INTACT FINANCIAL CORP (IFC.CA) Stock Fundamental Analysis
TSX:IFC - Toronto Stock Exchange - CA45823T1066 - Common Stock - Currency: CAD
Taking everything into account, IFC scores 4 out of 10 in our fundamental rating. IFC was compared to 82 industry peers in the Insurance industry. While IFC is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, IFC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year IFC was profitable.
IFC had a positive operating cash flow in the past year.
In the past 5 years IFC has always been profitable.
IFC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.65%, IFC is in the better half of the industry, outperforming 76.83% of the companies in the same industry.
IFC has a better Return On Equity (11.78%) than 64.63% of its industry peers.
IFC's Return On Invested Capital of 5.49% is amongst the best of the industry. IFC outperforms 87.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 11.78% | ||
| ROIC | 5.49% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 8.24%, IFC is doing worse than 64.63% of the companies in the same industry.
IFC's Profit Margin has improved in the last couple of years.
IFC has a Operating Margin (15.65%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of IFC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.65% | ||
| PM (TTM) | 8.24% | ||
| GM | N/A |
OM growth 3Y-0.02%
OM growth 5Y12.07%
PM growth 3Y-9.83%
PM growth 5Y5.98%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IFC is destroying value.
The number of shares outstanding for IFC has been increased compared to 5 years ago.
2.2 Solvency
The Debt to FCF ratio of IFC is 1.67, which is an excellent value as it means it would take IFC, only 1.67 years of fcf income to pay off all of its debts.
IFC has a Debt to FCF ratio (1.67) which is comparable to the rest of the industry.
IFC has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of IFC (0.29) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | N/A |
ROIC/WACC0.72
WACC7.68%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.90% over the past year.
IFC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.56% yearly.
IFC shows a small growth in Revenue. In the last year, the Revenue has grown by 4.57%.
The Revenue has been growing by 18.42% on average over the past years. This is quite good.
EPS 1Y (TTM)20.9%
EPS 3Y5.44%
EPS 5Y18.56%
EPS Q2Q%10.47%
Revenue 1Y (TTM)4.57%
Revenue growth 3Y14.34%
Revenue growth 5Y18.42%
Sales Q2Q%6.95%
3.2 Future
Based on estimates for the next years, IFC will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.40% on average per year.
IFC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.74% yearly.
EPS Next Y14.8%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
EPS Next 5YN/A
Revenue Next Year6.86%
Revenue Next 2Y6.49%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 21.11, the valuation of IFC can be described as rather expensive.
IFC's Price/Earnings ratio is rather expensive when compared to the industry. IFC is more expensive than 93.90% of the companies in the same industry.
When comparing the Price/Earnings ratio of IFC to the average of the S&P500 Index (26.29), we can say IFC is valued inline with the index average.
A Price/Forward Earnings ratio of 17.71 indicates a rather expensive valuation of IFC.
IFC's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. IFC is more expensive than 68.29% of the companies in the same industry.
IFC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.17.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.11 | ||
| Fwd PE | 17.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IFC is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, IFC is valued more expensive than 92.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.02 | ||
| EV/EBITDA | 12.13 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.43
PEG (5Y)1.14
EPS Next 2Y10.6%
EPS Next 3Y9.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.71%, IFC has a reasonable but not impressive dividend return.
IFC's Dividend Yield is slightly below the industry average, which is at 4.24.
IFC's Dividend Yield is slightly below the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
5.2 History
IFC has paid a dividend for at least 10 years, which is a reliable track record.
IFC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)N/A
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
44.07% of the earnings are spent on dividend by IFC. This is a bit on the high side, but may be sustainable.
DP44.07%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
TSX:IFC (6/2/2025, 7:00:00 PM)
312.7
+1.35 (+0.43%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners54.88%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap55.77B
Analysts74.12
Price Target307.88 (-1.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP44.07%
Div Incr Years19
Div Non Decr Years19
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.77%
Min EPS beat(2)12.33%
Max EPS beat(2)13.21%
EPS beat(4)4
Avg EPS beat(4)47.53%
Min EPS beat(4)12.33%
Max EPS beat(4)128.05%
EPS beat(8)7
Avg EPS beat(8)31.73%
EPS beat(12)10
Avg EPS beat(12)22.78%
EPS beat(16)14
Avg EPS beat(16)26.26%
Revenue beat(2)0
Avg Revenue beat(2)-1.23%
Min Revenue beat(2)-1.86%
Max Revenue beat(2)-0.6%
Revenue beat(4)0
Avg Revenue beat(4)-2.24%
Min Revenue beat(4)-4.33%
Max Revenue beat(4)-0.6%
Revenue beat(8)2
Avg Revenue beat(8)-1.31%
Revenue beat(12)5
Avg Revenue beat(12)5.52%
Revenue beat(16)9
Avg Revenue beat(16)8.04%
PT rev (1m)1.13%
PT rev (3m)1.32%
EPS NQ rev (1m)-0.84%
EPS NQ rev (3m)-4.73%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)2.99%
Revenue NQ rev (3m)2.99%
Revenue NY rev (1m)-0.38%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.11 | ||
| Fwd PE | 17.71 | ||
| P/S | 2.08 | ||
| P/FCF | 17.02 | ||
| P/OCF | 15.09 | ||
| P/B | 2.97 | ||
| P/tB | 6.22 | ||
| EV/EBITDA | 12.13 |
EPS(TTM)14.81
EY4.74%
EPS(NY)17.65
Fwd EY5.64%
FCF(TTM)18.37
FCFY5.87%
OCF(TTM)20.72
OCFY6.63%
SpS150.36
BVpS105.24
TBVpS50.26
PEG (NY)1.43
PEG (5Y)1.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 11.78% | ||
| ROCE | 7.14% | ||
| ROIC | 5.49% | ||
| ROICexc | 5.62% | ||
| ROICexgc | 7.67% | ||
| OM | 15.65% | ||
| PM (TTM) | 8.24% | ||
| GM | N/A | ||
| FCFM | 12.22% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y18.12%
ROICexcg growth 5Y18.02%
ROICexc growth 3Y16.62%
ROICexc growth 5Y16.95%
OM growth 3Y-0.02%
OM growth 5Y12.07%
PM growth 3Y-9.83%
PM growth 5Y5.98%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.67 | ||
| Debt/EBITDA | 1.11 | ||
| Cap/Depr | 57.01% | ||
| Cap/Sales | 1.56% | ||
| Interest Coverage | 19.08 | ||
| Cash Conversion | 74.92% | ||
| Profit Quality | 148.24% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC7.68%
ROIC/WACC0.72
Cap/Depr(3y)69.6%
Cap/Depr(5y)66.33%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.69%
Profit Quality(3y)128.11%
Profit Quality(5y)147.37%
High Growth Momentum
Growth
EPS 1Y (TTM)20.9%
EPS 3Y5.44%
EPS 5Y18.56%
EPS Q2Q%10.47%
EPS Next Y14.8%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
EPS Next 5YN/A
Revenue 1Y (TTM)4.57%
Revenue growth 3Y14.34%
Revenue growth 5Y18.42%
Sales Q2Q%6.95%
Revenue Next Year6.86%
Revenue Next 2Y6.49%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
EBIT growth 1Y26.57%
EBIT growth 3Y14.32%
EBIT growth 5Y32.71%
EBIT Next Year14.29%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y47.37%
FCF growth 3Y1.62%
FCF growth 5Y20.32%
OCF growth 1Y38.96%
OCF growth 3Y2.49%
OCF growth 5Y21.3%