Tearsheet

Legacy Education (LGCY)


Market Price (12/4/2025): $9.875 | Market Cap: $122.4 Mil
Sector: Consumer Discretionary | Industry: Education Services

Legacy Education (LGCY)


Market Price (12/4/2025): $9.875
Market Cap: $122.4 Mil
Sector: Consumer Discretionary
Industry: Education Services

Investment Highlights Why It Matters Which of these 2 stories sounds closer for this stock?

1. Generates cash flow

The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.

2. Riding a trend

Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow


0 Attractive yield
Total YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 5.4%
 
1 Strong revenue growth
Rev Chg LTMRevenue Change % Last Twelve Months (LTM) is 39%
 
2 Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 12%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 11%
 
3 Megatrend and thematic drivers
Megatrends include Future of Learning & Workforce Development. Themes include Specialized Professional Training, and Entrepreneurial Skill Development.
 
0 Attractive yield
Total YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 5.4%
1 Strong revenue growth
Rev Chg LTMRevenue Change % Last Twelve Months (LTM) is 39%
2 Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 12%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 11%
3 Megatrend and thematic drivers
Megatrends include Future of Learning & Workforce Development. Themes include Specialized Professional Training, and Entrepreneurial Skill Development.

Valuation, Metrics & Events

LGCY Stock


Why The Stock Moved


Qualitative Assessment

AI Generated Analysis | Feedback

Here are five key points that may explain the approximate -18.5% movement in Legacy Education (LGCY) stock from August 31, 2025, to December 4, 2025:

1. Cautious Market Reaction to Strong Q4 2025 Earnings
Despite reporting strong financial results for the fourth quarter of fiscal year 2025, including a 40.8% year-over-year revenue increase, Legacy Education's stock experienced a decline of 2.76% in regular trading and an additional 1.26% in aftermarket trading around September 26, 2025. This "cautious market reaction" to otherwise positive news may have contributed to a negative sentiment.

2. Increased Operating Expenses and Investment in Growth
In the third fiscal quarter of 2025, the company's educational services expenses rose by 54.6% to $10.1 million, primarily due to higher instructional and staffing costs, and general and administrative expenses increased by 39.5% to $4.6 million, driven by higher marketing and professional fees. While these increases were attributed to supporting enrollment growth and program expansion, they represent a significant rise in operational costs that could concern investors regarding future margin pressures.

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Stock Movement Drivers

Return vs. Risk


Price Returns Compared

 202020212022202320242025Total [1]
Returns
LGCY Return-----15%15%
Peers Return19%-2%-14%-4%0%-10%-13%
S&P 500 Return16%27%-19%24%23%16%112%

Monthly Win Rates [3]
LGCY Win Rate----100%50% 
Peers Win Rate22%8%15%20%17%22% 
S&P 500 Win Rate58%75%42%67%75%70% 

Max Drawdowns [4]
LGCY Max Drawdown------26% 
Peers Max Drawdown-15%-5%-21%-15%-15%-12% 
S&P 500 Max Drawdown-31%-1%-25%-1%-2%-15% 


[1] Cumulative total returns since the beginning of 2020
[2] Peers: LOPE, FCHL, GV, MH, PXED.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/3/2025 (YTD)

How Low Can It Go

LGCY has limited trading history. Below is the Consumer Discretionary sector ETF (XLY) in its place.

Unique KeyEventXLYS&P 500
2022 Inflation Shock2022 Inflation Shock  
2022 Inflation Shock% Loss% Loss-40.3%-25.4%
2022 Inflation Shock% Gain to Breakeven% Gain to Breakeven67.4%34.1%
2022 Inflation ShockTime to BreakevenTime to Breakeven680 days464 days
2020 Covid Pandemic2020 Covid Pandemic  
2020 Covid Pandemic% Loss% Loss-33.9%-33.9%
2020 Covid Pandemic% Gain to Breakeven% Gain to Breakeven51.3%51.3%
2020 Covid PandemicTime to BreakevenTime to Breakeven82 days148 days
2018 Correction2018 Correction  
2018 Correction% Loss% Loss-21.9%-19.8%
2018 Correction% Gain to Breakeven% Gain to Breakeven28.1%24.7%
2018 CorrectionTime to BreakevenTime to Breakeven105 days120 days
2008 Global Financial Crisis2008 Global Financial Crisis  
2008 Global Financial Crisis% Loss% Loss-60.1%-56.8%
2008 Global Financial Crisis% Gain to Breakeven% Gain to Breakeven150.8%131.3%
2008 Global Financial CrisisTime to BreakevenTime to Breakeven779 days1480 days

Compare to


In The Past

SPDR Select Sector Fund's stock fell -40.3% during the 2022 Inflation Shock from a high on 11/19/2021. A -40.3% loss requires a 67.4% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth over time.

Asset Allocation

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About Legacy Education (LGCY)

Better Bets than Legacy Education (LGCY)

Latest Trefis Analyses

Title
0ARTICLES

Trade Ideas

Select past ideas related to LGCY. For more, see Trefis Trade Ideas.

Unique KeyDateTickerCompanyCategoryTrade Strategy6M Fwd Rtn12M Fwd Rtn12M Max DD
BBWI_11302025_Dip_Buyer_1M_Insider_Buying_GTE_1Mil_EBITp+DE11302025BBWIBath & Body WorksDip BuyDB | Insider Buys | Low D/EDip Buy with Strong Insider Buying
Buying dips for companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap
6.8%6.8%0.0%
HRB_11262025_Dip_Buyer_FCFYield11262025HRBH&R BlockDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
0.5%0.5%0.0%
LRN_11262025_Dip_Buyer_FCFYield11262025LRNStrideDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
-2.6%-2.6%-2.6%
ABNB_11212025_Dip_Buyer_FCFYield11212025ABNBAirbnbDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.7%3.7%0.0%
MTN_11212025_Dip_Buyer_FCFYield11212025MTNVail ResortsDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
1.3%1.3%-1.6%
Unique KeyDateTickerCompanyCategoryTrade Strategy6M Fwd Rtn12M Fwd Rtn12M Max DD
BBWI_11302025_Dip_Buyer_1M_Insider_Buying_GTE_1Mil_EBITp+DE11302025BBWIBath & Body WorksDip BuyDB | Insider Buys | Low D/EDip Buy with Strong Insider Buying
Buying dips for companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap
6.8%6.8%0.0%
HRB_11262025_Dip_Buyer_FCFYield11262025HRBH&R BlockDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
0.5%0.5%0.0%
LRN_11262025_Dip_Buyer_FCFYield11262025LRNStrideDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
-2.6%-2.6%-2.6%
ABNB_11212025_Dip_Buyer_FCFYield11212025ABNBAirbnbDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.7%3.7%0.0%
MTN_11212025_Dip_Buyer_FCFYield11212025MTNVail ResortsDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
1.3%1.3%-1.6%

Recent Active Movers

Recent Active Movers

More From Trefis

Peer Comparisons for Legacy Education

Peers to compare with:

Financials

LGCYLOPEFCHLGVMHPXEDMedian
NameLegacy E.Grand Ca.Fitness .VisionaryMcGraw H.Phoenix . 
Mkt Price9.83153.720.341.4717.2734.2313.55
Mkt Cap0.14.3----2.2
Rev LTM641,091--1,948-1,091
Op Inc LTM10297--224-224
FCF LTM7242----124
FCF 3Y Avg-223----223
CFO LTM8279----143
CFO 3Y Avg-262----262

Growth & Margins

LGCYLOPEFCHLGVMHPXEDMedian
NameLegacy E.Grand Ca.Fitness .VisionaryMcGraw H.Phoenix . 
Rev Chg LTM39.5%7.0%--13.3%-13.3%
Rev Chg 3Y Avg-6.5%----6.5%
Rev Chg Q40.8%9.6%--27.8%-27.8%
QoQ Delta Rev Chg LTM8.8%2.1%--6.4%-6.4%
Op Mgn LTM15.6%27.2%--11.5%-15.6%
Op Mgn 3Y Avg13.5%26.6%--6.2%-13.5%
QoQ Delta Op Mgn LTM0.6%0.1%--4.4%-0.6%
CFO/Rev LTM12.1%25.6%----18.8%
CFO/Rev 3Y Avg-25.8%----25.8%
FCF/Rev LTM10.8%22.2%----16.5%
FCF/Rev 3Y Avg-21.8%----21.8%

Valuation

LGCYLOPEFCHLGVMHPXEDMedian
NameLegacy E.Grand Ca.Fitness .VisionaryMcGraw H.Phoenix . 
Mkt Cap0.14.3----2.2
P/S2.25.6----3.9
P/EBIT12.419.2----15.8
P/E18.428.8----23.6
P/CFO17.821.8----19.8
Total Yield5.4%3.5%----4.5%
Dividend Yield0.0%0.0%----0.0%
FCF Yield 3Y Avg-5.1%----5.1%
D/E0.10.0----0.1
Net D/E-0.0-0.0-----0.0

Returns

LGCYLOPEFCHLGVMHPXEDMedian
NameLegacy E.Grand Ca.Fitness .VisionaryMcGraw H.Phoenix . 
1M Rtn11.8%-16.1%-25.0%-5.2%58.4%-4.9%-5.0%
3M Rtn-18.0%-25.2%--4.5%15.8%--11.3%
6M Rtn5.1%-21.1%--31.3%---21.1%
12M Rtn25.2%-7.6%--0.7%---0.7%
3Y Rtn-40.6%--85.8%---22.6%
1M Excs Rtn11.9%-16.1%-25.0%-5.1%58.5%-4.9%-5.0%
3M Excs Rtn-26.7%-30.4%-97.3%-6.0%11.2%--26.7%
6M Excs Rtn-9.6%-35.8%--46.0%---35.8%
12M Excs Rtn6.2%-20.2%--14.8%---14.8%
3Y Excs Rtn--33.7%--158.0%---95.8%

Financials

Price Behavior

Short Interest

Short Interest: As Of Date11142025
Short Interest: Shares Quantity124,085
Short Interest: % Change Since 10312025-31.9%
Average Daily Volume65,682
Days-to-Cover Short Interest1.89
Basic Shares Quantity12,396,039
Short % of Basic Shares1.0%

SEC Filings

Expand for More

Report DateFiling DateFiling
6302025925202510-K 6/30/2025
3312025515202510-Q 3/31/2025
12312024213202510-Q 12/31/2024
93020241114202410-Q 9/30/2024
63020241001202410-K 6/30/2024
123120235102024DRS/A 12/31/2023
63020239272024424B4 6/30/2023
63020212112022DRS/A 6/30/2021
63020208172021DRS/A 6/30/2020