10% Owner Of Lincoln Educational Servs Makes $2.86M Sale

A substantial insider sell was reported on March 6, by Juniper Investment Company LLC, 10% Owner at Lincoln Educational Servs LINC, based on the recent SEC filing.

What Happened: LLC's decision to sell 286,997 shares of Lincoln Educational Servs was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the sale is $2,861,247.

Lincoln Educational Servs shares are trading down 0.0% at $10.1 at the time of this writing on Thursday morning.

Unveiling the Story Behind Lincoln Educational Servs

Lincoln Educational Services Corp provides diversified career-oriented post-secondary education to high school graduates and working adults. The company offers programs in automotive technology, skilled trades, healthcare services, hospitality services and business and information technology. Its reportable segments include; Campus Operations, and Transitional. Majority of the revenue is generated from Campus Operations segment which includes all campuses that are continuing in operation and contribute to the Company's core operations and performance.

Understanding the Numbers: Lincoln Educational Servs's Finances

Revenue Growth: Lincoln Educational Servs's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 11.71%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Navigating Financial Profits:

• Gross Margin: Achieving a high gross margin of 59.99%, the company performs well in terms of cost management and profitability within its sector.

• Earnings per Share (EPS): Lincoln Educational Servs's EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of 0.23.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 0.7, caution is advised due to increased financial risk.

Market Valuation:

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 11.88, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: The Price to Sales ratio is 0.82, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): The company's EV/EBITDA ratio 8.49 is below the industry average, indicating that it may be relatively undervalued compared to peers.

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

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Understanding the Significance of Insider Transactions

Insider transactions should be considered alongside other factors when making investment decisions, as they can offer important insights.

When discussing legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

A new purchase by a company insider is a indication that they anticipate the stock will rise.

On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Transaction Codes Worth Your Attention

Examining transactions, investors often concentrate on those unfolding in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Lincoln Educational Servs's Insider Trades.

This article was generated by Benzinga's automated content engine and reviewed by an editor.