LINC Shareholder Alert: Lincoln Educational Services Corporation Securities Class Action Lawsuit - Investors With Losses May Contact Levi & Korsinsky

Lincoln Educational Services shares lost $10.22 in a single session, a 24.93% one-day decline on unusually heavy volume, after the Company reported that second quarter student starts grew only about 1% against roughly 9% enrollment growth.

NEW YORK, Oct. 7, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP alerts investors in Lincoln Educational Services Corporation (NASDAQ: LINC) that a securities class action has been filed on behalf of shareholders who purchased securities between May 11, 2026 and August 9, 2026. Find out if you may qualify to recover losses. You may also contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

LINC closed at a Class Period high of $55.68 per share on July 7, 2026. On August 10, 2026, the stock fell $10.22, or 24.93%, to close at $30.77 on unusually heavy trading volume. To be considered for lead plaintiff, investors must file by November 10, 2026.

A Single Morning Erased Nearly a Quarter of LINC's Market Value

Before the market opened on August 10, 2026, Lincoln reported second quarter results showing revenue up 22.4% to $142.6 million, but student starts up only approximately 1% year over year while enrollment grew approximately 9%. The Company stated that "fewer enrolled students than expected attended the first day of class" and that it had "observed changes in the student decision-making process that affected conversion from enrollment to start." Even with the full-year student start growth target of 10% to 14% reiterated that morning, the trading session that followed removed roughly a quarter of the stock's value.

The Market Impact by the Numbers

• Class Period high: $55.68 per share, closing price on July 7, 2026
• One-day decline on August 10, 2026: $10.22 per share, or 24.93%
• Closing price following the decline: $30.77 per share
• Reported second quarter 2026 student start growth: approximately 1%, against approximately 9% enrollment growth
• Adjusted EBITDA: $12.7 million in the second quarter of 2026
• Trading activity: unusually heavy volume on the day of the disclosure

Why the Trading Reaction Allegedly Matters

The pleading asserts that LINC traded at artificially inflated prices during the Class Period because investors were not told that the admissions process was allegedly failing to convert enrolled students into actual starts. The complaint charges that shareholders who bought during that window absorbed the entire August 10 decline. Claims are brought under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 in the United States District Court for the District of New Jersey.

"A one-day loss of $10.22 per share on unusually heavy volume is the market's own measure of how material this information was, as alleged in the complaint. The question this action raises is whether LINC shareholders were given that information before the repricing rather than after." -- Joseph E. Levi, Esq.

Submit your information here or call (212) 363-7500.

ABOUT THE FIRM — For over two decades, Levi & Korsinsky has represented shareholders in securities class actions. Ranked in ISS Top 50 for seven consecutive years. Investors who suffered losses have until November 10, 2026 to seek appointment as lead plaintiff.

Frequently Asked Questions About the LINC Lawsuit

Q: Who are the defendants named in the LINC lawsuit? A: The complaint names Lincoln Educational Services Corporation and individual defendants including senior executives who signed SEC filings, made public statements, or certified financial disclosures under Sarbanes-Oxley.

Q: How much did LINC stock drop? A: Shares fell approximately 24.93%, a decline of $10.22 per share, after the Company disclosed that second quarter student starts grew only about 1% year over year while enrollment grew approximately 9%, with fewer enrolled students than expected attending the first day of class. Investors who purchased shares during the Class Period at artificially inflated prices and suffered losses may be eligible to seek compensation.

Q: Who is eligible to join the LINC investor lawsuit? A: Investors who purchased LINC stock or securities between May 11, 2026 and August 9, 2026 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.

Q: What do LINC investors need to do right now? A: Investors may gather brokerage records showing purchase dates, share quantities, and prices paid. Submit your information for a no-cost, no-obligation evaluation of your potential recovery. No immediate action is required to remain eligible as an absent class member.

Q: What happens after I contact Levi & Korsinsky? A: An attorney will review your trading history at no cost and provide an initial assessment of your potential eligibility.

Q: What if I already sold my LINC shares, can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.

Q: What does it cost me to participate? A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in the securities class action, they are generally handled on a contingency basis, with any attorneys' fees and expenses subject to court approval.

Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. If there is a settlement or recovery, eligible class members generally submit a claim form to seek their portion.

CONTACT:\
Levi & Korsinsky, LLP\
Joseph E. Levi, Esq.\
Ed Korsinsky, Esq.\
33 Whitehall Street, 27th Floor\
New York, NY 10004\
[email protected]\
Tel: (212) 363-7500\
Fax: (212) 363-7171

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SOURCE Levi & Korsinsky, LLP