CNA Financial Stock Valuation

CNA
 Stock
  

USD 41.41  0.13  0.31%   

Do you wonder what the value of CNA Financial is? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as CNA Financial, is its stock price multiplied by the total number of shares outstanding, calculating CNA Financial's enterprise value requires a different approach. It uses CNA Financial's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
CNA Financial Enterprise Value is projected to increase significantly based on the last few years of reporting. The past year's Enterprise Value was at 14.11 Billion. The current year Tangible Asset Value is expected to grow to about 68.7 B, whereas Free Cash Flow is forecasted to decline to about 1.8 B.
CNA Financial owns a latest Real Value of $45.22 per share. The recent price of the firm is $41.41. At this time, the firm appears to be undervalued. Our model approximates the value of CNA Financial from analyzing the firm fundamentals such as return on asset of 0.0121 %, and Shares Outstanding of 270.89 M as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor taking in undervalued equities and trading overvalued equities since, in the future, asset prices and their ongoing real values will grow together.
  
CNA Financial Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as CNA Financial's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

CNA Financial Most Recent Valuation Data

Dividend Share
1.58
Beta
0.7216
Change Receivables
-1.4 B
Fiscal Year End
December
Property Plant And Equipment Net
226 M
Enterprise Value
13.6 B
Undervalued
Today 41.41
Please note that CNA Financial's price fluctuation is very steady at this time. Calculation of the real value of CNA Financial is based on 3 months time horizon. Increasing CNA Financial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for CNA Financial is useful when determining the fair value of the CNA Financial stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of CNA Financial. Since CNA Financial is currently traded on the exchange, buyers and sellers on that exchange determine the market value of CNA Financial Stock. However, CNA Financial's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
45.22
Real Value
46.78
Upside
Estimating the potential upside or downside of CNA Financial helps investors to forecast how CNA Financial stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of CNA Financial more accurately as focusing exclusively on CNA Financial's fundamentals will not take into account other important factors:
Earnings
Estimates (2)
LowProjected EPSHigh
4.004.034.05
Details
Hype
Prediction
LowEstimated ValueHigh
39.9341.4943.05
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
1.111.161.21
Details
3 Analysts
Consensus
LowTarget PriceHigh
48.0050.0052.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use CNA Financial's intrinsic value based on its ongoing forecasts of CNA Financial's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against CNA Financial's closest peers. When choosing an evaluation method for CNA Financial, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

CNA Financial Investments

53.55 Billion

CNA Financial Valuation Drivers Correlation

Many accounts on the financial statements of CNA Financial are highly interrelated and sometimes correlated. Consequently, when conducting CNA Financial's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of CNA Financial
Click cells to compare fundamentals

CNA Financial Valuation Trend

Knowing CNA Financial's actual value is paramount for traders to make sound investment determinations. CNA Financial's real value is not only important for the investor to make better decisions but also for a more accurate overall view of CNA Financial's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both CNA Financial's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

CNA Financial Market Cap

CNA Financial is number one stock in market capitalization category among related companies. Market capitalization of Financials industry is currently estimated at about 308.73 Billion. CNA Financial holds roughly 11.25 Billion in market capitalization claiming about 4% of equities under Financials industry.
Capitalization  Revenue  Workforce  Total debt  Valuation

CNA Financial Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining CNA Financial's current stock value. Our valuation model uses many indicators to compare CNA Financial value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across CNA Financial competition to find correlations between indicators driving CNA Financial's intrinsic value. More Info.
CNA Financial is number one stock in last dividend paid category among related companies. It is number one stock in price to book category among related companies fabricating about  0.89  of Price to Book per Last Dividend Paid. The ratio of Last Dividend Paid to Price to Book for CNA Financial is roughly  1.13 . The current year Price to Book Value is expected to grow to 1.00. Comparative valuation analysis is a catch-all model that can be used if you cannot value CNA Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for CNA Financial's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the CNA Financial's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates CNA Financial's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in CNA Financial and how it compares across the competition.

About CNA Financial Valuation

The stock valuation mechanism determines the current worth of CNA Financial on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of CNA Financial. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of CNA Financial based exclusively on its fundamental and basic technical indicators. By analyzing CNA Financial's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of CNA Financial's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of CNA Financial. We calculate exposure to CNA Financial's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to CNA Financial's related companies.
Fiscal Year End
December
Industry
Insurance-Property & Casualty
Concentration
Property & Casualty Insurance
Full Time Employees
5.6 K
Service Category
Insurance
Employer Id Number
36-6169860
Last ReportedProjected for 2022
Gross Profit4.2 B4.4 B
Profit Margin 10.09  8.64 
CNA Financial's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether CNA Financial's value is low or high relative to the company's performance and growth projections. Determining the market value of CNA Financial can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of CNA Financial represents a small ownership stake in the entity. As a stockholder of CNA Financial, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

CNA Financial Dividends Analysis For Valuation

CNA Financial Dividend Yield is projected to increase slightly based on the last few years of reporting. The past year's Dividend Yield was at 0.05. The current year Dividends per Basic Common Share is expected to grow to 2.42, whereas Payment of Dividends and Other Cash Distributions is forecasted to decline to (670 M). . CNA Financial Accumulated Retained Earnings Deficit are projected to increase significantly based on the last few years of reporting. The past year's Accumulated Retained Earnings Deficit were at 9.66 Billion. The current year Price to Earnings Ratio is expected to grow to 11.08, whereas Earning Before Interest and Taxes EBIT is forecasted to decline to about 1.5 B.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-621 M-670 M
Dividend Yield 0.05  0.06 
Dividends per Basic Common Share 2.27  2.42 
There are various types of dividends CNA Financial can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of CNA Financial shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from CNA Financial directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When CNA Financial pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of CNA Financial by the value of the dividends paid out.

CNA Financial Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as CNA Financial does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
DescriptionCNA Financial Corporation provides commercial property and casualty insurance products primarily in the United States. It operates through Specialty, Commercial, International, Life Group, and Corporate Oth
Quarterly Earnings Growth Y O Y-0.5

CNA Financial Current Valuation Indicators

Valuation refers to the process of determining the present value of CNA Financial and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value CNA Financial we look at many different elements of the entity such as CNA Financial's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. CNA Financial's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final CNA Financial's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as CNA Financial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use CNA Financial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes CNA Financial's worth.
Continue to Trending Equities. You can also try Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..

Complementary Tools for analysis

When running CNA Financial price analysis, check to measure CNA Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CNA Financial is operating at the current time. Most of CNA Financial's value examination focuses on studying past and present price action to predict the probability of CNA Financial's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move CNA Financial's price. Additionally, you may evaluate how the addition of CNA Financial to your portfolios can decrease your overall portfolio volatility.
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Is CNA Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of CNA Financial. If investors know CNA Financial will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about CNA Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
(0.50) 
Market Capitalization
11.3 B
Quarterly Revenue Growth YOY
(0.001) 
Return On Assets
0.0121
Return On Equity
0.0879
The market value of CNA Financial is measured differently than its book value, which is the value of CNA Financial that is recorded on the company's balance sheet. Investors also form their own opinion of CNA Financial's value that differs from its market value or its book value, called intrinsic value, which is CNA Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because CNA Financial's market value can be influenced by many factors that don't directly affect CNA Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between CNA Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine CNA Financial value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CNA Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.