MANULIFE FINANCIAL CORP - MFCCN 2.348 PERP (MFC-PR-F.CA) Stock Fundamental Analysis
TSX:MFC-PR-F - Toronto Stock Exchange - CA56501R8580 - Currency: CAD
MFC-PR-F gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 81 industry peers in the Insurance industry. MFC-PR-F has an average financial health and profitability rating. MFC-PR-F may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
MFC-PR-F had positive earnings in the past year.
MFC-PR-F had a positive operating cash flow in the past year.
MFC-PR-F had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MFC-PR-F had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 0.48%, MFC-PR-F is doing good in the industry, outperforming 61.73% of the companies in the same industry.
MFC-PR-F has a worse Return On Equity (9.06%) than 79.01% of its industry peers.
MFC-PR-F's Return On Invested Capital of 0.72% is fine compared to the rest of the industry. MFC-PR-F outperforms 69.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 9.06% | ||
| ROIC | 0.72% |
ROA(3y)0.27%
ROA(5y)0.44%
ROE(3y)5.1%
ROE(5y)7.68%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 12.55%, MFC-PR-F belongs to the top of the industry, outperforming 95.06% of the companies in the same industry.
In the last couple of years the Profit Margin of MFC-PR-F has grown nicely.
MFC-PR-F's Operating Margin of 21.86% is amongst the best of the industry. MFC-PR-F outperforms 91.36% of its industry peers.
MFC-PR-F's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.86% | ||
| PM (TTM) | 12.55% | ||
| GM | N/A |
OM growth 3Y12.84%
OM growth 5Y19.32%
PM growth 3Y3.23%
PM growth 5Y14.2%
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), MFC-PR-F is destroying value.
The number of shares outstanding for MFC-PR-F has been reduced compared to 1 year ago.
Compared to 5 years ago, MFC-PR-F has less shares outstanding
The debt/assets ratio for MFC-PR-F has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of MFC-PR-F is 0.50, which is an excellent value as it means it would take MFC-PR-F, only 0.50 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.50, MFC-PR-F belongs to the best of the industry, outperforming 96.30% of the companies in the same industry.
MFC-PR-F has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
MFC-PR-F has a better Debt to Equity ratio (0.27) than 79.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | N/A |
ROIC/WACC0.08
WACC8.55%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MFC-PR-F shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.86%, which is quite good.
The Earnings Per Share has been growing slightly by 5.49% on average over the past years.
MFC-PR-F shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.13%.
MFC-PR-F shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -13.62% yearly.
EPS 1Y (TTM)8.86%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%5.32%
Revenue 1Y (TTM)11.13%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%-11.27%
3.2 Future
The Earnings Per Share is expected to grow by 5.15% on average over the next years.
MFC-PR-F is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.63% yearly.
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.15%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.63%
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 stable.
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
The Price/Earnings ratio is 4.68, which indicates a rather cheap valuation of MFC-PR-F.
Based on the Price/Earnings ratio, MFC-PR-F is valued a bit cheaper than 70.37% of the companies in the same industry.
MFC-PR-F is valuated cheaply when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 4.02, the valuation of MFC-PR-F can be described as very cheap.
MFC-PR-F's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MFC-PR-F is cheaper than 71.60% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MFC-PR-F to the average of the S&P500 Index (36.21), we can say MFC-PR-F is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.68 | ||
| Fwd PE | 4.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MFC-PR-F indicates a rather cheap valuation: MFC-PR-F is cheaper than 82.72% of the companies listed in the same industry.
72.84% of the companies in the same industry are more expensive than MFC-PR-F, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.1 | ||
| EV/EBITDA | 2.24 |
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.
MFC-PR-F has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.61
PEG (5Y)0.85
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.78%, MFC-PR-F has a reasonable but not impressive dividend return.
MFC-PR-F's Dividend Yield is comparable with the industry average which is at 4.47.
MFC-PR-F's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
5.2 History
The dividend of MFC-PR-F is nicely growing with an annual growth rate of 20.17%!
MFC-PR-F has paid a dividend for at least 10 years, which is a reliable track record.
MFC-PR-F has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.17%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
67.87% of the earnings are spent on dividend by MFC-PR-F. This is not a sustainable payout ratio.
MFC-PR-F's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP67.87%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
MANULIFE FINANCIAL CORP - MFCCN 2.348 PERP
TSX:MFC-PR-F (8/1/2025, 7:00:00 PM)
18.39
-0.06 (-0.33%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners55.65%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap31.33B
Analysts76.47
Price Target21.8 (18.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP67.87%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.67%
Min EPS beat(2)-0.52%
Max EPS beat(2)7.87%
EPS beat(4)3
Avg EPS beat(4)3.94%
Min EPS beat(4)-0.52%
Max EPS beat(4)7.87%
EPS beat(8)7
Avg EPS beat(8)5.06%
EPS beat(12)9
Avg EPS beat(12)3.72%
EPS beat(16)11
Avg EPS beat(16)2.45%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
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)5.61%
PT rev (3m)15.34%
EPS NQ rev (1m)-1.28%
EPS NQ rev (3m)-4.42%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.68 | ||
| Fwd PE | 4.02 | ||
| P/S | 0.84 | ||
| P/FCF | 1.1 | ||
| P/OCF | 1.1 | ||
| P/B | 0.61 | ||
| P/tB | 0.77 | ||
| EV/EBITDA | 2.24 |
EPS(TTM)3.93
EY21.37%
EPS(NY)4.57
Fwd EY24.87%
FCF(TTM)16.75
FCFY91.07%
OCF(TTM)16.75
OCFY91.07%
SpS21.89
BVpS30.31
TBVpS23.83
PEG (NY)0.61
PEG (5Y)0.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 9.06% | ||
| ROCE | 0.85% | ||
| ROIC | 0.72% | ||
| ROICexc | 0.74% | ||
| ROICexgc | 1.72% | ||
| OM | 21.86% | ||
| PM (TTM) | 12.55% | ||
| GM | N/A | ||
| FCFM | 76.52% |
ROA(3y)0.27%
ROA(5y)0.44%
ROE(3y)5.1%
ROE(5y)7.68%
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 3Y-2.15%
ROICexcg growth 5Y-0.07%
ROICexc growth 3Y-3.34%
ROICexc growth 5Y-0.84%
OM growth 3Y12.84%
OM growth 5Y19.32%
PM growth 3Y3.23%
PM growth 5Y14.2%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Debt/EBITDA | 1.56 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 5.23 | ||
| Cash Conversion | 314.66% | ||
| Profit Quality | 609.81% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC8.55%
ROIC/WACC0.08
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.86%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%5.32%
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.15%
Revenue 1Y (TTM)11.13%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%-11.27%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.63%
EBIT growth 1Y7.6%
EBIT growth 3Y-1.3%
EBIT growth 5Y3.07%
EBIT Next Year-70.64%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y67.64%
FCF growth 3Y4.59%
FCF growth 5Y5.22%
OCF growth 1Y67.64%
OCF growth 3Y4.59%
OCF growth 5Y5.22%