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Lincoln Educational Services Corporation (LINC) Flat As Market Gains: What You Should Know

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Lincoln Educational Services Corporation (LINC - Free Report) closed at $7 in the latest trading session, marking no change from the prior day. This change lagged the S&P 500's 0.13% gain on the day. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, lost 0.04%.

Coming into today, shares of the company had gained 9.89% in the past month. In that same time, the Consumer Discretionary sector gained 7.82%, while the S&P 500 gained 5.55%.

Lincoln Educational Services Corporation will be looking to display strength as it nears its next earnings release, which is expected to be August 8, 2022. The company is expected to report EPS of $0.06, unchanged from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $83.76 million, up 4.1% from the prior-year quarter.

LINC's full-year Zacks Consensus Estimates are calling for earnings of $0.65 per share and revenue of $355.2 million. These results would represent year-over-year changes of -37.5% and +5.92%, respectively.

It is also important to note the recent changes to analyst estimates for Lincoln Educational Services Corporation. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Lincoln Educational Services Corporation currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Lincoln Educational Services Corporation is currently trading at a Forward P/E ratio of 10.85. For comparison, its industry has an average Forward P/E of 15.62, which means Lincoln Educational Services Corporation is trading at a discount to the group.

We can also see that LINC currently has a PEG ratio of 0.72. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Schools stocks are, on average, holding a PEG ratio of 0.83 based on yesterday's closing prices.

The Schools industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 58, putting it in the top 24% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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