IGM FINANCIAL INC (IGM.CA) Stock Fundamental Analysis
Canada - TSX:IGM - CA4495861060 - Common Stock
51.31 CAD
+0.24 (+0.47%)
We assign a fundamental rating of 5 out of 10 to IGM. IGM was compared to 80 industry peers in the Capital Markets industry. IGM has an excellent profitability rating, but there are concerns on its financial health. IGM has a correct valuation and a medium growth rate. IGM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
IGM had positive earnings in the past year.
IGM had a positive operating cash flow in the past year.
Each year in the past 5 years IGM has been profitable.
In the past 5 years IGM always reported a positive cash flow from operatings.
1.2 Ratios
IGM's Return On Assets of 4.83% is fine compared to the rest of the industry. IGM outperforms 68.75% of its industry peers.
Looking at the Return On Equity, with a value of 12.05%, IGM is in the better half of the industry, outperforming 77.50% of the companies in the same industry.
IGM has a better Return On Invested Capital (5.04%) than 72.50% of its industry peers.
IGM had an Average Return On Invested Capital over the past 3 years of 4.45%. This is below the industry average of 8.38%.
The last Return On Invested Capital (5.04%) for IGM is above the 3 year average (4.45%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 12.05% | ||
| ROIC | 5.04% |
ROA(3y)5.1%
ROA(5y)5.12%
ROE(3y)14.51%
ROE(5y)14.8%
ROIC(3y)4.45%
ROIC(5y)4.95%
1.3 Margins
With a decent Profit Margin value of 26.87%, IGM is doing good in the industry, outperforming 70.00% of the companies in the same industry.
IGM's Profit Margin has improved in the last couple of years.
The Operating Margin of IGM (32.15%) is better than 76.25% of its industry peers.
IGM's Operating Margin has been stable in the last couple of years.
IGM's Gross Margin of 58.13% is fine compared to the rest of the industry. IGM outperforms 75.00% of its industry peers.
In the last couple of years the Gross Margin of IGM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.15% | ||
| PM (TTM) | 26.87% | ||
| GM | 58.13% |
OM growth 3Y-0.8%
OM growth 5Y0.68%
PM growth 3Y-0.68%
PM growth 5Y2.21%
GM growth 3Y0.39%
GM growth 5Y0.55%
2. Health
2.1 Basic Checks
Compared to 1 year ago, IGM has about the same amount of shares outstanding.
Compared to 5 years ago, IGM has about the same amount of shares outstanding.
Compared to 1 year ago, IGM has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.11, we must say that IGM is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of IGM (1.11) is better than 66.25% of its industry peers.
The Debt to FCF ratio of IGM is 11.12, which is on the high side as it means it would take IGM, 11.12 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 11.12, IGM is doing good in the industry, outperforming 62.50% of the companies in the same industry.
A Debt/Equity ratio of 1.12 is on the high side and indicates that IGM has dependencies on debt financing.
IGM has a Debt to Equity ratio of 1.12. This is comparable to the rest of the industry: IGM outperforms 47.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 11.12 | ||
| Altman-Z | 1.11 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
IGM has a Current Ratio of 0.25. This is a bad value and indicates that IGM is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.25, IGM is doing worse than 85.00% of the companies in the same industry.
A Quick Ratio of 0.25 indicates that IGM may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.25, IGM is doing worse than 85.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.25 | ||
| Quick Ratio | 0.25 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.60% over the past year.
The Earnings Per Share has been growing slightly by 4.30% on average over the past years.
The Revenue has grown by 10.15% in the past year. This is quite good.
IGM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.30% yearly.
EPS 1Y (TTM)15.6%
EPS 3Y-0.83%
EPS 5Y4.3%
EPS Q2Q%15.05%
Revenue 1Y (TTM)10.15%
Revenue growth 3Y-0.9%
Revenue growth 5Y2.3%
Sales Q2Q%9.36%
3.2 Future
IGM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.90% yearly.
Based on estimates for the next years, IGM will show a small growth in Revenue. The Revenue will grow by 3.71% on average per year.
EPS Next Y9.48%
EPS Next 2Y7.87%
EPS Next 3Y6.3%
EPS Next 5Y3.9%
Revenue Next Year10.48%
Revenue Next 2Y7.94%
Revenue Next 3Y6.91%
Revenue Next 5Y3.71%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.36 indicates a correct valuation of IGM.
IGM's Price/Earnings ratio is in line with the industry average.
IGM is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
IGM is valuated reasonably with a Price/Forward Earnings ratio of 11.16.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IGM indicates a somewhat cheap valuation: IGM is cheaper than 67.50% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.87. IGM is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.36 | ||
| Fwd PE | 11.16 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IGM is on the same level as its industry peers.
IGM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. IGM is cheaper than 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.93 | ||
| EV/EBITDA | 14.88 |
4.3 Compensation for Growth
IGM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of IGM may justify a higher PE ratio.
PEG (NY)1.3
PEG (5Y)2.87
EPS Next 2Y7.87%
EPS Next 3Y6.3%
5. Dividend
5.1 Amount
IGM has a Yearly Dividend Yield of 4.39%, which is a nice return.
Compared to an average industry Dividend Yield of 2.96, IGM pays a better dividend. On top of this IGM pays more dividend than 83.75% of the companies listed in the same industry.
IGM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.39% |
5.2 History
The dividend of IGM decreases each year by -0.23%.
IGM has been paying a dividend for at least 10 years, so it has a reliable track record.
IGM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.23%
Div Incr Years1
Div Non Decr Years34
5.3 Sustainability
54.73% of the earnings are spent on dividend by IGM. This is a bit on the high side, but may be sustainable.
DP54.73%
EPS Next 2Y7.87%
EPS Next 3Y6.3%
TSX:IGM (9/22/2025, 7:00:00 PM)
51.31
+0.24 (+0.47%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners7.95%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap12.14B
Analysts72
Price Target54.4 (6.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.39% |
Yearly Dividend2.24
Dividend Growth(5Y)-0.23%
DP54.73%
Div Incr Years1
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.78%
Min EPS beat(2)-4.04%
Max EPS beat(2)5.6%
EPS beat(4)2
Avg EPS beat(4)0.93%
Min EPS beat(4)-4.04%
Max EPS beat(4)5.6%
EPS beat(8)3
Avg EPS beat(8)0.04%
EPS beat(12)6
Avg EPS beat(12)0.79%
EPS beat(16)7
Avg EPS beat(16)0.07%
Revenue beat(2)0
Avg Revenue beat(2)-4.18%
Min Revenue beat(2)-5.47%
Max Revenue beat(2)-2.9%
Revenue beat(4)1
Avg Revenue beat(4)-1.86%
Min Revenue beat(4)-5.47%
Max Revenue beat(4)1.16%
Revenue beat(8)2
Avg Revenue beat(8)-2.73%
Revenue beat(12)4
Avg Revenue beat(12)-2.47%
Revenue beat(16)6
Avg Revenue beat(16)-1.82%
PT rev (1m)4.58%
PT rev (3m)8.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.84%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.81%
Revenue NQ rev (1m)2.5%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)1.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.36 | ||
| Fwd PE | 11.16 | ||
| P/S | 3.35 | ||
| P/FCF | 12.93 | ||
| P/OCF | 11.5 | ||
| P/B | 1.5 | ||
| P/tB | 2.91 | ||
| EV/EBITDA | 14.88 |
EPS(TTM)4.15
EY8.09%
EPS(NY)4.6
Fwd EY8.96%
FCF(TTM)3.97
FCFY7.73%
OCF(TTM)4.46
OCFY8.69%
SpS15.32
BVpS34.18
TBVpS17.62
PEG (NY)1.3
PEG (5Y)2.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 12.05% | ||
| ROCE | 7.57% | ||
| ROIC | 5.04% | ||
| ROICexc | 5.28% | ||
| ROICexgc | 6.93% | ||
| OM | 32.15% | ||
| PM (TTM) | 26.87% | ||
| GM | 58.13% | ||
| FCFM | 25.9% |
ROA(3y)5.1%
ROA(5y)5.12%
ROE(3y)14.51%
ROE(5y)14.8%
ROIC(3y)4.45%
ROIC(5y)4.95%
ROICexc(3y)4.67%
ROICexc(5y)5.26%
ROICexgc(3y)6.14%
ROICexgc(5y)7.25%
ROCE(3y)6.11%
ROCE(5y)6.55%
ROICexcg growth 3Y-11.94%
ROICexcg growth 5Y-6.84%
ROICexc growth 3Y-8.83%
ROICexc growth 5Y-4.31%
OM growth 3Y-0.8%
OM growth 5Y0.68%
PM growth 3Y-0.68%
PM growth 5Y2.21%
GM growth 3Y0.39%
GM growth 5Y0.55%
F-Score7
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 11.12 | ||
| Debt/EBITDA | 7.19 | ||
| Cap/Depr | 121.89% | ||
| Cap/Sales | 3.21% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 83.68% | ||
| Profit Quality | 96.38% | ||
| Current Ratio | 0.25 | ||
| Quick Ratio | 0.25 | ||
| Altman-Z | 1.11 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)137.22%
Cap/Depr(5y)125.37%
Cap/Sales(3y)4.27%
Cap/Sales(5y)3.73%
Profit Quality(3y)79.55%
Profit Quality(5y)81.7%
High Growth Momentum
Growth
EPS 1Y (TTM)15.6%
EPS 3Y-0.83%
EPS 5Y4.3%
EPS Q2Q%15.05%
EPS Next Y9.48%
EPS Next 2Y7.87%
EPS Next 3Y6.3%
EPS Next 5Y3.9%
Revenue 1Y (TTM)10.15%
Revenue growth 3Y-0.9%
Revenue growth 5Y2.3%
Sales Q2Q%9.36%
Revenue Next Year10.48%
Revenue Next 2Y7.94%
Revenue Next 3Y6.91%
Revenue Next 5Y3.71%
EBIT growth 1Y12.2%
EBIT growth 3Y-1.69%
EBIT growth 5Y2.99%
EBIT Next Year16.89%
EBIT Next 3Y3.92%
EBIT Next 5Y4.55%
FCF growth 1Y35.46%
FCF growth 3Y6.44%
FCF growth 5Y10.45%
OCF growth 1Y26.96%
OCF growth 3Y6.9%
OCF growth 5Y10.11%