Brighthouse Financial, Inc. (BHF) vs Lincoln National Corporation (LNC)

Brighthouse Financial, Inc. and Lincoln National Corporation are both Insurance Life companies. Lincoln National Corporation is the larger, with a market value of $7.9B against $3.1B — 2.6× the size. Lincoln National Corporation trades at the lower P/E: 3.5× against 4.2×. Lincoln National Corporation grew revenue faster over the last twelve months: 7.91% against 2.62%. Lincoln National Corporation has the higher net margin (11.7% vs 11.0%) and the higher return on invested capital (24.5% vs 22.9%). Across the 20 metrics below, Lincoln National Corporation leads on 13 and Brighthouse Financial, Inc. on 7.

Valuation

Metric BHF LNC Insurance Life median
P/E 4.25 3.53 12.15
P/S 0.46 0.42 0.75
P/B 0.46 0.78 1.12
Price to free cash flow n/m n/m 7.78
EV/EBITDA n/m 1.50 8.42
EV/Sales (0.13) 0.25 0.80
Earnings yield 23.53% 28.33% 8.23%
Free cash flow yield (17.56%) (16.52%) 11.12%

Profitability

Metric BHF LNC Insurance Life median
Gross margin 53.34% 16.35% 32.44%
Operating margin 14.65% 16.35% 11.31%
Net margin 10.96% 11.74% 6.61%
Free cash flow margin (8.09%) (6.87%) 15.04%
Return on equity 11.80% 23.98% 8.67%
Return on assets 0.30% 0.55% 0.67%
Return on invested capital 22.87% 24.53% 8.20%

Growth

Metric BHF LNC Insurance Life median
Revenue growth (TTM) 2.62% 7.91% 7.91%
EPS growth (last fiscal year) 23.06% (68.33%) —
Revenue growth, 5-year CAGR (4.47%) 0.87% 1.08%
Net income growth, 5-year CAGR 0.00% 16.83% 0.00%

Health

Metric BHF LNC Insurance Life median
Debt to equity 0.48 0.60 0.48
Current ratio 0.87 0.20 0.21
Net debt to EBITDA (14.49) (2.07) 0.12

Dividend

Metric BHF LNC Insurance Life median
Dividend yield — 6.82% 2.41%
Payout ratio 0.00 0.25 0.17

Size

Metric BHF LNC Insurance Life median
Market cap 3.07b 7.92b 7.92b

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