Lincoln National price target raised to $38 from $34 at Jefferies

Jefferies analyst Suneet Kamath raised the firm’s price target on Lincoln National to $38 from $34 and keeps a Buy rating on the shares. Despite the 10-year yield being above 4% for 11 months and above 2% for two years, the life insurance sector’s price-to-earnings multiple is 10% below the 12-year average and 27% below the 2003-2006 average when the 10-year yield was last 4%, the analyst tells investors in a research note. The firm believes this suggests the market is looking at life through the rearview mirror and not fully reflecting the most favorable environment for the space in a decade. Jefferies updated price targets to reflect 2025 earnings and higher multiple targets, mostly for annuity players.