FAIRFAX FINL HLDGS LTD - FFHCN 2.962 PERP (FFH-PR-G.CA) Stock Fundamental Analysis
TSX:FFH-PR-G - Toronto Stock Exchange - CA3039018625 - Currency: CAD
FFH-PR-G gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 82 industry peers in the Insurance industry. There are concerns on the financial health of FFH-PR-G while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on FFH-PR-G.
1. Profitability
1.1 Basic Checks
In the past year FFH-PR-G was profitable.
FFH-PR-G had a positive operating cash flow in the past year.
Each year in the past 5 years FFH-PR-G has been profitable.
The reported operating cash flow has been mixed in the past 5 years: FFH-PR-G reported negative operating cash flow in multiple years.
1.2 Ratios
FFH-PR-G has a better Return On Assets (4.01%) than 92.68% of its industry peers.
FFH-PR-G has a better Return On Equity (16.12%) than 98.78% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.10%, FFH-PR-G belongs to the top of the industry, outperforming 84.15% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FFH-PR-G is above the industry average of 2.73%.
The 3 year average ROIC (4.77%) for FFH-PR-G is below the current ROIC(5.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 16.12% | ||
| ROIC | 5.1% |
ROA(3y)4.31%
ROA(5y)3.41%
ROE(3y)17.47%
ROE(5y)14.83%
ROIC(3y)4.77%
ROIC(5y)3.33%
1.3 Margins
FFH-PR-G has a Profit Margin of 10.03%. This is in the better half of the industry: FFH-PR-G outperforms 63.41% of its industry peers.
In the last couple of years the Profit Margin of FFH-PR-G has remained more or less at the same level.
Looking at the Operating Margin, with a value of 14.77%, FFH-PR-G is doing worse than 76.83% of the companies in the same industry.
FFH-PR-G's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.77% | ||
| PM (TTM) | 10.03% | ||
| GM | N/A |
OM growth 3Y17.05%
OM growth 5Y16.15%
PM growth 3Y-10.7%
PM growth 5Y0.68%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
FFH-PR-G has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
FFH-PR-G has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FFH-PR-G has less shares outstanding
Compared to 1 year ago, FFH-PR-G has a worse debt to assets ratio.
2.2 Solvency
FFH-PR-G has a debt to FCF ratio of 3.28. This is a good value and a sign of high solvency as FFH-PR-G would need 3.28 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.28, FFH-PR-G is doing worse than 63.41% of the companies in the same industry.
A Debt/Equity ratio of 0.49 indicates that FFH-PR-G is not too dependend on debt financing.
FFH-PR-G has a Debt to Equity ratio of 0.49. This is in the lower half of the industry: FFH-PR-G underperforms 64.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.28 | ||
| Altman-Z | N/A |
ROIC/WACC1.21
WACC4.22%
2.3 Liquidity
A Current Ratio of 0.52 indicates that FFH-PR-G may have some problems paying its short term obligations.
The Current ratio of FFH-PR-G (0.52) is better than 85.37% of its industry peers.
A Quick Ratio of 0.52 indicates that FFH-PR-G may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.52, FFH-PR-G belongs to the top of the industry, outperforming 85.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.74% over the past year.
FFH-PR-G shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.21% yearly.
Looking at the last year, FFH-PR-G shows a quite strong growth in Revenue. The Revenue has grown by 11.32% in the last year.
The Revenue has been growing by 13.88% on average over the past years. This is quite good.
EPS 1Y (TTM)11.74%
EPS 3Y9.62%
EPS 5Y18.21%
EPS Q2Q%38.55%
Revenue 1Y (TTM)11.32%
Revenue growth 3Y17.52%
Revenue growth 5Y13.88%
Sales Q2Q%-18.6%
3.2 Future
FFH-PR-G is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -5.80% yearly.
The Revenue is expected to grow by 12.47% on average over the next years. This is quite good.
EPS Next Y-2.62%
EPS Next 2Y4.02%
EPS Next 3Y-3.62%
EPS Next 5Y-5.8%
Revenue Next Year28.13%
Revenue Next 2Y17.21%
Revenue Next 3Y18.16%
Revenue Next 5Y12.47%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 0.10, the valuation of FFH-PR-G can be described as very cheap.
FFH-PR-G's Price/Earnings ratio is rather cheap when compared to the industry. FFH-PR-G is cheaper than 93.90% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.29. FFH-PR-G is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 0.10 indicates a rather cheap valuation of FFH-PR-G.
Based on the Price/Forward Earnings ratio, FFH-PR-G is valued cheaply inside the industry as 98.78% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of FFH-PR-G to the average of the S&P500 Index (22.17), we can say FFH-PR-G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.1 | ||
| Fwd PE | 0.1 |
4.2 Price Multiples
FFH-PR-G's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. FFH-PR-G is cheaper than 96.34% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FFH-PR-G indicates a rather cheap valuation: FFH-PR-G is cheaper than 80.49% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.12 | ||
| EV/EBITDA | 1.47 |
4.3 Compensation for Growth
The decent profitability rating of FFH-PR-G may justify a higher PE ratio.
A cheap valuation may be justified as FFH-PR-G's earnings are expected to decrease with -3.62% in the coming years.
PEG (NY)N/A
PEG (5Y)0.01
EPS Next 2Y4.02%
EPS Next 3Y-3.62%
5. Dividend
5.1 Amount
FFH-PR-G has a yearly dividend return of 0.94%, which is pretty low.
With a Dividend Yield of 0.94, FFH-PR-G pays less dividend than the industry average, which is at 4.24. 89.02% of the companies listed in the same industry pay a better dividend than FFH-PR-G!
With a Dividend Yield of 0.94, FFH-PR-G pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
The dividend of FFH-PR-G is nicely growing with an annual growth rate of 17.11%!
FFH-PR-G has been paying a dividend for at least 10 years, so it has a reliable track record.
FFH-PR-G has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)17.11%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
FFH-PR-G pays out 15.10% of its income as dividend. This is a sustainable payout ratio.
DP15.1%
EPS Next 2Y4.02%
EPS Next 3Y-3.62%
FAIRFAX FINL HLDGS LTD - FFHCN 2.962 PERP
TSX:FFH-PR-G (6/2/2025, 7:00:00 PM)
24.41
+0.02 (+0.08%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners38.23%
Inst Owner ChangeN/A
Ins Owners4.01%
Ins Owner ChangeN/A
Market Cap591.45M
Analysts78.18
Price Target28.47 (16.63%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend35.18
Dividend Growth(5Y)17.11%
DP15.1%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.1%
Min EPS beat(2)23.14%
Max EPS beat(2)29.06%
EPS beat(4)3
Avg EPS beat(4)10.96%
Min EPS beat(4)-25.87%
Max EPS beat(4)29.06%
EPS beat(8)6
Avg EPS beat(8)12.63%
EPS beat(12)10
Avg EPS beat(12)134.85%
EPS beat(16)14
Avg EPS beat(16)129.12%
Revenue beat(2)2
Avg Revenue beat(2)29.57%
Min Revenue beat(2)19.64%
Max Revenue beat(2)39.5%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.65%
PT rev (3m)8.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-21.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.03%
Revenue NY rev (1m)-0.46%
Revenue NY rev (3m)7.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.1 | ||
| Fwd PE | 0.1 | ||
| P/S | 0.01 | ||
| P/FCF | 0.12 | ||
| P/OCF | 0.11 | ||
| P/B | 0.02 | ||
| P/tB | 0.03 | ||
| EV/EBITDA | 1.47 |
EPS(TTM)236.88
EY970.42%
EPS(NY)238.71
Fwd EY977.94%
FCF(TTM)202.69
FCFY830.35%
OCF(TTM)225.81
OCFY925.08%
SpS2186.17
BVpS1360.75
TBVpS892.73
PEG (NY)N/A
PEG (5Y)0.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 16.12% | ||
| ROCE | 6.3% | ||
| ROIC | 5.1% | ||
| ROICexc | 5.25% | ||
| ROICexgc | 7.99% | ||
| OM | 14.77% | ||
| PM (TTM) | 10.03% | ||
| GM | N/A | ||
| FCFM | 9.27% |
ROA(3y)4.31%
ROA(5y)3.41%
ROE(3y)17.47%
ROE(5y)14.83%
ROIC(3y)4.77%
ROIC(5y)3.33%
ROICexc(3y)4.93%
ROICexc(5y)3.46%
ROICexgc(3y)6.66%
ROICexgc(5y)4.71%
ROCE(3y)5.89%
ROCE(5y)4.11%
ROICexcg growth 3Y29.29%
ROICexcg growth 5Y23.46%
ROICexc growth 3Y31.23%
ROICexc growth 5Y24.08%
OM growth 3Y17.05%
OM growth 5Y16.15%
PM growth 3Y-10.7%
PM growth 5Y0.68%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.28 | ||
| Debt/EBITDA | 1.82 | ||
| Cap/Depr | 54.24% | ||
| Cap/Sales | 1.06% | ||
| Interest Coverage | 10.09 | ||
| Cash Conversion | 61.78% | ||
| Profit Quality | 92.4% | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | N/A |
F-Score5
WACC4.22%
ROIC/WACC1.21
Cap/Depr(3y)57.82%
Cap/Depr(5y)49.57%
Cap/Sales(3y)1.28%
Cap/Sales(5y)1.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.74%
EPS 3Y9.62%
EPS 5Y18.21%
EPS Q2Q%38.55%
EPS Next Y-2.62%
EPS Next 2Y4.02%
EPS Next 3Y-3.62%
EPS Next 5Y-5.8%
Revenue 1Y (TTM)11.32%
Revenue growth 3Y17.52%
Revenue growth 5Y13.88%
Sales Q2Q%-18.6%
Revenue Next Year28.13%
Revenue Next 2Y17.21%
Revenue Next 3Y18.16%
Revenue Next 5Y12.47%
EBIT growth 1Y5.51%
EBIT growth 3Y37.56%
EBIT growth 5Y32.27%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y748.28%
FCF growth 3Y-17.08%
FCF growth 5Y28.19%
OCF growth 1Y10341%
OCF growth 3Y-15.59%
OCF growth 5Y24.13%