Logo image of FFH.CA

FAIRFAX FINANCIAL HLDGS LTD (FFH.CA) Stock Fundamental Analysis

Canada - TSX:FFH - CA3039011026 - Common Stock

2291.84 CAD
+42.49 (+1.89%)
Last: 11/14/2025, 7:00:00 PM
Fundamental Rating

5

Taking everything into account, FFH scores 5 out of 10 in our fundamental rating. FFH was compared to 80 industry peers in the Insurance industry. FFH has an excellent profitability rating, but there are concerns on its financial health. FFH is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

In the past year FFH was profitable.
FFH had a positive operating cash flow in the past year.
Each year in the past 5 years FFH has been profitable.
In multiple years FFH reported negative operating cash flow during the last 5 years.
FFH.CA Yearly Net Income VS EBIT VS OCF VS FCFFFH.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B -4B 6B

1.2 Ratios

FFH has a Return On Assets of 4.41%. This is amongst the best in the industry. FFH outperforms 83.75% of its industry peers.
Looking at the Return On Equity, with a value of 17.74%, FFH belongs to the top of the industry, outperforming 96.25% of the companies in the same industry.
The Return On Invested Capital of FFH (5.36%) is better than 81.25% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FFH is above the industry average of 2.46%.
The 3 year average ROIC (4.77%) for FFH is below the current ROIC(5.36%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 4.41%
ROE 17.74%
ROIC 5.36%
ROA(3y)4.31%
ROA(5y)3.41%
ROE(3y)17.47%
ROE(5y)14.83%
ROIC(3y)4.77%
ROIC(5y)3.33%
FFH.CA Yearly ROA, ROE, ROICFFH.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 10 15 20

1.3 Margins

Looking at the Profit Margin, with a value of 11.07%, FFH is in the better half of the industry, outperforming 66.25% of the companies in the same industry.
FFH's Profit Margin has been stable in the last couple of years.
With a Operating Margin value of 15.63%, FFH perfoms like the industry average, outperforming 52.50% of the companies in the same industry.
FFH's Operating Margin has improved in the last couple of years.
Industry RankSector Rank
OM 15.63%
PM (TTM) 11.07%
GM N/A
OM growth 3Y17.05%
OM growth 5Y16.16%
PM growth 3Y-10.7%
PM growth 5Y0.68%
GM growth 3YN/A
GM growth 5YN/A
FFH.CA Yearly Profit, Operating, Gross MarginsFFH.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 10 15

3

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FFH is destroying value.
The number of shares outstanding for FFH has been reduced compared to 1 year ago.
Compared to 5 years ago, FFH has less shares outstanding
Compared to 1 year ago, FFH has a worse debt to assets ratio.
FFH.CA Yearly Shares OutstandingFFH.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M 25M
FFH.CA Yearly Total Debt VS Total AssetsFFH.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20B 40B 60B 80B

2.2 Solvency

FFH has a debt to FCF ratio of 3.94. This is a good value and a sign of high solvency as FFH would need 3.94 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.94, FFH is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.51 indicates that FFH is somewhat dependend on debt financing.
The Debt to Equity ratio of FFH (0.51) is worse than 67.50% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.51
Debt/FCF 3.94
Altman-Z N/A
ROIC/WACC0.75
WACC7.15%
FFH.CA Yearly LT Debt VS Equity VS FCFFFH.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B 20B

2.3 Liquidity

FFH has a Current Ratio of 0.52. This is a bad value and indicates that FFH is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.52, FFH belongs to the top of the industry, outperforming 82.50% of the companies in the same industry.
A Quick Ratio of 0.52 indicates that FFH may have some problems paying its short term obligations.
With an excellent Quick ratio value of 0.52, FFH belongs to the best of the industry, outperforming 82.50% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.52
Quick Ratio 0.52
FFH.CA Yearly Current Assets VS Current LiabilitesFFH.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

5

3. Growth

3.1 Past

FFH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.47%, which is quite impressive.
FFH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.21% yearly.
FFH shows a small growth in Revenue. In the last year, the Revenue has grown by 7.16%.
The Revenue has been growing by 13.88% on average over the past years. This is quite good.
EPS 1Y (TTM)26.47%
EPS 3Y9.62%
EPS 5Y18.21%
EPS Q2Q%22.1%
Revenue 1Y (TTM)7.16%
Revenue growth 3Y17.52%
Revenue growth 5Y13.88%
Sales Q2Q%-7.31%

3.2 Future

Based on estimates for the next years, FFH will show a decrease in Earnings Per Share. The EPS will decrease by -3.91% on average per year.
The Revenue is expected to grow by 12.52% on average over the next years. This is quite good.
EPS Next Y19.99%
EPS Next 2Y1.66%
EPS Next 3Y2.88%
EPS Next 5Y-3.91%
Revenue Next Year30.1%
Revenue Next 2Y17.21%
Revenue Next 3Y18.16%
Revenue Next 5Y12.52%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
FFH.CA Yearly Revenue VS EstimatesFFH.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 10B 20B 30B 40B
FFH.CA Yearly EPS VS EstimatesFFH.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0 50 100 150

5

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 7.91, the valuation of FFH can be described as very cheap.
83.75% of the companies in the same industry are cheaper than FFH, based on the Price/Earnings ratio.
FFH is valuated cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
FFH is valuated reasonably with a Price/Forward Earnings ratio of 9.82.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FFH is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of FFH to the average of the S&P500 Index (34.59), we can say FFH is valued rather cheaply.
Industry RankSector Rank
PE 7.91
Fwd PE 9.82
FFH.CA Price Earnings VS Forward Price EarningsFFH.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

70.00% of the companies in the same industry are more expensive than FFH, based on the Enterprise Value to EBITDA ratio.
85.00% of the companies in the same industry are cheaper than FFH, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 11.7
EV/EBITDA 6.06
FFH.CA Per share dataFFH.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 500 1K 1.5K 2K

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of FFH may justify a higher PE ratio.
PEG (NY)0.4
PEG (5Y)0.43
EPS Next 2Y1.66%
EPS Next 3Y2.88%

5

5. Dividend

5.1 Amount

With a yearly dividend of 0.96%, FFH is not a good candidate for dividend investing.
With a Dividend Yield of 0.96, FFH pays less dividend than the industry average, which is at 4.58. 95.00% of the companies listed in the same industry pay a better dividend than FFH!
Compared to an average S&P500 Dividend Yield of 2.44, FFH's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.96%

5.2 History

The dividend of FFH is nicely growing with an annual growth rate of 16.82%!
FFH has paid a dividend for at least 10 years, which is a reliable track record.
FFH has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)16.82%
Div Incr Years1
Div Non Decr Years20
FFH.CA Yearly Dividends per shareFFH.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10

5.3 Sustainability

18.53% of the earnings are spent on dividend by FFH. This is a low number and sustainable payout ratio.
DP18.53%
EPS Next 2Y1.66%
EPS Next 3Y2.88%
FFH.CA Yearly Income VS Free CF VS DividendFFH.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B -4B 6B
FFH.CA Dividend Payout.FFH.CA Dividend Payout, showing the Payout Ratio.FFH.CA Dividend Payout.PayoutRetained Earnings

FAIRFAX FINANCIAL HLDGS LTD

TSX:FFH (11/14/2025, 7:00:00 PM)

2291.84

+42.49 (+1.89%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-11 2026-02-11/amc
Inst Owners39.53%
Inst Owner ChangeN/A
Ins Owners2.45%
Ins Owner ChangeN/A
Market Cap55.07B
Revenue(TTM)41.58B
Net Income(TTM)4.57B
Analysts80
Price Target2963.26 (29.3%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.96%
Yearly Dividend35.48
Dividend Growth(5Y)16.82%
DP18.53%
Div Incr Years1
Div Non Decr Years20
Ex-Date01-16 2025-01-16 (15)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.86%
Min EPS beat(2)15.05%
Max EPS beat(2)38.68%
EPS beat(4)4
Avg EPS beat(4)26.48%
Min EPS beat(4)15.05%
Max EPS beat(4)38.68%
EPS beat(8)7
Avg EPS beat(8)18.56%
EPS beat(12)10
Avg EPS beat(12)20.16%
EPS beat(16)14
Avg EPS beat(16)109.42%
Revenue beat(2)1
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-4.02%
Max Revenue beat(2)0.76%
Revenue beat(4)3
Avg Revenue beat(4)13.97%
Min Revenue beat(4)-4.02%
Max Revenue beat(4)39.5%
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)1.16%
PT rev (3m)0.58%
EPS NQ rev (1m)11.67%
EPS NQ rev (3m)12.85%
EPS NY rev (1m)0.78%
EPS NY rev (3m)23.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)21.08%
Valuation
Industry RankSector Rank
PE 7.91
Fwd PE 9.82
P/S 0.95
P/FCF 11.7
P/OCF 10.36
P/B 1.52
P/tB 2.26
EV/EBITDA 6.06
EPS(TTM)289.9
EY12.65%
EPS(NY)233.36
Fwd EY10.18%
FCF(TTM)195.86
FCFY8.55%
OCF(TTM)221.32
OCFY9.66%
SpS2407.75
BVpS1503.54
TBVpS1011.95
PEG (NY)0.4
PEG (5Y)0.43
Graham Number3131.65
Profitability
Industry RankSector Rank
ROA 4.41%
ROE 17.74%
ROCE 6.62%
ROIC 5.36%
ROICexc 5.83%
ROICexgc 9.04%
OM 15.63%
PM (TTM) 11.07%
GM N/A
FCFM 8.13%
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%
ROICexgc growth 3Y29.29%
ROICexgc growth 5Y23.47%
ROICexc growth 3Y31.23%
ROICexc growth 5Y24.09%
OM growth 3Y17.05%
OM growth 5Y16.16%
PM growth 3Y-10.7%
PM growth 5Y0.68%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.4
Health
Industry RankSector Rank
Debt/Equity 0.51
Debt/FCF 3.94
Debt/EBITDA 1.8
Cap/Depr 48.34%
Cap/Sales 1.06%
Interest Coverage 250
Cash Conversion 51.59%
Profit Quality 73.45%
Current Ratio 0.52
Quick Ratio 0.52
Altman-Z N/A
F-Score6
WACC7.15%
ROIC/WACC0.75
Cap/Depr(3y)57.82%
Cap/Depr(5y)49.56%
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)26.47%
EPS 3Y9.62%
EPS 5Y18.21%
EPS Q2Q%22.1%
EPS Next Y19.99%
EPS Next 2Y1.66%
EPS Next 3Y2.88%
EPS Next 5Y-3.91%
Revenue 1Y (TTM)7.16%
Revenue growth 3Y17.52%
Revenue growth 5Y13.88%
Sales Q2Q%-7.31%
Revenue Next Year30.1%
Revenue Next 2Y17.21%
Revenue Next 3Y18.16%
Revenue Next 5Y12.52%
EBIT growth 1Y13.64%
EBIT growth 3Y37.56%
EBIT growth 5Y32.28%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y250.03%
FCF growth 3Y-17.08%
FCF growth 5Y28.19%
OCF growth 1Y321.91%
OCF growth 3Y-15.59%
OCF growth 5Y24.13%

FAIRFAX FINANCIAL HLDGS LTD / FFH.CA FAQ

Can you provide the ChartMill fundamental rating for FAIRFAX FINANCIAL HLDGS LTD?

ChartMill assigns a fundamental rating of 5 / 10 to FFH.CA.


What is the valuation status for FFH stock?

ChartMill assigns a valuation rating of 5 / 10 to FAIRFAX FINANCIAL HLDGS LTD (FFH.CA). This can be considered as Fairly Valued.


How profitable is FAIRFAX FINANCIAL HLDGS LTD (FFH.CA) stock?

FAIRFAX FINANCIAL HLDGS LTD (FFH.CA) has a profitability rating of 7 / 10.


What is the valuation of FAIRFAX FINANCIAL HLDGS LTD based on its PE and PB ratios?

The Price/Earnings (PE) ratio for FAIRFAX FINANCIAL HLDGS LTD (FFH.CA) is 7.91 and the Price/Book (PB) ratio is 1.52.


What is the earnings growth outlook for FAIRFAX FINANCIAL HLDGS LTD?

The Earnings per Share (EPS) of FAIRFAX FINANCIAL HLDGS LTD (FFH.CA) is expected to grow by 19.99% in the next year.