CNO Financial (CNO) AI Stock Analysis

• Market Cap: $3.93B
• Dividend Yield: 1.6%
• Average Volume (3M): 553.14K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 0.71
• Revenue Growth: -1.61%
• EPS Growth: 15.79%
• Country: US
• Employees: 3,400
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Life
• EPS (TTM): 1.29
• Shares Outstanding: 95,353,516
• 10 Day Avg. Volume: 651,938
• 30 Day Avg. Volume: 553,136
• PEG Ratio: 0.17
• Price to Book (P/B): 1.58
• Price to Sales (P/S): 0.89
• P/FCF Ratio: 6.29
• Enterprise Value/Market Cap: 2.02
• Enterprise Value/Revenue: 1.79
• Enterprise Value/Gross Profit: 4.44
• Enterprise Value/Ebitda: 8.50
• 1Y Price Target: $40.00
• Price Target Upside: 1.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $44.00 ▲(11.39% Upside)

CNO Financial's overall score is driven by strong earnings call performance and stable financials, despite challenges in profit margins and certain business segments. The technical analysis suggests a stable long-term trend, while the valuation remains reasonable. The company's strategic initiatives and growth in key areas are significant positives.

Positive Factors

Revenue Growth

The significant increase in new annualized premiums indicates robust demand for CNO's products, suggesting sustained revenue growth and market expansion potential.

Strategic Initiatives

The Bermuda treaty is expected to improve operating ROE by 50 basis points through 2027, enhancing long-term profitability and financial stability.

Operational Efficiency

The increase in operating earnings per share reflects improved operational efficiency, which supports sustainable profit growth and shareholder value.

Negative Factors

Profit Margin Decline

The decline in profit margins suggests increased costs or pricing pressures, which could impact profitability if not addressed.

Impairment Charges

Significant impairment charges can affect financial results and indicate challenges in asset valuation or business strategy execution.

Exit from Worksite Fee Services

Exiting this business segment may reduce revenue streams and highlights challenges in maintaining competitive advantage in certain areas.

CNO Financial Business Overview & Revenue Model

Company Description

CNO Financial Group, Inc. is a financial services holding company specializing in the insurance and financial services sectors. The company primarily serves middle-income working Americans, providing a range of products including life insurance, health insurance, annuities, and retirement solutions. CNO operates through several brands, including Colonial Penn, Bankers Life, and Washington National, catering to the unique financial needs of its customers across various stages of life.

How the Company Makes Money

CNO Financial generates revenue through multiple streams, primarily through the sale of insurance products and services. The company's key revenue sources include premiums collected from life and health insurance policies, which provide a steady income stream. Additionally, CNO earns revenue from investment income generated by managing the premiums it receives before claims are paid out. Annuity sales also contribute to its revenue, as the company offers various annuity products that yield returns over time. Partnerships with agents and brokers enhance distribution, enabling CNO to reach a broader market and increase sales. Furthermore, CNO's focus on middle-income Americans positions it uniquely in a niche market, allowing for sustained growth and profitability.

CNO Financial Financial Statement Overview

Summary

CNO Financial demonstrates moderate financial health with stable revenue growth and cash flow generation. However, profitability margins have declined, and high leverage poses potential risks. The company should focus on improving operational efficiency and managing debt levels to enhance financial stability and shareholder value.

Income Statement

CNO Financial shows moderate revenue growth with a TTM growth rate of 1.98%. The gross profit margin is stable at 38.31% in TTM, but has decreased from previous years. Net profit margin is relatively low at 6.41% in TTM, indicating room for improvement in profitability. EBIT and EBITDA margins have also declined, suggesting potential challenges in operational efficiency.

Balance Sheet

The debt-to-equity ratio is high at 1.64 in TTM, indicating significant leverage which could pose risks if not managed carefully. Return on equity has decreased to 10.97% in TTM, reflecting reduced profitability for shareholders. The equity ratio is not provided, but the high leverage suggests a need for cautious financial management.

Cash Flow

CNO Financial's free cash flow growth is positive at 5.17% in TTM, showing improvement in cash generation. The operating cash flow to net income ratio is strong at 45.45, indicating good cash conversion. The free cash flow to net income ratio remains stable at 1.0, suggesting consistent cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.44B	4.45B	4.15B	3.58B	4.12B	3.82B
Gross Profit	1.79B	1.70B	1.53B	1.79B	1.70B	1.28B
EBITDA	934.90M	1.07B	862.80M	1.20B	1.07B	757.00M
Net Income	294.70M	404.00M	276.50M	630.60M	570.30M	301.80M
Balance Sheet
Total Assets	38.30B	37.85B	35.03B	33.13B	36.20B	35.34B
Cash, Cash Equivalents and Short-Term Investments	8.60B	9.45B	22.28B	20.42B	24.91B	23.44B
Total Debt	4.05B	4.52B	4.15B	3.88B	4.00B	3.93B
Total Liabilities	35.69B	35.35B	32.81B	31.36B	30.94B	29.86B
Stockholders Equity	2.61B	2.50B	2.22B	1.77B	5.26B	5.48B
Cash Flow
Free Cash Flow	671.00M	627.70M	582.90M	495.40M	598.30M	735.50M
Operating Cash Flow	671.00M	627.70M	582.90M	495.40M	598.30M	735.50M
Investing Cash Flow	-917.70M	-1.49B	-872.30M	-1.78B	-1.53B	-608.40M
Financing Cash Flow	243.00M	1.97B	533.50M	1.20B	667.60M	210.10M

CNO Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CNO, the sentiment is Positive. The current price of 39.5 is below the 20-day moving average (MA) of 40.65, below the 50-day MA of 40.04, and above the 200-day MA of 38.79, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 54.74 is Neutral, neither overbought nor oversold. The STOCH value of 66.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CNO.

CNO Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BHF	74 Outperform	$3.75B	4.47	16.27%	―	27.71%	―
FG	74 Outperform	$4.35B	9.65	10.12%	2.78%	-4.58%	―
CNO	72 Outperform	$3.93B	14.42	11.12%	1.60%	-1.61%	15.79%
LNC	70 Outperform	$7.81B	3.69	21.66%	4.39%	35.76%	636.97%
JXN	69 Neutral	$6.66B	13.56	5.50%	3.36%	24.94%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
GNW	60 Neutral	$3.50B	19.28	2.86%	―	1.41%	150.35%

CNO Financial Corporate Events

CNO Financial Group Reports Strong Q3 2025 Results

CNO Financial Group, Inc. is a company that provides life and health insurance, annuities, financial services, and workforce benefits solutions, primarily serving middle-income America through its family of brands. In its third quarter of 2025, CNO Financial Group reported a significant increase in net income, reaching $23.1 million, up from $9.3 million in the same quarter of the previous year. The company also saw a rise in net operating income, which excludes non-economic accounting impacts, to $127.2 million from $119.2 million. This growth was driven by strong sales in both its Consumer and Worksite Divisions, with record Direct-to-Consumer and Worksite insurance sales.

CNO Financial Group Reports Strong Growth Amid Strategic Shifts

CNO Financial Group’s recent earnings call painted a picture of robust growth and strategic adjustments. The overall sentiment was positive, with significant achievements in new annualized premiums and operating earnings per share. However, the company faced challenges, including the exit from the Worksite fee services business and a decline in Medicare Advantage sales.

CNO Financial Highlights Strategic Focus in New Briefing

On September 10, 2025, CNO Financial Group issued a Consumer Division Briefing presentation, highlighting its strategic focus on middle-income households and its commitment to growth through multiple distribution channels. The briefing emphasized CNO’s differentiated ‘health and wealth’ approach, its strong market positioning, and consistent growth, with a notable increase in Medicare Advantage sales and a growing distribution force. The company aims to continue building enduring value for stakeholders and addressing the needs of an underserved market.

The most recent analyst rating on (CNO) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on CNO Financial stock, see the CNO Stock Forecast page.