CNO FINANCIAL GROUP INC (CNO) Stock Fundamental Analysis
NYSE:CNO - US12621E1038 - Common Stock
39.61 USD
+0.36 (+0.92%)
39.61 USD
0 (0%)
CNO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 143 industry peers in the Insurance industry. There are concerns on the financial health of CNO while its profitability can be described as average. CNO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CNO had positive earnings in the past year.
In the past year CNO had a positive cash flow from operations.
Each year in the past 5 years CNO has been profitable.
In the past 5 years CNO always reported a positive cash flow from operatings.
1.2 Ratios
CNO's Return On Assets of 0.75% is on the low side compared to the rest of the industry. CNO is outperformed by 60.84% of its industry peers.
CNO's Return On Equity of 11.13% is in line compared to the rest of the industry. CNO outperforms 56.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 11.13% | ||
| ROIC | N/A |
ROA(3y)1.25%
ROA(5y)1.24%
ROE(3y)21.43%
ROE(5y)16.13%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 6.32%, CNO is in line with its industry, outperforming 46.85% of the companies in the same industry.
CNO's Profit Margin has declined in the last couple of years.
CNO has a better Operating Margin (14.15%) than 67.13% of its industry peers.
In the last couple of years the Operating Margin of CNO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.15% | ||
| PM (TTM) | 6.32% | ||
| GM | N/A |
OM growth 3Y-3.08%
OM growth 5Y9.46%
PM growth 3Y-13.73%
PM growth 5Y-2.56%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CNO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CNO has been reduced compared to 5 years ago.
Compared to 1 year ago, CNO has a worse debt to assets ratio.
2.2 Solvency
CNO has a debt to FCF ratio of 5.86. This is a neutral value as CNO would need 5.86 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.86, CNO is doing worse than 62.94% of the companies in the same industry.
CNO has a Debt/Equity ratio of 1.64. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.64, CNO is doing worse than 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | 5.86 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
CNO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.40%, which is quite good.
CNO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.49% yearly.
CNO shows a small growth in Revenue. In the last year, the Revenue has grown by 0.84%.
Measured over the past years, CNO shows a small growth in Revenue. The Revenue has been growing by 2.35% on average per year.
EPS 1Y (TTM)12.4%
EPS 3Y12.53%
EPS 5Y16.49%
EPS Q2Q%-17.14%
Revenue 1Y (TTM)0.84%
Revenue growth 3Y3.34%
Revenue growth 5Y2.35%
Sales Q2Q%5.4%
3.2 Future
CNO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.37% yearly.
Based on estimates for the next years, CNO will show a small growth in Revenue. The Revenue will grow by 3.73% on average per year.
EPS Next Y-4.61%
EPS Next 2Y3.92%
EPS Next 3Y5.89%
EPS Next 5Y7.37%
Revenue Next Year3.45%
Revenue Next 2Y3.33%
Revenue Next 3Y3.26%
Revenue Next 5Y3.73%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.71, which indicates a very decent valuation of CNO.
Based on the Price/Earnings ratio, CNO is valued a bit cheaper than the industry average as 67.13% of the companies are valued more expensively.
CNO is valuated cheaply when we compare the Price/Earnings ratio to 27.14, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.19 indicates a reasonable valuation of CNO.
61.54% of the companies in the same industry are more expensive than CNO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CNO to the average of the S&P500 Index (22.80), we can say CNO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.71 | ||
| Fwd PE | 9.19 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CNO indicates a somewhat cheap valuation: CNO is cheaper than 71.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.45 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y3.92%
EPS Next 3Y5.89%
5. Dividend
5.1 Amount
CNO has a Yearly Dividend Yield of 1.76%. Purely for dividend investing, there may be better candidates out there.
CNO's Dividend Yield is comparable with the industry average which is at 3.52.
CNO's Dividend Yield is slightly below the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
5.2 History
On average, the dividend of CNO grows each year by 8.19%, which is quite nice.
CNO has paid a dividend for at least 10 years, which is a reliable track record.
CNO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.19%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
23.78% of the earnings are spent on dividend by CNO. This is a low number and sustainable payout ratio.
The dividend of CNO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP23.78%
EPS Next 2Y3.92%
EPS Next 3Y5.89%
39.61
+0.36 (+0.92%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners100.7%
Inst Owner Change-2.81%
Ins Owners2.29%
Ins Owner Change-6.3%
Market Cap3.84B
Analysts51.43
Price Target43.25 (9.19%)
Short Float %1.73%
Short Ratio2.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
Yearly Dividend0.64
Dividend Growth(5Y)8.19%
DP23.78%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.34%
Min EPS beat(2)-0.86%
Max EPS beat(2)1.54%
EPS beat(4)3
Avg EPS beat(4)14.05%
Min EPS beat(4)-0.86%
Max EPS beat(4)33.4%
EPS beat(8)6
Avg EPS beat(8)17.33%
EPS beat(12)7
Avg EPS beat(12)8.38%
EPS beat(16)10
Avg EPS beat(16)13.2%
Revenue beat(2)2
Avg Revenue beat(2)9.2%
Min Revenue beat(2)1.91%
Max Revenue beat(2)16.5%
Revenue beat(4)4
Avg Revenue beat(4)12.5%
Min Revenue beat(4)1.91%
Max Revenue beat(4)19.67%
Revenue beat(8)8
Avg Revenue beat(8)14.37%
Revenue beat(12)12
Avg Revenue beat(12)11.81%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.47%
PT rev (3m)-0.47%
EPS NQ rev (1m)-0.62%
EPS NQ rev (3m)-3.18%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)-0.81%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)2.13%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.71 | ||
| Fwd PE | 9.19 | ||
| P/S | 0.86 | ||
| P/FCF | 5.45 | ||
| P/OCF | 5.45 | ||
| P/B | 1.52 | ||
| P/tB | 1.52 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.08
EY10.3%
EPS(NY)4.31
Fwd EY10.88%
FCF(TTM)7.27
FCFY18.35%
OCF(TTM)7.27
OCFY18.35%
SpS45.88
BVpS26.03
TBVpS26.03
PEG (NY)N/A
PEG (5Y)0.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 11.13% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 14.15% | ||
| PM (TTM) | 6.32% | ||
| GM | N/A | ||
| FCFM | 15.84% |
ROA(3y)1.25%
ROA(5y)1.24%
ROE(3y)21.43%
ROE(5y)16.13%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)2.15%
ROCE(5y)1.99%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-3.08%
OM growth 5Y9.46%
PM growth 3Y-13.73%
PM growth 5Y-2.56%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | 5.86 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 250.77% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)148.25%
Profit Quality(5y)158.67%
High Growth Momentum
Growth
EPS 1Y (TTM)12.4%
EPS 3Y12.53%
EPS 5Y16.49%
EPS Q2Q%-17.14%
EPS Next Y-4.61%
EPS Next 2Y3.92%
EPS Next 3Y5.89%
EPS Next 5Y7.37%
Revenue 1Y (TTM)0.84%
Revenue growth 3Y3.34%
Revenue growth 5Y2.35%
Sales Q2Q%5.4%
Revenue Next Year3.45%
Revenue Next 2Y3.33%
Revenue Next 3Y3.26%
Revenue Next 5Y3.73%
EBIT growth 1Y-25.65%
EBIT growth 3Y0.16%
EBIT growth 5Y12.04%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y27.65%
FCF growth 3Y1.61%
FCF growth 5Y-2.06%
OCF growth 1Y27.65%
OCF growth 3Y1.61%
OCF growth 5Y-2.06%