CNO Financial Group (NYSE:CNO – Get Rating) was downgraded by Zacks Investment Research from a “hold” rating to a “strong sell” rating in a research note issued on Monday, Zacks.com reports. They presently have a $17.00 price target on the financial services provider’s stock. Zacks Investment Research‘s price target would suggest a potential downside of 14.14% from the stock’s current price.
According to Zacks, “CNO Financial’s first-quarter earnings miss estimates. The company’s revenues are likely to remain under pressure due to lower general account assets. Lower ROE implies the inefficient utilization of shareholders’ funds. A weak balance sheet, indicated by unrestricted cash and cash equivalents remaining considerably lower than investment borrowings, remains a concern. The company expects the free cash flow to decline in 2022 from the 2021 level due to lower returns from alternative investments and capital exhaustion due to the new business. Shares of the company have underperformed its industry in a year. Nevertheless, its cost-cutting initiatives are expected to enhance its earnings profile. It invested significantly in technology to improve agent productivity, and sales and advertising, which will likely enhance lead productivity.”
Several other brokerages also recently commented on CNO. B. Riley reiterated a “buy” rating on shares of CNO Financial Group in a report on Friday, March 4th. StockNews.com started coverage on CNO Financial Group in a report on Thursday, March 31st. They set a “hold” rating on the stock. Morgan Stanley dropped their price objective on CNO Financial Group from $29.00 to $28.00 and set an “equal weight” rating on the stock in a report on Friday, April 8th. Finally, Jefferies Financial Group started coverage on CNO Financial Group in a report on Tuesday, January 25th. They set a “hold” rating and a $25.00 price objective on the stock. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $24.25.
Shares of CNO stock traded down $0.29 during trading hours on Monday, reaching $19.80. The company had a trading volume of 3,391 shares, compared to its average volume of 985,404. The company has a market capitalization of $2.29 billion, a P/E ratio of 6.17 and a beta of 1.19. The company has a debt-to-equity ratio of 0.75, a quick ratio of 0.21 and a current ratio of 0.20. CNO Financial Group has a twelve month low of $19.47 and a twelve month high of $27.89. The stock’s fifty day simple moving average is $24.05 and its 200 day simple moving average is $24.36.
CNO Financial Group (NYSE:CNO – Get Rating) last announced its earnings results on Monday, May 2nd. The financial services provider reported $0.42 EPS for the quarter, missing the consensus estimate of $0.57 by ($0.15). The company had revenue of $842.90 million for the quarter, compared to analysts’ expectations of $915.85 million. CNO Financial Group had a net margin of 10.25% and a return on equity of 7.00%. During the same quarter in the previous year, the business posted $0.55 earnings per share. As a group, equities analysts expect that CNO Financial Group will post 2.1 earnings per share for the current year.
In related news, Director Frederick James Sievert sold 3,000 shares of the company’s stock in a transaction on Friday, May 6th. The stock was sold at an average price of $21.56, for a total transaction of $64,680.00. Following the transaction, the director now directly owns 62,421 shares of the company’s stock, valued at $1,345,796.76. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. 2.70% of the stock is owned by insiders.
A number of large investors have recently bought and sold shares of the stock. Renaissance Technologies LLC boosted its stake in shares of CNO Financial Group by 133.8% during the 1st quarter. Renaissance Technologies LLC now owns 185,200 shares of the financial services provider’s stock worth $4,647,000 after acquiring an additional 106,000 shares in the last quarter. Charles Schwab Investment Management Inc. raised its holdings in CNO Financial Group by 16.3% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,265,584 shares of the financial services provider’s stock valued at $31,754,000 after acquiring an additional 177,814 shares in the last quarter. Easterly Investment Partners LLC raised its holdings in CNO Financial Group by 33.8% in the 1st quarter. Easterly Investment Partners LLC now owns 783,850 shares of the financial services provider’s stock valued at $19,667,000 after acquiring an additional 198,170 shares in the last quarter. Bridgewater Associates LP raised its holdings in CNO Financial Group by 38.3% in the 1st quarter. Bridgewater Associates LP now owns 23,254 shares of the financial services provider’s stock valued at $583,000 after acquiring an additional 6,439 shares in the last quarter. Finally, Pearl River Capital LLC acquired a new position in CNO Financial Group in the 1st quarter valued at approximately $312,000. 96.18% of the stock is currently owned by hedge funds and other institutional investors.
CNO Financial Group Company Profile (Get Rating)
CNO Financial Group, Inc, through its subsidiaries, develops, markets, and administers health insurance, annuity, individual life insurance, and other insurance products for senior and middle-income markets in the United States. It offers Medicare supplement, supplemental health, and long-term care insurance policies; life insurance; and annuities, as well as Medicare advantage plans to individuals through phone, online, mail, and face-to-face.
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