CNO Financial Group's (NYSE:CNO) ROE Dragging on Company

The operating ROE of CNO Financial Group (NYSE:CNO) has them on the lower end of the spectrum in relationship to the overall life group.

UBS says, "Despite Bankers', Colonial Penn’s, and Washington National’s respectable trailing 12-month operating ROEs of 12.6%, 7.7%, and 9.4% as of 3Q10, resp., Other CNO Business and corporate segment remain earnings/ROE drags—with operating ROEs of (6.6)% and (8.3)%, resp. Consolidated trailing 12-month operating ROE was 5.5% as of 3Q10. We project CNO’s ’11E and ’12E operating ROE to be 6% and 6.3%, pale in comparison to our life group’s -11% and over 11%, respectively."

UBS reiterates a "Neutral" rating on CNO Financial Group, which closed Thursday at $7.00, down $0.02, or 0.28 percent. UBS raised their price target on CNO Financial Group from $6 to $7.50.