23.31 USD
-0.84 (-3.48%)
23.31 USD
0 (0%)
LINC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 76 industry peers in the Diversified Consumer Services industry. While LINC is still in line with the averages on profitability rating, there are concerns on its financial health. LINC is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
LINC had positive earnings in the past year.
LINC had a positive operating cash flow in the past year.
LINC had positive earnings in each of the past 5 years.
Each year in the past 5 years LINC had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 3.03%, LINC perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
LINC has a Return On Equity (7.60%) which is in line with its industry peers.
LINC's Return On Invested Capital of 4.58% is fine compared to the rest of the industry. LINC outperforms 61.84% of its industry peers.
LINC had an Average Return On Invested Capital over the past 3 years of 3.25%. This is significantly below the industry average of 10.55%.
The last Return On Invested Capital (4.58%) for LINC is above the 3 year average (3.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.03% | ||
| ROE | 7.6% | ||
| ROIC | 4.58% |
ROA(3y)4.32%
ROA(5y)7.36%
ROE(3y)9.16%
ROE(5y)16.33%
ROIC(3y)3.25%
ROIC(5y)5.24%
1.3 Margins
With a Profit Margin value of 2.86%, LINC perfoms like the industry average, outperforming 53.95% of the companies in the same industry.
LINC's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 4.90%, LINC is in line with its industry, outperforming 55.26% of the companies in the same industry.
LINC's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 60.26%, LINC is doing good in the industry, outperforming 73.68% of the companies in the same industry.
In the last couple of years the Gross Margin of LINC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.9% | ||
| PM (TTM) | 2.86% | ||
| GM | 60.26% |
OM growth 3Y-26.21%
OM growth 5Y14.38%
PM growth 3Y-33.9%
PM growth 5Y25.16%
GM growth 3Y0.07%
GM growth 5Y1.38%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LINC is destroying value.
Compared to 1 year ago, LINC has more shares outstanding
Compared to 5 years ago, LINC has more shares outstanding
The debt/assets ratio for LINC is higher compared to a year ago.
2.2 Solvency
LINC has an Altman-Z score of 3.02. This indicates that LINC is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.02, LINC is doing good in the industry, outperforming 73.68% of the companies in the same industry.
LINC has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
LINC's Debt to Equity ratio of 0.21 is in line compared to the rest of the industry. LINC outperforms 55.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.02 |
ROIC/WACC0.52
WACC8.78%
2.3 Liquidity
A Current Ratio of 0.81 indicates that LINC may have some problems paying its short term obligations.
The Current ratio of LINC (0.81) is worse than 67.11% of its industry peers.
LINC has a Quick Ratio of 0.81. This is a bad value and indicates that LINC is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.77, LINC is not doing good in the industry: 65.79% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
LINC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.62%, which is quite impressive.
Measured over the past years, LINC shows a very strong growth in Earnings Per Share. The EPS has been growing by 60.55% on average per year.
LINC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.90%.
Measured over the past years, LINC shows a quite strong growth in Revenue. The Revenue has been growing by 10.00% on average per year.
EPS 1Y (TTM)40.62%
EPS 3Y-32.27%
EPS 5Y60.55%
EPS Q2Q%-7.69%
Revenue 1Y (TTM)16.9%
Revenue growth 3Y9.49%
Revenue growth 5Y10%
Sales Q2Q%23.58%
3.2 Future
The Earnings Per Share is expected to grow by 65.42% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 11.64% on average over the next years. This is quite good.
EPS Next Y85.83%
EPS Next 2Y58.23%
EPS Next 3Y65.42%
EPS Next 5YN/A
Revenue Next Year17.76%
Revenue Next 2Y13.47%
Revenue Next 3Y11.64%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 51.80, which means the current valuation is very expensive for LINC.
Compared to the rest of the industry, the Price/Earnings ratio of LINC is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.60, LINC is valued quite expensively.
Based on the Price/Forward Earnings ratio of 29.09, the valuation of LINC can be described as expensive.
LINC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LINC is cheaper than 60.53% of the companies in the same industry.
LINC's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.8 | ||
| Fwd PE | 29.09 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LINC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.32 |
4.3 Compensation for Growth
LINC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of LINC may justify a higher PE ratio.
A more expensive valuation may be justified as LINC's earnings are expected to grow with 65.42% in the coming years.
PEG (NY)0.6
PEG (5Y)0.86
EPS Next 2Y58.23%
EPS Next 3Y65.42%
5. Dividend
5.1 Amount
LINC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
23.31
-0.84 (-3.48%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners84.48%
Inst Owner Change0%
Ins Owners6.49%
Ins Owner Change0%
Market Cap737.06M
Revenue(TTM)494.74M
Net Income(TTM)14.13M
Analysts83.33
Price Target27.03 (15.96%)
Short Float %4.23%
Short Ratio5.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)351.77%
Min EPS beat(2)183.49%
Max EPS beat(2)520.05%
EPS beat(4)3
Avg EPS beat(4)233.6%
Min EPS beat(4)-7.56%
Max EPS beat(4)520.05%
EPS beat(8)5
Avg EPS beat(8)105.04%
EPS beat(12)8
Avg EPS beat(12)455.11%
EPS beat(16)9
Avg EPS beat(16)331.58%
Revenue beat(2)1
Avg Revenue beat(2)2.69%
Min Revenue beat(2)-0.81%
Max Revenue beat(2)6.19%
Revenue beat(4)3
Avg Revenue beat(4)2.88%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)6.19%
Revenue beat(8)7
Avg Revenue beat(8)2.26%
Revenue beat(12)11
Avg Revenue beat(12)2.15%
Revenue beat(16)12
Avg Revenue beat(16)1.36%
PT rev (1m)1.27%
PT rev (3m)1.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.58%
EPS NY rev (1m)0%
EPS NY rev (3m)14.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.8 | ||
| Fwd PE | 29.09 | ||
| P/S | 1.49 | ||
| P/FCF | N/A | ||
| P/OCF | 15.99 | ||
| P/B | 3.97 | ||
| P/tB | 4.21 | ||
| EV/EBITDA | 18.32 |
EPS(TTM)0.45
EY1.93%
EPS(NY)0.8
Fwd EY3.44%
FCF(TTM)-1.48
FCFYN/A
OCF(TTM)1.46
OCFY6.25%
SpS15.65
BVpS5.88
TBVpS5.54
PEG (NY)0.6
PEG (5Y)0.86
Graham Number7.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.03% | ||
| ROE | 7.6% | ||
| ROCE | 6.54% | ||
| ROIC | 4.58% | ||
| ROICexc | 4.75% | ||
| ROICexgc | 4.9% | ||
| OM | 4.9% | ||
| PM (TTM) | 2.86% | ||
| GM | 60.26% | ||
| FCFM | N/A |
ROA(3y)4.32%
ROA(5y)7.36%
ROE(3y)9.16%
ROE(5y)16.33%
ROIC(3y)3.25%
ROIC(5y)5.24%
ROICexc(3y)4.26%
ROICexc(5y)7.24%
ROICexgc(3y)4.56%
ROICexgc(5y)7.95%
ROCE(3y)4.64%
ROCE(5y)7.48%
ROICexgc growth 3Y-36.91%
ROICexgc growth 5Y2.57%
ROICexc growth 3Y-35.5%
ROICexc growth 5Y4.6%
OM growth 3Y-26.21%
OM growth 5Y14.38%
PM growth 3Y-33.9%
PM growth 5Y25.16%
GM growth 3Y0.07%
GM growth 5Y1.38%
F-Score6
Asset Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.93 | ||
| Cap/Depr | 534.73% | ||
| Cap/Sales | 18.78% | ||
| Interest Coverage | 8.17 | ||
| Cash Conversion | 110.74% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 3.02 |
F-Score6
WACC8.78%
ROIC/WACC0.52
Cap/Depr(3y)393.54%
Cap/Depr(5y)272.39%
Cap/Sales(3y)8.76%
Cap/Sales(5y)6.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40.62%
EPS 3Y-32.27%
EPS 5Y60.55%
EPS Q2Q%-7.69%
EPS Next Y85.83%
EPS Next 2Y58.23%
EPS Next 3Y65.42%
EPS Next 5YN/A
Revenue 1Y (TTM)16.9%
Revenue growth 3Y9.49%
Revenue growth 5Y10%
Sales Q2Q%23.58%
Revenue Next Year17.76%
Revenue Next 2Y13.47%
Revenue Next 3Y11.64%
Revenue Next 5YN/A
EBIT growth 1Y114.27%
EBIT growth 3Y-19.21%
EBIT growth 5Y25.82%
EBIT Next Year318.89%
EBIT Next 3Y79%
EBIT Next 5YN/A
FCF growth 1Y-75.27%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1082.1%
OCF growth 3Y2.27%
OCF growth 5Y96.51%
LINCOLN EDUCATIONAL SERVICES / LINC FAQ
Can you provide the ChartMill fundamental rating for LINCOLN EDUCATIONAL SERVICES?
ChartMill assigns a fundamental rating of 5 / 10 to LINC.
Can you provide the valuation status for LINCOLN EDUCATIONAL SERVICES?
ChartMill assigns a valuation rating of 4 / 10 to LINCOLN EDUCATIONAL SERVICES (LINC). This can be considered as Fairly Valued.
Can you provide the profitability details for LINCOLN EDUCATIONAL SERVICES?
LINCOLN EDUCATIONAL SERVICES (LINC) has a profitability rating of 6 / 10.
What is the financial health of LINCOLN EDUCATIONAL SERVICES (LINC) stock?
The financial health rating of LINCOLN EDUCATIONAL SERVICES (LINC) is 2 / 10.
Is the dividend of LINCOLN EDUCATIONAL SERVICES sustainable?
The dividend rating of LINCOLN EDUCATIONAL SERVICES (LINC) is 0 / 10 and the dividend payout ratio is 0%.