Is lnc undervalue ?

**Lincoln National (LNC) appears to be undervalued based on certain valuation metrics and recent news of institutional investments.** Here's an analysis to support this conclusion:

1. **Attractive Valuation Ratios**:
- LNC's P/E ratio is 1.62, which is relatively low compared to the industry average. This suggests that the company's stock may be undervalued in terms of its earnings potential.
- The P/S ratio of 0.28 indicates that the company's stock is trading at a low multiple of its sales, which could be a sign of undervaluation.

|code|Ticker|Name|Date|P/E(TTM)|P/S|Price to Book Ratio|market_code|
|---|---|---|---|---|---|---|---|
|LNC|LNC.N|Lincoln National|20240417|3.381446||0.7728040318181818|169|
|LNC|LNC.N|Lincoln National|20240418|3.429303||0.7837412955832064|169|
|LNC|LNC.N|Lincoln National|20240419|3.482197||0.7958298502708651|169|
|LNC|LNC.N|Lincoln National|20240422|3.55902||0.8133870368410361|169|
|LNC|LNC.N|Lincoln National|20240423|3.618211||0.8269147051819875|169|
|LNC|LNC.N|Lincoln National|20240424|3.608136||0.8246121233367192|169|
|LNC|LNC.N|Lincoln National|20240425|3.521238||0.8047523549212799|169|
|LNC|LNC.N|Lincoln National|20240426|3.502347||0.8004350139614016|169|
|LNC|LNC.N|Lincoln National|20240429|3.527741||0.8061914685745725|169|
|LNC|LNC.N|Lincoln National|20240430|3.434541||0.7848925865058405|169|

2. **Institutional Investments and Confidence**:
- Several institutional investors have recently increased their holdings in LNC. For example, Mackenzie Financial Corp acquired 49,780 shares valued at approximately $1,548,000 during the second quarter.
- Raymond James Financial Services Advisors Inc. experienced a significant increase in its holdings, growing by 55.1% during the first quarter and now owning 94,773 shares valued at approximately $2,130,000.
- Macquarie Group Ltd. substantially increased its holdings, owning 200,412 shares after acquiring an additional 159,422 shares, representing a 388.9% increase in holdings.
- These institutional investments can be seen as a vote of confidence in the company's long-term potential, which may indicate that the stock is undervalued.
3. **Analyst Ratings and Price Targets**:
- JPMorgan Chase & Co. increased its price target on LNC from $28.00 to $34.00, maintaining an "underweight" rating. This increase in the price target could suggest that the stock is undervalued, as the analyst sees potential for growth.
- Piper Sandler dropped its price target on LNC, which could indicate a belief that the stock is undervalued and may be a buying opportunity.
4. **Dividend and Financial Health**:
- LNC has a dividend yield of approximately 2.7%, which is a reasonable return for investors seeking income.
- The company's payout ratio is 24.62%, which is relatively low and suggests that there is room for dividend growth without overextending the company's finances.
5. **Challenges and Restructuring**:
- LNC has reduced its board size, which is part of an internal restructuring of governance. This kind of strategic move can sometimes lead to more efficient operations and a stronger financial performance in the long run.
- The company has also decreased revenue over the past twelve months, which is a challenge but does not necessarily preclude the possibility of undervaluation if the market is overly pessimistic about the company's future prospects.

In conclusion, while LNC has faced challenges, the company's attractive valuation ratios, the confidence of institutional investors, and the potential for dividend growth suggest that the stock may be undervalued. Investors should consider these factors along with their investment goals and risk tolerance when evaluating LNC stock.