Lincoln Educational Services Corporation NASDAQ: LINC

A securities fraud class action lawsuit has been filed against Lincoln Educational Services Corporation (“Lincoln” or the “Company”) (NASDAQ: LINC) on behalf of shareholders who purchased or otherwise acquired the Company's securities between May 11, 2026 and August 9, 2026, inclusive (the “Class Period”). Lincoln operates for-profit career and technical schools across the United States.

The complaint alleges that, throughout the Class Period, defendants made materially false and misleading statements and/or failed to disclose that the Company's admissions process was not effectively converting enrolled students into actual class starts; that, as a result, Lincoln was experiencing a significant drop in student starts relative to enrollment; and that, as a result of the foregoing, defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On August 10, 2026, before the market opened, Lincoln reported second-quarter 2026 financial results, disclosing that student starts increased by only 1% year over year despite enrollment growing 9%, “as fewer enrolled students than expected attended the first day of class.” The Company stated that it had observed changes in the student decision-making process affecting conversion from enrollment to start, and that it would continue taking action to address the trend. On this news, Lincoln's stock price fell $10.22 per share, or 24.93%, to close at $30.77 on August 10, 2026.