Lincoln Educational ServicesLINC +1.57%63 Operating Margin % is 4.45% as of Mar. 2026, which is 76% above its 10-year median of 2.53. GuruFocus rates LINC with a GF Score™ of 63/100 and a GF Value™ of $18.81 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 258 Education companies, Lincoln Educational Services ranks worse than 60.08% on this metric.
Lincoln Educational Services (NAS:LINC) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Lincoln Educational Services Operating Margin % Related Terms
Lincoln Educational Services Operating Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lincoln Educational Services Operating Margin % Chart
LINC vs DAO, COUR, AFYA: Operating Margin % Comparison
For the Education & Training Services subindustry, Lincoln Educational Services's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lincoln Educational Services Operating Margin % vs Education Industry
For the Education industry and Consumer Defensive sector, Lincoln Educational Services's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Lincoln Educational Services's Operating Margin % falls into.
Lincoln Educational Services Operating Margin % Calculation
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lincoln Educational Services (LINC) has a Operating Margin % of 4.45% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Lincoln Educational Services and its competitors. This is 76% above median its historical median of 2.53. According to the industry distribution chart, Lincoln Educational Services ranks #155 out of 258 companies in the Education industry, placing it in the top 60.1%.
Is Lincoln Educational Services' Operating Margin % too high?
Lincoln Educational Services' current Operating Margin % of 4.45% is 76% above median its 10-year median of 2.53. The Education industry median Operating Margin % is 9.35. Lincoln Educational Services' value of 4.45% is 52.4% below this industry median. Based on the distribution chart, Lincoln Educational Services ranks #155 out of 258 companies in the Education industry, which is below the industry midpoint. Overall, Lincoln Educational Services has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lincoln Educational Services' Operating Margin % compare to DAO and COUR?
According to the Education industry distribution chart, Lincoln Educational Services ranks #155 out of 258 companies for Operating Margin %. This places Lincoln Educational Services in the lower half of its industry. The industry median Operating Margin % is 9.35. Lincoln Educational Services' value of 4.45% is 52.4% below this benchmark. While the company's 10-year median is 2.53 vs. the industry median of 9.35, Lincoln Educational Services has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for an Education company?
The median Operating Margin % among Education companies is 9.35, based on 258 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lincoln Educational Services's current Operating Margin % of 4.45% is 52.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Lincoln Educational Services and its competitors. For the Education industry, the median Operating Margin % is 9.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lincoln Educational Services's current Operating Margin % is 4.45%, which is 76% above median its own 10-year median of 2.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lincoln Educational Services stock overvalued right now?
Based on GuruFocus' analysis, Lincoln Educational Services (LINC) is currently considered Significantly Overvalued. The stock's GF Value™ is $18.81, compared to a current price of $47.85 — trading 154.4% above its estimated fair value. The current Operating Margin % is 4.45%, which is 76% above median its 10-year median of 2.53 and 52.4% below the Education industry median of 9.35. Lincoln Educational Services' overall GF Score™ is 63/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Lincoln Educational Services (LINC), the current Operating Margin % is 4.45% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lincoln Educational Services (LINC) Overvalued in 2026?
Based on GuruFocus' analysis, Lincoln Educational Services stock appears to be overvalued.
The current stock price of $47.85 is trading 154.4% above its estimated GF Value™ of $18.81.
GuruFocus considers Lincoln Educational Services to be Significantly Overvalued.
Key valuation signals for LINC:
Operating Margin %: 4.45% (76% above median its 10-year median of 2.53)
GF Value™: $18.81 vs. price of $47.85 (154.4% above fair value)
Industry Position: 52.4% below the Education median (#155 of 258)
No single metric tells the full story. See the LINC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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. The majority of the revenue is generated from the Campus Operations segment, which includes all campuses that are continuing in operation and contribute to the company's core operations and performance.
63GF Score
Get the complete analysis for LINC
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