LNCNEUTRAL

LNC Gross Margin Analysis

62.1%

Updated 2028h ago·SEC filings & market data

Key Takeaway

LNC's gross margin of 60.8% means the company retains approximately 61 cents of revenue for every dollar of sales after covering the direct costs of generating that revenue.

Sector Performance

76th percentile

LNC

62.1%

Sector Median

44.6%

Sector Avg

45.5%

Prior Period

56.4%(May 2026)

↑ Improving

📊

Deep Analysis

LNC's gross margin of 60.8% means the company retains approximately 61 cents of revenue for every dollar of sales after covering the direct costs of generating that revenue.

This performance substantially outpaces the sector median of 41.3%, placing LNC in the 74th percentile among its peers—a clear competitive advantage in cost management and pricing power. The trend shows stability, with gross margin holding flat at 60.8% across the last two quarters, indicating consistent operational execution without deterioration or improvement. This elevated and stable margin suggests LNC has sustainable unit economics and may have more flexibility to invest in growth or return capital to shareholders compared to sector competitors. However, the lack of margin expansion combined with the NEUTRAL verdict indicates investors should look to other metrics and growth prospects to determine overall investment merit.

Frequently Asked Questions

What does the Gross Margin tell investors about LNC?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

Who are LNC's closest peers by Gross Margin?

The closest peers by Gross Margin include: MSCI (82.7%), SYF (82.7%), EA (82.8%), THC (83.4%), INTU (83.9%).

📚

Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.