Track market-moving stories before they get noisy

Wall Street expects a year-over-year decline in earnings on higher revenues when Lincoln National (LNC - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 30. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis insurance and retirement business is expected to post quarterly earnings of $2.02 per share in its upcoming report, which represents a year-over-year change of -14.4%.

Revenues are expected to be $4.86 billion, up 2.8% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.12% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Lincoln National?For Lincoln National, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.64%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination makes it difficult to conclusively predict that Lincoln National will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Lincoln National would post earnings of $1.63 per share when it actually produced earnings of $1.66, delivering a surprise of +1.84%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Lincoln National doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Lincoln National Corporation has outperformed the S&P 500 since March, delivering a 24% return versus the index's 11%. I am closely monitoring the upcoming July 30th earnings, with a focus on free cash flow growth and operational execution as key indicators for dividend safety. LNC's levered free cash flow is 6.7x its dividend payments, supporting a 4.33% qualified dividend yield despite a recent drop in dividend safety grade.

Will create publicly traded advanced clean energy company focused on modular carbon-free energy, green hydrogen, critical materials and industrial decarbonization 

Business Combination expected to provide public market platform to accelerate commercialization, project development and strategic growth across North America and Europe

Definitive agreement provides for the sale of Matinas BioPharma Nanotechnologies, Inc., including MAT2203 and the LNC technology platform, to Azurity Pharmaceuticals for $4.0 million upfront, up to an additional $17.5 million in potential milestones and future mid-single-digit royalties

BEDMINSTER, N.J., July 13, 2026 (GLOBE NEWSWIRE) -- Matinas BioPharma Holdings, Inc. (NYSE American: MTNB) (“Matinas” or the “Company”), today announced that it has entered into a definitive business combination agreement (the “Business Combination Agreement”) with GH Power Inc. (“GH Power”) to create a NYSE-listed and publicly-traded critical minerals and clean energy company focused on modular reactors that convert recycled metals into high value advanced materials, clean hydrogen, and usable heat for industrial, utility and distributed energy applications (the “Business Combination”). The Company also announced that it has entered into a definitive stock purchase agreement (the “Stock Purchase Agreement”) to sell Matinas BioPharma Nanotechnologies, Inc., including MAT2203 and the Company’s lipid nano-crystal (“LNC”) technology platform, to Azurity Pharmaceuticals, Inc. (“Azurity”).

Business Combination with GH Power

Pursuant to the Business Combination Agreement, a newly formed Ontario corporation expected to be named GH Power International at or prior to the closing of the Business Combination (“GHP International”) will become the public parent company of GH Power and Matinas. In the first step, pursuant to a plan of arrangement under Section 182 of the Business Corporations Act (Ontario), a wholly owned Ontario subsidiary of GHP International will amalgamate with GH Power to form an amalgamated corporation that will be a wholly owned subsidiary of GHP International. Immediately thereafter, a wholly owned Delaware subsidiary of GHP International will merge with and into Matinas, with Matinas surviving as a wholly owned subsidiary of GHP International.

GH Power has developed proprietary modular reactor systems that convert scrap metals and water into high-purity alumina, clean hydrogen and thermal energy. The Company's technology is designed to address growing demand for behind-the-meter power, the onshoring of critical mineral production, and industrial decarbonization. Following the closing of the Business Combination, the combined company is expected to focus on accelerating the commercialization and deployment of GH Power’s proprietary technology platform, expanding project development and strategic partnerships across premier markets in North America and Europe, and pursuing commercial deployment opportunities across the rapidly growing clean energy, green hydrogen, industrial decarbonization and critical materials markets. The combined company expects to leverage access to the public capital markets to support its growth strategy and advance the development of a diversified pipeline of commercial projects.

“This transaction marks a defining milestone for GH Power and reflects years of technology development, engineering and execution,” said David White, Chief Executive Officer of GH Power. “Becoming a publicly traded company is expected to strengthen our access to capital, enhance our strategic visibility, and accelerate the commercialization of our proprietary modular reactor technology. We are focused on deploying our technology across industrial applications, expanding our strategic partnerships and entering new markets where demand for critical minerals, behind-the-meter power and green hydrogen continues to grow. We believe this transaction positions GH Power to execute on its commercial pipeline and deliver sustainable long-term value for customers and shareholders.”

“Following a comprehensive review of strategic alternatives, our Board concluded that this transaction represents a compelling strategic opportunity to maximize long-term value for our stockholders,” said Jerome D. Jabbour, Chief Executive Officer of Matinas. “We believe this transaction positions our stockholders to participate in an innovative company focused on advanced clean energy, green hydrogen and critical minerals—markets that are attracting significant global investment and are expected to experience substantial long-term growth—while also unlocking the value of our LNC technology platform and MAT2203 through their sale to Azurity.”

Under the terms of the Business Combination Agreement, existing GH Power equityholders are expected to own approximately 91% of the outstanding equity of GHP International immediately following closing, and existing Matinas equityholders are expected to own approximately 9% of the outstanding equity of GHP International immediately following closing, in each case calculated on a fully diluted basis using the treasury stock method and subject to certain assumptions and adjustment mechanisms as set forth in the Business Combination Agreement and plan of arrangement, including for capital raised by either GH Power or Matinas prior to closing and certain other issuances, but excluding the financings described below.

At the effective time of the Business Combination, each outstanding share of Matinas common stock is expected to be converted into the right to receive 0.1 of a GHP International common share, and each outstanding share of Matinas preferred stock is expected to be cancelled and converted into the same per-share consideration on an as-converted basis, in each case subject to the terms and conditions of the Business Combination Agreement. Outstanding Matinas stock options and warrants will be assumed by GHP International and converted into options and warrants to acquire GHP International common shares, and outstanding GH Power securities will be exchanged for GHP International common shares in accordance with the exchange ratio set forth in the Business Combination Agreement and the plan of arrangement.

The boards of directors of GH Power, Matinas, GHP International and the merger subsidiaries have unanimously approved the proposed Business Combination. Concurrently with the execution of the Business Combination Agreement, certain directors, officers and stockholders of Matinas and certain directors, officers and shareholders of GH Power entered into voting and support agreements pursuant to which they agreed, among other things, to vote their shares in favor of the Business Combination Agreement, the plan of arrangement and the related transactions, and against any competing acquisition proposal or other action that would be expected to impede the transaction, subject to the terms and conditions set forth therein. In addition, certain Matinas stockholders and GH Power shareholders have agreed to customary lock-up restrictions on the GHP International securities they receive in the transaction.

The proposed transaction is expected to close in the fourth quarter of 2026, subject to satisfaction or waiver of customary closing conditions, including, among other things, approval by Matinas stockholders, approval by the requisite GH Power securityholders, required Ontario court approvals in connection with the plan of arrangement, effectiveness of the registration statement on Form F-4, including the proxy statement/prospectus contained therein, to be filed with the U.S. Securities and Exchange Commission (the “SEC”), GHP International qualifying as a foreign private issuer as of the closing, completion by GH Power of a financing resulting in gross proceeds of at least $15.0 million, and approval for listing of GHP International's common shares on the NYSE American.

Upon the closing of the Business Combination, the Board of Directors of GHP International is expected to consist of five directors, with four directors designated by GH Power and one director designated by Matinas.

The Business Combination Agreement contains customary representations, warranties and covenants made by GH Power, Matinas, GHP International and the merger subsidiaries, including covenants regarding the conduct of business during the interim period, non-solicitation obligations (subject to exceptions permitting the board of Matinas to respond to an unsolicited superior offer consistent with its fiduciary duties) and the preparation, filing and effectiveness of the registration statement on Form F-4. The Business Combination Agreement also contains certain termination rights for both GH Power and Matinas, including the right of either party to terminate if the closing has not occurred by December 31, 2026 (subject to extension in specified circumstances).

Additional information about the proposed transaction will be included in a Current Report on Form 8-K to be filed by Matinas with the SEC. Investors and other interested parties seeking details regarding the terms and conditions of the proposed transaction are urged to review the Form 8-K and the exhibits attached thereto, which will be available on the SEC's website at www.sec.gov.

Divestiture of Matinas BioPharma Nanotechnologies, Inc. to Azurity

Matinas also entered into the Stock Purchase Agreement with Azurity Pharmaceuticals, Inc. (“Azurity”), pursuant to which Azurity will acquire all of the issued and outstanding equity interests in Matinas BioPharma Nanotechnologies, Inc., Matinas’s wholly owned subsidiary that has been developing Matinas’s lipid nano-crystal (“LNC”) drug delivery technology and the Company’s lead product candidate, MAT2203, an oral formulation used for the treatment of fungal infections (the “Stock Sale”).

Under the terms of the Stock Purchase Agreement, Azurity will acquire Matinas BioPharma Nanotechnologies, Inc., including all rights to MAT2203 and Matinas’s LNC technology platform, for $4.0 million in upfront cash consideration, subject to customary adjustments, plus up to an additional $17.5 million in potential milestone payments and future mid-single-digit royalties on net sales and certain licensing proceeds generated by MAT2203.

Pursuant to royalty rights certificates previously issued to the former holders of Matinas’s Series A Preferred Stock, such holders are entitled to receive, in the aggregate, 7.5% of all amounts received by Matinas from Azurity in connection with the Stock Sale, including the upfront cash consideration, milestone payments and royalty amounts described above.

Consummation of the transaction with Azurity remains subject to the approval of Matinas stockholders and the satisfaction of customary closing conditions, including the satisfaction of the conditions to closing of the Business Combination with GH Power.

Matinas Financings

Series D Financing

Matinas also announced that it entered into a securities purchase agreement (the “Purchase Agreement”) with certain investors, pursuant to which they purchased from the Company, in a single closing on July 10, 2026, an aggregate of 575 shares of Series D Convertible Preferred Stock (the “Preferred Stock”) and warrants to purchase up to 1,642,856 shares of common stock (the “Warrants”), at a purchase price of $1,000 per share of Preferred Stock and accompanying Warrants, for aggregate gross proceeds of $575,000, before deducting offering expenses payable by Matinas (the “PIPE”).

Beginning on the effective date of stockholder approval of the issuance of the shares issuable upon conversion of the Preferred Stock, the shares of Preferred Stock will be convertible into common stock at a conversion price of $0.35. Each share of Preferred Stock is initially convertible into approximately 2,857 shares of common stock. The Warrants will have an exercise price of $0.35 per share, will be exercisable on the effective date of stockholder approval of the issuance of the shares issuable upon exercise of the Warrants and will expire five years from the effective date of stockholder approval.

Matinas intends to use the net proceeds from the PIPE for working capital and general corporate purposes.

Warrant Inducement

Matinas also announced the entry into definitive agreements for the immediate exercise of certain outstanding warrants to purchase up to an aggregate of 7,486,605 shares of common stock initially issued in February 2025 and April 2025 (the “Existing Warrants”), having a current exercise price of $0.35 per share (the “Inducement”). The shares of common stock issuable upon exercise of the Existing Warrants are registered for resale pursuant to an effective registration statement on Form S-3 (No. 333-286686). The Inducement also closed on July 10, 2026.

As an inducement for the immediate exercise of the Existing Warrants for cash, Matinas will issue new unregistered warrants to purchase up to 7,486,605 shares of common stock (the “New Warrants”). The New Warrants will have an exercise price of $0.35 per share, will be exercisable beginning on the effective date of stockholder approval of the issuance of the shares issuable upon exercise of the New Warrants and will expire five years from the effective date of stockholder approval.

The aggregate gross proceeds to Matinas from the exercise of the Existing Warrants were approximately $2.6 million, prior to deducting warrant solicitation agent fees and transaction offering expenses.

Matinas intends to use the net proceeds from the Inducement for working capital and general corporate purposes.

The securities offered in the PIPE and the Inducement were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Act”) and/or Rule 506(b) of Regulation D promulgated thereunder and have not been registered under the Act or applicable state securities laws. Accordingly, the securities may not be offered or sold in the United States absent registration with the SEC or an applicable exemption from such registration requirements.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

ThinkEquity is acting as an advisor and as exclusive warrant solicitation agent in connection with the Inducement.

About GH Power

GH Power is a critical minerals and clean energy technology company developing proprietary modular reactor systems that convert recycled metals and water into high-purity alumina, clean hydrogen and thermal energy. GH Power’s technology is designed to enable more sustainable production of critical minerals while supporting industrial decarbonization and behind-the-meter energy solutions. Through strategic partnerships and commercial deployments, GH Power is advancing the adoption of its technology across advanced materials and distributed energy markets.

About Matinas BioPharma

Matinas BioPharma is a biopharmaceutical company focused on delivering groundbreaking therapies using its lipid nano-crystal (LNC) platform delivery technology. Matinas's common stock is listed on the NYSE American under the ticker symbol “MTNB.”

About Azurity Pharmaceuticals

Azurity Pharmaceuticals is a privately held global pharmaceutical company dedicated to redefining medicine for the real world. Azurity’s first-in-class enterprise model challenges the status quo by rethinking how therapies are designed, delivered and accessed. With more than 50 medicines across 10 therapeutic areas, Azurity’s mission is fueled by a growing portfolio that reaches millions of people in more than 50 countries.

Additional Information and Where to Find It

In connection with the proposed Business Combination and related stockholder approvals, including approval of the Stock Sale and any stockholder approvals required for the PIPE and Warrant Inducement, Matinas, GH Power and GHP International expect that a registration statement on Form F-4 will be filed with the SEC, containing a preliminary proxy statement for Matinas stockholders that will also constitute a preliminary prospectus of GHP International, whose securities are expected to be listed on the NYSE American upon consummation of the Business Combination and the Stock Sale. After the registration statement is declared effective, Matinas will mail a definitive proxy statement/prospectus to its stockholders. Investors, stockholders and other interested persons are urged to read, when available, the proxy statement/prospectus and other documents filed with the SEC because they will contain important information about the proposed Business Combination, the Stock Sale and related matters. Matinas stockholders will be able to obtain a free copy of the proxy statement/prospectus (when available) and other documents filed with the SEC by Matinas or GHP International, without charge, by directing a request to [email protected]. These documents, once available, can also be obtained, without charge, at the SEC’s website at www.sec.gov.

Participants in the Solicitation

Matinas, GH Power, GHP International and their respective directors, executive officers and other members of management and employees, under SEC rules, may be deemed to be participants in the solicitation of proxies from Matinas stockholders in connection with the Business Combination, the Stock Sale and the other transactions described herein. Investors and security holders may obtain more detailed information regarding the names, affiliations and interests of Matinas’s executive officers and directors in its Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 31, 2026. Information regarding the persons who may be deemed participants in the solicitation and their interests in the Business Combination, the Stock Sale and the other transactions described herein will be set forth in the proxy statement/prospectus and other relevant materials when they become available.

No Offer or Solicitation

This communication does not constitute an offer to sell, or the solicitation of an offer to buy, any securities, or a solicitation of any vote or approval with respect to the Business Combination, the Stock Sale or any other transaction described herein, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act or pursuant to an exemption from, or in a transaction not subject to, registration requirements.

Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), with respect to the Business Combination involving Matinas, GH Power and GHP International, the Stock Sale involving Matinas and Azurity and the other transactions described herein. These statements include, among others, statements regarding the anticipated benefits and timing of the closing of the Business Combination and the Stock Sale; GH Power’s assets, technology, development plans and commercial opportunities; Matinas BioPharma Nanotechnologies, Inc., MAT2203 and the LNC technology platform; the consideration, milestone payments, royalties and licensing proceeds that may be payable in connection with the Stock Sale; the PIPE and Warrant Inducement; the expected ownership, capitalization, board composition and listing of GHP International; the satisfaction of closing conditions; and future financial condition, performance and strategy. These forward-looking statements generally are identified by words such as “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “potential,” “plan,” “may,” “should,” “will,” “would,” “will continue,” “will likely result” and similar expressions. Forward-looking statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. These risks include, but are not limited to, the risk that the Business Combination or the Stock Sale may not be completed in a timely manner or at all; failure to satisfy closing conditions, including Matinas stockholder approval, GH Power securityholder approval, Ontario court approvals, effectiveness of the Form F-4 registration statement, completion of the GH Power financing and listing of GHP International’s securities; failure to realize anticipated benefits; failure to receive consideration, milestone payments, royalties or licensing proceeds expected in connection with the Stock Sale; costs related to the transactions and becoming a public company; changes in business, market, financial, political and regulatory conditions; risks relating to GHP International’s anticipated operations and business and the assets and business of Matinas BioPharma Nanotechnologies, Inc.; the outcome of any legal proceedings that may be instituted against Matinas, GH Power, GHP International, Azurity or others following announcement of the transactions; and the risk factors discussed in documents that Matinas has filed, or that Matinas and/or GHP International will file, with the SEC. Matinas, GH Power and GHP International undertake no obligation to update any forward-looking statements except as required by applicable law.

Investor Relations Contacts
Jerome D. Jabbour
Chief Executive Officer
(908) 484-8805
[email protected]

Key Takeaways Lincoln National is benefiting from growth in spread-based annuities and stronger Life Insurance sales.LNC's annuity sales rose 4% YoY to $3.9B, with spread-based products making up nearly two-thirds.LNC expects its RBC ratio to stay above 420%, supporting growth while maintaining strength. Lincoln National Corporation (LNC - Free Report) is strategically positioned for growth, supported by its ongoing business transformation, driven by growth in spread-based annuity products, improving momentum in Life Insurance and Group Protection, disciplined expense management and a strengthened capital position that supports sustainable earnings growth.

With a market capitalization of $7.2 billion, Lincoln National is a diversified life insurance and investment management company that provides a wide range of wealth accumulation, wealth protection, group protection and retirement products and solutions. The company operates multiple insurance businesses through four business segments: Annuities, Life Insurance, Group Protection and Retirement Plan Services. LNC stock has risen 13.7% over the past year compared with the industry’s average gain of 16.4%.

Courtesy of solid prospects, LNC currently carries a Zacks Rank #3 (Hold).

Where Do Estimates for LNC Stand?The Zacks Consensus Estimate for Lincoln National’s 2026 earnings is pegged at $7.72 per share. In the past 30 days, it has witnessed two upward estimate revisions against one in the opposite direction. Furthermore, the consensus mark for revenues is pegged at $19.5 billion for 2026, indicating a 2.2% year-over-year rise. It beat earnings estimates in each of the past four quarters, with an average surprise of 13.8%.

LNC Stock’s Growth DriversLincoln National continues to benefit from the transformation of its annuity franchise toward products that generate steadier earnings and require less capital. The company has been emphasizing spread-based offerings such as fixed indexed annuities and RILAs while reducing exposure to more market-sensitive business. This shift is helping improve the quality of earnings and supporting long-term cash flow generation. In the first quarter of 2026, annuity sales rose 4% year over year to $3.9 billion, with spread-based products accounting for nearly two-thirds of total sales.

The Life Insurance segment is emerging as another key growth driver. LNC has repositioned the business toward accumulation-focused products, executive benefits solutions and offerings with more predictable profitability characteristics. These product lines are expected to support sales growth while enhancing profitability and capital efficiency. Total life insurance sales climbed 33% year over year to $129 million in the first quarter of 2026.

LNC continues to expand its Group Protection franchise through targeted market strategies, supplemental health offerings and enhanced digital tools for employers and brokers. These efforts helped drive a 10.9% increase in operating income to $112 million in the first quarter of 2026.

Lincoln National is also investing heavily in technology modernization and operational efficiency initiatives across its businesses. The company is expanding digital capabilities, automating processes and enhancing self-service tools to improve customer and distributor experiences while creating operating leverage. These initiatives are supporting growth in Retirement Plan Services.

In addition, LNC remains focused on disciplined capital management, free cash flow generation and balance sheet strength. As of March 31, 2026, holding company available liquidity rose to $805 million (net of prefunding) from $655 million at the 2025-end. Lincoln National expects its RBC ratio to remain above the 420% target, reflecting solid capitalization to fund growth initiatives while maintaining financial strength.

Key ConcernLincoln National has relatively higher financial leverage compared to the industry, with a total debt-to-capital of around 38.4%, significantly above the industry average of 15.2%. This elevated leverage may increase financial risk, particularly amid volatile market conditions.

LNC is currently trading at 0.78X trailing 12-month price-to-book, below its three-year median of 0.79X and the industry average of 2.17X, reflecting lingering investor skepticism.

Key PicksSome better-ranked stocks in the broader finance space are Alerus Financial Corporation (ALRS - Free Report) , Pelagos Insurance Capital Ltd. (PLGO - Free Report) and Cboe Global Markets, Inc. (CBOE - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Alerus Financial’s current-year earnings of $2.95 per share has witnessed two upward revisions in the past 60 days against none in the opposite direction. ALRS’ earnings beat estimates in each of the trailing four quarters, with the average surprise being 35.8%. The consensus estimate for current-year revenues is pegged at $306.2 million, suggesting a 3.8% year-over-year jump.

The consensus estimate for Pelagos Insurance Capital’s current-year earnings is pegged at $3.78 per share, which signals 96.9% year-over-year growth. Its earnings beat estimates in three of the trailing four quarters and missed once, with the average surprise being 53.6%. The consensus mark for PLGO’s current-year revenues of $2.8 billion implies 11.4% year-over-year growth.

The consensus estimate for Cboe Global Markets’ current-year earnings is pegged at $13.34 per share, which has witnessed two upward revisions in the past 30 days against none in the opposite direction. Its earnings beat estimates in each of the trailing four quarters, with the average surprise being 5.4%. The consensus estimate for CBOE’s current-year revenues is pegged at $2.8 billion, which implies a 13.1% year-over-year rise.

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RADNOR, Pa.--(BUSINESS WIRE)--Lincoln Financial (NYSE:LNC) announced today that the board of directors of Lincoln National Corporation has declared a quarterly dividend of $562.50 per share on the corporation’s 9.000% Non-Cumulative Preferred Stock, Series D, $25,000 liquidation preference per share, represented by depositary shares each representing a 1/1,000th interest in a share of the preferred stock, holders of which will receive $0.5625 per depositary share (NYSE: LNC PRD). The dividend will be payable June 1, 2026 to holders of record on May 15, 2026.

About Lincoln Financial

Lincoln Financial helps people confidently plan for their vision of a successful financial future. As of December 31, 2025, approximately 17 million customers trust our guidance and solutions across four core businesses – annuities, life insurance, group protection, and retirement plan services. As of December 31, 2025, the company had $349 billion in end-of-period account balances, net of reinsurance. Headquartered in Radnor, PA, Lincoln Financial is the marketing name for Lincoln National Corporation (NYSE: LNC) and its affiliates. Learn more at LincolnFinancial.com.

More News From Lincoln Financial

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RADNOR, Pa.--(BUSINESS WIRE)--Lincoln Financial (NYSE: LNC) today reported financial results for the first quarter ended March 31, 2026.

Sustained progress against strategic and financial objectives drove solid first quarter performance. First quarter net loss available to common stockholders was $(211) million, or $(1.10) per diluted share. First quarter adjusted operating income available to common stockholders was $326 million, or $1.66 per diluted share. The difference between net income and adjusted operating income was primarily attributable to the non-economic impact of changes in market risk benefits. Holding company available liquidity increased to $805 million, net of prefunding amounts. “Our first quarter results reflect continued disciplined execution and consistent, meaningful progress against our strategic priorities," said Ellen Cooper, Chairman, President and CEO of Lincoln Financial. "Group Protection delivered record first quarter earnings, while Life Insurance and Retirement Plan Services generated strong earnings growth. In Annuities, we achieved another quarter of diversification in new business with a more balanced mix and less market sensitivity.

"The cumulative impact of the actions we’ve taken — strengthening our capital foundation, optimizing our operating model, and diversifying our business mix — are translating into a more resilient, higher-quality earnings profile. We remain focused on advancing these priorities to further build on this trajectory and create sustainable, long-term value for shareholders.”

Business Highlights

Our 2026 first quarter performance represents sustained, company-wide progress against our strategic and financial objectives.

Retail Solutions

Annuities delivered operating income of $275 million, down 5% compared to the prior-year quarter, driven by the impact of the previously disclosed net investment income allocation refinement and unfavorable tax-related items. Adjusting for these items, operating income was up 1%, driven by favorable equity markets and growth in spread income, offset by variable annuity outflows. Annuities recorded $169 billion in ending account balances, net of reinsurance, and sales of $3.9 billion, up 4% year over year. Spread-based products accounted for approximately two-thirds of total sales in the quarter, reflecting our continued strategic shift towards spread-based business. Life Insurance delivered operating income of $41 million, a $57 million increase from the prior-year quarter, driven by strong alternative investment income and the impact of the fourth quarter 2025 captive consolidation. Annualized consolidated alternative investment income returns were approximately 12.3%, which is more than 2% higher than our annual target. Total sales were $129 million, up 33% compared to the prior-year quarter, reflecting sales growth across all product lines, most notably in Executive Benefits. Workplace Solutions

Group Protection delivered operating income of $112 million, compared to $101 million in the prior-year quarter, driven by favorable life experience. Premiums were 2% higher year over year, as strong sales over the prior twelve months were partially offset by a large case lapse. Adjusting for the large case lapse, premiums were up 3.4% compared to the first quarter of 2025. Sales of $150 million were 4% lower year over year and demonstrated a disciplined approach to balanced growth in the segment. Retirement Plan Services reported operating income of $43 million in the quarter, up 26% year over year, driven by spread expansion and favorable equity markets, partially offset by trailing-twelve-month outflows. Net outflows were $0.2 billion, compared to $2.2 billion in the prior-year quarter. Total deposits were $4.1 billion in the quarter, up 1% over the prior-year quarter, with first-year sales of $1.1 billion, up 3% year over year. Earnings Summary

(in millions, except per share data)

For the Three Months Ended

3/31/25

3/31/26

Net income (loss)

$

(722

)

$

(172

)

Net income (loss) available to common stockholders — diluted

(756

)

(211

)

Net income (loss) per diluted share available to common stockholders

$

(4.41

)

$

(1.10

)

Adjusted income (loss) from operations

314

360

Adjusted income (loss) from operations available to common stockholders

280

326

Adjusted income (loss) from operations per diluted share available to common stockholders

$

1.60

$

1.66

Reconciliation of Net Income (Loss) to Adjusted Income (Loss) from Operations(1)

(in millions)

For the Three Months Ended

3/31/25

3/31/26

Net income (loss) available to common stockholders — diluted

$

(756

)

$

(211

)

Less:

Preferred stock dividends declared

(34

)

(34

)

Adjustment for deferred units of LNC stock in our deferred compensation plans

—

(5

)

Net income (loss)

(722

)

(172

)

Less:

Net annuity product features, pre-tax(1)

(1,092

)

(695

)

Net life insurance product features, pre-tax

42

22

Credit loss-related adjustments, pre-tax

(28

)

(20

)

Investment gains (losses), pre-tax

(103

)

(42

)

Changes in the fair value of reinsurance-related embedded derivatives, trading securities and certain mortgage loans, pre-tax(1)

(90

)

179

Gains (losses) on other non-financial assets, pre-tax

—

(6

)

Other items, pre-tax(1)

(35

)

(111

)

Income tax benefit (expense) related to the above pre-tax items

270

141

Adjusted income (loss) from operations

$

314

$

360

Adjusted income (loss) from operations available to common stockholders

$

280

$

326

  (1) Refer to the full reconciliation at the back of this release for footnotes.

Variable Investment Income

Alternative Investment Income, after-tax(1)

For the Three Months Ended

(in millions)

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Annuities

$

2

$

3

$

2

$

3

$

3

Life Insurance

55

74

75

90

95

Group Protection

1

1

2

2

2

Retirement Plan Services

1

2

1

3

2

Other Operations

—

—

—

—

—

Consolidated

$

59

$

80

$

80

$

98

$

102

  (1) Excludes alternative investment income on investments supporting our modified coinsurance and coinsurance with funds withheld agreements as we have limited economic interest in those investments.

Prepayment Income, after-tax

For the Three Months Ended

(in millions)

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Annuities

$

—

$

3

$

3

$

5

$

1

Life Insurance

1

—

1

1

2

Group Protection

—

1

—

—

1

Retirement Plan Services

—

—

1

1

—

Other Operations

—

—

—

—

—

Consolidated

$

1

$

4

$

5

$

7

$

4

Items Impacting Segment and Other Operations Results

For the Three Months Ended March 31, 2026

(in millions, after-tax)

Annuities

Life Insurance

Group Protection

Retirement Plan Services

Other Operations

Alternative investment income compared to return target(1)

$

—

$

19

$

—

$

—

$

—

Prepayment income(2)

1

2

1

—

—

Annual assumption review

—

—

—

—

—

Tax items(3)

(7

)

—

—

—

—

Other

—

—

—

—

—

Total impact

$

(6

)

$

21

$

1

$

—

$

—

For the Three Months Ended March 31, 2025

(in millions, after-tax)

Annuities

Life Insurance

Group Protection

Retirement Plan Services

Other Operations

Alternative investment income compared to return target(1)

$

(1

)

$

(16

)

$

—

$

(1

)

$

—

Prepayment income(2)

—

1

—

—

—

Annual assumption review

—

—

—

—

—

Tax items

—

—

—

—

—

Other

—

—

—

—

—

Total impact

$

(1

)

$

(15

)

$

—

$

(1

)

$

—

  (1) Alternative investment income comparison to return target assumes a 10% annual return on the alternative investment portfolio.

(2) Prepayment income is actual income reported in the quarter.

(3) Tax-related items including dividends-received deduction and foreign tax credit true-ups.

Capital and Liquidity

As of or For the Three Months Ended

(in millions, except percent and per share data)

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Holding company available liquidity(1)

$

466

$

466

$

461

$

1,055

$

1,205

Holding company available liquidity,

net of prefunding

$

466

$

466

$

461

$

655

$

805

RBC ratio(2)

>420%

>420%

>420%

>420%

>420%

Book value per share (BVPS), including AOCI

$

41.96

$

44.91

$

49.56

$

51.88

$

47.87

Book value per share, excluding AOCI(3)

$

67.04

$

67.95

$

69.66

$

73.10

$

71.06

Adjusted book value per share(3)

$

73.19

$

72.77

$

74.23

$

76.33

$

77.77

  (1) Holding company available liquidity presented as of 12/31/25 and 3/31/26 includes the $400 million prefunding of a 2026 maturity.

(2) The RBC ratio is calculated annually as of December 31, but is reported in the March statutory reporting, and as such, the quarterly ratios presented for 3/31/25, 6/30/25, 9/30/25 and 3/31/26 are considered estimates based on information known at the time of reporting.

(3) Refer to the reconciliation to book value per share, including AOCI, at the back of this release.

Annuities

(in millions, except ROA data)

As of or For the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Change

Total operating revenues

$

1,198

$

1,214

$

1,270

$

1,308

$

1,283

7.1

%

Total operating expenses

858

876

902

939

949

10.6

%

Income (loss) from operations before taxes

340

338

368

369

334

(1.8

)%

Federal income tax expense (benefit)

50

51

58

58

59

18.0

%

Income (loss) from operations

$

290

$

287

$

310

$

311

$

275

(5.2

)%

Income (loss) from operations, excluding impact of annual assumption review

$

290

$

287

$

318

$

311

$

275

(5.2

)%

Total sales

$

3,789

$

4,019

$

4,467

$

4,889

$

3,939

4.0

%

Net flows

$

(1,676

)

$

(1,162

)

$

(1,143

)

$

(1,227

)

$

(2,196

)

(31.0

)%

Average account balances, net of reinsurance

$

163,688

$

159,806

$

170,318

$

174,668

$

175,173

7.0

%

Return on average account balances (bps)

71

72

73

71

63

Return on average account balances (bps), excluding impact of annual assumption review

71

72

75

71

63

Income from operations was $275 million for the first quarter, compared to $290 million in the prior-year quarter, driven by the impact of the previously disclosed net investment income allocation refinement and unfavorable tax-related items. Adjusting for these items, operating income was up 1%, driven by favorable equity markets and growth in spread income, offset by variable annuity outflows. Total sales were $3.9 billion in the quarter, increasing 4% compared to the prior year. Spread-based products comprised nearly two-thirds of total sales. Net outflows were approximately $2.2 billion in the quarter, compared to net outflows of $1.7 billion in the prior-year quarter, primarily driven by traditional variable annuities. Average account balances, net of reinsurance, were $175 billion. The year-over-year increase of 7% was driven by growth across all product lines. Life Insurance

(in millions)

As of or For the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Change

Total operating revenues

$

1,587

$

1,602

$

1,610

$

1,643

$

1,628

2.6

%

Total operating expenses

1,619

1,568

1,586

1,555

1,586

(2.0

)%

Income (loss) from operations before taxes

(32

)

34

24

88

42

231.3

%

Federal income tax expense (benefit)

(16

)

2

(1

)

11

1

106.3

%

Income (loss) from operations

$

(16

)

$

32

$

25

$

77

$

41

NM

Income (loss) from operations, excluding impact of annual assumption review

$

(16

)

$

32

$

54

$

77

$

41

NM

Average account balances, net of reinsurance

$

44,390

$

45,147

$

47,503

$

49,150

$

49,232

10.9

%

Total sales

$

97

$

121

$

298

$

142

$

129

33.0

%

Income from operations was $41 million, compared to a loss of $16 million in the prior-year quarter. The year-over-year improvement was driven by strong alternative investment income and the impact of the fourth quarter 2025 captive consolidation. Total sales were $129 million, up 33% compared to the prior-year quarter, as sales of accumulation products continued to drive growth, most notably in Executive Benefits. Average account balances, net of reinsurance, were $49 billion, up 11% versus the prior-year quarter. Group Protection

(in millions, except margin data)

As of or For the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Change

Total operating revenues

$

1,521

$

1,538

$

1,507

$

1,535

$

1,554

2.2

%

Total operating expenses

1,393

1,319

1,319

1,397

1,412

1.4

%

Income (loss) from operations before taxes

128

219

188

138

142

10.9

%

Federal income tax expense (benefit)

27

46

39

29

30

11.1

%

Income (loss) from operations

$

101

$

173

$

149

$

109

$

112

10.9

%

Income (loss) from operations, excluding impact of annual assumption review

$

101

$

173

$

110

$

109

$

112

10.9

%

Insurance premiums

$

1,371

$

1,386

$

1,352

$

1,380

$

1,399

2.0

%

Total sales

$

157

$

187

$

116

$

391

$

150

(4.5

)%

Total loss ratio

72.4

%

65.9

%

68.3

%

71.4

%

71.1

%

Total loss ratio, excluding the impact of the annual assumption review

72.4

%

65.9

%

72.2

%

71.4

%

71.1

%

Operating margin(1)

7.4

%

12.5

%

11.0

%

7.9

%

8.0

%

Operating margin, excluding the impact of annual assumption review

7.4

%

12.5

%

8.1

%

7.9

%

8.0

%

  (1) Operating margin is calculated by dividing income (loss) from operations by insurance premiums.

Income from operations was $112 million in the quarter, 11% higher than the prior-year quarter driven by favorable life experience. Operating margin was 8.0%, 60 basis points higher than the prior-year quarter, and the total loss ratio decreased 130 basis points to 71.1%, driven by favorable life experience partially offset by unfavorable disability severity. Insurance premiums were $1.4 billion in the quarter, increasing 2% year over year, driven by strong sales over the past twelve months. Adjusting for a large case lapse, premiums were up 3.4% compared to the first quarter of 2025. Sales decreased 4% year over year, demonstrating a disciplined approach to balanced growth in the segment. Retirement Plan Services

(in millions, except ROA data)

As of or For the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Change

Total operating revenues

$

327

$

331

$

343

$

352

$

346

5.8

%

Total operating expenses

289

289

290

298

295

2.1

%

Income (loss) from operations before taxes

38

42

53

54

51

34.2

%

Federal income tax expense (benefit)

4

5

7

8

8

100.0

%

Income (loss) from operations

$

34

$

37

$

46

$

46

$

43

26.5

%

Deposits

$

4,115

$

3,594

$

5,008

$

3,939

$

4,142

0.7

%

Net flows

$

(2,184

)

$

(585

)

$

755

$

(998

)

$

(213

)

90.2

%

Average account balances

$

113,075

$

111,734

$

119,259

$

123,533

$

124,766

10.3

%

Return on average account balances (bps)

12

13

15

15

14

Income from operations was $43 million in the quarter, up 26% compared to the prior year, primarily resulting from spread expansion and favorable equity markets, partially offset by outflows. Net outflows were $0.2 billion, compared to $2.2 billion of net outflows in the prior-year quarter. Total deposits were $4.1 billion, up 1% over the prior-year quarter. First-year sales of $1.1 billion were up 3% year over year. Average account balances were $125 billion, increasing 10% from the prior year, driven by favorable equity markets. Other Operations

(in millions)

As of or For the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Change

Total operating revenues

$

52

$

41

$

50

$

56

$

57

9.6

%

Total operating expenses

164

157

177

181

199

21.3

%

Income (loss) from operations before taxes

(112

)

(116

)

(127

)

(125

)

(142

)

(26.8

)%

Federal income tax expense (benefit)

(17

)

(25

)

(28

)

(27

)

(31

)

(82.4

)%

Income (loss) from operations(1)

$

(95

)

$

(91

)

$

(99

)

$

(98

)

$

(111

)

(16.8

)%

  (1) Income (loss) from operations does not include preferred dividends.

Unrealized Gains and Losses

The company reported a net unrealized loss of $9.1 billion (pre-tax) on its available-for-sale securities as of March 31, 2026, compared to a net unrealized loss of $9.4 billion (pre-tax) as of March 31, 2025. The year-over-year decrease was primarily due to tighter spreads.

The tables attached to this release define and reconcile the non-GAAP measures adjusted income (loss) from operations, adjusted income (loss) from operations available to common stockholders, book value per share excluding AOCI, and adjusted book value per share to net income (loss), net income (loss) available to common stockholders, and book value per share including AOCI, calculated in accordance with GAAP.

This press release contains statements that are forward-looking, and actual results may differ materially. Please see the Forward-looking Statements – Cautionary Language at the end of this release for factors that may cause actual results to differ materially from the company’s current expectations.

For other financial information, please refer to the company’s first quarter 2026 statistical supplement and first quarter 2026 earnings supplement, which are available in the investor relations section of its website http://www.lincolnfinancial.com/investor.

Conference Call Information

Lincoln Financial will discuss the company’s first quarter results with the investment community in a call beginning at 8:00 a.m. Eastern Time on Thursday, May 7, 2026.

The call will be broadcast live through the company’s website at www.lincolnfinancial.com/webcast. Please log on to the webcast at least 15 minutes prior to the start of the call to download and install any necessary streaming media software. A replay of the call will be available by 10:30 a.m. Eastern Time on May 7, 2026, at www.lincolnfinancial.com/webcast.

About Lincoln Financial

Lincoln Financial helps people confidently plan for their vision of a successful financial future. As of December 31, 2025, approximately 17 million customers trust our guidance and solutions across four core businesses – annuities, life insurance, group protection, and retirement plan services. As of March 31, 2026, the company had $340 billion in end-of-period account balances, net of reinsurance. Headquartered in Radnor, PA., Lincoln Financial is the marketing name for Lincoln National Corporation (NYSE: LNC) and its affiliates. Learn more at LincolnFinancial.com.

Non-GAAP Measures

Management believes that the use of the non-GAAP financial measures adjusted income (loss) from operations, adjusted income (loss) from operations available to common stockholders (or adjusted operating income (loss)) and adjusted income (loss) from operations per diluted share available to common stockholders is helpful to investors in evaluating the company’s performance.

Management believes that excluding the following items from adjusted income (loss) from operations enhances understanding of the underlying trends and long-term performance of the company’s business. Management excludes “net annuity product features” as this adjustment primarily represents the difference between the valuation of reserves and the valuation of derivatives utilized for hedging our variable annuity and indexed annuity products, which can fluctuate significantly from period to period based on changes in equity markets and interest rates. This difference is due to the hedge focus on managing risks to statutory capital as opposed to the GAAP reserves. Management excludes “net life insurance product features” for similar reasons. In addition, management excludes “credit loss-related adjustments” and “investment gains (losses)” as the timing of changes in allowances or sales of credit-impaired investments depends largely on market credit cycles and can vary considerably from period to period and the timing of other sales of investments that would result in gains or losses is driven by market conditions, including interest rates, and other factors. Management excludes “changes in the fair value of reinsurance-related embedded derivatives, trading securities and certain mortgage loans” as this adjustment represents the economics of investments in underlying funds withheld portfolios supporting reinsurance agreements that have been transferred to third-party reinsurers, which is not indicative of our ongoing results.

Finally, management excludes from adjusted income (loss) from operations certain additional items (as set forth in the definition below) that are not necessarily indicative of current operating fundamentals or future performance of the business segments, and, in most instances, decisions regarding these items do not necessarily relate to the operations of the individual segments. Management believes excluding these items better explains the results of the company’s ongoing businesses in a manner that allows for enhanced understanding of underlying trends, company performance and business fundamentals.

Management also believes that the use of the non-GAAP financial measures book value per share, excluding accumulated other comprehensive income (“AOCI”), and adjusted book value per share enables investors to analyze the amount of our net worth that is attributable to our business operations. Book value per share, excluding AOCI is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period, primarily based on changes in interest rates. Adjusted book value per share is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period, primarily based on changes in equity markets and interest rates.

For the historical periods, reconciliations of non-GAAP measures used in this press release to the most directly comparable GAAP measure may be included in this Appendix to the press release and/or are included in the Statistical Supplements for the corresponding periods contained in the Earnings section of the Investor Relations page on our website: http://www.lincolnfinancial.com/investor.

Definitions of Non-GAAP Measures Used in this Press Release

Adjusted income (loss) from operations, adjusted income (loss) from operations available to common stockholders, book value per share, excluding AOCI, and adjusted book value per share, as used in the press release, are non-GAAP financial measures and do not replace GAAP net income (loss), net income (loss) available to common stockholders, and book value per share, including AOCI, the most directly comparable GAAP measures.

Adjusted Income (Loss) from Operations

Adjusted income (loss) from operations is GAAP net income (loss) excluding the following items, as applicable:

Items related to annuity product features, which include changes in market risk benefits (“MRBs”), changes in the fair value of the related hedge instruments inclusive of income allocated to support the cost of hedging or future benefits, and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products (collectively, “net annuity product features”); Items related to life insurance product features, which include changes in the fair value of derivatives we hold as part of VUL hedging, changes in reserves resulting from benefit ratio unlocking associated with the impact of capital markets, and changes in the fair value of the embedded derivative liabilities of our IUL contracts and the associated index options we hold to hedge them (collectively, “net life insurance product features”); Credit loss-related adjustments on fixed maturity AFS securities, mortgage loans on real estate and reinsurance-related assets (“credit loss-related adjustments”); Changes in the fair value of equity securities and certain other investments, the impact of certain derivatives, and realized gains (losses) on sales, disposals and impairments of financial assets (collectively, “investment gains (losses)”); Changes in the fair value of reinsurance-related embedded derivatives, trading securities and mortgage loans on real estate electing the fair value option (“changes in the fair value of reinsurance-related embedded derivatives, trading securities and certain mortgage loans”); Income (loss) from the initial adoption of new accounting standards, accounting policy changes and new regulations, including changes in tax law; Income (loss) from reserve changes, net of related amortization, on business sold through reinsurance; Losses from the impairment of intangible assets and gains (losses) on other non-financial assets; Income (loss) from discontinued operations; Other items, which include the following: certain legal and regulatory accruals; severance expense related to initiatives that realign the workforce; transaction, integration and other costs related to mergers and acquisitions including the acquisition or divestiture, through reinsurance or other means, of businesses or blocks of business, and certain other corporate initiatives; mark-to-market adjustment related to the LNC stock component of our deferred compensation plans (“deferred compensation mark-to-market adjustment”); gains (losses) on modification or early extinguishment of debt; and impacts from settlement or curtailment of defined benefit obligations; and Income tax benefit (expense) related to the above pre-tax items, including the effect of tax adjustments such as changes to deferred tax valuation allowances. Adjusted Income (Loss) from Operations Available to Common Stockholders

Adjusted income (loss) from operations available to common stockholders is defined as after-tax adjusted income (loss) from operations less preferred stock dividends.

Book Value Per Share, Excluding AOCI

Book value per share, excluding AOCI, is calculated based upon a non-GAAP financial measure.

It is calculated by dividing (a) stockholders’ equity, excluding AOCI and preferred stock, by (b) common shares outstanding. Book value per share is the most directly comparable GAAP measure. Adjusted Book Value Per Share

Adjusted book value per share is calculated based upon a non-GAAP financial measure.

It is calculated by dividing (a) stockholders’ equity, excluding AOCI, preferred stock, changes in MRBs, guaranteed living benefit (“GLB”) and guaranteed death benefit (“GDB”) hedge instruments gains (losses), and the difference between amounts recognized in net income (loss) on reinsurance-related embedded derivatives and the underlying asset portfolios (“reinsurance-related embedded derivatives and portfolio gains (losses)”) by (b) common shares outstanding. Book value per share is the most directly comparable GAAP measure. Other Definitions

Holding Company Available Liquidity

Holding company available liquidity consists of cash and invested cash, excluding cash held as collateral, and certain short-term investments that can be readily converted into cash, net of commercial paper outstanding.

Sales

Sales as reported consist of the following:

Annuities and Retirement Plan Services – deposits from new and existing customers; Universal life insurance (“UL”), indexed universal life insurance (“IUL”), variable universal life insurance (“VUL”) – first-year commissionable premiums plus 5% of excess premiums received; MoneyGuard® linked-benefit products – MoneyGuard® (UL) and MoneyGuard Market Advantage® (VUL), 150% of commissionable premiums; Executive Benefits – insurance and corporate-owned UL and VUL, first-year commissionable premiums plus 5% of excess premium received, and single premium bank-owned UL and VUL, 15% of single premium deposits; Term – 100% of annualized first-year premiums; and Group Protection – annualized first-year premiums from new policies. Lincoln National Corporation

Reconciliation of Net Income (Loss) to Adjusted Income (Loss) from Operations and

Average Stockholders' Equity to Adjusted Average Stockholders' Equity

  For the

(in millions, except per share data)

Three Months Ended

March 31,

2026

2025

Net Income (Loss) Available to Common

Stockholders – Diluted

$

(211

)

$

(756

)

Less:

Preferred stock dividends declared

(34

)

(34

)

Adjustment for deferred units of LNC stock in our

deferred compensation plans

(5

)

—

Net Income (Loss)

(172

)

(722

)

Less:

Net annuity product features, pre-tax (1)

(695

)

(1,092

)

Net life insurance product features, pre-tax

22

42

Credit loss-related adjustments, pre-tax

(20

)

(28

)

Investment gains (losses), pre-tax

(42

)

(103

)

Changes in the fair value of reinsurance-related

embedded derivatives, trading securities and certain

mortgage loans, pre-tax (2)

179

(90

)

Gains (losses) on other non-financial assets, pre-tax

(6

)

—

Other items, pre-tax (3)(4)(5)(6)

(111

)

(35

)

Income tax benefit (expense) related to the above pre-tax items

141

270

Total adjustments

(532

)

(1,036

)

Adjusted Income (Loss) from Operations

$

360

$

314

Add:

Preferred stock dividends declared

(34

)

(34

)

Adjusted Income (Loss) from Operations Available to Common Stockholders

$

326

$

280

Earnings (Loss) Per Common Share – Diluted

Net income (loss)

$

(1.10

)

$

(4.41

)

Adjusted income (loss) from operations

1.66

1.60

Stockholders’ Equity, Average

Stockholders' equity

$

10,559

$

8,231

Less:

Preferred stock

986

986

AOCI

(4,262

)

(4,671

)

Stockholders’ equity, excluding AOCI and preferred stock

13,835

11,916

Changes in MRBs

3,037

2,649

GLB and GDB hedge instruments gains (losses)

(3,820

)

(3,027

)

Reinsurance-related embedded derivatives and portfolio gains (losses)

(172

)

(173

)

Adjusted average stockholders' equity

$

14,790

$

12,467

(1)

For the three months ended March 31, 2026 and 2025, includes changes in MRBs of $(997) million and $(1,302) million, respectively; changes in the fair value of the related hedge instruments inclusive of income allocated to support the cost of hedging or future benefits of $177 million and $268 million, respectively; and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products of $125 million and $(58) million, respectively.

(2)

Includes primarily changes in the fair value of the embedded derivative related to the fourth quarter 2023 reinsurance transaction.

(3)

Includes certain legal accruals of $(122) million for the three months ended March 31, 2026.

(4)

Includes severance expense related to initiatives to realign the workforce of $(7) million and $(6) million for the three months ended March 31, 2026 and 2025, respectively.

(5)

Includes transaction, integration and other costs related to mergers, acquisitions, divestitures and certain other corporate initiatives of $(20) million related to the sale of our wealth management business for the three months ended March 31, 2025.

(6)

Includes deferred compensation mark-to-market adjustment of $18 million and $(9) million for the three months ended March 31, 2026 and 2025, respectively.

Lincoln National Corporation

Reconciliation of Book Value per Share

  As of the Three Months Ended

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Book Value Per Common Share

Book value per share

$

41.96

$

44.91

$

49.56

$

51.88

$

47.87

Less:

AOCI

(25.08

)

(23.04

)

(20.10

)

(21.22

)

(23.19

)

Book value per share, excluding AOCI

67.04

67.95

69.66

73.10

71.06

Less:

Changes in MRBs

12.42

15.05

16.42

17.94

13.72

GLB and GDB hedge instruments gains (losses)

(17.43

)

(18.89

)

(19.40

)

(19.94

)

(19.87

)

Reinsurance-related embedded derivatives and portfolio gains (losses)

(1.14

)

(0.98

)

(1.59

)

(1.23

)

(0.56

)

Adjusted book value per share

$

73.19

$

72.77

$

74.23

$

76.33

$

77.77

Lincoln National Corporation

Digest of Earnings

  For the

(in millions, except per share data)

Three Months Ended

March 31,

2026

2025

Revenues

$

5,306

$

4,691

Net Income (Loss)

$

(172

)

$

(722

)

Preferred stock dividends declared

(34

)

(34

)

Adjustment for deferred units of LNC stock in our

deferred compensation plans (1)

(5

)

—

Net Income (Loss) Available to Common

Stockholders – Diluted

$

(211

)

$

(756

)

Net Income (Loss) Per Common Share – Basic

$

(1.08

)

$

(4.41

)

Net Income (Loss) Per Common Share – Diluted (2)

$

(1.10

)

$

(4.41

)

Average Shares – Basic

191,891,461

171,321,440

Average Shares – Diluted

196,496,544

174,087,020

FORWARD-LOOKING STATEMENTS – CAUTIONARY LANGUAGE

Certain statements made in this press release and in other written or oral statements made by Lincoln or on Lincoln’s behalf are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). A forward-looking statement is a statement that is not a historical fact and, without limitation, includes any statement that may predict, forecast, indicate or imply future results, performance or achievements. Forward-looking statements may contain words like: “anticipate,” “believe,” “estimate,” “expect,” “project,” “shall,” “will” and other words or phrases with similar meaning in connection with a discussion of future operating or financial performance. In particular, these include statements relating to future actions, trends in Lincoln’s businesses, prospective services or products, future performance or financial results and the outcome of contingencies, such as legal proceedings. Lincoln claims the protection afforded by the safe harbor for forward-looking statements provided by the PSLRA. Forward-looking statements are subject to risks and uncertainties. Actual results could differ materially from those expressed in or implied by such forward-looking statements due to a variety of factors, including:

Certain statements made in this press release and in other written or oral statements made by Lincoln or on Lincoln’s behalf are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). A forward-looking statement is a statement that is not a historical fact and, without limitation, includes any statement that may predict, forecast, indicate or imply future results, performance or achievements. Forward-looking statements may contain words like: “anticipate,” “believe,” “estimate,” “expect,” “project,” “shall,” “will” and other words or phrases with similar meaning in connection with a discussion of future operating or financial performance. In particular, these include statements relating to future actions, trends in Lincoln’s businesses, prospective services or products, future performance or financial results and the outcome of contingencies, such as legal proceedings. Lincoln claims the protection afforded by the safe harbor for forward-looking statements provided by the PSLRA.

Forward-looking statements are subject to risks and uncertainties. Actual results could differ materially from those expressed in or implied by such forward-looking statements due to a variety of factors, including:

Weak general economic and business conditions that may affect demand for our products, account balances, investment results, guaranteed benefit liabilities, premium levels and claims experience; Adverse global capital and credit market conditions that may affect our ability to raise capital, if necessary, and may cause us to realize impairments on investments and certain intangible assets, including goodwill and the valuation allowance against deferred tax assets, which may reduce future earnings and/or affect our financial condition and ability to raise additional capital or refinance existing debt as it matures; The inability of our subsidiaries to pay dividends to the holding company in sufficient amounts, which could harm the holding company’s ability to meet its obligations; Legislative, regulatory or tax changes, both domestic and foreign, that affect: the cost of, or demand for, our subsidiaries’ products; the required amount of reserves and/or surplus; our ability to conduct business; and our affiliate reinsurance arrangements; Changes in tax law or the interpretation of or application of existing tax laws that could impact our tax costs and the products that we sell; The impact of regulations adopted by the Securities and Exchange Commission (“SEC”), the Department of Labor or other federal or state regulators or self-regulatory organizations that could adversely affect our distribution model and sales of our products and result in additional disclosure and other requirements related to the sale and delivery of our products; The impact of existing and emerging rules and regulations relating to privacy, cybersecurity and artificial intelligence (“AI”) that may lead to increased compliance costs, reputation risk and/or changes in business practices, and challenges with properly managing the use of AI that could result in reputational harm, competitive harm and legal liability; Continued scrutiny and evolving expectations and regulations regarding ESG matters that may adversely affect our reputation and our investment portfolio; Actions taken by reinsurers to raise rates on in-force business; Declines in or sustained low interest rates causing a reduction in investment income, the interest margins of our businesses and demand for our products; Increasing or sustained higher interest rates that may negatively affect our profitability, value of our investment portfolio and capital position and may cause policyholders to surrender annuity and life insurance policies, thereby causing realized investment losses; The initiation of legal or regulatory proceedings against us, and the outcome of any legal or regulatory proceedings, such as: adverse actions related to present or past business practices common in businesses in which we compete; adverse decisions in significant actions including, but not limited to, actions brought by federal and state authorities and class action cases; new decisions that result in changes in law; and unexpected trial court rulings; A decline or continued volatility in the equity markets causing a reduction in the sales of our subsidiaries’ products; a reduction of asset-based fees that our subsidiaries charge on various investment and insurance products; and an increase in liabilities related to guaranteed benefits, including riders on certain of our annuity products and secondary guarantees on certain variable universal life insurance products; Ineffectiveness of our risk management policies and procedures, including our various hedging strategies; A deviation in actual experience regarding future policyholder behavior, mortality, morbidity, interest rates or equity market returns from the assumptions used in pricing our subsidiaries’ products and in establishing related insurance reserves, which may reduce future earnings; Changes in accounting principles that may affect our consolidated financial statements; Lowering of one or more of our debt ratings issued by nationally recognized statistical rating organizations and the adverse effect such action may have on our ability to raise capital and on our liquidity and financial condition; Lowering of one or more of the insurer financial strength ratings of our insurance subsidiaries and the adverse effect such action may have on the premium writings, policy retention and profitability of our insurance subsidiaries and liquidity; Significant credit, accounting, fraud, corporate governance or other issues that may adversely affect the value of certain financial assets, as well as counterparties to which we are exposed to credit risk, requiring that we realize losses on financial assets; Interruption in or failure of the telecommunication, information technology or other operational systems of the company or the third parties on whom we rely or failure to safeguard the confidentiality or privacy of sensitive data on such systems, including from cyberattacks or other breaches in security of such systems; The effect of acquisitions and divestitures, including the inability to realize the anticipated benefits of acquisitions and dispositions of businesses and potential operating difficulties and unforeseen liabilities relating thereto, as well as the effect of restructurings, product withdrawals and other unusual items; The inability to realize or sustain the benefits we expect from, greater than expected investments in, and the potential impact of efforts related to, our strategic initiatives; The adequacy and collectability of reinsurance that we have obtained; Pandemics, acts of terrorism, war or other man-made and natural catastrophes that may adversely impact liabilities for policyholder claims and adversely affect our businesses and the cost and availability of reinsurance; Competitive conditions, including pricing pressures, new product offerings and the emergence of new competitors, that may affect the level of premiums and fees that our subsidiaries can charge for their products; The unknown effect on our subsidiaries’ businesses resulting from evolving market preferences and the changing demographics of our client base; and The unanticipated loss of key management or wholesalers. The risks and uncertainties included here are not exhaustive. Our most recent Form 10-K, as well as other reports that we file with the SEC, include additional factors that could affect our businesses and financial performance. Moreover, we operate in a rapidly changing and competitive environment. New risk factors emerge from time to time, and it is not possible for management to predict all such risk factors. Further, it is not possible to assess the effect of all risk factors on our businesses or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. In addition, Lincoln disclaims any obligation to correct or update any forward-looking statements to reflect events or circumstances that occur after the date of this press release.

The reporting of Risk-Based Capital (“RBC”) measures is not intended for the purpose of ranking any insurance company or for use in connection with any marketing, advertising or promotional activities.

Lincoln National (LNC - Free Report) came out with quarterly earnings of $1.66 per share, beating the Zacks Consensus Estimate of $1.63 per share. This compares to earnings of $1.6 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +1.59%. A quarter ago, it was expected that this insurance and retirement business would post earnings of $1.86 per share when it actually produced earnings of $2.21, delivering a surprise of +18.82%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Lincoln National, which belongs to the Zacks Insurance - Life Insurance industry, posted revenues of $4.87 billion for the quarter ended March 2026, missing the Zacks Consensus Estimate by 0.15%. This compares to year-ago revenues of $4.69 billion. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Lincoln National shares have lost about 15.5% since the beginning of the year versus the S&P 500's gain of 7.6%.

What's Next for Lincoln National?While Lincoln National has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Lincoln National was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.11 on $4.89 billion in revenues for the coming quarter and $7.79 on $19.63 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Insurance - Life Insurance is currently in the bottom 22% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, GoHealth (GOCO - Free Report) , has yet to report results for the quarter ended March 2026.

This company is expected to post quarterly loss of $2.17 per share in its upcoming report, which represents a year-over-year change of -361.7%. The consensus EPS estimate for the quarter has been revised 12.8% higher over the last 30 days to the current level.

GoHealth's revenues are expected to be $16.78 million, down 92.4% from the year-ago quarter.

Lincoln National Corporation (LNC) Q1 2026 Earnings Call Transcript

Key Takeaways LNC's Q1 adjusted EPS rose 3.7% year over year to $1.66 and beat estimates by 1.8%.Lincoln National's net investment income climbed 9.8% year over year to $1.6 billion.LNC's estimated RBC ratio improved to more than 420% at the end of the first quarter. Lincoln National Corporation (LNC - Free Report) reported first-quarter 2026 adjusted earnings per share of $1.66, which surpassed the Zacks Consensus Estimate by 1.8%. The bottom line rose 3.7% year over year.

Adjusted operating revenues grew 3.9% year over year to $4.9 billion. However, the top line missed the consensus mark by 0.2%.

The quarterly earnings were supported by strong annuity deposits and solid Life Insurance performance. Higher net investment income, favorable equity markets and reduced expenses also contributed to the upside. Nevertheless, the positives were partly offset by a decline in the sales of Group Protection and lower insurance premiums.

Key Takeaways From LNC’s Q1 ResultsLNC’s estimated RBC ratio rose to more than 420% at the first-quarter end.

Insurance premiums inched down 0.1% year over year to $1.7 billion, missing the Zacks Consensus Estimate by 2.4%.

Fee income was $1.4 billion, which improved 0.3% year over year but missed the consensus mark by 1.7%. Net investment income advanced 9.8% year over year to $1.6 billion and beat the consensus mark by 7.5%.

Meanwhile, other revenues of $184 million rose 8.9% year over year in the quarter under review.

Total expenses declined 1.6% year over year to $5.6 billion. Interest credited rose 12.2% year over year to $999 million.

Lincoln National reported a net loss of $172 million compared to the prior-year quarter’s loss of $722 million.

Lincoln National’s Segmental PerformancesThe Annuities and Life Insurance segments form part of LNC’s Retail Solutions business, while Group Protection and Retirement Plan Services units make up the Workplace Solutions business.

The Annuities segment’s operating income totaled $275 million in the first quarter, which fell 5.2% year over year and missed the Zacks Consensus Estimate of $295.6 million due to the impact of a previously disclosed net investment income allocation refinement and unfavorable tax-related items. The unit's operating revenues rose 7.1% year over year to $1.3 billion, driven by 12.7% growth in net investment income, partly offset by a 14.3% decline in insurance premiums. Total annuity deposits were $3.9 billion, which climbed 3.7% year over year.

The Life Insurance unit recorded an operating income of $41 million, improved from the prior-year quarter’s loss of $16 million and beat the consensus mark of $7.2 million. The metric benefited from higher alternative investment income. Operating revenues grew 2.6% year over year to $1.6 billion. Total Life Insurance sales of $129 million advanced 33% year over year. Total deposits grew 2.9% year over year to $1.3 billion.

The Group Protection segment’s operating income increased 10.9% year over year to $112 million and beat the Zacks Consensus Estimate of $110.4 million. The unit was supported by a favorable life experience. Operating revenues totaled $1.6 billion in the quarter under review, which improved 2.2% year over year. The metric was driven by a 2% rise in insurance premiums. Sales of $150 million fell 4.5% year over year.

The Retirement Plan Services segment recorded an operating income of $43 million, which rose 26.5% year over year and beat the consensus mark of $42.3 million. The metric benefited from the expansion of spreads and favorable equity markets. Operating revenues increased 5.8% year over year to $346 million. Total deposits were $4.1 billion, which advanced 0.7% year over year.

Other Operations incurred an operating loss of $111 million, wider than the year-ago quarter’s loss of $95 million and the Zacks Consensus Estimate of $94.5 million.

Lincoln National’s Financial Update (As of March 31, 2026)Lincoln National exited the first quarter with cash and invested cash of $7.3 billion, which declined from the 2025-end level of $9.5 billion. Total assets of $406.2 billion fell from the figure at the 2025-end of $417.2 billion.

Long-term debt amounted to $6 billion, up from the figure of $5.9 billion as of Dec. 31, 2025.

Total stockholders’ equity of $10.2 billion declined from the 2025-end level of $10.9 billion.

Book value per share, excluding accumulated other comprehensive income, was $71.06, which fell from the 2025-end level of $73.10. Adjusted income from operations ROE deteriorated 20 basis points year over year to 8.8%.

LNC’s Dividend UpdateLincoln National paid out quarterly dividends of $86 million.

LNC’s 2026 OutlookIn 2026, the Annuities, Life Insurance, Group Protection and Retirement Plan Services units were projected to account for 58-60%, 8-9%, 24-25% and 8-9%, respectively, of the company’s total operating income earnings.

Management had earlier projected an RBC ratio of more than 420% for 2026 and over the long term.

LNC’s Zacks RankLNC currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

How Did Peers Perform?Several companies in the insurance space, including RenaissanceRe Holdings Ltd. (RNR - Free Report) , AMERISAFE, Inc. (AMSF - Free Report) and The Hartford Insurance Group, Inc. (HIG - Free Report) , have already reported their financial results for the March quarter of 2026. Here’s how they had performed:

RenaissanceRe reported first-quarter 2026 operating income of $13.75 per share, which surpassed the Zacks Consensus Estimate by 24.2%. The bottom line improved from the year-ago quarter’s operating loss of $1.49. Total operating revenues declined 16.6% year over year to $2.6 billion. The top line missed the consensus mark by 10.6%. RNR’s quarterly earnings were aided by a decline in expenses and strong underwriting performance in both segments. Improved combined ratio and fee income contributed to the upside. However, the upside was partly offset by lower net premiums earned across both segments.

AMERISAFE reported first-quarter 2026 adjusted earnings per share of 50 cents, which missed the Zacks Consensus Estimate of 52 cents. The bottom line declined 16.7% year over year. Operating revenues increased 7.9% year over year to $81.75 million but missed the consensus estimate by 0.9%. AMSF’s quarterly result was affected by higher expenses and weaker underwriting margins, with additional pressure from lower fee income and weaker investment income. Stronger premium growth partially offsets the downside.

Hartford posted first-quarter fiscal 2026 core earnings per share of $3.09, up 40.5% from $2.20 in the prior-year quarter. The figure missed the Zacks Consensus Estimate of $3.29 by 6.1%. Operating revenues totaled $5.09 billion, up 7% year over year, but missed the consensus mark by 2.1%. HIG’s weaker-than-expected results were caused by less favorable prior-year reserve development, higher expenses and pressure in Employee Benefits. The negatives were partially offset by high demand for expensive risk events, stronger investment income and a massive turnaround in Personal Insurance.

Lincoln National remains a 'Buy,' with shares offering 30% upside and a 5.2% secure dividend yield. LNC's capital position is strong, with a risk-based capital ratio above 420% and leverage at its 25% target. Private credit fears are overstated for LNC, as 75% of its exposure is investment grade and direct lending is just 1.5% of the portfolio.

Few investors deserve to be called legends. But Bill Miller is one of them.

Miller famously beat the S&P 500 (^GSPC +0.49%) for 15 consecutive years, from 1991 to 2005. His specialty is identifying deep value opportunities overlooked or spurned by most investors. The billionaire founded Miller Value Partners in 1999 and served as its chairman and chief investment officer until 2023. His son, Bill Miller IV, now runs the fund, although the legendary investor still owns a stake.

Miller Value Partners continues to use the same approach that made Miller so successful through the years. While the fund unsurprisingly is loaded with value stocks, it also owns several dividend stocks. Here are the three top ultra-high-yield dividend stocks in the fund's portfolio.

Image source: Getty Images.

1. Lincoln National Lincoln National (LNC +1.94%) provides financial products, including annuities, insurance, retirement, and wealth protection, to around 17 million customers. The company's roots date back to 1905. It was named after President Abraham Lincoln.

This financial stock ranks as the second-largest holding in Miller Value Partners' portfolio, comprising nearly 8% of total assets. However, the fund trimmed its position somewhat in the fourth quarter of 2025, selling around 3%.

Today's Change

(

1.94

%) $

0.71

Current Price

$

37.31

Lincoln National's share price has plunged more than 20% year to date after soaring 40% in 2025. The sharp pullback has caused the stock's valuation to become attractive to value investors, with shares trading at only four times forward earnings.

Income investors could also find Lincoln National appealing. The company's forward dividend yield is 5.3%. Although Lincoln National hasn't increased its dividend in recent years, the dividend appears relatively safe, with a payout ratio below 20%.

2. Gray Media Gray Media (GTN 3.19%) is the largest owner of local TV stations in the U.S. It operates in 118 markets, reaching around 37% of the country's households. The company also owns the largest Telemundo Affiliate group as well as other media businesses, including digital media agency Gray Digital Media and Raycom Sports.

The communication stock is Miller Value Partners' third-largest holding. Unlike Lincoln National, Gray Media is a growing position within the fund's portfolio. Miller Value Partners increased its stake in Gray Media by 12% in the fourth quarter of 2025.

Today's Change

(

-3.19

%) $

-0.13

Current Price

$

3.93

Gray Media has taken investors on a roller coaster ride so far in 2026. However, it's been a decidedly downhill ride in recent years, with the stock sinking more than 80% below its late 2021 peak. This sell-off has pushed Gray Media's forward earnings multiple down to below 2x -- a super-low level.

Meanwhile, the company has continued to pay steady dividends. Its payout ratio of 74% isn't as reassuring as Lincoln National's. But Gray Media's 7.7% dividend yield is especially juicy.

3. Quad/Graphics Quad/Graphics (QUAD +1.07%) focuses on marketing experience, or MX. Its MX Solutions Suite helps customers create marketing content and analyze marketing campaigns. Quad serves around 2,100 clients, including Amazon (AMZN 1.50%), Citigroup (C +1.75%), and Kroger (KR +0.69%).

This stock is the fifth-largest holding in Miller Value Partners' portfolio. The fund increased its position by around 4.4% in the fourth quarter of 2025.

Today's Change

(

1.07

%) $

0.08

Current Price

$

7.58

Unlike Lincoln National and Gray Media, Quad has delivered solid returns so far in 2026. The stock has more than doubled over the last three years. Even with the impressive gains, it remains attractively valued, with shares trading at 6.2 times forward earnings.

Quad/Graphics offers a forward dividend yield of 5.5%. After slashing its dividend between 2019 and 2024, the company has begun to increase its payout over the last couple of years.

Another common denominator We've already seen two common denominators shared by Lincoln National, Gray Media, and Quad/Graphics. First, they're all high-yield dividend stocks. Second, they're all value stocks. However, these three stocks also have another thing in common: None of them are large-cap stocks.

Lincoln National is the biggest of the trio, with a market cap of $6.5 billion. Gray Media and Quad, though, are small-cap stocks, with market caps below $500 million. That shouldn't be surprising. Miller has long held that the best mispriced opportunities are typically smaller stocks that don't receive as much analyst attention.

To be sure, these stocks won't appeal to every investor. Some could view them as value traps. However, ultra-high yields and ultra-low expectations can sometimes create great opportunities for aggressive investors. Just ask Bill Miller.

-

RADNOR, Pa.--(BUSINESS WIRE)--Lincoln Financial (NYSE:LNC) announced today that the board of directors of Lincoln National Corporation declared a quarterly cash dividend of $0.45 per share on the corporation’s common stock. The dividend on the common stock will be payable August 3, 2026, to shareholders of record at the close of business on July 10, 2026.

About Lincoln Financial
Lincoln Financial helps people confidently plan for their vision of a successful financial future. As of December 31, 2025, approximately 17 million customers trust our guidance and solutions across four core businesses – annuities, life insurance, group protection, and retirement plan services. As of March 31, 2026, the company has $340 billion in end-of-period account balances, net of reinsurance. Headquartered in Radnor, Pa., Lincoln Financial is the marketing name for Lincoln National Corporation (NYSE: LNC) and its affiliates. Learn more at LincolnFinancial.com.

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Lincoln Financial (NYSE: LNC) today announced the promotion of three senior leaders to its Senior Management Committee (SMC): Darrel Tedrow as Executive Vice P