What is the Putty near Counter Sprocket

Sorry if this is a stupid question, but I was cleaning the bike and noticed some white, soft material I've never seen before near the counter sprocket. Probably just a putty to secure some of the wires?
Was this painted black before and the color wore out? Just never noticed the white bulge there before..

It seals the opening --- where the wire goes into the case.
Normal.

TwilightZone wrote:

It seals the opening --- where the wire goes into the case.
Normal.

And I believe that is the speedometer cable which connects to the transmission.

Bob

Neutral sensor. I know because I managed to rip the wire out of mine on a stick :( no more warming up on the kickstands for me unless I spend $50