Lincoln Educational Services: Gains on upbeat Q1 earnings

Lincoln Educational Services

13/05/2020 20:01

** Shares of post-secondary education provider  LINC.O  rise
9.8% to $2.80, hitting an over two-month high
    ** LINC posts Q1 loss of 8 cents/shr, less than Refinitiv
est. of loss of 18 cents/shr; revenue of $70 mln also beats est
of $66.6 mln  urn:newsml:reuters.com:*:nASA00PXT
    ** Co beats rev est for eight straight qtr, mainly due to
LINC starting the year with ~760 students in its transportation
and skilled trades, healthcare and other professions segment
 urn:newsml:reuters.com:*:nGNXVjspS
    ** Saw 30% rise, or ~850 students, in co's distance learning
service in April; seven campuses set to re-open by June
1 pursuant to current state guidelines
    ** However, pulls 2020 outlook due to COVID-19 effects
    ** Says LINC was awarded a grant of ~$27.4 mln under
recently-enacted CARES Act to help ensure continued education of
its students; portion of funds expected to be used to offset
costs associated to the COVID-19 pandemic
    ** Only 1 brokerage covers stock - "strong buy" rating and
PT of $4
    ** Stock erases all YTD losses and is now up 3.7% this year

 (Reporting by Devik Jain in Bengaluru)
 ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780;
outside U.S. +91 80 6182 2062; ;))