Cincinnati Financial Corporation, together with its subsidiary, provides property casualty insurance products in the United States.
Solid track record established dividend payer.
Share Price & News
How has Cincinnati Financial's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 0HYE has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 0HYE exceeded the UK Insurance industry which returned 1.8% over the past year.
Return vs Market: 0HYE exceeded the UK Market which returned 6.1% over the past year.
Price Volatility Vs. Market
How volatile is Cincinnati Financial's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Cincinnati Financial undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 0HYE ($106.8) is trading above our estimate of fair value ($81.6)
Significantly Below Fair Value: 0HYE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 0HYE is good value based on its PE Ratio (9.4x) compared to the Insurance industry average (14.5x).
PE vs Market: 0HYE is good value based on its PE Ratio (9.4x) compared to the UK market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: 0HYE's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: 0HYE is overvalued based on its PB Ratio (1.9x) compared to the GB Insurance industry average (1.8x).
How is Cincinnati Financial forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 0HYE's earnings are forecast to decline over the next 3 years (-53.8% per year).
Earnings vs Market: 0HYE's earnings are forecast to decline over the next 3 years (-53.8% per year).
High Growth Earnings: 0HYE's earnings are forecast to decline over the next 3 years.
Revenue vs Market: 0HYE's revenue is expected to decline over the next 3 years (-6.6% per year).
High Growth Revenue: 0HYE's revenue is forecast to decline over the next 3 years (-6.6% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 0HYE's Return on Equity is forecast to be low in 3 years time (6.5%).
How has Cincinnati Financial performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 0HYE has a high level of non-cash earnings.
Growing Profit Margin: 0HYE's current net profit margins (25.2%) are higher than last year (5.3%).
Past Earnings Growth Analysis
Earnings Trend: 0HYE's earnings have grown by 18.7% per year over the past 5 years.
Accelerating Growth: 0HYE's earnings growth over the past year (595.8%) exceeds its 5-year average (18.7% per year).
Earnings vs Industry: 0HYE earnings growth over the past year (595.8%) exceeded the Insurance industry 23.4%.
Return on Equity
High ROE: 0HYE's Return on Equity (20.2%) is considered high.
Return on Assets
Return on Capital Employed
How is Cincinnati Financial's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: 0HYE has a low level of unsold assets or inventory.
Debt Coverage by Assets: 0HYE's debt is covered by short term assets (assets are 4.1x debt).
Financial Institutions Analysis
Asset Level: 0HYE's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if 0HYE has a sufficient allowance for bad loans.
Low Risk Liabilities: 0HYE reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if 0HYE has an acceptable proportion of non-loan assets held.
Low Risk Deposits: 0HYE has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if 0HYE has an appropriate level of bad loans.
What is Cincinnati Financial's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: 0HYE's dividend (2.08%) is higher than the bottom 25% of dividend payers in the UK market (1.83%).
High Dividend: 0HYE's dividend (2.08%) is low compared to the top 25% of dividend payers in the UK market (5.1%).
Stability and Growth of Payments
Stable Dividend: 0HYE's dividends per share have been stable in the past 10 years.
Growing Dividend: 0HYE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (18.3%), 0HYE's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 0HYE's dividends in 3 years are forecast to be covered by earnings (69.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Steve Johnston (59yo)
Mr. Steven Justus Johnston, also known as Steve, FCAS, MAAA, CFA, CERA, has been the President of The Cincinnati Life Insurance Company at Cincinnati Financial Corp. since January 01, 2015. Mr. Johnston ha ...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD3.44M) is about average for companies of similar size in the UK market ($USD4.70M).
Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.
|CFO, Senior VP & Treasurer||8.8yrs||US$2.16m||0.042% $7.9m|
|Chief Investment Officer||11.1yrs||US$1.80m||0.038% $7.1m|
|Chief Claims Officer & Senior VP of The Cincinnati Insurance Company||12.1yrs||US$1.59m||0.042% $7.9m|
|VP & Investor Relations Officer||11.1yrs||no data||no data|
|Senior VP||8.8yrs||no data||0.021% $3.9m|
|Vice President of Corporate Communications||0yrs||no data||no data|
|Senior Vice President of Sales & Marketing||0yrs||no data||no data|
|Human Resources Director||0yrs||no data||no data|
|MD & Head of Specialty Casualty Reinsurance||3.5yrs||no data||no data|
Experienced Management: 0HYE's management team is seasoned and experienced (8.8 years average tenure).
|Independent Director||18.1yrs||US$187.29k||0.018% $3.4m|
|Non-Executive Chairman of the Board||8.8yrs||US$270.97k||0.093% $17.4m|
|Lead Independent Director||0yrs||US$278.86k||0.14% $25.8m|
|Independent Director||31.8yrs||US$167.87k||0.023% $4.4m|
|Independent Director||19.1yrs||US$231.24k||0.033% $6.2m|
|Independent Director||15.8yrs||US$176.10k||0.024% $4.5m|
|Independent Director||7.3yrs||US$174.13k||0.020% $3.8m|
Experienced Board: 0HYE's board of directors are seasoned and experienced ( 18.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 0HYE insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Cincinnati Financial Corporation's company bio, employee growth, exchange listings and data sources
- Name: Cincinnati Financial Corporation
- Ticker: 0HYE
- Exchange: LSE
- Founded: 1950
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$18.768b
- Shares outstanding: 162.90m
- Website: https://www.cinfin.com
Number of Employees
- Cincinnati Financial Corporation
- 6200 South Gilmore Road
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CINF||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||Dec 1972|
|CCJ||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Dec 1972|
|0HYE||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Dec 1972|
|CINF34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH REP 0.5 COM USD2.00||BR||BRL||May 2019|
Cincinnati Financial Corporation, together with its subsidiary, provides property casualty insurance products in the United States. The company operates in five segments: Commercial Lines Insurance, Personal Lines Insurance, Excess and Surplus Lines Insurance, Life Insurance, and Investments. The Commercial Lines Insurance segment provides coverage for commercial casualty, commercial property, commercial auto, and workers’ compensation. It also offers director and officer liability insurance, contract and commercial surety bonds, and fidelity bonds; coverage for property, liability, and business interruption; and machinery and equipment coverage. The Personal Lines Insurance segment provides personal auto insurance; homeowners insurance; and dwelling fire, inland marine, personal umbrella liability, and watercraft coverages to individuals. The Excess and Surplus Lines Insurance segment offers commercial casualty insurance that covers businesses for third-party liability from accidents occurring on their premises or arising out of their operations, such as injuries sustained from products; and commercial property insurance, which insures buildings, inventory, equipment, and business income from loss or damage due to various causes, such as fire, wind, hail, water, theft, and vandalism. The Life Insurance segment provides term life insurance products; universal life insurance products; worksite products, such as term life, whole life, and disability insurance; and whole life insurance products, as well as markets deferred annuities and immediate annuities. The Investments segment invests in fixed-maturity investments, including taxable and tax-exempt bonds, and redeemable preferred stocks; and equity investments comprising common and nonredeemable preferred stocks. The company also offers commercial leasing and financing services; and insurance brokerage services. Cincinnati Financial Corporation was founded in 1950 and is headquartered in Fairfield, Ohio.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/17 22:47|
|End of Day Share Price||2020/02/07 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.