Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

CNO Financial Group, Inc. (CNO)

Company Dividend Discount ModelIndustry: Insurance - LifeSector: Financial Services

Valuation Snapshot

Stable Growth$38.05 - $67.13$50.39
Multi-Stage$73.44 - $80.82$77.06
Blended Fair Value$63.72
Current Price$39.55
Upside61.12%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.18%2.87%0.660.660.630.640.650.650.630.580.530.51
YoY Growth---0.59%5.09%-1.37%-1.94%-0.15%3.55%8.72%8.76%5.38%1.96%
Dividend Yield--1.58%2.44%2.84%2.55%2.69%5.27%3.82%2.68%2.60%2.82%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)294.70
(-) Cash Dividends Paid (M)66.40
(=) Cash Retained (M)228.30
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)58.9436.8422.10
Cash Retained (M)228.30228.30228.30
(-) Cash Required (M)-58.94-36.84-22.10
(=) Excess Retained (M)169.36191.46206.20
(/) Shares Outstanding (M)102.72102.72102.72
(=) Excess Retained per Share1.651.862.01
LTM Dividend per Share0.650.650.65
(+) Excess Retained per Share1.651.862.01
(=) Adjusted Dividend2.302.512.65
WACC / Discount Rate6.09%6.09%6.09%
Growth Rate0.05%1.05%2.05%
Fair Value$38.05$50.39$67.13
Upside / Downside-3.78%27.40%69.72%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)294.70297.81300.95304.12307.33310.57319.88
Payout Ratio22.53%36.03%49.52%63.01%76.51%90.00%92.50%
Projected Dividends (M)66.40107.29149.03191.63235.12279.51295.89

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.09%6.09%6.09%
Growth Rate0.05%1.05%2.05%
Year 1 PV (M)100.13101.13102.13
Year 2 PV (M)129.80132.41135.04
Year 3 PV (M)155.78160.49165.31
Year 4 PV (M)178.38185.62193.07
Year 5 PV (M)197.90207.99218.49
PV of Terminal Value (M)6,782.107,127.867,487.58
Equity Value (M)7,544.087,915.508,301.62
Shares Outstanding (M)102.72102.72102.72
Fair Value$73.44$77.06$80.82
Upside / Downside85.70%94.84%104.34%

High-Yield Dividend Screener

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