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Credit: Julio Sosa

Penn slightly drops from No. 2 to No. 3 in College Factual's annual college rankings, as reported by USA Today.

Penn places third two years after being the ranking's No. 1 in 2014. The list, which takes into account retention rates, full-time faculty and loan default rates, focuses primarily on outputs rather than inputs, according to College Factual CEO Bill Phelan.

Penn is one of six Ivy league schools in the top 10, joining top-ranked Yale, second-ranked Harvard, No. 7 Brown, No. 8 Cornell and No. 9 Princeton.

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