CNA FINANCIAL CORP (CNA) Stock Fundamental Analysis
USA - NYSE:CNA - US1261171003 - Common Stock
45.23 USD
+1.03 (+2.33%)
45.23 USD
0 (0%)
Overall CNA gets a fundamental rating of 3 out of 10. We evaluated CNA against 146 industry peers in the Insurance industry. CNA has a bad profitability rating. Also its financial health evaluation is rather negative. CNA has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CNA was profitable.
CNA had a positive operating cash flow in the past year.
In the past 5 years CNA has always been profitable.
CNA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CNA has a Return On Assets (1.27%) which is comparable to the rest of the industry.
The Return On Equity of CNA (8.23%) is worse than 60.27% of its industry peers.
With a Return On Invested Capital value of 1.43%, CNA perfoms like the industry average, outperforming 42.47% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CNA is below the industry average of 4.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.27% | ||
| ROE | 8.23% | ||
| ROIC | 1.43% |
ROA(3y)1.47%
ROA(5y)1.46%
ROE(3y)9.76%
ROE(5y)8.79%
ROIC(3y)1.62%
ROIC(5y)1.58%
1.3 Margins
CNA has a worse Profit Margin (5.99%) than 60.27% of its industry peers.
CNA's Profit Margin has declined in the last couple of years.
CNA has a Operating Margin of 8.45%. This is in the lower half of the industry: CNA underperforms 64.38% of its industry peers.
CNA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.45% | ||
| PM (TTM) | 5.99% | ||
| GM | N/A |
OM growth 3Y-10.7%
OM growth 5Y-6.14%
PM growth 3Y-12.24%
PM growth 5Y-6.19%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CNA is destroying value.
CNA has about the same amout of shares outstanding than it did 1 year ago.
CNA has about the same amout of shares outstanding than it did 5 years ago.
CNA has a better debt/assets ratio than last year.
2.2 Solvency
CNA has a debt to FCF ratio of 1.17. This is a very positive value and a sign of high solvency as it would only need 1.17 years to pay back of all of its debts.
CNA has a Debt to FCF ratio of 1.17. This is in the better half of the industry: CNA outperforms 64.38% of its industry peers.
CNA has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
CNA has a Debt to Equity ratio of 0.23. This is in the better half of the industry: CNA outperforms 66.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.17 | ||
| Altman-Z | N/A |
ROIC/WACC0.19
WACC7.66%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.24% over the past year.
Measured over the past 5 years, CNA shows a small growth in Earnings Per Share. The EPS has been growing by 6.07% on average per year.
Looking at the last year, CNA shows a small growth in Revenue. The Revenue has grown by 7.30% in the last year.
The Revenue has been growing slightly by 5.71% on average over the past years.
EPS 1Y (TTM)2.24%
EPS 3Y5.97%
EPS 5Y6.07%
EPS Q2Q%38.89%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y6.22%
Revenue growth 5Y5.71%
Sales Q2Q%32.32%
3.2 Future
The Earnings Per Share is expected to grow by 4.84% on average over the next years.
The Revenue is expected to decrease by -52.08% on average over the next years. This is quite bad
EPS Next Y-0.47%
EPS Next 2Y0.29%
EPS Next 3Y4.84%
EPS Next 5YN/A
Revenue Next Year-81.08%
Revenue Next 2Y-52.08%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.03, the valuation of CNA can be described as very reasonable.
65.07% of the companies in the same industry are more expensive than CNA, based on the Price/Earnings ratio.
CNA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.06.
The Price/Forward Earnings ratio is 9.33, which indicates a very decent valuation of CNA.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CNA indicates a somewhat cheap valuation: CNA is cheaper than 61.64% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CNA to the average of the S&P500 Index (32.73), we can say CNA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.03 | ||
| Fwd PE | 9.33 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CNA.
Based on the Price/Free Cash Flow ratio, CNA is valued a bit cheaper than 73.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.8 | ||
| EV/EBITDA | 11.37 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.49
EPS Next 2Y0.29%
EPS Next 3Y4.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.16%, CNA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.38, CNA pays a better dividend. On top of this CNA pays more dividend than 82.88% of the companies listed in the same industry.
CNA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
5.2 History
The dividend of CNA has a limited annual growth rate of 2.00%.
CNA has paid a dividend for at least 10 years, which is a reliable track record.
CNA has decreased its dividend recently.
Dividend Growth(5Y)2%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
CNA pays out 118.24% of its income as dividend. This is not a sustainable payout ratio.
CNA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP118.24%
EPS Next 2Y0.29%
EPS Next 3Y4.84%
45.23
+1.03 (+2.33%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners7.83%
Inst Owner Change-0.64%
Ins Owners0.43%
Ins Owner Change-0.03%
Market Cap12.24B
Revenue(TTM)14.27B
Net Income(TTM)877.00M
Analysts46.67
Price Target36.47 (-19.37%)
Short Float %0.67%
Short Ratio4.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
Yearly Dividend3.78
Dividend Growth(5Y)2%
DP118.24%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.83%
Min EPS beat(2)-10.54%
Max EPS beat(2)26.2%
EPS beat(4)2
Avg EPS beat(4)3.98%
Min EPS beat(4)-10.54%
Max EPS beat(4)26.2%
EPS beat(8)4
Avg EPS beat(8)4.02%
EPS beat(12)6
Avg EPS beat(12)4.82%
EPS beat(16)7
Avg EPS beat(16)4.73%
Revenue beat(2)0
Avg Revenue beat(2)-12.01%
Min Revenue beat(2)-12.81%
Max Revenue beat(2)-11.21%
Revenue beat(4)1
Avg Revenue beat(4)-5.69%
Min Revenue beat(4)-12.81%
Max Revenue beat(4)1.29%
Revenue beat(8)2
Avg Revenue beat(8)-8.62%
Revenue beat(12)4
Avg Revenue beat(12)-5.13%
Revenue beat(16)7
Avg Revenue beat(16)1.83%
PT rev (1m)0%
PT rev (3m)-17.34%
EPS NQ rev (1m)9.09%
EPS NQ rev (3m)10.92%
EPS NY rev (1m)3.26%
EPS NY rev (3m)24.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-10.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.03 | ||
| Fwd PE | 9.33 | ||
| P/S | 0.84 | ||
| P/FCF | 4.8 | ||
| P/OCF | 4.62 | ||
| P/B | 1.15 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 11.37 |
EPS(TTM)5.01
EY11.08%
EPS(NY)4.85
Fwd EY10.72%
FCF(TTM)9.43
FCFY20.85%
OCF(TTM)9.79
OCFY21.65%
SpS54.13
BVpS39.39
TBVpS38.84
PEG (NY)N/A
PEG (5Y)1.49
Graham Number66.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.27% | ||
| ROE | 8.23% | ||
| ROCE | 1.81% | ||
| ROIC | 1.43% | ||
| ROICexc | 1.44% | ||
| ROICexgc | 1.79% | ||
| OM | 8.45% | ||
| PM (TTM) | 5.99% | ||
| GM | N/A | ||
| FCFM | 17.43% |
ROA(3y)1.47%
ROA(5y)1.46%
ROE(3y)9.76%
ROE(5y)8.79%
ROIC(3y)1.62%
ROIC(5y)1.58%
ROICexc(3y)1.63%
ROICexc(5y)1.59%
ROICexgc(3y)2.02%
ROICexgc(5y)1.95%
ROCE(3y)2.04%
ROCE(5y)2%
ROICexgc growth 3Y-4.48%
ROICexgc growth 5Y-1.5%
ROICexc growth 3Y-5.11%
ROICexc growth 5Y-2.57%
OM growth 3Y-10.7%
OM growth 5Y-6.14%
PM growth 3Y-12.24%
PM growth 5Y-6.19%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.17 | ||
| Debt/EBITDA | 1.9 | ||
| Cap/Depr | 144.12% | ||
| Cap/Sales | 0.67% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 202.99% | ||
| Profit Quality | 291.11% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.66%
ROIC/WACC0.19
Cap/Depr(3y)122.35%
Cap/Depr(5y)90.7%
Cap/Sales(3y)0.59%
Cap/Sales(5y)0.44%
Profit Quality(3y)266.53%
Profit Quality(5y)243.99%
High Growth Momentum
Growth
EPS 1Y (TTM)2.24%
EPS 3Y5.97%
EPS 5Y6.07%
EPS Q2Q%38.89%
EPS Next Y-0.47%
EPS Next 2Y0.29%
EPS Next 3Y4.84%
EPS Next 5YN/A
Revenue 1Y (TTM)7.3%
Revenue growth 3Y6.22%
Revenue growth 5Y5.71%
Sales Q2Q%32.32%
Revenue Next Year-81.08%
Revenue Next 2Y-52.08%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-29.34%
EBIT growth 3Y-5.15%
EBIT growth 5Y-0.78%
EBIT Next Year-80.57%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.65%
FCF growth 3Y7.9%
FCF growth 5Y17.32%
OCF growth 1Y21.27%
OCF growth 3Y8.79%
OCF growth 5Y17.66%
CNA FINANCIAL CORP / CNA FAQ
What is the ChartMill fundamental rating of CNA FINANCIAL CORP (CNA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to CNA.
What is the valuation status for CNA stock?
ChartMill assigns a valuation rating of 5 / 10 to CNA FINANCIAL CORP (CNA). This can be considered as Fairly Valued.
What is the profitability of CNA stock?
CNA FINANCIAL CORP (CNA) has a profitability rating of 3 / 10.
What is the financial health of CNA FINANCIAL CORP (CNA) stock?
The financial health rating of CNA FINANCIAL CORP (CNA) is 3 / 10.
Is the dividend of CNA FINANCIAL CORP sustainable?
The dividend rating of CNA FINANCIAL CORP (CNA) is 6 / 10 and the dividend payout ratio is 118.24%.