Globe Life Inc. (GL) vs Lincoln National Corporation (LNC)

Globe Life Inc. and Lincoln National Corporation are both Insurance Life companies. Globe Life Inc. is the larger, with a market value of $12.9B against $7.9B — 1.6× the size. Lincoln National Corporation trades at the lower P/E: 3.5× against 10.9×. Lincoln National Corporation grew revenue faster over the last twelve months: 7.91% against 5.24%. Globe Life Inc. has the higher net margin (19.6% vs 11.7%) and the lower return on invested capital (11.6% vs 24.5%). Both pay a dividend; Lincoln National Corporation yields more (6.82% vs 0.76%). Across the 22 metrics below, Lincoln National Corporation leads on 13 and Globe Life Inc. on 9.

Valuation

Metric GL LNC Insurance Life median
P/E 10.90 3.53 12.15
P/S 2.09 0.42 0.75
P/B 2.10 0.78 1.12
Price to free cash flow 10.50 n/m 7.78
EV/EBITDA 9.54 1.50 8.42
EV/Sales 2.52 0.25 0.80
Earnings yield 9.17% 28.33% 8.23%
Free cash flow yield 9.52% (16.52%) 11.12%

Profitability

Metric GL LNC Insurance Life median
Gross margin 41.38% 16.35% 32.44%
Operating margin 26.44% 16.35% 11.31%
Net margin 19.58% 11.74% 6.61%
Free cash flow margin 19.90% (6.87%) 15.04%
Return on equity 20.95% 23.98% 8.67%
Return on assets 3.95% 0.55% 0.67%
Return on invested capital 11.57% 24.53% 8.20%

Growth

Metric GL LNC Insurance Life median
Revenue growth (TTM) 5.24% 7.91% 7.91%
EPS growth (last fiscal year) 17.84% (68.33%) —
Revenue growth, 5-year CAGR 4.82% 0.87% 1.08%
Net income growth, 5-year CAGR 9.68% 16.83% 0.00%

Health

Metric GL LNC Insurance Life median
Debt to equity 0.48 0.60 0.48
Current ratio 0.05 0.20 0.21
Net debt to EBITDA 1.23 (2.07) 0.12

Dividend

Metric GL LNC Insurance Life median
Dividend yield 0.76% 6.82% 2.41%
Payout ratio 0.12 0.25 0.17

Size

Metric GL LNC Insurance Life median
Market cap 12.86b 7.92b 7.92b

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