GREAT-WEST LIFECO INC (GWO.CA) Stock Fundamental Analysis
TSX:GWO - CA39138C1068 - Common Stock
54.55 CAD
+0.21 (+0.39%)
Overall GWO gets a fundamental rating of 4 out of 10. We evaluated GWO against 80 industry peers in the Insurance industry. There are concerns on the financial health of GWO while its profitability can be described as average. GWO is valued expensive and it does not seem to be growing. GWO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year GWO was profitable.
GWO had a positive operating cash flow in the past year.
In the past 5 years GWO has always been profitable.
In the past 5 years GWO always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.46%, GWO is doing worse than 71.25% of the companies in the same industry.
With a Return On Equity value of 11.43%, GWO is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
The Return On Invested Capital of GWO (0.46%) is worse than 60.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GWO is in line with the industry average of 2.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 11.43% | ||
| ROIC | 0.46% |
ROA(3y)0.47%
ROA(5y)0.48%
ROE(3y)11.29%
ROE(5y)11.02%
ROIC(3y)0.46%
ROIC(5y)0.45%
1.3 Margins
GWO has a Profit Margin of 10.77%. This is comparable to the rest of the industry: GWO outperforms 57.50% of its industry peers.
In the last couple of years the Profit Margin of GWO has grown nicely.
GWO has a Operating Margin of 14.86%. This is amonst the worse of the industry: GWO underperforms 83.75% of its industry peers.
GWO's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.86% | ||
| PM (TTM) | 10.77% | ||
| GM | N/A |
OM growth 3Y37.97%
OM growth 5Y21.31%
PM growth 3Y35.92%
PM growth 5Y18.11%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
GWO has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for GWO has been increased compared to 5 years ago.
Compared to 1 year ago, GWO has an improved debt to assets ratio.
2.2 Solvency
GWO has a debt to FCF ratio of 2.17. This is a good value and a sign of high solvency as GWO would need 2.17 years to pay back of all of its debts.
GWO has a worse Debt to FCF ratio (2.17) than 62.50% of its industry peers.
A Debt/Equity ratio of 0.28 indicates that GWO is not too dependend on debt financing.
GWO has a worse Debt to Equity ratio (0.28) than 61.25% of its industry peers.
Even though the debt/equity ratio score it not favorable for GWO, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.17 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.21 indicates that GWO may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.21, GWO is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
A Quick Ratio of 0.21 indicates that GWO may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.21, GWO is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.86% over the past year.
GWO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.95% yearly.
GWO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.22%.
GWO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.19% yearly.
EPS 1Y (TTM)9.86%
EPS 3Y8.87%
EPS 5Y8.95%
EPS Q2Q%11.71%
Revenue 1Y (TTM)8.22%
Revenue growth 3Y-20.55%
Revenue growth 5Y-6.19%
Sales Q2Q%-0.34%
3.2 Future
Based on estimates for the next years, GWO will show a small growth in Earnings Per Share. The EPS will grow by 3.33% on average per year.
GWO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -8.26% yearly.
EPS Next Y5.76%
EPS Next 2Y6.51%
EPS Next 3Y6.47%
EPS Next 5Y3.33%
Revenue Next Year-43.12%
Revenue Next 2Y-23.56%
Revenue Next 3Y-15.5%
Revenue Next 5Y-8.26%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.66, the valuation of GWO can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of GWO indicates a rather expensive valuation: GWO more expensive than 90.00% of the companies listed in the same industry.
GWO is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 10.61, which indicates a very decent valuation of GWO.
66.25% of the companies in the same industry are cheaper than GWO, based on the Price/Forward Earnings ratio.
GWO is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.48, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.66 | ||
| Fwd PE | 10.61 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GWO indicates a rather expensive valuation: GWO more expensive than 87.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.78 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.02
PEG (5Y)1.3
EPS Next 2Y6.51%
EPS Next 3Y6.47%
5. Dividend
5.1 Amount
GWO has a Yearly Dividend Yield of 5.51%, which is a nice return.
Compared to an average industry Dividend Yield of 3.93, GWO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, GWO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.51% |
5.2 History
The dividend of GWO has a limited annual growth rate of 5.95%.
GWO has paid a dividend for at least 10 years, which is a reliable track record.
GWO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.95%
Div Incr Years10
Div Non Decr Years33
5.3 Sustainability
61.63% of the earnings are spent on dividend by GWO. This is not a sustainable payout ratio.
GWO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP61.63%
EPS Next 2Y6.51%
EPS Next 3Y6.47%
TSX:GWO (9/3/2025, 7:00:00 PM)
54.55
+0.21 (+0.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners11.18%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap50.43B
Analysts68.33
Price Target57.12 (4.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.51% |
Yearly Dividend2.36
Dividend Growth(5Y)5.95%
DP61.63%
Div Incr Years10
Div Non Decr Years33
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.43%
Min EPS beat(2)-5.18%
Max EPS beat(2)4.32%
EPS beat(4)3
Avg EPS beat(4)1.98%
Min EPS beat(4)-5.18%
Max EPS beat(4)4.6%
EPS beat(8)7
Avg EPS beat(8)3.18%
EPS beat(12)9
Avg EPS beat(12)2.67%
EPS beat(16)12
Avg EPS beat(16)3.15%
Revenue beat(2)2
Avg Revenue beat(2)65.64%
Min Revenue beat(2)64.71%
Max Revenue beat(2)66.56%
Revenue beat(4)3
Avg Revenue beat(4)25.28%
Min Revenue beat(4)-32.89%
Max Revenue beat(4)66.56%
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)1.82%
PT rev (3m)1.2%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)1.38%
EPS NY rev (1m)-2.31%
EPS NY rev (3m)-2.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-43.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.66 | ||
| Fwd PE | 10.61 | ||
| P/S | 1.46 | ||
| P/FCF | 11.78 | ||
| P/OCF | 11.78 | ||
| P/B | 1.55 | ||
| P/tB | 3.05 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.68
EY8.58%
EPS(NY)5.14
Fwd EY9.42%
FCF(TTM)4.63
FCFY8.49%
OCF(TTM)4.63
OCFY8.49%
SpS37.46
BVpS35.3
TBVpS17.9
PEG (NY)2.02
PEG (5Y)1.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 11.43% | ||
| ROCE | 0.63% | ||
| ROIC | 0.46% | ||
| ROICexc | 0.46% | ||
| ROICexgc | 1.54% | ||
| OM | 14.86% | ||
| PM (TTM) | 10.77% | ||
| GM | N/A | ||
| FCFM | 12.36% |
ROA(3y)0.47%
ROA(5y)0.48%
ROE(3y)11.29%
ROE(5y)11.02%
ROIC(3y)0.46%
ROIC(5y)0.45%
ROICexc(3y)0.46%
ROICexc(5y)0.45%
ROICexgc(3y)1.35%
ROICexgc(5y)1.32%
ROCE(3y)0.64%
ROCE(5y)0.62%
ROICexcg growth 3Y2.54%
ROICexcg growth 5Y4.99%
ROICexc growth 3Y1.18%
ROICexc growth 5Y1.35%
OM growth 3Y37.97%
OM growth 5Y21.31%
PM growth 3Y35.92%
PM growth 5Y18.11%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.17 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 11.75 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 114.8% | ||
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 | ||
| Altman-Z | N/A |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)138.5%
Profit Quality(5y)214.73%
High Growth Momentum
Growth
EPS 1Y (TTM)9.86%
EPS 3Y8.87%
EPS 5Y8.95%
EPS Q2Q%11.71%
EPS Next Y5.76%
EPS Next 2Y6.51%
EPS Next 3Y6.47%
EPS Next 5Y3.33%
Revenue 1Y (TTM)8.22%
Revenue growth 3Y-20.55%
Revenue growth 5Y-6.19%
Sales Q2Q%-0.34%
Revenue Next Year-43.12%
Revenue Next 2Y-23.56%
Revenue Next 3Y-15.5%
Revenue Next 5Y-8.26%
EBIT growth 1Y3.17%
EBIT growth 3Y9.62%
EBIT growth 5Y13.8%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y59.68%
FCF growth 3Y-22.92%
FCF growth 5Y-4.91%
OCF growth 1Y59.68%
OCF growth 3Y-22.92%
OCF growth 5Y-4.91%