Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of buying low and waiting for recovery [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point for fast-moving stocks, which can lead to investments with limited upside or potential downside [2] - A safer approach may involve investing in bargain stocks that have recently shown price momentum, utilizing tools like the Zacks Momentum Style Score to identify these opportunities [3] Group 2: Lincoln National (LNC) Stock Analysis - Lincoln National (LNC) has shown a price increase of 14.5% over the past four weeks, indicating growing investor interest [4] - Over the past 12 weeks, LNC has gained 11.7%, with a beta of 1.33, suggesting it moves 33% more than the market [5] - LNC has a Momentum Score of B, indicating a favorable time to invest based on momentum [6] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which typically attract more investors [7] - LNC is trading at a Price-to-Sales ratio of 0.47, suggesting it is undervalued at 47 cents for each dollar of sales [7] Group 3: Additional Investment Opportunities - Besides LNC, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [9]

Group 1 - Lincoln National Corporation (LNC) is a significant player in the financial services sector, offering a variety of insurance and investment products [1][5] - Morgan Stanley has maintained an "Overweight" rating for LNC, with a revised price target of $54, indicating a positive outlook for the stock [1][5] - LNC's current stock price is $45.42, reflecting a slight increase of 0.79% with a trading range between $45.315 and $46.52 for the day [3][5] Group 2 - Lincoln Financial has launched a new investment option for fixed indexed annuities (FIA), the 1 Year Capital Group Dividend Value (CGDV) ETF Participation account, which offers 100% downside protection and diversified equity exposure [2][5] - The market capitalization of Lincoln National Corporation is approximately $8.63 billion, highlighting its substantial presence in the financial market [4] - The trading volume for LNC is 125,649 shares, indicating active investor interest in the stock [4]

Core Insights - Lincoln Financial has appointed Nilanjan (Neel) Adhya as Executive Vice President, Chief AI, Data and Analytics Officer, effective January 9, 2026, to enhance AI and data capabilities within the company [1][3] Company Overview - Lincoln Financial operates across four core businesses: annuities, life insurance, group protection, and retirement plan services, serving approximately 17 million customers as of December 31, 2024 [5] - The company reported $347 billion in end-of-period account balances, net of reinsurance, as of September 30, 2025 [5] Leadership Background - Adhya previously served as Chief Digital Officer and Global Head of Digital Platforms and Experiences at BlackRock, where he led AI initiatives and modernized digital strategies [2] - He has 25 years of experience in product and customer-experience driven business transformations, including 16 years at IBM in various leadership roles [4] Strategic Vision - Ellen Cooper, Chairman, President and CEO of Lincoln Financial, emphasized the importance of AI and data in optimizing the company's operating model for future growth [3] - Adhya expressed his commitment to applying AI and data in a disciplined manner to enhance customer experience, improve operational efficiency, and foster innovation [5]

Core Viewpoint - Lincoln National (LNC) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system tracks the Zacks Consensus Estimate, which reflects EPS estimates from sell-side analysts, and changes in these estimates are strongly correlated with stock price movements [4][6]. - Rising earnings estimates for Lincoln National suggest an improvement in the company's underlying business, which could lead to higher stock prices as investors respond positively [5][10]. Recent Performance and Projections - For the fiscal year ending December 2025, Lincoln National is expected to earn $7.85 per share, with no year-over-year change, but the Zacks Consensus Estimate has increased by 7.3% over the past three months [8]. Zacks Rating System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7][9]. - The upgrade of Lincoln National to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Core Insights - Lincoln National Corporation (LNC) reported a 2% increase in shares following the release of its third-quarter 2025 results, driven by strong annuity deposits and solid performance in Group Protection and Life Insurance [1] - The company achieved adjusted earnings per share (EPS) of $2.04, exceeding the Zacks Consensus Estimate by 10.9%, although it represented a 1% decline year over year [2] - Adjusted operating revenues grew 3.8% year over year to $4.8 billion, but fell short of the consensus estimate by 0.5% [2] Financial Performance - LNC's estimated Risk-Based Capital (RBC) ratio increased to over 420% by the end of the third quarter [3] - Insurance premiums rose 1.4% year over year to $1.6 billion, missing the Zacks Consensus Estimate by 2.1% [3] - Fee income reached $1.4 billion, up 2.4% year over year, but also missed the consensus mark by 2.2% [3] - Net investment income increased by 9% year over year to $1.5 billion, surpassing the consensus estimate by 6.2% [3] Revenue and Expense Analysis - Other revenues amounted to $206 million, reflecting a 28.8% year-over-year increase [4] - Total expenses decreased by 16.3% year over year to $4 billion [4] - Interest credited rose 8.4% year over year to $954 million [4] - The company reported a net income of $445 million, a significant recovery from a net loss of $528 million in the prior-year quarter [4] Segment Performance - The Annuities segment's operating income was $310 million, a 3% year-over-year increase, exceeding the consensus estimate [6] - Life Insurance operating income improved to $25 million, up from $22 million year over year, benefiting from stable mortality and higher alternative investment income [7] - Group Protection segment's operating income surged 36.7% year over year to $149 million, supported by favorable life experience [8] - Retirement Plan Services segment recorded an operating income of $46 million, a 5% year-over-year increase, aided by favorable equity markets [10] Financial Position - As of September 30, 2025, Lincoln National had cash and invested cash of $10.7 billion, up from $5.8 billion at the end of 2024 [12] - Total assets increased to $415.3 billion from $390.8 billion at the end of 2024 [12] - Long-term debt decreased to $5.8 billion from $5.9 billion as of December 31, 2024 [12] - Total stockholders' equity rose to $10.5 billion from $8.3 billion at the end of 2024 [12] Dividend and Outlook - Lincoln National paid out quarterly dividends of $85 million [14] - For 2026, the company projects that the Annuities, Life Insurance, Group Protection, and Retirement Plan Services units will account for 55-65%, 10-15%, 20-30%, and 5-15% of total operating income, respectively [15]

Core Viewpoint - Stocks priced between $10 and $50 present a balance of affordability and stability, but investors should be cautious as some may have weak business models [1] Group 1: Stocks to Sell - **Camping World (CWH)**: - Current share price is $12.12, with a forward P/E of 15.5x [2][4] - The company has faced challenges in attracting new customers to its physical locations, leading to poor same-store sales performance [8] - **Lincoln Financial Group (LNC)**: - Current share price is $40.84, trading at 0.8x forward P/B [5][7] - The company has seen a decline in book value per share, which fell by 14.9% annually over the last five years, indicating unfavorable trends in the insurance sector [9] Group 2: Stock to Buy - **Upwork (UPWK)**: - Current share price is $16.52 [10] - The company has experienced a 9.4% annual growth in average revenue per customer over the last two years, indicating successful monetization efforts [11] - Earnings per share have grown by 123% annually over the last three years, outpacing revenue growth and enhancing profitability [11] - Free cash flow margin has increased by 29.3 percentage points in recent years, providing the company with more financial flexibility [11]

Group 1: Stock Recommendations - SB Financial Group, Inc. (SBFG) has seen a 5.4% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days and offers a dividend yield of 3.1%, above the industry average of 2.7% [1] - Universal Corporation (UVV) has experienced a 6.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days, with a dividend yield of 6.4%, significantly higher than the industry average of 3.2% [2] - Lincoln National Corporation (LNC) has had a 5.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] Group 2: Dividend Yields - A Zacks Rank 1 company has a dividend yield of 4.5%, which is considerably higher than the industry average of 1.6% [3]

Core Viewpoint - Lincoln National (LNC) shares have performed strongly over the past year, gaining over 20% due to strategic actions taken by the company to enhance its capital position and strengthen its balance sheet [1] Group 1: Company Actions - The company has sold a stake to Bain Capital as part of its efforts to improve its capital position [1] Group 2: Performance Metrics - Lincoln National's stock has increased by over 20% in the past year, indicating strong market performance [1]

Financial Performance - As of September 30, 2025, Lincoln National Corporation reported a total investment fair value of $103.813 billion, with 92% priced using observable inputs[288]. - As of September 30, 2025, the net income was $445 million, compared to a net loss of $528 million for the same period in 2024[324]. - Income from operations is emphasized as a key profitability measure, reflecting ongoing business performance[276]. - Income from operations for the nine months ended September 30, 2025, was $886 million, compared to $857 million for the same period in 2024, indicating a growth of 3.4%[329]. - Operating revenues for the three months ended September 30, 2025, were $1,270 million, compared to $1,195 million for the same period in 2024, reflecting an increase of 6.3%[329]. - The company experienced a credit loss-related adjustment of $(38) million for the three months ended September 30, 2025[324]. - The annual assumption review resulted in a net income impact of $(50) million for the three months ended September 30, 2025, driven by updates to policyholder behavior assumptions[314]. Investment and Asset Management - The company maintains its investment holdings throughout credit cycles due to its strong capital position and the long-term nature of its liabilities[401]. - The investment portfolio is diversified across asset classes, including fixed maturity securities, mortgage loans, and other long-term investments, which are aligned with the liabilities of the products supported[400]. - The company emphasizes a balanced investment approach focusing on generating sufficient current income net of income tax to meet obligations to customers and general liabilities[399]. - Total investments as of September 30, 2025, reached $136,102 million, an increase from $129,918 million as of December 31, 2024, representing a growth of approximately 4.5%[398]. - The estimated fair value for all private placement securities was $22.4 billion as of September 30, 2025, representing 16% of total investments[413]. - The company’s investment strategy includes evaluating expected returns and risks of each asset class to support effective asset-liability management[399]. Business Segments - The company operates through four business segments: Annuities, Life Insurance, Group Protection, and Retirement Plan Services[278]. - Annuities segment reported income of $310 million for the three months ended September 30, 2025, up from $301 million in 2024[324]. - Group Protection segment income increased to $149 million for the three months ended September 30, 2025, compared to $109 million in 2024[324]. - Total operating revenues for Life Insurance reached $1,610 million for the three months ended September 30, 2025, compared to $1,589 million in 2024, reflecting a growth of 1.3%[344]. - Operating revenues for Retirement Plan Services for the three months ended September 30, 2025, totaled $343 million, up from $335 million in 2024[373]. Risk Management - The company faces risks from adverse economic conditions, including low interest rates that could reduce investment income and profitability[270]. - The company has identified various risks related to changes in interest rates, which could affect profitability and capital position[285]. - The company conducts a comprehensive review of actuarial assumptions quarterly, with significant assumptions including mortality rates, morbidity, and policyholder behavior[292]. - The company utilizes derivative instruments to hedge exposure to equity market and interest rate changes associated with GLB and GDB riders[304]. Capital and Liquidity - The company’s liquidity and capital resources are influenced by the ability of subsidiaries to pay dividends, which is critical for meeting obligations[270]. - LNC's long-term debt stood at $5.772 billion as of September 30, 2025, after accounting for various repayments and issuances[453]. - Total cash dividends and return of capital from subsidiaries amounted to $615 million for the nine months ended September 30, 2025, up from $410 million in 2024[443]. - LNC made capital contributions of $967 million to subsidiaries for the nine months ended September 30, 2025, including $800 million to LNL in Q2 2025[450]. Market Conditions - The Federal Reserve reduced the federal funds rate target range to 3.75% to 4.00% in October 2025, impacting the interest rate environment[284]. - A decrease of 25 basis points in interest rates could lead to a hypothetical effect on net income of $(400) million, whereas an increase of 25 basis points would result in a $375 million increase[308]. - The hypothetical effect on net income from a -10% equity market return is estimated at $(825) million, while a +10% return would result in a $725 million increase[308]. Shareholder Returns - Total cash returned to common stockholders, including dividends, was $239 million for the nine months ended September 30, 2025, compared to $229 million in 2024[459]. - Preferred stock dividends totaled $80 million for the nine months ended September 30, 2025, consistent with the same period in 2024[456]. - The company issued approximately 18.8 million shares of common stock for $825 million as part of a transaction with Bain Capital, aimed at supporting strategic priorities[457].

Core Insights - Lincoln National (LNC) reported $4.78 billion in revenue for Q3 2025, a year-over-year increase of 3.9% [1] - The EPS for the quarter was $2.04, slightly down from $2.06 a year ago, with a surprise of +10.87% compared to the consensus estimate of $1.84 [1] - The revenue fell short of the Zacks Consensus Estimate of $4.8 billion, resulting in a surprise of -0.45% [1] Financial Performance Metrics - Loss Ratio for Group Protection was 68.3%, better than the average estimate of 71.4% [4] - Net Flows for Annuities were reported at $-1.14 billion, compared to the average estimate of $-1.4 billion [4] - Net Flows for Life Insurance were $1.66 billion, significantly higher than the average estimate of $671.25 million [4] - Net Flows for Retirement Plan Services reached $755 million, exceeding the average estimate of $135.64 million [4] - Fee income revenues were $1.38 billion, slightly below the average estimate of $1.42 billion, representing a year-over-year change of +2.4% [4] - Insurance premiums revenues were $1.64 billion, compared to the average estimate of $1.67 billion, with a year-over-year change of +1.4% [4] - Net investment income was reported at $1.54 billion, surpassing the average estimate of $1.45 billion, reflecting a +9.4% change year-over-year [4] - Retirement Plan Services Fee income was $77 million, slightly below the average estimate of $78.54 million, with a +4.1% year-over-year change [4] - Retirement Plan Services Net investment income was $257 million, in line with the average estimate of $256.62 million, showing a +1.6% change year-over-year [4] - Other revenues for Retirement Plan Services were $9 million, exceeding the average estimate of $6.33 million, with a year-over-year change of +12.5% [4] - Life Insurance premiums were $260 million, below the average estimate of $274.47 million, reflecting a -9.1% change year-over-year [4] - Life Insurance Fee income was $683 million, compared to the average estimate of $720.71 million, with a year-over-year change of +1.6% [4] Stock Performance - Lincoln National's shares returned -0.2% over the past month, while the Zacks S&P 500 composite increased by +3.6% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]