Is LINCOLN EDUCATIONAL SERVICES CORP (LINC) Halal?

NASDAQ Consumer Defensive United States $1.3B
✓ HALAL
Confidence: 95/100
LINCOLN EDUCATIONAL SERVICES CORP (LINC) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 15.7% against the AAOIFI threshold of 30%, LINCOLN EDUCATIONAL SERVICES CORP comfortably passes the key financial ratio tests. The company operates in the Consumer Defensive sector (Education & Training Services), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 15.7%
/ 30%
5.2%
/ 30%
3.8%
/ 30%
0.48%
/ 5%
✓ HALAL
DJIM 15.7%
/ 33%
5.2%
/ 33%
3.8%
/ 33%
0.48%
/ 5%
✓ HALAL
MSCI 40.7%
/ 33%
13.6%
/ 33%
9.8%
/ 33%
0.48%
/ 5%
✗ NOT HALAL
S&P 15.7%
/ 33%
5.2%
/ 33%
3.8%
/ 33%
0.48%
/ 5%
✓ HALAL
FTSE 40.7%
/ 33%
13.6%
/ 33%
9.8%
/ 50%
0.48%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
63.9
Forward: 38.4
EPS
$0.64
P/B Ratio
6.5
EV/EBITDA
29.7
EV: $1.5B
Revenue
$518M
Growth: 19.7%
Beta
0.9
Average volatility
Current Ratio
0.9

Profitability

Gross Margin 60.4%
Operating Margin 11.8%
Net Margin 3.9%
Return on Equity (ROE) 10.6%
Return on Assets (ROA) 3.9%

Cash Flow & Balance Sheet

Operating Cash Flow$59M
Free Cash Flow-$27M
Total Debt$204M
Debt-to-Equity102.1
Current Ratio0.9
Total Assets$493M

Price & Trading

Last Close$40.85
50-Day MA$32.33
200-Day MA$24.50
Avg Volume450K
Beta0.9
52-Week Range
$14.84
$42.42

About LINCOLN EDUCATIONAL SERVICES CORP (LINC)

CEO
Mr. Scott M. Shaw
Employees
2,190
Sector
Consumer Defensive
Industry
Education & Training Services
Country
United States
Exchange
NASDAQ
Market Cap
$1.3B
Currency
USD

Lincoln Educational Services Corporation, together with its subsidiaries, provides various career-oriented postsecondary education services to high school graduates and working adults in the United States. It operates in two segments, Campus Operations and Transitional. The company offers associate's degree, and diploma and certificate programs in automotive technology; skilled trades programs, including electrical, heating and air conditioning repair, welding, computerized numerical control, and electrical and electronic systems technology; and health science and information technology programs. It operates schools under the Lincoln Technical Institute, Lincoln College of Technology, and Nashville Auto Diesel College brands. Lincoln Educational Services Corporation was founded in 1946 and is headquartered in Parsippany, New Jersey.

Purification Calculator

As a halal stock with 0.48% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is LINCOLN EDUCATIONAL SERVICES CORP (LINC) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), LINCOLN EDUCATIONAL SERVICES CORP is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is LINCOLN EDUCATIONAL SERVICES CORP's debt ratio?

LINCOLN EDUCATIONAL SERVICES CORP's debt ratio is 15.7% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 40.7%.

Does LINCOLN EDUCATIONAL SERVICES CORP require dividend purification?

Yes, LINCOLN EDUCATIONAL SERVICES CORP has an impermissible income ratio of 0.48%, which means 0.48% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are LINCOLN EDUCATIONAL SERVICES CORP's key financial metrics?

LINCOLN EDUCATIONAL SERVICES CORP has a market capitalization of $1.3B, trailing P/E ratio of 63.9, and revenue of $518M. The company maintains a gross margin of 60.4% and a net margin of 3.9%. Return on equity stands at 10.6%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.