Cna Financial Story

CNA -- USA Stock

USD 44.00 0.91 2.11%

Macroaxis Story

It appears CNA Financial may not recover as fast as we have hopped for as its price went down 0.66% today. The company current daily volatility is 1.54 percent, with a beta of 1.4 and an alpha of 0.25 over DOW. While some baby boomers are getting worried growing market volatility, it is reasonable to go over CNA Financial based on its historical price movement. We will cover the possibilities of making CNA Financial into a steady grower in March.

Published over three weeks ago

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Breaking down CNA Financial (NYSE:CNA) volatility slip

CNA Financial has roughly 1.91 B in cash with 1.57 B of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 7.04. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. CNA Financial has an asset utilization ratio of 19.35 percent. This suggests that the company is making $0.19 for each dollar of assets. An increasing asset utilization means that CNA Financial is more efficient with each dollar of assets it utilizes for everyday operations.

Investing in Cna Financial, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding Cna Financial along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.

Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Cna Financial's stock price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Cna Financial in the context of predictive analytics.

Please note, it is not enough to conduct a financial or market analysis of a single entity such as Cna Financial. Your research has to be compared to or analyzed against Cna Financial's peers to derive any actionable benefits. When done correctly, Cna Financial's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Cna Financial Corp.

How important is Cna Financial's Liquidity

Cna Financial financial leverage refers to using borrowed capital as a funding source to finance Cna Financial Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Cna Financial financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Cna Financial's total debt and its cash.

How Cna Financial utilizes its cash?

To perform a cash flow analysis of Cna Financial, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Cna Financial is receiving and how much cash it distributes out in a given period. The Cna Financial cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Cna Financial Net Cash Flow from Operations is projected to increase significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 1.77 Billion

Cna Financial Correlation with Peers

Investors in Cna Financial can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Cna Financial Corp. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Cna Financial and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Cna Financial is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.

Please check volatility of Cna Financial for more details

Payment of 2014 shares by Michael Costonis of Cna Financial subject to Rule 16b-3

Legal trades by Cna Financial insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Cna Financial insider trading alert for payment of common stock by Michael Costonis, EVP & Chief Operations Officer, on 2nd of March 2021. This event was filed by Cna Financial Corp with SEC on 2021-03-02. Statement of changes in beneficial ownership - SEC Form 4. Michael Costonis currently serves as chief operating officer, executive vice president of Cna Financial Corp [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Cna Financial Investor Appetite?

CNA Financial appears to be very steady, given 1 month investment horizon. CNA Financial retains Efficiency (Sharpe Ratio) of 0.17, which signifies that the company had 0.17% of return per unit of risk over the last month. Our philosophy in foreseeing the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. We have found twenty-one technical indicators for CNA Financial, which you can use to evaluate future volatility of the firm. Please makes use of CNA Financial coefficient of variation of 434.91, and Market Risk Adjusted Performance of 0.2882 to double-check if our risk estimates are consistent with your expectations.

	L	CB	FRFHF	AFG	ALL
L		0.83	0.87	0.67	0.89	L
CB	0.83		0.7	0.74	0.71	CB
FRFHF	0.87	0.7		0.58	0.86	FRFHF
AFG	0.67	0.74	0.58		0.51	AFG
ALL	0.89	0.71	0.86	0.51		ALL
	L	CB	FRFHF	AFG	ALL

Click cells to compare fundamentals

Check Volatility

Backtest Portfolio

CNA Financial has 81 percent chance to finish below $40 next week

The semi variance is down to 1.08 as of today. CNA Financial has relatively low volatility with skewness of 1.06 and kurtosis of 2.55. However, we advise all investors to independently investigate CNA Financial to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns.

Whereas few other entities in the insurance?property & casualty industry are either recovering or due for a correction, CNA Financial may not be performing as strong as the other in terms of long-term growth potentials. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to exit some or all of your CNA Financial holdings as it seems the potential growth was already fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to CNA Financial.

About Contributor

Raphi Shpitalnik is a Junior Member of Macroaxs Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time base at the beginning of the pandemic and eventually acquired a real test for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Cna Financial Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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Cna Financial Story

USD 44.00 0.91 2.11%

How important is Cna Financial's Liquidity

How Cna Financial utilizes its cash?

Cna Financial Correlation with Peers

Payment of 2014 shares by Michael Costonis of Cna Financial subject to Rule 16b-3

What is driving Cna Financial Investor Appetite?

CNA Financial has 81 percent chance to finish below $40 next week

About Contributor

Would you like to provide feedback on the content of this article?

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