Zacks Investment Research Upgrades Cna Financial Corp (CNA) to “Buy”
Cna Financial Corp (NYSE:CNA) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Monday. The brokerage presently has a $49.00 price objective on the insurance provider’s stock. Zacks Investment Research‘s target price points to a potential upside of 11.14% from the company’s current price.
According to Zacks, “Shares of CNA Financial have outperformed the Zacks categorized Property and Casualty insurance industry year to date. CNA Financial’s is one of the versatile property and casualty (P&C) insurers displaying continued improvement in the combined ratio of its P&C business, leading to underwriting profitability. Moreover, the company remains committed in enhancing shareholders value via effective capital deployment. This in turn, makes the stock an attractive pick for yield-seeking investors. However, the insurer has been suffering significant catastrophe losses, which pose an inherent risk to the P&C business, inducing volatility in underwriting results. Also, declining investment income and weak operating income remain concerns. The company also witnessed 2017 estimates moving south over the last 30days, the 2018 estimates increased over the same time frame.”
Separately, Deutsche Bank AG cut shares of Cna Financial Corp from a “buy” rating to a “hold” rating and raised their target price for the stock from $45.00 to $46.00 in a report on Tuesday, May 2nd.
Shares of Cna Financial Corp (NYSE:CNA) traded up 0.805% during trading on Monday, hitting $44.445. 60,491 shares of the company traded hands. The firm has a 50 day moving average price of $44.54 and a 200-day moving average price of $42.10. Cna Financial Corp has a one year low of $29.38 and a one year high of $46.44. The stock has a market cap of $12.04 billion, a price-to-earnings ratio of 11.428 and a beta of 1.12.
Cna Financial Corp (NYSE:CNA) last announced its earnings results on Monday, May 1st. The insurance provider reported $0.87 EPS for the quarter, topping the consensus estimate of $0.79 by $0.08. Cna Financial Corp had a net margin of 9.17% and a return on equity of 7.43%. The company had revenue of $1.63 billion during the quarter, compared to analysts’ expectations of $2.02 billion. During the same period last year, the company posted $0.64 earnings per share. The business’s revenue for the quarter was down 2.2% on a year-over-year basis. Analysts predict that Cna Financial Corp will post $3.39 EPS for the current year.
The company also recently announced a quarterly dividend, which will be paid on Wednesday, May 31st. Shareholders of record on Monday, May 15th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 2.27%. The ex-dividend date is Thursday, May 11th. Cna Financial Corp’s payout ratio is 31.65%.
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In other news, CEO Dino Robusto bought 12,000 shares of the firm’s stock in a transaction on Tuesday, February 21st. The stock was bought at an average cost of $41.84 per share, for a total transaction of $502,080.00. Following the completion of the acquisition, the chief executive officer now directly owns 12,000 shares in the company, valued at approximately $502,080. The purchase was disclosed in a document filed with the SEC, which is available at this link. Also, Director Joseph Rosenberg sold 15,000 shares of the firm’s stock in a transaction dated Wednesday, May 3rd. The stock was sold at an average price of $45.02, for a total transaction of $675,300.00. The disclosure for this sale can be found here. Company insiders own 0.52% of the company’s stock.
Several hedge funds and other institutional investors have recently made changes to their positions in the company. LSV Asset Management boosted its position in shares of Cna Financial Corp by 17.3% in the first quarter. LSV Asset Management now owns 1,352,502 shares of the insurance provider’s stock valued at $59,740,000 after buying an additional 199,443 shares during the last quarter. Norges Bank bought a new stake in Cna Financial Corp during the fourth quarter valued at approximately $29,667,000. Bank of America Corp DE boosted its stake in Cna Financial Corp by 0.5% in the first quarter. Bank of America Corp DE now owns 693,798 shares of the insurance provider’s stock valued at $30,645,000 after buying an additional 3,408 shares in the last quarter. First Trust Advisors LP boosted its stake in Cna Financial Corp by 41.6% in the first quarter. First Trust Advisors LP now owns 581,424 shares of the insurance provider’s stock valued at $25,681,000 after buying an additional 170,926 shares in the last quarter. Finally, Vanguard Group Inc. boosted its stake in Cna Financial Corp by 3.9% in the first quarter. Vanguard Group Inc. now owns 550,006 shares of the insurance provider’s stock valued at $24,294,000 after buying an additional 20,462 shares in the last quarter. Institutional investors own 99.12% of the company’s stock.
About Cna Financial Corp
CNA Financial Corporation is an insurance holding company. The Company’s segments include Specialty, Commercial, International, Life & Group Non-Core, and Corporate & Other Non-Core. Its Specialty segment provides a range of professional, financial, and specialty property, and casualty products and services.
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