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Legacy Education Inc.

LGCYยทAMEX

$11.18

+0.36%
Consumer DefensiveEducation & Training Services

Legacy Education Inc. provides education services to students, high school graduates, and working parents in the United States. The company offers a range of certificate or degree programs, including ultrasound technician (UT), vocational nursing (VN), VN Associate of Applied Science degree, Associate degree of nursing, nursing assistant, magnetic resonance imaging (MRI) Associate of Applied Science, cardiac sonography, pharmacy technician, dental assisting, clinical medical assisting, medical administrative assisting, medical billing and coding, and veterinary assistant. It also provides a range of certificate or degree programs, such as phlebotomy technician avocational, nursing assistant avocational, UT Associate of Applied Science degree, business administrative specialist, computer specialist, accounting, medical administrative assistant, medical assisting, veterinary technology Associate of Applied Science, avocational phlebotomy technician program, registered nurse to Bachelor of Science in nursing, and diagnostic medical sonography program. The company operates under the High Desert Medical College, Central Coast College, and Integrity College of Health academic institutions. Legacy Education Inc. was incorporated in 2020 and is based in Temecula, California.

At a Glance

Live Snapshot
Market Cap$141.45M
EPS0.6500
P/E Ratio17.20
Earnings Date09/24/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is mid-range (P/E 17.2).

Valuation inputs: P/E 17.2, earnings yield +5.8%, momentum +0.4%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is acceptable (ROE +18.4%, ROIC +11.6%).

Profitability stack: net margin +11.7%, ROE +18.4%, ROIC +11.6%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile looks controlled across current risk inputs.

Risk factors: liabilities/assets +40.7%, momentum +0.4%, net margin +11.7%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Legacy Education Inc. Market vs Earnings Trajectory

LGCY ยท AMEX

Loading price and EPS data...

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Legacy Education Inc. Fair Value Envelope

LGCY ยท AMEX

Our analysis suggests that LGCY has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $11.18, this represents a potential HIDDEN relative to our calculated worth for Legacy Education Inc..

Intrinsic Value
Current Price: $11.18
3Y+225.0%
5Y-1525.0%
10Y-106.0%
3Y+109.0%
5Y+291.0%
10Y-81.0%
3Y+222.0%
5Y-1196.0%
10Y-101.0%
3Y+614.0%
5Y-1401.0%
10Y+280.0%
3Y+772.0%
5Y-1113.0%
10Y-101.0%
3Y+236.0%
5Y+543.0%
10Y-96.0%
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Legacy Education Inc. Profit Bridge

LGCY ยท AMEX
Revenue64.17M
Cost of Goods Sold (34.69M)
Gross Profit29.48M
Operating Expenses (19.49M)
Operating Income9.99M
Interest Expense (112.73K)
Other Income/Expense1.04M
Pretax Income11.02M
Income Tax (3.49M)
Net Income7.53M
Net Income
7.53M

Profitability Analysis

Gross Margin

45.9%

Strong gross margins indicate healthy pricing and efficient production or service delivery.

Operating Margin

15.6%

Healthy operating margins demonstrate effective cost control and strong business fundamentals.

Net Profit Margin

11.7%

Strong net margins indicate efficient operations and favorable tax/interest management.

Effective Tax Rate

31.6%

Higher tax burden may reflect limited tax optimization or operations in high-tax jurisdictions.

Profitability Insight

Room for improvement: Moderate profitability with opportunities to enhance margins through better cost management or pricing strategy.

45.94%
Gross Profit Margin
8%
3Y+12.0%
5Y+50.0%
10Y-572.0%
15.56%
Operating Profit Margin
15%
3Y+48.0%
5Y-207.0%
10Y-107.0%
11.74%
Net Profit Margin
6%
3Y+54.0%
5Y-380.0%
10Y-106.0%
18.36%
Return on Equity
-20%
3Y+7.0%
5Y-262.0%
10Y-88.0%
10.89%
Return on Assets
-25%
3Y-4.0%
5Y-270.0%
10Y-125.0%
11.62%
Return on Invested Capital
-30%
3Y-23.0%
5Y-158.0%
10Y-125.0%
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Legacy Education Inc. Cash Conversion Engine

LGCY ยท AMEX
Net Income7.53M
Depreciation & Amortization441.72K
Stock-Based Compensation0.00
Change in Working Capital-3.79M
Others3.08M
Capital Expenditures-844.32K
Free Cash Flow6.92M

Cash Flow Quality Analysis

FCF Conversion Rate

91.9%

Strong cash conversion. Most reported earnings translate into actual cash flow, suggesting solid fundamentals.

CapEx Intensity

10.9%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+465.2%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$3.79M

Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extensionโ€”monitor closely.

Cash Flow Quality Insight

Asset-light with strong cash conversion: Low capital requirements combined with efficient cash generation creates significant shareholder value through dividends, buybacks, or strategic investments.

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Legacy Education Inc. Funding & Solvency Profile

LGCY ยท AMEX
Cash & Cash Equivalents21.68M
Net Receivables19.81M
Inventory0.00
Other Current Assets2.47M
Total Current Assets44 M
Property, Plant & Equipment17.78M
Goodwill & Intangible Assets10.69M
Long-Term Investments0.00
Other Non-Current Assets2.63M
Total Non-Current Assets20 M
Total Assets
75.46M

Financial Health Analysis

Current Ratio

3.36x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.52x

Balanced capital structure with moderate leverage. Equity exceeds debt, suggesting healthy financial stability.

Working Capital

31 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

58% Current

Balanced asset mix between current and non-current assets, typical of many stable businesses.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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Legacy Education Inc. Street Expectations Map

LGCY ยท AMEX

Wall Street analysts project that LGCY stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 14.50, with estimates ranging from a low of 14.50 to a high of 14.50.

Lowest Target
14.50
29.70%
Consensus Target
14.50
29.70%
Highest Target
14.50
29.70%

The consensus 1-year price target stands at 14.50, with estimates ranging from a low of 14.50 to a high of 14.50.

Analyst Consensus Analysis

Upside Potential

+29.7%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

0.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

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Legacy Education Inc. Insider Positioning

LGCY ยท AMEX

During the last 12 months, insiders have purchased $43K and sold $155K worth of LGCY shares, resulting in $112K of net selling activity.

3 Months

Bought

0

0.00

Sold

2.0K

22.40K

Net Activity

-22K

-$22K

3-6 Months

Bought

0

0.00

Sold

2.0K

28.30K

Net Activity

-28K

-$28K

6-9 Months

Bought

5.0K

43.42K

Sold

0

0.00

Net Activity

+43K

+$43K

9-12 Months

Bought

0

0.00

Sold

11.0K

104.26K

Net Activity

-104K

-$104K

Top Buyers

1
RL

Rohmann Leeann

Director, Officer: Chief Executive Officer

5.0K sharesโ€ข1 transactions

$43K

Top Sellers

1
AG

Amato Gerald

Director

15.0K sharesโ€ข5 transactions

$155K

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $112K net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.28:1

Weak buy/sell ratio. Selling significantly exceeds buyingโ€”monitor for potential fundamental concerns.

Recent Trend (3 Months)

$22K

Heavy recent selling activity. Recent insider sales notably exceed purchasesโ€”may warrant investigation into company developments.

Insider Participation

Balanced

1 insider buyers and 1 sellers. Equal participation suggests mixed or neutral insider views.

Insider Activity Insight

Persistent selling pressure: Consistent insider selling with weak buy/sell ratio suggests insiders may be capitalizing on current valuation. Exercise caution and review recent earnings quality and management commentary.

0.00%
Dividend Yield
3Y-
5Y-
10Y-100.0%
ย 

lgcy Dividend History

LGCY
10Y CAGR 12%
Latest $0.15
Annual $1.46
Dividend decline trend
Last Period: 57%