CNO FINANCIAL GROUP INC (CNO) Stock Fundamental Analysis
NYSE:CNO - New York Stock Exchange, Inc. - US12621E1038 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to CNO. CNO was compared to 143 industry peers in the Insurance industry. CNO has a medium profitability rating, but doesn't score so well on its financial health evaluation. CNO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CNO had positive earnings in the past year.
CNO had a positive operating cash flow in the past year.
Each year in the past 5 years CNO has been profitable.
Each year in the past 5 years CNO had a positive operating cash flow.
1.2 Ratios
CNO has a worse Return On Assets (1.07%) than 60.14% of its industry peers.
CNO has a better Return On Equity (16.17%) than 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 16.17% | ||
| 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
CNO has a Profit Margin of 8.93%. This is comparable to the rest of the industry: CNO outperforms 55.94% of its industry peers.
In the last couple of years the Profit Margin of CNO has declined.
CNO has a better Operating Margin (17.41%) than 70.63% of its industry peers.
In the last couple of years the Operating Margin of CNO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.41% | ||
| PM (TTM) | 8.93% | ||
| 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.
CNO has less shares outstanding than it did 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 7.20. This is a slightly negative value and a sign of low solvency as CNO would need 7.20 years to pay back of all of its debts.
CNO has a worse Debt to FCF ratio (7.20) than 69.93% of its industry peers.
A Debt/Equity ratio of 1.81 is on the high side and indicates that CNO has dependencies on debt financing.
The Debt to Equity ratio of CNO (1.81) is worse than 90.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.81 | ||
| Debt/FCF | 7.2 | ||
| 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
The Earnings Per Share has grown by an impressive 28.30% over the past year.
The Earnings Per Share has been growing by 16.49% on average over the past years. This is quite good.
Looking at the last year, CNO shows a small growth in Revenue. The Revenue has grown by 7.33% in the last year.
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)28.3%
EPS 3Y12.53%
EPS 5Y16.49%
EPS Q2Q%11.02%
Revenue 1Y (TTM)7.33%
Revenue growth 3Y3.34%
Revenue growth 5Y2.35%
Sales Q2Q%-6.26%
3.2 Future
The Earnings Per Share is expected to grow by 6.33% on average over the next years.
The Revenue is expected to grow by 3.79% on average over the next years.
EPS Next Y-3.52%
EPS Next 2Y3.24%
EPS Next 3Y5.65%
EPS Next 5Y6.33%
Revenue Next Year3.87%
Revenue Next 2Y3.36%
Revenue Next 3Y3.25%
Revenue Next 5Y3.79%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.31 indicates a reasonable valuation of CNO.
Based on the Price/Earnings ratio, CNO is valued a bit cheaper than 70.63% of the companies in the same industry.
When comparing the Price/Earnings ratio of CNO to the average of the S&P500 Index (27.63), we can say CNO is valued rather cheaply.
CNO is valuated reasonably with a Price/Forward Earnings ratio of 9.65.
CNO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CNO is cheaper than 61.54% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CNO to the average of the S&P500 Index (20.85), we can say CNO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.31 | ||
| Fwd PE | 9.65 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, CNO is valued a bit cheaper than the industry average as 65.73% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.94 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.56
EPS Next 2Y3.24%
EPS Next 3Y5.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.67%, CNO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.28, CNO has a dividend in line with its industry peers.
CNO's Dividend Yield is slightly below the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.67% |
5.2 History
The dividend of CNO is nicely growing with an annual growth rate of 8.19%!
CNO has been paying a dividend for at least 10 years, so it has a reliable track record.
CNO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.19%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
CNO pays out 16.76% of its income as dividend. This is a sustainable payout ratio.
CNO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP16.76%
EPS Next 2Y3.24%
EPS Next 3Y5.65%
37.16
-1.12 (-2.93%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners96.17%
Inst Owner Change-0.08%
Ins Owners2.35%
Ins Owner Change0.37%
Market Cap3.73B
Analysts69.09
Price Target44.37 (19.4%)
Short Float %1.87%
Short Ratio3.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.67% |
Yearly Dividend0.64
Dividend Growth(5Y)8.19%
DP16.76%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)27.77%
Min EPS beat(2)22.13%
Max EPS beat(2)33.4%
EPS beat(4)3
Avg EPS beat(4)20.52%
Min EPS beat(4)-20.49%
Max EPS beat(4)47.04%
EPS beat(8)5
Avg EPS beat(8)12.58%
EPS beat(12)7
Avg EPS beat(12)12.69%
EPS beat(16)11
Avg EPS beat(16)14.57%
Revenue beat(2)2
Avg Revenue beat(2)15.81%
Min Revenue beat(2)11.94%
Max Revenue beat(2)19.67%
Revenue beat(4)4
Avg Revenue beat(4)17.14%
Min Revenue beat(4)11.94%
Max Revenue beat(4)22.37%
Revenue beat(8)8
Avg Revenue beat(8)14.24%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)5.07%
EPS NQ rev (1m)-2.04%
EPS NQ rev (3m)-1%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)1.43%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)0.51%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.31 | ||
| Fwd PE | 9.65 | ||
| P/S | 0.82 | ||
| P/FCF | 5.94 | ||
| P/OCF | 5.94 | ||
| P/B | 1.49 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.99
EY10.74%
EPS(NY)3.85
Fwd EY10.36%
FCF(TTM)6.26
FCFY16.84%
OCF(TTM)6.26
OCFY16.84%
SpS45.12
BVpS24.91
TBVpS24.91
PEG (NY)N/A
PEG (5Y)0.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 16.17% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 17.41% | ||
| PM (TTM) | 8.93% | ||
| GM | N/A | ||
| FCFM | 13.87% |
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-Score7
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.81 | ||
| Debt/FCF | 7.2 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 155.37% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
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)28.3%
EPS 3Y12.53%
EPS 5Y16.49%
EPS Q2Q%11.02%
EPS Next Y-3.52%
EPS Next 2Y3.24%
EPS Next 3Y5.65%
EPS Next 5Y6.33%
Revenue 1Y (TTM)7.33%
Revenue growth 3Y3.34%
Revenue growth 5Y2.35%
Sales Q2Q%-6.26%
Revenue Next Year3.87%
Revenue Next 2Y3.36%
Revenue Next 3Y3.25%
Revenue Next 5Y3.79%
EBIT growth 1Y22.44%
EBIT growth 3Y0.16%
EBIT growth 5Y12.04%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y7.69%
FCF growth 3Y1.61%
FCF growth 5Y-2.06%
OCF growth 1Y7.69%
OCF growth 3Y1.61%
OCF growth 5Y-2.06%