CNA Financial (CNA) AI Stock Analysis

• Market Cap: $12.30B
• Dividend Yield: 8.41%
• Average Volume (3M): 454.35K
• Price to Earnings (P/E): 14.1
• Beta (1Y): 0.32
• Revenue Growth: 6.12%
• EPS Growth: -31.43%
• Country: US
• Employees: 6,500
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Property & Casualty
• EPS (TTM): 1.23
• Shares Outstanding: 270,665,400
• 10 Day Avg. Volume: 357,049
• 30 Day Avg. Volume: 454,350
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 1.08
• Enterprise Value/Gross Profit: 1.72
• Enterprise Value/Ebitda: 12.14
• 1Y Price Target: $45.00
• Price Target Upside: -0.97% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: $51.00 ▲(12.24% Upside)

CNA Financial's overall stock score is driven by its strong financial performance and attractive valuation, particularly the high dividend yield. However, mixed technical indicators and concerns over declining net income and cash flow growth slightly temper the score.

Positive Factors

Revenue Growth

The robust revenue growth indicates successful business expansion and increased market penetration, which can contribute to long-term financial stability and competitive advantage.

Balance Sheet Health

A stable balance sheet with low leverage suggests prudent financial management, providing the company with flexibility to invest in growth opportunities and withstand economic fluctuations.

Cash Generation Ability

Strong cash generation relative to earnings indicates efficient operations and the ability to fund growth initiatives, pay dividends, and reduce debt, supporting long-term financial health.

Negative Factors

Net Income Decline

A declining net income can impact profitability and shareholder returns, indicating potential inefficiencies or rising costs that need to be addressed for sustained financial performance.

Negative Free Cash Flow Growth

Declining free cash flow growth may limit the company's ability to invest in new opportunities, pay down debt, or return capital to shareholders, potentially affecting long-term financial flexibility.

Decreased Net Profit Margin

A decrease in net profit margin suggests reduced efficiency in converting revenue into profit, which could impact overall profitability and necessitate cost management improvements.

CNA Financial Business Overview & Revenue Model

Company Description

CNA Financial Corporation provides commercial property and casualty insurance products primarily in the United States. It operates through Specialty, Commercial, International, Life & Group, and Corporate & Other segments. The company offers professional liability coverages and risk management services to various professional firms, including architects, real estate agents, and accounting and law firms; directors and officers, employment practices, fiduciary, and fidelity coverages to small and mid-size firms, public and privately held firms, and not-for-profit organizations; professional and general liability, as well as associated standard property and casualty coverages for healthcare industry; surety and fidelity bonds; and warranty and alternative risks products. It also provides property insurance products, such as property, marine, boiler, and machinery coverages; casualty insurance products comprising workers' compensation, general and product liability, commercial auto, and umbrella coverages; specialized loss-sensitive insurance programs and total risk management services; and run-off long term care policies. In addition, the company offers long-tail exposures comprising commercial automobile liability, workers' compensation, general and medical professional liability, other professional and management liability, and assumed reinsurance run-off and products liability; and short-tail exposures, such as property, commercial automobile physical damage, marine, and surety. It markets its products through independent agents, brokers, and general underwriters to small, medium, and large businesses; insurance companies; associations; professionals; and other groups in the marine, oil and gas, construction, manufacturing, life science, property, financial services, healthcare, and technology industries. The company was founded in 1853 and is headquartered in Chicago, Illinois. CNA Financial Corporation operates as a subsidiary of Loews Corporation.

How the Company Makes Money

CNA generates revenue primarily through the underwriting of insurance policies, where it collects premiums from policyholders in exchange for coverage against specified risks. The company’s key revenue streams include premiums from commercial insurance policies, specialty insurance products, and surety bonds. Additionally, CNA earns income from investment activities, as a significant portion of the premiums collected is invested in various financial instruments, generating investment income. The company also benefits from strategic partnerships with brokers and agents, enhancing its market reach and distribution capabilities. Factors contributing to its earnings include effective risk assessment, strong underwriting practices, and favorable market conditions that allow for competitive pricing of insurance products.

CNA Financial Financial Statement Overview

Summary

CNA Financial demonstrates strong revenue growth and a stable financial position. The company maintains healthy profit margins and a solid balance sheet with manageable leverage. However, the decline in net income and negative free cash flow growth rate highlight areas for improvement.

Income Statement

CNA Financial shows a strong revenue growth trajectory with a TTM revenue growth rate of 81.4%, indicating robust business expansion. The gross profit margin is healthy at 62.7% TTM, although the net profit margin has slightly decreased to 6.1% from 6.9% annually. The EBIT and EBITDA margins are stable, reflecting efficient operational management. However, the decline in net income suggests potential challenges in cost control or increased expenses.

Balance Sheet

The company's balance sheet is stable with a manageable debt-to-equity ratio of 0.28 TTM, indicating prudent financial leverage. The return on equity is moderate at 8.3% TTM, suggesting effective use of equity to generate profits. The equity ratio remains strong, reflecting a solid capital structure. However, the slight increase in debt levels over time could pose a risk if not managed carefully.

Cash Flow

CNA Financial's cash flow position is stable, with a high free cash flow to net income ratio of 92.2% TTM, indicating strong cash generation relative to earnings. However, the negative free cash flow growth rate of -6.47% TTM is a concern, suggesting potential challenges in maintaining cash flow levels. The operating cash flow to net income ratio is moderate, reflecting adequate cash flow from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2023	Dec 2023	Dec 2023
Income Statement
Total Revenue	14.49B	14.00B	13.30B	13.30B	13.30B	13.30B
Gross Profit	9.09B	4.46B	13.13B	13.13B	13.13B	13.13B
EBITDA	1.29B	1.41B	1.72B	1.72B	1.72B	1.72B
Net Income	877.00M	959.00M	1.21B	1.21B	1.21B	1.21B
Balance Sheet
Total Assets	68.94B	66.49B	64.71B	64.71B	64.71B	64.71B
Cash, Cash Equivalents and Short-Term Investments	2.10B	2.56B	2.51B	2.51B	2.51B	2.51B
Total Debt	2.98B	2.97B	3.03B	3.03B	3.03B	3.03B
Total Liabilities	58.27B	55.98B	54.82B	54.82B	54.82B	54.82B
Stockholders Equity	10.66B	10.51B	9.89B	9.89B	9.89B	9.89B
Cash Flow
Free Cash Flow	2.44B	2.48B	2.19B	2.19B	2.19B	2.19B
Operating Cash Flow	2.65B	2.57B	2.29B	2.29B	2.29B	2.29B
Investing Cash Flow	-1.58B	-1.32B	-1.84B	-1.84B	-1.84B	-1.84B
Financing Cash Flow	-1.09B	-1.12B	-577.00M	-577.00M	-577.00M	-577.00M

CNA Financial Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 45.44
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CNA, the sentiment is Negative. The current price of 45.44 is below the 20-day moving average (MA) of 46.17, below the 50-day MA of 47.11, and below the 200-day MA of 46.46, indicating a bearish trend. The MACD of -0.31 indicates Positive momentum. The RSI at 42.45 is Neutral, neither overbought nor oversold. The STOCH value of 23.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CNA.

CNA Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
THG	76 Outperform	$6.27B	11.48	19.23%	2.05%	4.47%	102.98%
SIGI	75 Outperform	$4.94B	11.79	12.22%	1.87%	12.27%	66.53%
AXS	74 Outperform	$7.19B	8.73	15.07%	1.91%	6.87%	43.53%
RLI	74 Outperform	$5.65B	16.02	19.49%	4.25%	3.72%	―
AFG	70 Outperform	$11.05B	14.66	17.17%	7.01%	3.35%	-14.16%
CNA	69 Neutral	$12.30B	14.11	8.54%	8.41%	6.12%	-31.43%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

CNA Financial Corporate Events

CNA Financial Closes $500 Million Notes Offering

On August 12, 2025, CNA Financial successfully closed its offering of $500 million in 5.200% notes due in 2035. This financial move, executed under the company’s shelf registration statement, is expected to impact its financial strategy and stakeholder interests positively.

The most recent analyst rating on (CNA) stock is a Sell with a $48.00 price target. To see the full list of analyst forecasts on CNA Financial stock, see the CNA Stock Forecast page.

CNA Financial Enters $500M Underwriting Agreement

On August 5, 2025, CNA Financial entered into an underwriting agreement with Wells Fargo Securities, Citigroup Global Markets, and J.P. Morgan Securities for the offer and sale of $500 million in 5.200% notes due 2035. The sale is expected to close on August 12, 2025, and is part of CNA Financial’s strategy to leverage its effective shelf registration statement, potentially impacting its financial operations and market positioning.

The most recent analyst rating on (CNA) stock is a Sell with a $48.00 price target. To see the full list of analyst forecasts on CNA Financial stock, see the CNA Stock Forecast page.

CNA Financial Reports Steady Q2 2025 Performance

CNA Financial Corporation is a prominent player in the insurance industry, specializing in property and casualty insurance products and services. Based in Chicago, Illinois, the company operates primarily in the United States, offering a range of insurance solutions tailored to meet the needs of businesses and professionals. With a strong focus on underwriting and risk management, CNA Financial is known for its comprehensive insurance offerings and strategic market presence.