Lincoln Edu (LINC) AI Stock Analysis

• Market Cap: $563.12M
• Dividend Yield: N/A
• Average Volume (3M): 254.54K
• Price to Earnings (P/E): 38.8
• Beta (1Y): 1.12
• Revenue Growth: 14.53%
• EPS Growth: 75.66%
• Country: US
• Employees: 1,875
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 0.09
• Shares Outstanding: 31,618,404
• 10 Day Avg. Volume: 324,543
• 30 Day Avg. Volume: 254,537
• PEG Ratio: -0.78
• Price to Book (P/B): 2.71
• Price to Sales (P/S): 1.10
• P/FCF Ratio: -17.55
• Enterprise Value/Market Cap: 1.59
• Enterprise Value/Revenue: 1.91
• Enterprise Value/Gross Profit: 3.19
• Enterprise Value/Ebitda: 23.11
• 1Y Price Target: $26.00
• Price Target Upside: 46.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: $19.00 ▲(6.74% Upside)

Lincoln Educational Services shows strong revenue growth and positive earnings call sentiment, but faces significant challenges in profitability, cash flow, and valuation. The technical indicators suggest a bearish trend, contributing to a cautious outlook.

Positive Factors

Revenue Growth

Sustained revenue and EBITDA growth indicate strong market demand and operational efficiency, supporting long-term business expansion.

Student Start Growth

Robust student start growth reflects effective marketing and campus strategy, ensuring a steady pipeline of revenue and market presence.

Hybrid Teaching Model

The hybrid model enhances learning flexibility and appeal, positioning Lincoln Edu to meet diverse educational needs and expand its market.

Negative Factors

Profitability Challenges

Declining profit margins suggest difficulty in cost management, which could hinder long-term financial stability and growth potential.

Cash Flow Issues

Negative free cash flow highlights liquidity concerns, potentially limiting the company's ability to invest in growth and manage debt.

Healthcare Enrollment Decline

A decline in healthcare program starts could impact revenue from this segment, requiring strategic adjustments to regain growth.

Lincoln Edu Business Overview & Revenue Model

Company Description

Lincoln Edu (LINC) is an innovative educational technology company focused on providing high-quality online learning solutions for students and professionals. Operating within the education sector, LINC offers a diverse range of products and services, including online courses, certification programs, and personalized learning experiences designed to cater to various skill levels and career aspirations. The company aims to bridge the gap between traditional education and the evolving demands of the workforce through cutting-edge technology and expert-led content.

How the Company Makes Money

Lincoln Edu generates revenue through multiple streams. Primarily, the company makes money by charging tuition fees for its online courses and certification programs, which are offered on a subscription or pay-per-course basis. Additionally, LINC partners with educational institutions and corporations to provide tailored training solutions, often resulting in lucrative contracts that contribute significantly to its earnings. The company also explores revenue through the sale of learning materials, such as textbooks and study guides, as well as through affiliate marketing partnerships with other educational platforms. Furthermore, LINC may generate income by offering premium services, such as one-on-one tutoring or career coaching, enhancing its value proposition and broadening its revenue base.

Lincoln Edu Financial Statement Overview

Summary

Lincoln Edu shows strong revenue growth but struggles with profitability and cash flow. The balance sheet raises concerns due to missing liabilities and equity data, indicating potential structural issues.

Income Statement

Lincoln Edu has shown a positive trajectory in revenue growth over the years, with a revenue increase from $273.3M in 2019 to $440.1M in 2024. However, the gross profit margin is lower due to the most recent year having high revenue but not a corresponding increase in gross profit. The net profit margin has declined significantly from previous years, indicating challenges in maintaining profitability. Stability in EBIT and EBITDA margins suggests operational efficiency despite profitability concerns.

Balance Sheet

The balance sheet reflects a stable asset base, but the complete absence of liabilities and equity in the latest year raises concerns about the accuracy or financial structuring. The past trend showed a healthy decreasing debt-to-equity ratio and improving equity ratio, but current data is insufficient for a comprehensive analysis of financial health.

Cash Flow

Free cash flow has been negative in recent years, indicating potential liquidity issues. Despite a positive operating cash flow, the significant capital expenditures have led to cash flow challenges. The free cash flow to net income ratio is unfavorable, suggesting inefficiencies in converting net income to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	467.76M	440.06M	378.07M	348.29M	335.34M	293.10M
Gross Profit	280.39M	258.31M	215.79M	199.54M	196.41M	170.90M
EBITDA	38.65M	30.23M	42.76M	22.96M	56.40M	22.18M
Net Income	14.29M	9.89M	26.00M	12.63M	34.72M	48.56M
Balance Sheet
Total Assets	447.32M	436.56M	345.25M	291.57M	295.30M	245.19M
Cash, Cash Equivalents and Short-Term Investments	16.70M	59.27M	75.99M	60.83M	83.31M	38.03M
Total Debt	189.13M	177.56M	116.79M	100.63M	97.89M	78.42M
Total Liabilities	266.64M	258.29M	178.44M	146.69M	153.90M	142.14M
Stockholders Equity	180.68M	178.26M	166.80M	144.88M	141.40M	103.05M
Cash Flow
Free Cash Flow	-62.59M	-27.56M	-15.14M	-8.10M	19.92M	17.91M
Operating Cash Flow	27.83M	29.31M	25.56M	882.00K	27.45M	23.48M
Investing Cash Flow	-89.74M	-46.97M	7.37M	-21.35M	37.85M	-5.48M
Financing Cash Flow	11.62M	-3.33M	-2.94M	-12.55M	-20.01M	-18.62M

Lincoln Edu Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LINC, the sentiment is Negative. The current price of 17.8 is below the 20-day moving average (MA) of 21.00, below the 50-day MA of 21.10, and below the 200-day MA of 19.87, indicating a bearish trend. The MACD of -1.00 indicates Positive momentum. The RSI at 24.37 is Positive, neither overbought nor oversold. The STOCH value of 7.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LINC.

Lincoln Edu Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UTI	72 Outperform	$1.54B	24.88	23.11%	―	14.56%	127.02%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
APEI	61 Neutral	$569.11M	29.86	10.20%	―	5.50%	338.59%
UDMY	61 Neutral	$759.70M	―	-1.78%	―	2.53%	95.79%
KLC	54 Neutral	$622.51M	―	-10.31%	―	3.85%	-208.51%
LINC	53 Neutral	$563.12M	38.78	8.27%	―	14.53%	75.66%
GOTU	48 Neutral	$669.83M	―	-32.95%	―	56.38%	-16.84%

Lincoln Edu Corporate Events

Lincoln Educational Services Reports Strong Q2 2025 Results

Lincoln Educational Services Corporation is a prominent provider of career-oriented post-secondary education, focusing on skilled trades, automotive, health sciences, and information technology, operating 21 campuses across 12 states in the United States.

Lincoln Educational Services Reports Strong Q2 Growth

Lincoln Educational Services’ latest earnings call conveyed a generally positive sentiment, marked by significant growth in student starts, revenue, and adjusted EBITDA. This growth was attributed to effective marketing strategies and expansion initiatives. Despite facing challenges in the healthcare segment and increased capital expenditures, the company’s positive performance and raised guidance for 2025 were the focal points of the discussion.