CNO Financial (CNO) AI Stock Analysis

• Market Cap: $3.69B
• Dividend Yield: 1.71%
• Average Volume (3M): 729.62K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.82
• Revenue Growth: 0.82%
• EPS Growth: -29.29%
• Country: US
• Employees: 3,400
• Sector: Financial
• Sector Strength: 71
• Industry: Insurance - Life
• EPS (TTM): 0.87
• Shares Outstanding: 96,931,930
• 10 Day Avg. Volume: 662,146
• 30 Day Avg. Volume: 729,621
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.17
• Enterprise Value/Revenue: 1.86
• Enterprise Value/Gross Profit: 4.72
• Enterprise Value/Ebitda: 8.46
• 1Y Price Target: $42.60
• Price Target Upside: 11.87% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 73 Outperform
• Price Target: $42.00 ▲(10.29% Upside)

CNO Financial's overall stock score reflects strong earnings performance and strategic execution, offset by high leverage and mixed technical indicators. The company's valuation is fair, and recent corporate events have positively influenced investor sentiment.

Positive Factors

Business Growth

New business growth remained solid and underwriting margins were stable.

Cash Flow Management

CNO's buybacks significantly exceeded estimates, indicating strong cash flow management.

Demand

Total Life / Health NAP rose significantly, reflecting robust demand in these segments.

Earnings

CNO's operating EPS exceeded expectations, indicating strong financial performance.

Negative Factors

Cash Flow Yield

CNO currently trades at an estimated 2025 FCF yield of ~6.5%, which is modestly lower/less attractive versus the Life peer median of ~6.9%.

Valuation

CNO screens as fairly valued on BMO's FCF regression framework, without a significant near-term improvement in ROE and free cash flow run-rates.

CNO Financial Business Overview & Revenue Model

Company Description

CNO Financial Group, Inc. is a leading provider of insurance and financial services in the United States, primarily serving middle-income Americans. The company operates through three main segments: Life Insurance, Health Insurance, and Annuities. CNO offers a range of products including life insurance, supplemental health insurance, and retirement solutions, catering to the needs of its diverse customer base.

How the Company Makes Money

CNO Financial generates revenue primarily through the sale of insurance products and annuities. The company earns premiums from its life and health insurance policies, which are collected regularly from policyholders. Additionally, CNO generates income from investment returns on the reserves held to back its insurance liabilities. The company also receives fees from the management of its annuity products and investment portfolios. Significant partnerships with agents and brokers enhance its distribution channels, allowing CNO to reach a wider audience. Furthermore, the company's focus on middle-income consumers often leads to stable demand for its insurance products, contributing to consistent revenue streams.

CNO Financial Financial Statement Overview

Summary

CNO Financial demonstrates solid revenue growth and improved profitability, yet faces significant balance sheet challenges with negative equity and limited cash flow visibility. The lack of EBIT and EBITDA data for 2024 enhances uncertainty regarding operational efficiency. The company needs to address equity deficiencies and improve cash flow transparency to ensure financial stability.

Income Statement

CNO Financial shows a notable revenue growth trajectory, with an increase from $4.15 billion in 2023 to $4.45 billion in 2024, marking a 7.29% growth. The net profit margin improved, reaching 9.08% in 2024 from 6.67% in 2023. However, EBIT and EBITDA margins are not available for 2024, indicating potential variability in operating efficiency.

Balance Sheet

The balance sheet indicates a concerning financial position with negative stockholders' equity of $58.1 million in 2024, suggesting potential insolvency risks. The company shows no debt as of 2024, which reduces leverage risks, but the negative equity ratio and weakened return on equity, which was 12.48% in 2023 but cannot be calculated for 2024, are significant red flags.

Cash Flow

CNO Financial's cash flow statements reveal a lack of operating cash flow data for 2024, complicating analysis. The free cash flow to net income ratio cannot be calculated for 2024, but the operating cash flow to net income ratio was 2.11 in 2023, indicating strong cash conversion. The absence of free cash flow data in 2024 limits insight into cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.30B	4.45B	4.15B	3.58B	4.12B	3.82B
Gross Profit	1.70B	1.82B	4.15B	3.58B	4.12B	3.82B
EBITDA	945.80M	1.07B	862.80M	1.20B	1.07B	757.00M
Net Income	305.40M	404.00M	276.50M	630.60M	441.00M	301.80M
Balance Sheet
Total Assets	37.44B	37.85B	35.03B	33.13B	36.20B	35.34B
Cash, Cash Equivalents and Short-Term Investments	8.84B	341.00M	22.28B	20.42B	24.91B	23.44B
Total Debt	4.40B	4.52B	4.15B	3.88B	4.00B	3.93B
Total Liabilities	34.91B	35.35B	32.81B	31.36B	30.94B	29.86B
Stockholders Equity	2.53B	2.50B	2.22B	1.77B	5.26B	5.48B
Cash Flow
Free Cash Flow	669.80M	627.70M	582.90M	495.40M	598.30M	735.50M
Operating Cash Flow	669.80M	627.70M	582.90M	495.40M	598.30M	735.50M
Investing Cash Flow	-2.00B	-1.49B	-872.30M	-1.78B	-1.53B	-608.40M
Financing Cash Flow	1.71B	1.97B	533.50M	1.20B	667.60M	210.10M

CNO Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 38.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 38.08 is above the 20-day moving average (MA) of 37.03, above the 50-day MA of 37.34, and below the 200-day MA of 38.23, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 56.52 is Neutral, neither overbought nor oversold. The STOCH value of 96.37 is Negative, 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
FG	79 Outperform	$4.78B	14.50	8.40%	2.46%	1.78%	0.77%
CNO	73 Outperform	$3.69B	14.04	11.35%	1.71%	0.82%	-29.29%
LNC	71 Outperform	$7.77B	7.15	12.97%	4.39%	11.33%	-38.17%
Sector *	68 Neutral	$17.51B	11.65	10.43%	3.82%	9.93%	1.68%
GNW	67 Neutral	$3.46B	19.39	2.42%	―	2.61%	465.03%
JXN	61 Neutral	$6.57B	82.50	0.30%	3.11%	27.18%	-100.02%
BHF	59 Neutral	$2.67B	5.05	13.53%	―	59.27%	―

CNO Financial Corporate Events

CNO Financial Highlights Investment Strategy in Latest Briefing

On June 10, 2025, CNO Financial Group released an Investments Briefing presentation, highlighting its proven investment approach and solid track record. The briefing emphasized the company’s strong asset quality, disciplined management, and competitive advantages, which are expected to drive improvements in operating return on equity. The presentation also detailed CNO’s strategic investments and asset management strategies, underscoring its commitment to enhancing financial stability and stakeholder value.

The most recent analyst rating on (CNO) stock is a Buy with a $38.00 price target. To see the full list of analyst forecasts on CNO Financial stock, see the CNO Stock Forecast page.