CNO Financial Group, Inc. (NYSE:CNO) CEO Gary C. Bhojwani has sold a significant number of shares in the company, according to a recent filing with the Securities and Exchange Commission. Over the course of two transactions, Bhojwani sold a total of 38,892 shares of common stock for an aggregate amount exceeding $1.06 million.
The first sale took place on March 28, 2024, when Bhojwani parted with 18,692 shares at a weighted average price of $27.516, with individual sales ranging from $27.35 to $27.66 per share. The second sale occurred on April 1, 2024, involving 20,200 shares sold at a weighted average price of $27.314, with prices ranging between $27.08 and $27.45 per share.
These sales were executed pursuant to a Rule 10b5-1 trading plan that Bhojwani adopted on December 19, 2023. Rule 10b5-1 trading plans allow company insiders to establish pre-planned transactions at a time when they are not in possession of material non-public information, providing an affirmative defense against accusations of insider trading.
Following these transactions, CEO Bhojwani's direct holdings in CNO Financial have decreased, yet he still maintains a substantial indirect ownership through trusts. The filings report that Bhojwani has an indirect ownership of 634,105 shares through the Gary C. Bhojwani Revocable Trust and a further 15,182 shares through the Gary C. Bhojwani Irrevocable Trust.
CNO Financial Group, headquartered in Carmel, Indiana, is known for its portfolio of life and health insurance companies that provide financial security to middle-income Americans. The company has not issued any statements regarding these recent stock sales by its CEO, and the transactions appear to be part of Bhojwani's personal financial planning strategy.
Investors and analysts often monitor insider transactions as they may provide insights into executives' perspectives on the company's future performance. However, these sales and purchases can be influenced by a variety of factors personal to the insiders and do not necessarily signal a change in company fundamentals.
InvestingPro Insights
Amidst the news of CNO Financial Group, Inc. CEO Gary C. Bhojwani's recent stock sales, InvestingPro data and tips provide a broader financial perspective on the company. CNO Financial has demonstrated a commitment to shareholder returns, with a notable track record of raising its dividend for 12 consecutive years. This consistency is further underscored by the fact that the company has maintained dividend payments for over a decade. Additionally, the company's liquid assets surpass its short-term obligations, indicating a solid financial position that may reassure investors about the company's ability to meet its immediate financial commitments.
From a valuation standpoint, CNO Financial's market capitalization stands at $2.95 billion, with a Price-to-Earnings (P/E) ratio of 11.17, which is adjusted to 10.69 based on the last twelve months as of Q4 2023. The company's revenue growth has been impressive, with a 15.94% increase over the last twelve months as of Q4 2023, and a 20.22% quarterly growth in Q4 2023. These metrics suggest that CNO Financial is expanding its top-line at a robust pace.
For those seeking further insights and analysis, InvestingPro offers additional InvestingPro Tips on CNO Financial. For instance, while analysts predict the company will be profitable this year, it's important to note that two analysts have revised their earnings downwards for the upcoming period. Keeping track of such revisions can be crucial for investors looking to understand the potential direction of the company's earnings. With the use of the promo code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription to access these and many more tips, including the total count of tips available for CNO Financial on InvestingPro.
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