LINC Stock Forecast & Price Target

Lincoln Educational Services Corp has demonstrated a strong financial performance with a 25.4% year-over-year revenue increase, excluding its Transitional segment. The company's focus on its Licensed Practical Nursing and Medical Assisting programs is yielding positive results, with these programs accounting for 80% of enrollment in the Healthcare Occupational Programs segment and seeing a 2% year-over-year growth. Additionally, adjusted EBITDA rose significantly by 65.1% to $16.9 million, surpassing consensus expectations, while overall revenue increased by 13.2%, indicating solid demand and operational efficiency.

Lincoln Educational Services Corp has reported a 3.9% decrease in net income to $3.8 million, raising concerns about sustainability given the significant decline in student starts, which plummeted by 36% year-over-year. The company's Healthcare segment continues to struggle, partly due to the exit from the Cosmetology program in Las Vegas and challenges in enrolling nursing students in New Jersey, resulting in a 10.7% drop in average population. Additionally, revised estimates for 2026 suggest a lower adjusted EBITDA of $70.5 million and an expected adjusted EPS of $0.73, both of which indicate ongoing financial pressures and contribute to a negative outlook on the stock.