CNO

CNO Financial GroupNYSE:CNO Stock Report

Market Cap

US$3.0b

7D

0.2%

1Y

34.1%

Updated

18 Sep, 2021

Data

Company Financials +
CNO fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance4/6
Financial Health3/6
Dividends3/6

CNO Overview

CNO Financial Group, Inc., through its subsidiaries, develops, markets, and administers health insurance, annuity, individual life insurance, and other insurance products for senior and middle-income markets in the United States.

Share Price & News

How has CNO Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CNO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: CNO's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

CNO

-0.7%

US Insurance

-0.6%

US Market


1 Year Return

34.1%

CNO

35.9%

US Insurance

33.8%

US Market

Return vs Industry: CNO underperformed the US Insurance industry which returned 36.2% over the past year.

Return vs Market: CNO matched the US Market which returned 33.6% over the past year.


Shareholder returns

CNOIndustryMarket
7 Day0.2%-0.7%-0.6%
30 Day-0.5%0.4%1.6%
90 Day3.3%6.4%4.6%
1 Year36.9%34.1%39.2%35.9%35.8%33.8%
3 Year14.8%6.6%34.2%24.1%60.0%50.1%
5 Year69.2%51.8%79.0%56.6%123.0%98.7%

Long-Term Price Volatility Vs. Market

How volatile is CNO Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

CNO Financial Group Fundamentals Summary

How do CNO Financial Group's earnings and revenue compare to its market cap?
CNO fundamental statistics
Market CapUS$2.98b
Earnings (TTM)US$466.40m
Revenue (TTM)US$4.17b

6.4x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CNO income statement (TTM)
RevenueUS$4.17b
Cost of RevenueUS$2.24b
Gross ProfitUS$1.93b
ExpensesUS$1.46b
EarningsUS$466.40m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.43
Gross Margin46.19%
Net Profit Margin11.19%
Debt/Equity Ratio73.8%

How did CNO perform over the long term?

See historical performance and comparison

Dividends

2.2%

Current Dividend Yield

14%

Payout Ratio

Valuation

Is CNO Financial Group undervalued compared to its fair value and its price relative to the market?

28.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CNO ($23.34) is trading below our estimate of fair value ($32.47)

Significantly Below Fair Value: CNO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CNO is good value based on its PE Ratio (6.4x) compared to the US Insurance industry average (9.5x).

PE vs Market: CNO is good value based on its PE Ratio (6.4x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: CNO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CNO is good value based on its PB Ratio (0.6x) compared to the US Insurance industry average (1.1x).


Future Growth

How is CNO Financial Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-32.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CNO's earnings are forecast to decline over the next 3 years (-32.7% per year).

Earnings vs Market: CNO's earnings are forecast to decline over the next 3 years (-32.7% per year).

High Growth Earnings: CNO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CNO's revenue is expected to decline over the next 3 years (-2.9% per year).

High Growth Revenue: CNO's revenue is forecast to decline over the next 3 years (-2.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CNO's Return on Equity is forecast to be low in 3 years time (6.8%).


Past Performance

How has CNO Financial Group performed over the past 5 years?

4.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CNO has high quality earnings.

Growing Profit Margin: CNO's current net profit margins (11.2%) are higher than last year (10.2%).


Past Earnings Growth Analysis

Earnings Trend: CNO's earnings have grown by 4.2% per year over the past 5 years.

Accelerating Growth: CNO's earnings growth over the past year (22.5%) exceeds its 5-year average (4.2% per year).

Earnings vs Industry: CNO earnings growth over the past year (22.5%) underperformed the Insurance industry 76%.


Return on Equity

High ROE: CNO's Return on Equity (8.8%) is considered low.


Financial Health

How is CNO Financial Group's financial position?


Financial Position Analysis

Short Term Liabilities: CNO's short term assets ($6.0B) exceed its short term liabilities ($2.5B).

Long Term Liabilities: CNO's short term assets ($6.0B) do not cover its long term liabilities ($27.7B).


Debt to Equity History and Analysis

Debt Level: CNO's debt to equity ratio (73.8%) is considered high.

Reducing Debt: CNO's debt to equity ratio has reduced from 93.7% to 73.8% over the past 5 years.

Debt Coverage: CNO's debt is not well covered by operating cash flow (16.5%).

Interest Coverage: CNO's interest payments on its debt are well covered by EBIT (7.3x coverage).


Balance Sheet


Dividend

What is CNO Financial Group current dividend yield, its reliability and sustainability?

2.23%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CNO's dividend (2.23%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: CNO's dividend (2.23%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CNO has been paying a dividend for less than 10 years.

Growing Dividend: CNO's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (14.3%), CNO's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CNO's dividends in 3 years are forecast to be well covered by earnings (25% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.9yrs

Average management tenure


CEO

Gary Bhojwani (53 yo)

3.67yrs

Tenure

US$8,260,886

Compensation

Mr. Gary Chandru Bhojwani has been Chief Executive officer at CNO Financial Group since January 1, 2018. He was the President of CNO Financial Group, Inc. from April 18, 2016 to December 2017. Mr. Bhojwani...


CEO Compensation Analysis

Compensation vs Market: Gary's total compensation ($USD8.26M) is above average for companies of similar size in the US market ($USD5.28M).

Compensation vs Earnings: Gary's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CNO's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: CNO's board of directors are considered experienced (4.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CNO insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CNO Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CNO Financial Group, Inc.
  • Ticker: CNO
  • Exchange: NYSE
  • Founded: 1979
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$2.983b
  • Shares outstanding: 127.79m
  • Website: https://www.cnoinc.com

Number of Employees


Location

  • CNO Financial Group, Inc.
  • 11825 North Pennsylvania Street
  • Carmel
  • Indiana
  • 46032
  • United States

Listings


Biography

CNO Financial Group, Inc., through its subsidiaries, develops, markets, and administers health insurance, annuity, individual life insurance, and other insurance products for senior and middle-income marke...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 00:46
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.