Lincoln Educational Services (NASDAQ:LINC) Shares Gap Up After Strong Earnings

Key Points

• Shares surged after earnings: Lincoln Educational Services opened at $20.05 versus its prior close of $17.66 and later traded at $21.83. Quarterly EPS was $0.15, beating the $0.13 consensus.
• Operating results topped expectations: Q3 revenue exceeded estimates, student starts increased more than 14%, and adjusted EBITDA grew nearly 31%; full-year guidance was slightly above expectations.
• Risks remain: Multiple law firms have publicized a securities class action related to shares purchased May 11–August 9, 2026, following concerns about student starts. The allegations have not been proven in court.

Lincoln Educational Services Corporation (NASDAQ:LINC - Get Free Report)'s stock price gapped up prior to trading on Monday following a stronger than expected earnings report. The stock had previously closed at $17.66, but opened at $20.05. Lincoln Educational Services shares last traded at $21.83, with a volume of 125,832 shares.

The company reported $0.15 EPS for the quarter, beating analysts' consensus estimates of $0.13 by $0.02. Lincoln Educational Services had a return on equity of 14.47% and a net margin of 3.99%.

Lincoln Educational Services News Roundup

Here are the key news stories impacting Lincoln Educational Services this week:

• Positive Sentiment: Q3 revenue topped analysts’ estimates, and full-year guidance came in slightly above expectations. Student starts rose more than 14%, adjusted EBITDA increased nearly 31%, and EPS of $0.15 beat the $0.13 consensus. Lincoln Educational Q3 sales and outlook Q3 financial results press release
• Negative Sentiment: Multiple law firms are publicizing a securities class action concerning investors who bought LINC shares from May 11 to August 9, 2026. The case follows the company’s August disclosure of slower-than-expected student starts, which reportedly triggered a sharp share decline. The litigation and renewed focus on enrollment trends may weigh on sentiment; the allegations have not been established in court. Class action notice

Wall Street Analyst Weigh In

A number of analysts have commented on LINC shares. Rosenblatt Securities reduced their target price on shares of Lincoln Educational Services from $60.00 to $50.00 and set a "buy" rating for the company in a report on Tuesday, August 11th. B. Riley Financial dropped their price target on shares of Lincoln Educational Services from $56.00 to $52.00 and set a "buy" rating on the stock in a research note on Wednesday, October 28th. Lake Street Capital dropped their price target on shares of Lincoln Educational Services from $55.00 to $50.00 and set a "buy" rating on the stock in a research note on Tuesday, August 11th. Barrington Research set a $50.00 price objective on shares of Lincoln Educational Services in a research report on Monday, August 10th. Finally, Weiss Ratings lowered Lincoln Educational Services from a "hold (c+)" rating to a "hold (c)" rating in a research note on Wednesday, September 2nd. Four analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $50.00.

Institutional Investors Weigh In On Lincoln Educational Services

A number of institutional investors and hedge funds have recently added to or reduced their stakes in LINC. BlackRock Inc. purchased a new position in Lincoln Educational Services in the 2nd quarter worth approximately $123,906,000. Nicholas Investment Partners LP purchased a new stake in Lincoln Educational Services during the 2nd quarter valued at approximately $26,544,000. Pillsbury Lake Capital LLC purchased a new stake in Lincoln Educational Services during the 2nd quarter valued at approximately $17,773,731. Punch & Associates Investment Management Inc. bought a new stake in shares of Lincoln Educational Services during the second quarter valued at approximately $10,007,000. Finally, Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Lincoln Educational Services during the second quarter valued at approximately $9,930,000. Institutional investors own 72.23% of the company's stock.

Lincoln Educational Services Stock Performance

The firm's 50-day moving average price is $22.91 and its 200-day moving average price is $35.58. The company has a debt-to-equity ratio of 0.28, a current ratio of 0.96 and a quick ratio of 0.92. The stock has a market cap of $699.58 million, a P/E ratio of 30.63, a PEG ratio of 1.54 and a beta of 0.85.

About Lincoln Educational Services

Lincoln Educational Services Corporation, doing business primarily under the Lincoln Tech name, provides career-oriented postsecondary education and training in the United States. The company prepares students for employment in fields such as automotive technology, skilled trades, healthcare, information technology, culinary arts and cosmetology.

Lincoln Tech offers diploma, certificate and degree programs through campus-based and online or hybrid learning formats, depending on the program.

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