Lincoln Educational Services (NASDAQ:LINC) Shares Up 5.7% on Earnings Beat

Key Points

• Lincoln Educational Services shares rose 5.7% after quarterly adjusted EPS of $0.15 topped the $0.13 consensus and revenue of $159.18 million exceeded the $152.46 million estimate.
• Student starts increased more than 14% and adjusted EBITDA grew nearly 31%. The company raised its 2026 revenue outlook to $600 million–$605 million and forecasts EPS of $0.74–$0.83.
• Risks include a securities class-action lawsuit alleging problems converting admissions into student starts; Rosenblatt also cut its price target to $40 while maintaining a Buy rating.

Lincoln Educational Services Corporation (NASDAQ:LINC - Get Free Report) shares rose 5.7% during trading on Tuesday following a better than expected earnings announcement. The stock traded as high as $23.02 and last traded at $23.2440. Approximately 191,609 shares traded hands during trading, a decline of 70% from the average daily volume of 635,721 shares. The stock had previously closed at $22.00.

The company reported $0.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.13 by $0.02. The business had revenue of $159.18 million during the quarter, compared to analysts' expectations of $152.46 million. Lincoln Educational Services had a return on equity of 14.47% and a net margin of 3.99%. Lincoln Educational Services has set its FY 2026 guidance at 0.740-0.830 EPS.

Lincoln Educational Services News Summary

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

• Positive Sentiment: Lincoln reported Q3 adjusted earnings of $0.15 per share, above the $0.13 consensus, and revenue of $159.18 million versus estimates of $152.46 million. Student starts rose more than 14% and adjusted EBITDA grew nearly 31%, signaling improved enrollment and operating performance. Lincoln Educational Services Reports Strong Third Quarter Financial Results
• Positive Sentiment: The company raised its 2026 revenue outlook to $600 million–$605 million, above the $594 million analyst consensus, and forecast 10%–12% growth in student starts. Its EPS guidance of $0.74–$0.83 brackets the $0.77 consensus. Lincoln Educational raises 2026 revenue outlook
• Neutral Sentiment: Rosenblatt Securities lowered its price target from $50 to $40 but maintained a Buy rating. The target reduction is a cautionary signal, while the retained rating indicates the analyst still sees upside. Rosenblatt Securities stock recommendations
• Negative Sentiment: Multiple law firms publicized a securities class action and the November 10 lead-plaintiff deadline. The suit concerns investors who bought shares from May 11 to August 9 and alleges the company did not adequately disclose problems converting admissions into student starts. The litigation adds uncertainty, though the notices largely repeat the same case. Lincoln shareholder alert

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. Lake Street Capital cut their target price on 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. Rosenblatt Securities dropped their price target on shares of Lincoln Educational Services from $50.00 to $40.00 and set a "buy" rating on the stock in a research note on Tuesday. Weiss Ratings downgraded Lincoln Educational Services from a "hold (c+)" rating to a "hold (c)" rating in a research report on Wednesday, September 2nd. Barrington Research set a $50.00 price objective on Lincoln Educational Services in a research note on Monday, August 10th. Finally, B. Riley Financial reduced their target price on Lincoln Educational Services from $56.00 to $52.00 and set a "buy" rating for the company in a report on Wednesday, October 28th. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $48.33.

Institutional Investors Weigh In On Lincoln Educational Services

Several institutional investors and hedge funds have recently bought and sold shares of LINC. Global Retirement Partners LLC bought a new position in Lincoln Educational Services in the second quarter worth $32,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in Lincoln Educational Services during the second quarter valued at $40,000. Freestone Grove Partners LP purchased a new stake in Lincoln Educational Services in the second quarter worth about $88,000. EverSource Wealth Advisors LLC lifted its holdings in Lincoln Educational Services by 383.3% during the first quarter. EverSource Wealth Advisors LLC now owns 2,436 shares of the company's stock valued at $99,000 after purchasing an additional 1,932 shares in the last quarter. Finally, Cannell Capital LLC purchased a new stake in shares of Lincoln Educational Services in the second quarter worth $202,394. Hedge funds and other institutional investors own 72.23% of the company's stock.

Lincoln Educational Services Stock Up 6.1%

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 company has a 50-day moving average price of $22.84 and a 200 day moving average price of $35.55. The firm has a market capitalization of $740.73 million, a PE ratio of 32.74, a P/E/G ratio of 1.73 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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