CNA FINANCIAL CORP (CNA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CNA - US1261171003 - Common Stock
44.25 USD
-0.81 (-1.8%)
44.25 USD
0 (0%)
Taking everything into account, CNA scores 3 out of 10 in our fundamental rating. CNA was compared to 148 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 it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CNA was profitable.
CNA had a positive operating cash flow in the past year.
Each year in the past 5 years CNA has been profitable.
Each year in the past 5 years CNA had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CNA (1.43%) is worse than 60.14% of its industry peers.
CNA has a worse Return On Equity (8.81%) than 60.81% of its industry peers.
CNA has a Return On Invested Capital (1.60%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for CNA is below the industry average of 4.57%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.43% | ||
| ROE | 8.81% | ||
| ROIC | 1.6% |
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
Looking at the Profit Margin, with a value of 6.71%, CNA is doing worse than 61.49% of the companies in the same industry.
CNA's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.39%, CNA is doing worse than 62.16% of the companies in the same industry.
CNA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.39% | ||
| PM (TTM) | 6.71% | ||
| 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.
Compared to 5 years ago, CNA has about the same amount of shares outstanding.
CNA has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of CNA is 1.37, which is an excellent value as it means it would take CNA, only 1.37 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CNA (1.37) is better than 60.81% of its industry peers.
CNA has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
CNA's Debt to Equity ratio of 0.26 is in line compared to the rest of the industry. CNA outperforms 59.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.37 | ||
| Altman-Z | N/A |
ROIC/WACC0.21
WACC7.67%
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.
CNA shows a small growth in Revenue. In the last year, the Revenue has grown by 5.41%.
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)5.41%
Revenue growth 3Y6.22%
Revenue growth 5Y5.71%
Sales Q2Q%32.32%
3.2 Future
CNA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.84% yearly.
Based on estimates for the next years, CNA will show a very negative growth in Revenue. The Revenue will decrease by -52.08% on average per year.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.83 indicates a reasonable valuation of CNA.
CNA's Price/Earnings ratio is a bit cheaper when compared to the industry. CNA is cheaper than 64.86% of the companies in the same industry.
CNA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.46.
A Price/Forward Earnings ratio of 9.13 indicates a reasonable valuation of CNA.
61.49% of the companies in the same industry are more expensive than CNA, based on the Price/Forward Earnings ratio.
CNA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.83 | ||
| Fwd PE | 9.13 |
4.2 Price Multiples
CNA's Enterprise Value to EBITDA ratio is in line with the industry average.
CNA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CNA is cheaper than 72.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.74 | ||
| EV/EBITDA | 10.38 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.46
EPS Next 2Y0.29%
EPS Next 3Y4.84%
5. Dividend
5.1 Amount
CNA has a Yearly Dividend Yield of 4.08%, which is a nice return.
Compared to an average industry Dividend Yield of 3.32, CNA pays a better dividend. On top of this CNA pays more dividend than 81.08% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, CNA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
5.2 History
The dividend of CNA has a limited annual growth rate of 2.00%.
CNA has been paying a dividend for at least 10 years, so it has a reliable track record.
CNA has decreased its dividend recently.
Dividend Growth(5Y)2%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
104.41% of the earnings are spent on dividend by CNA. This is not a sustainable payout ratio.
The dividend of CNA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP104.41%
EPS Next 2Y0.29%
EPS Next 3Y4.84%
44.25
-0.81 (-1.8%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners100.15%
Inst Owner Change0.46%
Ins Owners0.43%
Ins Owner Change-0.03%
Market Cap11.98B
Revenue(TTM)14.85B
Net Income(TTM)997.00M
Analysts46.67
Price Target36.47 (-17.58%)
Short Float %0.85%
Short Ratio6.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
Yearly Dividend3.78
Dividend Growth(5Y)2%
DP104.41%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.36%
Min EPS beat(2)12.51%
Max EPS beat(2)26.2%
EPS beat(4)3
Avg EPS beat(4)7.2%
Min EPS beat(4)-10.54%
Max EPS beat(4)26.2%
EPS beat(8)4
Avg EPS beat(8)4.9%
EPS beat(12)6
Avg EPS beat(12)3.56%
EPS beat(16)7
Avg EPS beat(16)2.83%
Revenue beat(2)0
Avg Revenue beat(2)-11.43%
Min Revenue beat(2)-11.64%
Max Revenue beat(2)-11.21%
Revenue beat(4)1
Avg Revenue beat(4)-8.6%
Min Revenue beat(4)-12.81%
Max Revenue beat(4)1.29%
Revenue beat(8)2
Avg Revenue beat(8)-9.91%
Revenue beat(12)3
Avg Revenue beat(12)-8.66%
Revenue beat(16)6
Avg Revenue beat(16)-1.53%
PT rev (1m)0%
PT rev (3m)-17.34%
EPS NQ rev (1m)-2.56%
EPS NQ rev (3m)0.88%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.04%
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 | 8.83 | ||
| Fwd PE | 9.13 | ||
| P/S | 0.81 | ||
| P/FCF | 4.74 | ||
| P/OCF | 4.57 | ||
| P/B | 1.06 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 10.38 |
EPS(TTM)5.01
EY11.32%
EPS(NY)4.85
Fwd EY10.96%
FCF(TTM)9.34
FCFY21.1%
OCF(TTM)9.69
OCFY21.9%
SpS54.86
BVpS41.83
TBVpS41.28
PEG (NY)N/A
PEG (5Y)1.46
Graham Number68.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.43% | ||
| ROE | 8.81% | ||
| ROCE | 2.01% | ||
| ROIC | 1.6% | ||
| ROICexc | 1.61% | ||
| ROICexgc | 1.99% | ||
| OM | 9.39% | ||
| PM (TTM) | 6.71% | ||
| GM | N/A | ||
| FCFM | 17.02% |
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 | 0.26 | ||
| Debt/FCF | 1.37 | ||
| Debt/EBITDA | 2.03 | ||
| Cap/Depr | 139.13% | ||
| Cap/Sales | 0.65% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 179.29% | ||
| Profit Quality | 253.46% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.67%
ROIC/WACC0.21
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)5.41%
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-21.9%
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 1Y14.92%
FCF growth 3Y7.9%
FCF growth 5Y17.32%
OCF growth 1Y15.2%
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 2 / 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 5 / 10 and the dividend payout ratio is 104.41%.