Lincoln Educational Services (NASDAQ:LINC) Announces Earnings Results, Beats Expectations By $0.02 EPS

Lincoln Educational Services (NASDAQ:LINC) released its earnings results on Monday. The company reported $0.15 EPS for the quarter, topping the consensus estimate of $0.13 by $0.02, Zacks reports. The firm had revenue of $159.18 million during the quarter, compared to analysts’ expectations of $152.46 million. Lincoln Educational Services had a net margin of 4.03% and a return on equity of 13.61%. Lincoln Educational Services updated its FY 2026 guidance to 0.740-0.830 EPS.

Here are the key takeaways from Lincoln Educational Services’ conference call:

• Third-quarter results showed strong growth: student starts rose 14.2%, revenue increased 12.6% to $159.2 million, and adjusted EBITDA grew 30.8% to $17.4 million. Ending student population was up 11% year over year.
• Lincoln raised its full-year revenue outlook to $600 million–$605 million and narrowed its student-start growth forecast to 10%–12%, while maintaining its adjusted EBITDA guidance of $76 million–$80 million. The EBITDA outlook includes approximately $10 million in new-campus losses.
• Marketing remains a challenge: cost per lead is about 20% higher than a year ago, and management expects cost per start to remain elevated in the near term. Executives cited changes in search and AI platforms as reasons the company is diversifying lead-generation channels.
• The company is expanding capacity through new and expanded campuses, including locations in Hicksville, Rowlett, Tempe, and Suitland. Management said the lower-cost “focus program” model for Suitland is expected to require about $10 million in investment and could generate $5 million in annual EBITDA when fully ramped.
• Lincoln repurchased about 871,000 shares for approximately $21 million during the quarter and expanded its buyback authorization, with more than $37 million of capacity remaining. It ended the quarter with $135.6 million in liquidity, while noting future repurchases will depend on market conditions and capital needs.

Lincoln Educational Services Trading Up 4.1%

Shares of NASDAQ LINC traded up $0.94 during trading on Wednesday, hitting $23.95. 241,863 shares of the company traded hands, compared to its average volume of 638,670. The firm has a market capitalization of $759.56 million, a P/E ratio of 31.92, a P/E/G ratio of 1.91 and a beta of 0.85. The company has a quick ratio of 0.92, a current ratio of 0.59 and a debt-to-equity ratio of 0.29. The company has a 50-day moving average price of $22.80 and a 200-day moving average price of $35.53. Lincoln Educational Services has a 1 year low of $17.11 and a 1 year high of $56.34.

Lincoln Educational Services News Roundup

These are some of the LINC news items that stood out recently:

• Positive Sentiment: Enrollment and outlook improved: Student starts rose 14.2% year over year in Q3, and Lincoln raised its 2026 revenue forecast to $600 million–$605 million, above the roughly $594 million consensus. Article: Lincoln Educational Services: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Q3 results beat expectations: Lincoln reported EPS of $0.15 versus the $0.13 consensus and revenue of $159.18 million versus estimates of $152.46 million, supporting optimism about its recovery in student starts and demand for technical training.
• Negative Sentiment: Lower estimates and litigation pose risks: Northland cut its Q1 2027 EPS estimate to $0.13 from $0.16 and its FY2027 estimate to $0.95 from $0.98. Separately, a securities class action alleges the company failed to disclose adverse information about student starts; the allegations remain unproven. Article: Securities Class Action Deadline Alert

Analyst Ratings Changes

A number of equities research analysts have recently commented on LINC shares. Barrington Research set a $50.00 price objective on Lincoln Educational Services in a research report on Monday, August 10th. Rosenblatt Securities reduced their target price on Lincoln Educational Services from $50.00 to $40.00 and set a “buy” rating on the stock in a research report on Tuesday. B. Riley Financial decreased their price target on Lincoln Educational Services from $52.00 to $50.00 and set a “buy” rating on the stock in a research note on Tuesday. Lake Street Capital lowered their price target on Lincoln Educational Services from $55.00 to $50.00 and set a “buy” rating for the company in a report on Tuesday, August 11th. Finally, Weiss Ratings downgraded shares of 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 company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $48.00.

Lincoln Educational Services Company Profile

Lincoln Educational Services Corporation operates career-focused postsecondary schools in the United States under brands including Lincoln Technical Institute and Lincoln College of Technology. Founded in 1946, the company provides students with career training through campus-based and online programs. Its programs include training in automotive technology, skilled trades such as HVAC and electrical work, health sciences, information technology, and other career fields. Offerings include diploma and degree programs designed to prepare students for jobs requiring specialized technical skills.