Lincoln National Corporation, through its subsidiaries, operates multiple insurance and retirement businesses in the United States. More Details
Very undervalued established dividend payer.
Share Price & News
How has Lincoln National's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LNC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: LNC's weekly volatility (5%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: LNC exceeded the US Insurance industry which returned 36.8% over the past year.
Return vs Market: LNC exceeded the US Market which returned 33.7% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Lincoln National's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 weeks ago | Simply Wall StIs Lincoln National Corporation (NYSE:LNC) Popular Amongst Insiders?
2 months ago | Simply Wall StShould Lincoln National (NYSE:LNC) Be Disappointed With Their 66% Profit?
2 months ago | Simply Wall StThis Insider Has Just Sold Shares In Lincoln National Corporation (NYSE:LNC)
Is Lincoln National undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LNC ($66.58) is trading below our estimate of fair value ($254.8)
Significantly Below Fair Value: LNC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LNC is good value based on its PE Ratio (8.9x) compared to the US Insurance industry average (9.5x).
PE vs Market: LNC is good value based on its PE Ratio (8.9x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: LNC is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: LNC is good value based on its PB Ratio (0.6x) compared to the US Insurance industry average (1.1x).
How is Lincoln National forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LNC's forecast earnings growth (12.5% per year) is above the savings rate (2%).
Earnings vs Market: LNC's earnings (12.5% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: LNC's earnings are forecast to grow, but not significantly.
Revenue vs Market: LNC's revenue (2.2% per year) is forecast to grow slower than the US market (9.7% per year).
High Growth Revenue: LNC's revenue (2.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LNC's Return on Equity is forecast to be low in 3 years time (12.1%).
How has Lincoln National performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LNC has high quality earnings.
Growing Profit Margin: LNC's current net profit margins (7.5%) are higher than last year (1.3%).
Past Earnings Growth Analysis
Earnings Trend: LNC's earnings have declined by 13.5% per year over the past 5 years.
Accelerating Growth: LNC's earnings growth over the past year (517.5%) exceeds its 5-year average (-13.5% per year).
Earnings vs Industry: LNC earnings growth over the past year (517.5%) exceeded the Insurance industry 76%.
Return on Equity
High ROE: LNC's Return on Equity (6.5%) is considered low.
How is Lincoln National's financial position?
Financial Position Analysis
Short Term Liabilities: LNC's short term assets ($36.7B) exceed its short term liabilities ($18.0B).
Long Term Liabilities: LNC's short term assets ($36.7B) do not cover its long term liabilities ($340.4B).
Debt to Equity History and Analysis
Debt Level: LNC's debt to equity ratio (34.4%) is considered satisfactory.
Reducing Debt: LNC's debt to equity ratio has reduced from 42% to 34.4% over the past 5 years.
Debt Coverage: LNC's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: LNC's interest payments on its debt are well covered by EBIT (7.4x coverage).
What is Lincoln National current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: LNC's dividend (2.52%) is higher than the bottom 25% of dividend payers in the US market (1.34%).
High Dividend: LNC's dividend (2.52%) is low compared to the top 25% of dividend payers in the US market (3.58%).
Stability and Growth of Payments
Stable Dividend: LNC's dividends per share have been stable in the past 10 years.
Growing Dividend: LNC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (22.6%), LNC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LNC's dividends in 3 years are forecast to be well covered by earnings (16.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dennis Glass (71 yo)
Mr. Dennis Robert Glass serves as the President and Director of The Lincoln National Life Insurance Company and served as its Chief Executive Officer. Mr. Glass serves as an Executive Officer of Lincoln Li...
CEO Compensation Analysis
Compensation vs Market: Dennis's total compensation ($USD14.30M) is about average for companies of similar size in the US market ($USD11.33M).
Compensation vs Earnings: Dennis's compensation has been consistent with company performance over the past year.
Experienced Management: LNC's management team is considered experienced (4.7 years average tenure).
Experienced Board: LNC's board of directors are seasoned and experienced ( 15.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: LNC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Lincoln National Corporation's company bio, employee growth, exchange listings and data sources
- Name: Lincoln National Corporation
- Ticker: LNC
- Exchange: NYSE
- Founded: 1905
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: US$12.512b
- Shares outstanding: 187.92m
- Website: https://www.lfg.com
Number of Employees
- Lincoln National Corporation
- 150 North Radnor-Chester Road
- Suite A305
- United States
Lincoln National Corporation, through its subsidiaries, operates multiple insurance and retirement businesses in the United States. It operates through four segments: Annuities, Retirement Plan Services, L...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/16 22:51|
|End of Day Share Price||2021/09/16 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.