Rosenblatt has adjusted its valuation stance on Lincoln Educational Services, increasing its price target to $39 from $27 and maintaining a Buy recommendation on the shares of the for-profit education provider. The brokers attributed the move to the ongoing skills gap that they say is supporting demand for Lincoln's programs and underpinning recent operational momentum.
The firm noted that Lincoln produced fourth-quarter results that beat expectations and subsequently raised guidance. Following that quarterly performance, Rosenblatt raised its internal estimates and set the $39 target by applying a multiple of 16 times enterprise value to the company's projected 2026 EBITDA. Rosenblatt framed that multiple as a premium relative to the broader for-profit education cohort, citing Lincoln's record of execution and ongoing margin expansion as justification for the higher valuation.
Market action has reflected investor confidence: the stock has rallied 86% over the past year and is trading at $32.96, a price the report describes as near the company's 52-week high of $31.49. The company currently trades at a reported price-to-earnings ratio of 73.34 and is noted for an impressive gross profit margin of 60%.
In its latest quarterly disclosure, Lincoln Educational Services reported fourth-quarter 2025 earnings per share of $0.40, a result that met analyst expectations. More notably, the company recorded revenue of $142.9 million, ahead of the $132.8 million consensus estimate. Rosenblatt pointed to these outcomes in support of its more favorable outlook and higher estimates.
The brokerage expects the positive performance trend to persist through 2026, according to its analysis, and it highlighted the company’s track record on execution and margin improvements as reasons for assigning a valuation premium. Lincoln is scheduled to host an analyst day on March 19 at its newly relocated Nashville campus, an event Rosenblatt and other market participants may use to assess the sustainability of the company’s recent momentum.
Additional market commentary in the note observes that, despite strong margins and revenue beats, the stock appears overvalued relative to its Fair Value. That assessment, together with the premium multiple, suggests investors and analysts will weigh the company’s execution going forward against its current valuation.
Lincoln is also listed among a wide coverage universe of U.S. equities under comprehensive Pro Research reports, reflecting the level of analyst attention on the company’s results and outlook. Investors and market watchers will likely continue to monitor upcoming disclosures and the March analyst day for further clarity on growth and margin trajectories.