Cincinnati Financial Net Worth
Cincinnati Financial Net Worth Breakdown | CINF |
Cincinnati Financial Net Worth Analysis
Cincinnati Financial's net worth analysis, or its valuation, is the process of determining the total value of the company. This involves assessing a range of factors, including Cincinnati Financial's financial performance, assets, liabilities, and potential for growth. The ultimate goal is to provide a clear understanding of Cincinnati Financial's overall worth, which can help investors make informed investment decisions. There are several methods that can be used to perform Cincinnati Financial's net worth analysis. One common approach is to calculate Cincinnati Financial's market capitalization.Another approach is to use the price-to-earnings ratio (P/E ratio), which compares Cincinnati Financial's stock price to its earnings per share (EPS). Discounted cash flow (DCF) analysis is another popular method for assessing Cincinnati Financial's net worth. This approach calculates the present value of Cincinnati Financial's future cash flows, taking into account factors such as growth rate, profitability, and risk. By comparing the present value of Cincinnati Financial's cash flows to its current stock price, investors can gain a better understanding of the company's overall value. Finally, investors may use comparable company analysis to evaluate Cincinnati Financial's net worth. This involves comparing Cincinnati Financial's financial metrics to similar companies in the same industry. By identifying companies with similar financial characteristics, investors can gain insight into Cincinnati Financial's net worth relative to its peers.
Enterprise Value |
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To determine if Cincinnati Financial is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Cincinnati Financial's net worth research are outlined below:
About 69.0% of the company shares are held by institutions such as insurance companies | |
Latest headline from gurufocus.com: Cincinnati Financial Corp Announces Internet Availability of Proxy Materials for 2025 Annual Meeting |
Cincinnati Financial uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Cincinnati Financial. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Cincinnati Financial's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
6th of February 2024 Upcoming Quarterly Report | View | |
25th of April 2024 Next Financial Report | View | |
31st of December 2023 Next Fiscal Quarter End | View | |
6th of February 2024 Next Fiscal Year End | View | |
30th of September 2023 Last Quarter Report | View | |
31st of December 2022 Last Financial Announcement | View |
Cincinnati Financial Target Price Consensus
Cincinnati target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Cincinnati Financial's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
8 | Buy |
Most Cincinnati analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Cincinnati stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Cincinnati Financial, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationCincinnati Financial Target Price Projection
Cincinnati Financial's current and average target prices are 145.62 and 156.33, respectively. The current price of Cincinnati Financial is the price at which Cincinnati Financial is currently trading. On the other hand, Cincinnati Financial's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Cincinnati Financial Market Quote on 23rd of March 2025
Target Price
Analyst Consensus On Cincinnati Financial Target Price
Know Cincinnati Financial's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Cincinnati Financial is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Cincinnati Financial backward and forwards among themselves. Cincinnati Financial's institutional investor refers to the entity that pools money to purchase Cincinnati Financial's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares | Norges Bank | 2024-12-31 | 1.6 M | Fort Washington Investment Advisors Inc | 2024-12-31 | 1.5 M | Dimensional Fund Advisors, Inc. | 2024-12-31 | 1.4 M | Proshare Advisors Llc | 2024-12-31 | 1.4 M | Johnson Investment Counsel Inc | 2024-12-31 | 1.3 M | Legal & General Group Plc | 2024-12-31 | 1.1 M | Bahl & Gaynor Inc. | 2024-12-31 | 1.1 M | Ubs Asset Mgmt Americas Inc | 2024-12-31 | 1.1 M | Bank Of New York Mellon Corp | 2024-12-31 | 1 M | Vanguard Group Inc | 2024-12-31 | 19.2 M | Blackrock Inc | 2024-12-31 | 12.9 M |
Follow Cincinnati Financial's market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 22.8 B.Market Cap |
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Project Cincinnati Financial's profitablity
Last Reported | Projected for Next Year | ||
Return On Tangible Assets | 0.06 | 0.04 | |
Return On Capital Employed | 0.08 | 0.08 | |
Return On Assets | 0.06 | 0.04 | |
Return On Equity | 0.16 | 0.17 |
When accessing Cincinnati Financial's net worth, it's important to look at multiple sources and consider different scenarios. For example, gross profit margin measures Cincinnati Financial's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Cincinnati Financial's profitability and make more informed investment decisions.
Evaluate Cincinnati Financial's management efficiency
Cincinnati Financial has return on total asset (ROA) of 0.0525 % which means that it generated a profit of $0.0525 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.1761 %, meaning that it created $0.1761 on every $100 dollars invested by stockholders. Cincinnati Financial's management efficiency ratios could be used to measure how well Cincinnati Financial manages its routine affairs as well as how well it operates its assets and liabilities. The Cincinnati Financial's current Return On Equity is estimated to increase to 0.17, while Return On Tangible Assets are projected to decrease to 0.04. At this time, Cincinnati Financial's Non Current Assets Total are most likely to increase significantly in the upcoming years. The Cincinnati Financial's current Other Current Assets is estimated to increase to about 66.4 M, while Total Current Assets are projected to decrease to roughly 979.2 M.Last Reported | Projected for Next Year | ||
Book Value Per Share | 89.10 | 93.55 | |
Tangible Book Value Per Share | 89.10 | 93.55 | |
Enterprise Value Over EBITDA | 5.97 | 8.41 | |
Price Book Value Ratio | 1.61 | 1.05 | |
Enterprise Value Multiple | 5.97 | 8.41 | |
Price Fair Value | 1.61 | 1.05 | |
Enterprise Value | 14.6 B | 15.3 B |
Leadership effectiveness at Cincinnati Financial is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Enterprise Value Revenue 2.0015 | Revenue | Quarterly Revenue Growth (0.24) | Revenue Per Share | Return On Equity |
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Cincinnati Financial insiders, such as employees or executives, is commonly permitted as long as it does not rely on Cincinnati Financial's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Cincinnati Financial insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Cincinnati Financial Corporate Filings
19th of March 2025 Other Reports | ViewVerify | |
F4 | 18th of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 10th of March 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
3rd of March 2025 Other Reports | ViewVerify |
Cincinnati Financial Earnings Estimation Breakdown
The calculation of Cincinnati Financial's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Cincinnati Financial is estimated to be -0.4604 with the future projection ranging from a low of -0.65 to a high of -0.2025. Please be aware that this consensus of annual earnings estimates for Cincinnati Financial is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
-0.65 Lowest | Expected EPS | -0.2 Highest |
Cincinnati Financial Earnings Projection Consensus
Suppose the current estimates of Cincinnati Financial's value are higher than the current market price of the Cincinnati Financial stock. In this case, investors may conclude that Cincinnati Financial is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Cincinnati Financial's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of March 2025 | Current EPS (TTM) | |
8 | 77.6% | 3.14 | -0.4604 | 14.53 |
Cincinnati Financial Earnings per Share Projection vs Actual
Actual Earning per Share of Cincinnati Financial refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Cincinnati Financial predict the company's earnings will be in the future. The higher the earnings per share of Cincinnati Financial, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.Cincinnati Financial Estimated Months Earnings per Share
For an investor who is primarily interested in generating an income out of investing in entities such as Cincinnati Financial, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Cincinnati Financial should always be considered in relation to other companies to make a more educated investment decision.Cincinnati Quarterly Analyst Estimates and Surprise Metrics
Earnings surprises can significantly impact Cincinnati Financial's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
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2025-02-04 | 2024-12-31 | 1.89 | 3.14 | 1.25 | 66 | ||
2024-10-24 | 2024-09-30 | 1.46 | 1.42 | -0.04 | 2 | ||
2024-07-25 | 2024-06-30 | 0.96 | 1.29 | 0.33 | 34 | ||
2024-04-25 | 2024-03-31 | 1.69 | 1.72 | 0.03 | 1 | ||
2024-02-06 | 2023-12-31 | 1.95 | 2.28 | 0.33 | 16 | ||
2023-10-26 | 2023-09-30 | 1.15 | 1.66 | 0.51 | 44 | ||
2023-07-27 | 2023-06-30 | 0.74 | 1.21 | 0.47 | 63 | ||
2023-04-27 | 2023-03-31 | 0.73 | 0.89 | 0.16 | 21 | ||
2023-02-06 | 2022-12-31 | 1.31 | 1.27 | -0.04 | 3 | ||
2022-10-31 | 2022-09-30 | 0.67 | 0.73 | 0.06 | 8 | ||
2022-07-27 | 2022-06-30 | 1.06 | 0.65 | -0.41 | 38 | ||
2022-04-28 | 2022-03-31 | 1.47 | 1.58 | 0.11 | 7 | ||
2022-02-15 | 2021-12-31 | 1.35 | 1.97 | 0.62 | 45 | ||
2021-10-27 | 2021-09-30 | 0.87 | 1.28 | 0.41 | 47 | ||
2021-07-28 | 2021-06-30 | 0.99 | 1.79 | 0.8 | 80 | ||
2021-04-28 | 2021-03-31 | 1.05 | 1.37 | 0.32 | 30 | ||
2021-02-10 | 2020-12-31 | 1.19 | 1.61 | 0.42 | 35 | ||
2020-10-26 | 2020-09-30 | 0.33 | 0.39 | 0.06 | 18 | ||
2020-07-27 | 2020-06-30 | 0.39 | 0.44 | 0.05 | 12 | ||
2020-04-27 | 2020-03-31 | 1.04 | 0.84 | -0.2 | 19 | ||
2020-02-05 | 2019-12-31 | 1.1 | 1.23 | 0.13 | 11 | ||
2019-10-24 | 2019-09-30 | 0.89 | 1.08 | 0.19 | 21 | ||
2019-07-30 | 2019-06-30 | 0.65 | 0.85 | 0.2 | 30 | ||
2019-04-24 | 2019-03-31 | 0.87 | 1.05 | 0.18 | 20 | ||
2019-02-06 | 2018-12-31 | 0.84 | 0.98 | 0.14 | 16 | ||
2018-10-25 | 2018-09-30 | 0.76 | 0.84 | 0.08 | 10 | ||
2018-07-26 | 2018-06-30 | 0.59 | 0.81 | 0.22 | 37 | ||
2018-04-25 | 2018-03-31 | 0.8 | 0.72 | -0.08 | 10 | ||
2018-02-07 | 2017-12-31 | 0.86 | 0.93 | 0.07 | 8 | ||
2017-10-26 | 2017-09-30 | 0.52 | 0.58 | 0.06 | 11 | ||
2017-08-02 | 2017-06-30 | 0.51 | 0.64 | 0.13 | 25 | ||
2017-04-26 | 2017-03-31 | 0.51 | 0.59 | 0.08 | 15 | ||
2017-02-08 | 2016-12-31 | 0.66 | 0.75 | 0.09 | 13 | ||
2016-10-25 | 2016-09-30 | 0.78 | 0.86 | 0.08 | 10 | ||
2016-07-26 | 2016-06-30 | 0.43 | 0.57 | 0.14 | 32 | ||
2016-04-26 | 2016-03-31 | 0.7 | 0.89 | 0.19 | 27 | ||
2016-02-03 | 2015-12-31 | 0.9 | 1.1 | 0.2 | 22 | ||
2015-10-27 | 2015-09-30 | 0.71 | 1.04 | 0.33 | 46 | ||
2015-07-28 | 2015-06-30 | 0.39 | 0.83 | 0.44 | 112 | ||
2015-04-28 | 2015-03-31 | 0.71 | 0.59 | -0.12 | 16 | ||
2015-02-04 | 2014-12-31 | 0.85 | 0.89 | 0.04 | 4 | ||
2014-10-28 | 2014-09-30 | 0.75 | 0.85 | 0.1 | 13 | ||
2014-07-29 | 2014-06-30 | 0.48 | 0.46 | -0.02 | 4 | ||
2014-04-24 | 2014-03-31 | 0.55 | 0.46 | -0.09 | 16 | ||
2014-02-05 | 2013-12-31 | 0.69 | 0.72 | 0.03 | 4 | ||
2013-10-24 | 2013-09-30 | 0.63 | 0.7 | 0.07 | 11 | ||
2013-07-25 | 2013-06-30 | 0.41 | 0.61 | 0.2 | 48 | ||
2013-04-25 | 2013-03-31 | 0.66 | 0.78 | 0.12 | 18 | ||
2013-02-06 | 2012-12-31 | 0.49 | 1.11 | 0.62 | 126 | ||
2012-10-25 | 2012-09-30 | 0.4 | 0.64 | 0.24 | 60 | ||
2012-07-26 | 2012-06-30 | 0.11 | 0.17 | 0.06 | 54 | ||
2012-04-26 | 2012-03-31 | 0.42 | 0.48 | 0.06 | 14 | ||
2012-02-08 | 2011-12-31 | 0.58 | 0.86 | 0.28 | 48 | ||
2011-10-27 | 2011-09-30 | 0.13 | 0.12 | -0.01 | 7 | ||
2011-07-27 | 2011-06-30 | -0.64 | -0.57 | 0.07 | 10 | ||
2011-04-27 | 2011-03-31 | 0.36 | 0.33 | -0.03 | 8 | ||
2011-02-02 | 2010-12-31 | 0.36 | 0.7 | 0.34 | 94 | ||
2010-10-27 | 2010-09-30 | 0.37 | 0.34 | -0.03 | 8 | ||
2010-07-28 | 2010-06-30 | 0.26 | 0.26 | 0.0 | 0 | ||
2010-04-28 | 2010-03-31 | 0.45 | 0.39 | -0.06 | 13 | ||
2010-02-04 | 2009-12-31 | 0.52 | 0.53 | 0.01 | 1 | ||
2009-10-29 | 2009-09-30 | 0.42 | 0.59 | 0.17 | 40 | ||
2009-07-30 | 2009-06-30 | 0.18 | -0.03 | -0.21 | 116 | ||
2009-04-30 | 2009-03-31 | 0.25 | 0.23 | -0.02 | 8 | ||
2009-02-05 | 2008-12-31 | 0.57 | 0.57 | 0.0 | 0 | ||
2008-10-29 | 2008-09-30 | 0.48 | 0.45 | -0.03 | 6 | ||
2008-08-06 | 2008-06-30 | 0.3 | 0.42 | 0.12 | 40 | ||
2008-04-30 | 2008-03-31 | 0.71 | 0.66 | -0.05 | 7 | ||
2008-02-06 | 2007-12-31 | 0.74 | 1.07 | 0.33 | 44 | ||
2007-10-24 | 2007-09-30 | 0.78 | 0.66 | -0.12 | 15 | ||
2007-08-07 | 2007-06-30 | 0.85 | 0.94 | 0.09 | 10 | ||
2007-05-02 | 2007-03-31 | 0.83 | 0.88 | 0.05 | 6 | ||
2007-02-07 | 2006-12-31 | 0.73 | 0.7 | -0.03 | 4 | ||
2006-11-01 | 2006-09-30 | 0.66 | 0.66 | 0.0 | 0 | ||
2006-08-02 | 2006-06-30 | 0.67 | 0.72 | 0.05 | 7 | ||
2006-05-03 | 2006-03-31 | 0.67 | 0.74 | 0.07 | 10 | ||
2006-02-08 | 2005-12-31 | 0.87 | 0.94 | 0.07 | 8 | ||
2005-11-02 | 2005-09-30 | 0.56 | 0.61 | 0.05 | 8 | ||
2005-08-04 | 2005-06-30 | 0.69 | 0.84 | 0.15 | 21 | ||
2005-04-20 | 2005-03-31 | 0.69 | 0.78 | 0.09 | 13 | ||
2005-02-02 | 2004-12-31 | 0.73 | 0.94 | 0.21 | 28 | ||
2004-10-21 | 2004-09-30 | 0.32 | 0.53 | 0.21 | 65 | ||
2004-07-22 | 2004-06-30 | 0.58 | 0.67 | 0.09 | 15 | ||
2004-04-22 | 2004-03-31 | 0.61 | 0.79 | 0.18 | 29 | ||
2004-02-04 | 2003-12-31 | 0.53 | 0.72 | 0.19 | 35 | ||
2003-10-28 | 2003-09-30 | 0.46 | 0.44 | -0.02 | 4 | ||
2003-07-29 | 2003-06-30 | 0.41 | 0.46 | 0.05 | 12 | ||
2003-04-23 | 2003-03-31 | 0.47 | 0.54 | 0.07 | 14 | ||
2003-02-06 | 2002-12-31 | 0.41 | 0.54 | 0.13 | 31 | ||
2002-10-24 | 2002-09-30 | 0.37 | 0.46 | 0.09 | 24 | ||
2002-07-25 | 2002-06-30 | 0.26 | 0.23 | -0.03 | 11 | ||
2002-04-25 | 2002-03-31 | 0.36 | 0.44 | 0.08 | 22 | ||
2002-02-06 | 2001-12-31 | 0.32 | 0.33 | 0.01 | 3 | ||
2001-10-25 | 2001-09-30 | 0.22 | 0.21 | -0.01 | 4 | ||
2001-07-24 | 2001-06-30 | 0.27 | 0.26 | -0.01 | 3 | ||
2001-04-24 | 2001-03-31 | 0.34 | 0.39 | 0.05 | 14 | ||
2001-02-06 | 2000-12-31 | -0.11 | -0.13 | -0.02 | 18 | ||
2000-10-26 | 2000-09-30 | 0.37 | 0.14 | -0.23 | 62 | ||
2000-07-25 | 2000-06-30 | 0.35 | 0.4 | 0.05 | 14 | ||
2000-04-25 | 2000-03-31 | 0.36 | 0.39 | 0.03 | 8 | ||
2000-02-03 | 1999-12-31 | 0.33 | 0.41 | 0.08 | 24 | ||
1999-10-21 | 1999-09-30 | 0.32 | 0.34 | 0.02 | 6 | ||
1999-07-26 | 1999-06-30 | 0.31 | 0.43 | 0.12 | 38 | ||
1999-04-22 | 1999-03-31 | 0.27 | 0.26 | -0.01 | 3 | ||
1999-02-04 | 1998-12-31 | 0.34 | 0.27 | -0.07 | 20 | ||
1998-10-22 | 1998-09-30 | 0.32 | 0.28 | -0.04 | 12 | ||
1998-07-23 | 1998-06-30 | 0.26 | 0.32 | 0.06 | 23 | ||
1998-04-23 | 1998-03-31 | 0.35 | 0.44 | 0.09 | 25 | ||
1998-02-19 | 1997-12-31 | 0.34 | 0.37 | 0.03 | 8 | ||
1997-10-23 | 1997-09-30 | 0.3 | 0.34 | 0.04 | 13 | ||
1997-07-23 | 1997-06-30 | 0.32 | 0.34 | 0.02 | 6 | ||
1997-04-23 | 1997-03-31 | 0.31 | 0.31 | 0.0 | 0 | ||
1997-02-05 | 1996-12-31 | 0.29 | 0.31 | 0.02 | 6 | ||
1996-10-24 | 1996-09-30 | 0.28 | 0.2 | -0.08 | 28 | ||
1996-07-24 | 1996-06-30 | 0.28 | 0.27 | -0.01 | 3 | ||
1996-04-24 | 1996-03-31 | 0.27 | 0.31 | 0.04 | 14 |
Cincinnati Financial Corporate Management
CPA CPA | Principal CFO | Profile | |
Doyle AIM | Senior Company | Profile | |
CPCU ARe | MD Reinsurance | Profile | |
Doyle CPCU | VP Company | Profile | |
CMA CPA | VP Officer | Profile | |
CFA CERA | Chairman CEO | Profile |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cincinnati Financial. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. For more detail on how to invest in Cincinnati Stock please use our How to Invest in Cincinnati Financial guide.You can also try the Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Is Property & Casualty Insurance space 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 Cincinnati Financial. If investors know Cincinnati 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 Cincinnati 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 (0.66) | Dividend Share 3.24 | Earnings Share 14.53 | Revenue Per Share | Quarterly Revenue Growth (0.24) |
The market value of Cincinnati Financial is measured differently than its book value, which is the value of Cincinnati that is recorded on the company's balance sheet. Investors also form their own opinion of Cincinnati Financial's value that differs from its market value or its book value, called intrinsic value, which is Cincinnati 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 Cincinnati Financial's market value can be influenced by many factors that don't directly affect Cincinnati 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 Cincinnati Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Cincinnati Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cincinnati 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.