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CNO Financial Group (CNO) has quietly rewarded patient shareholders, with the stock up about 9% this year and nearly doubling over five years, even as recent month returns have been more muted.
See our latest analysis for CNO Financial Group.
The recent pullback in CNO’s 7 day share price return contrasts with its solid year to date share price gain, while a roughly doubled 5 year total shareholder return signals that long term momentum remains intact.
If CNO’s steady climb has you thinking more broadly about financials, it could be a good moment to explore fast growing stocks with high insider ownership for other potential compounders.
With earnings growing faster than revenue and shares still trading below analyst targets and intrinsic value estimates, the key question now is simple: is CNO undervalued, or is the market already pricing in its future growth?
With CNO Financial Group last closing at $40.55 against a narrative fair value of $44.40, the valuation case leans modestly in favor of upside.
Expansion of fee-based and asset-light products (such as advisory/brokerage assets up 27% YoY) is diversifying revenue streams, mitigating margin compression risk, and positioning CNO to benefit from increased consumer financial awareness and demand for holistic retirement solutions.
Curious how flat top line expectations can still support rising profits, shrinking share count, and a lower future earnings multiple than the wider industry? The narrative joins those dots with a detailed roadmap of earnings, margins, and valuation multiples that could justify this higher fair value.
Result: Fair Value of $44.40 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, this upside case could be challenged if interest rates fall materially, or if digital-first competitors erode CNO’s distribution advantage and pricing power.
Find out about the key risks to this CNO Financial Group narrative.
If you see the story differently, or would rather dig into the numbers yourself, you can build a personalized view in minutes: Do it your way.
A great starting point for your CNO Financial Group research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
Before you move on, lock in your next opportunity by using the Simply Wall St Screener to uncover stocks that fit your strategy and timeframe.