Explain this page
Arphra AIPlain-English read on Cincinnati Financial Corporation’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Headline | ||||||||
| Market cap | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — |
| Multiples | ||||||||
| P / E | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — |
| Yields | ||||||||
| Earnings yield | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Margins | ||||||||
| Gross margin | +59.39% | +23.53% | +47.33% | +49.40% | +50.12% | +50.10% | +49.34% | +48.42% |
| Operating margin | +38.42% | -10.57% | +22.73% | +25.21% | +23.59% | +23.63% | +24.43% | +24.38% |
| EBITDA margin | +40.19% | -7.83% | +24.39% | +26.82% | +25.34% | +24.83% | +26.12% | +25.32% |
| EBIT margin | +38.97% | -9.77% | +23.27% | +25.68% | +24.01% | +24.12% | +24.92% | +24.21% |
| Pre-tax margin | +38.42% | -10.57% | +22.73% | +25.21% | +23.59% | +23.43% | +23.81% | +23.37% |
| Net margin | +30.83% | -7.42% | +18.41% | +20.22% | +18.95% | +19.67% | +18.81% | +19.51% |
| Cost structure | ||||||||
| Cost of revenue / sales | +40.61% | +76.47% | +52.67% | +50.60% | +49.88% | +49.55% | +52.02% | +50.86% |
| R&D intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| SG&A intensity | 0.00% | 0.00% | 0.00% | 0.00% | +26.64% | +8.85% | +8.75% | +8.76% |
| Effective tax rate | +19.74% | — | +19.02% | +19.80% | +19.70% | +19.36% | +19.71% | +19.79% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Returns | ||||||||
| Return on equity (ROE) | +22.65% | -4.61% | +15.23% | +16.45% | +15.04% | +15.74% | +14.96% | +15.58% |
| Return on assets (ROA) | +9.46% | -1.64% | +5.62% | +6.28% | +5.84% | +6.11% | +5.66% | +5.91% |
| Return on capital (ROC) | +26.41% | -6.06% | +17.55% | +19.30% | +17.74% | +17.77% | +18.28% | +18.34% |
| Return on invested capital (ROIC) | +21.20% | -4.54% | +14.21% | +15.48% | +14.25% | +14.79% | +14.07% | +14.68% |
| Asset turnover | +30.67% | +22.07% | +30.56% | +31.06% | +30.81% | +31.04% | +30.12% | +30.27% |
| DuPont · ROE decomposition | ||||||||
| Net margin | +30.83% | -7.42% | +18.41% | +20.22% | +18.95% | +19.67% | +18.81% | +19.51% |
| Asset turnover (× revenue / assets) | +30.67% | +22.07% | +30.56% | +31.06% | +30.81% | +31.04% | +30.12% | +30.27% |
| Equity multiplier (× assets / equity) | +239.50% | +281.50% | +270.86% | +261.94% | +257.70% | +257.79% | +264.06% | +263.81% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Turnover | ||||||||
| Asset turnover | 0.31 | 0.22 | 0.31 | 0.31 | 0.31 | 0.31 | 0.30 | 0.30 |
| Fixed-asset turnover | 46.96 | 32.49 | 48.14 | 52.98 | 57.68 | — | — | — |
| Inventory turnover | — | — | — | — | — | — | — | — |
| Receivables turnover | 3.36 | 2.03 | 2.83 | 2.96 | 3.02 | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — |
| Days outstanding | ||||||||
| Days sales outstanding (DSO) | 108.64 | 180.14 | 129.15 | 123.44 | 120.73 | — | — | — |
| Days inventory outstanding (DIO) | — | — | — | — | — | — | — | — |
| Days payables outstanding (DPO) | — | — | — | — | — | — | — | — |
| Cash conversion cycle | 108.64 | 180.14 | 129.15 | 123.44 | 120.73 | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 0.67 | -4.21 | 1.11 | 1.16 | 1.30 | 1.18 | 1.25 | 1.19 |
| FCF / Net income | 0.66 | -4.18 | 1.10 | 1.15 | 1.29 | 1.14 | 1.21 | 1.17 |
| FCF margin | +20.42% | +31.04% | +20.31% | +23.17% | +24.48% | +22.51% | +22.70% | +22.75% |
| OCF margin | +20.58% | +31.27% | +20.49% | +23.37% | +24.64% | +23.16% | +23.51% | +23.28% |
| CapEx / Revenue | +0.16% | +0.23% | +0.18% | +0.19% | +0.16% | +0.18% | +0.17% | +0.18% |
| CapEx / D&A | 0.16 | 0.12 | 0.16 | 0.17 | 0.12 | — | — | — |
| Stock-based comp / Revenue | +0.34% | +0.55% | 0.00% | 0.00% | 0.00% | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 18.10 | -3.06 | 11.66 | 14.53 | 15.17 | 8.68 | 9.11 | 8.75 |
| EPS · basic | 18.30 | -3.06 | 11.74 | 14.65 | 15.17 | 8.62 | 9.06 | 8.74 |
| Book value / share | 80.55 | 66.51 | 76.52 | 88.31 | 100.86 | 84.34 | 90.19 | 91.76 |
| Tangible BV / share | 74.98 | 60.13 | 69.61 | 80.44 | 92.34 | 84.34 | 90.19 | 91.76 |
| Sales / share | 59.16 | 41.33 | 63.33 | 71.84 | 80.07 | 67.49 | 71.73 | 73.28 |
| Operating CF / share | 12.18 | 12.92 | 12.98 | 16.79 | 19.73 | 15.63 | 16.86 | 17.06 |
| Free cash flow / share | 12.08 | 12.83 | 12.87 | 16.65 | 19.60 | 15.20 | 16.28 | 16.67 |
| Dividends / share | 2.43 | 2.66 | 2.87 | 3.11 | 3.33 | 3.01 | 3.17 | 3.20 |
| Payout ratio | +13.31% | -86.86% | +24.63% | +21.38% | +21.94% | +22.68% | +23.49% | +22.39% |
| Retention ratio | +86.69% | +186.86% | +75.37% | +78.62% | +78.06% | +77.32% | +76.51% | +77.61% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 7y CAGR |
|---|---|---|---|---|---|---|---|---|---|
| Top-line | |||||||||
| Revenue · YoY | — | -31.82% | +52.57% | +13.22% | +11.41% | -15.38% | +5.77% | +1.37% | +2.52% |
| Gross profit · YoY | — | -72.99% | +206.93% | +18.17% | +13.05% | -15.42% | +4.16% | -0.52% | -0.43% |
| Profit | |||||||||
| Operating income · YoY | — | -118.77% | +427.95% | +25.57% | +4.27% | -15.24% | +9.35% | +1.15% | -3.93% |
| EBITDA · YoY | — | -113.29% | +575.10% | +24.53% | +5.26% | -17.11% | +11.30% | -1.73% | -4.03% |
| Net income · YoY | — | -116.41% | +478.44% | +24.36% | +4.41% | -12.16% | +1.13% | +5.20% | -3.96% |
| Operating | |||||||||
| EBIT · YoY | — | -117.09% | +463.49% | +24.94% | +4.19% | -15.01% | +9.29% | -1.52% | -4.22% |
| R&D · YoY | — | — | — | — | — | — | — | — | — |
| Per-share | |||||||||
| EPS · diluted · YoY | — | -116.91% | +481.05% | +24.61% | +4.40% | -42.77% | +4.89% | -3.92% | -9.86% |
| EPS · basic · YoY | — | -116.72% | +483.66% | +24.79% | +3.55% | -43.19% | +5.14% | -3.55% | -10.02% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E |
|---|---|---|---|---|---|---|---|---|
| Leverage | ||||||||
| Total debt | $897M | $891M | $874M | $875M | $886M | $854.72M | $899.22M | $882.77M |
| Net debt | -$242M | -$373M | -$33M | -$108M | -$545M | -$194.16M | -$182.35M | -$251.3M |
| Net debt / EBITDA | -0.06 | 0.73 | -0.01 | -0.04 | -0.17 | -0.07 | -0.06 | -0.09 |
| Debt / equity | 0.07 | 0.08 | 0.07 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 |
| Debt / assets | +2.86% | +3.00% | +2.67% | +2.40% | +2.16% | +2.48% | +2.40% | +2.33% |
| Equity / assets | +41.75% | +35.52% | +36.92% | +38.18% | +38.81% | +38.79% | +37.87% | +37.91% |
| Coverage | ||||||||
| EBITDA / interest expense | 73.00 | -9.70 | 45.22 | 57.38 | 603.96 | 70.80 | 75.34 | 70.68 |
| Operating income / interest | 69.77 | -13.09 | 42.15 | 53.92 | 562.26 | 67.39 | 70.46 | 68.04 |
| Interest expense | $53M | $53M | $54M | $53M | $5.3M | $37.48M | $39.2M | $41.06M |
| Liquidity | ||||||||
| Current ratio | 1.38 | 1.26 | 1.26 | 1.31 | 1.29 | — | — | — |
| Quick ratio | 1.38 | 1.26 | 1.26 | 1.31 | 1.28 | — | — | — |
| Cash ratio | 0.09 | 0.10 | 0.06 | 0.06 | 0.08 | — | — | — |
| Working capital | $4.73B | $3.49B | $3.78B | $5.05B | $5.33B | — | — | — |
| Working capital / revenue | +49.14% | +53.22% | +37.73% | +44.54% | +42.21% | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).