure and uncertainty in 2026. Analysts pointed to federal policy shifts, enrollment competition, rising costs and new revenue risks — including athlete revenue-sharing and research funding cuts — as drivers of weak operating margins. The agency singled out small, regional private colleges as most vulnerable while noting larger research universities have more liquidity to absorb shocks. S&P’s assessment follows similar warnings from Moody’s and highlights growing credit stress across the sector as institutions plan budget and program adjustments for the year ahead.