Test Scores More Accurately Predict Course Placement and College Success

March 28, 2026

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Test Scores Better Predict Course Placement and College Success

Some first-year college students need to take remedial or developmental courses to be successful. Historically, high school grades predicted the need for developmental course placement. However, a new May 2024 research study by the ACT® organization shows that test scores determine placement for remedial courses more accurately than high school grades. This should improve sophomore retention and college success.

The COVID-19 pandemic caused extensive learning losses. Efforts to keep students on the path to graduation and college led to high school grade inflation. Average high school GPAs increased from 3.17 in 2010 to 3.36 in 2021, with average grades increasing most from 2016 to 2021. Additionally, many colleges eager to keep increasing their freshman class sizes also adopted less stringent test-optional college readiness requirements. 
 
A 2025 study analyzing data from Dartmouth found that less-advantaged students boosted their chances of admission when submitting 1420+ SAT® scores. These included students who were first-gen, below-median incomes, high schools with high Challenge Index rankings.  The study further found that SAT® scores, rather than high school GPAs, more closely correlated to freshman college GPAs. The difference was notable: 22% for scores compared to only 9% for GPAs.
 
Opportunity Insights' research in January 2024 addressed the value of test scores in college admissions. Their study found that students with higher SAT® /ACT® scores are more likely to have higher college GPAs. They also found that students from different socioeconomic levels with comparable test scores shared similar college grades.
 
Further, multiple selective universities—including MIT, Stanford, and Yale—conducted internal research with similar conclusions. They all found that test scores correlate with college GPAs. “Standardized test scores are a much better predictor of academic success than high school grades,” wrote Christina Paxson, the president of Brown University. Also, a 2020 study by the University of California System found that standardized test scores predict multiple student success factors, including college GPA, sophomore retention, and degree completion.

Opportunity Insights: Standardized Test Scores and Academic Performance at Ivy-Plus Colleges (Friedman, Sacerdote, Tine)

Even among otherwise similar students with the same high school grades, we find that SAT® and ACT® scores have substantial predictive power for academic success in college.

Opportunity Insights: Standardized Test Scores and Academic Performance at Ivy-Plus Colleges (Friedman, Sacerdote, Tine)

Students need to find their best-fit post-high school destination, whether a community college, university, military, or trade school. Research demonstrates that preparing for and taking the SAT® Test and/or ACT® Test helps reveal proper course placement and future academic success.

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Interested in more reasons Why the ACT® Test & SAT® Test Matter at Test-Optional Colleges?
Applying to Test-Optional Colleges
Not Test-Optional for Homeschool Students
What Does Test-Optional Really Mean?

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