MANULIFE FINANCIAL CORP - MFCCN 5.978 PERP (MFC-PR-I.CA) Stock Fundamental Analysis
TSX:MFC-PR-I - Toronto Stock Exchange - CA56501R7830 - Currency: CAD
Overall MFC-PR-I gets a fundamental rating of 5 out of 10. We evaluated MFC-PR-I against 81 industry peers in the Insurance industry. Both the profitability and the financial health of MFC-PR-I get a neutral evaluation. Nothing too spectacular is happening here. MFC-PR-I has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year MFC-PR-I was profitable.
In the past year MFC-PR-I had a positive cash flow from operations.
Of the past 5 years MFC-PR-I 4 years were profitable.
In the past 5 years MFC-PR-I always reported a positive cash flow from operatings.
1.2 Ratios
MFC-PR-I has a Return On Assets of 0.48%. This is comparable to the rest of the industry: MFC-PR-I outperforms 51.85% of its industry peers.
MFC-PR-I has a Return On Equity of 9.06%. This is amonst the worse of the industry: MFC-PR-I underperforms 88.89% of its industry peers.
With a Return On Invested Capital value of 0.72%, MFC-PR-I perfoms like the industry average, outperforming 58.02% of the companies in the same industry.
| 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
MFC-PR-I has a Profit Margin of 12.55%. This is amongst the best in the industry. MFC-PR-I outperforms 83.95% of its industry peers.
MFC-PR-I's Profit Margin has improved in the last couple of years.
MFC-PR-I has a better Operating Margin (21.86%) than 80.25% of its industry peers.
In the last couple of years the Operating Margin of MFC-PR-I has grown nicely.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MFC-PR-I is destroying value.
Compared to 1 year ago, MFC-PR-I has less shares outstanding
Compared to 5 years ago, MFC-PR-I has less shares outstanding
Compared to 1 year ago, MFC-PR-I has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of MFC-PR-I is 0.50, which is an excellent value as it means it would take MFC-PR-I, 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-I belongs to the best of the industry, outperforming 85.19% of the companies in the same industry.
A Debt/Equity ratio of 0.27 indicates that MFC-PR-I is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.27, MFC-PR-I is in the better half of the industry, outperforming 69.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.35%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MFC-PR-I shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.86%, which is quite good.
Measured over the past 5 years, MFC-PR-I shows a small growth in Earnings Per Share. The EPS has been growing by 5.49% on average per year.
The Revenue has grown by 11.13% in the past year. This is quite good.
Measured over the past years, MFC-PR-I shows a very negative growth in Revenue. The Revenue has been decreasing by -13.62% on average per year.
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
MFC-PR-I is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.15% yearly.
The Revenue is expected to grow by 18.63% on average over the next years. This is quite good.
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
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
With a Price/Earnings ratio of 6.51, the valuation of MFC-PR-I can be described as very cheap.
Based on the Price/Earnings ratio, MFC-PR-I is valued a bit more expensive than the industry average as 64.20% of the companies are valued more cheaply.
MFC-PR-I's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.41.
The Price/Forward Earnings ratio is 5.60, which indicates a rather cheap valuation of MFC-PR-I.
MFC-PR-I's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.19, MFC-PR-I is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.51 | ||
| Fwd PE | 5.6 |
4.2 Price Multiples
MFC-PR-I's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MFC-PR-I is cheaper than 70.37% of the companies in the same industry.
MFC-PR-I's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.53 | ||
| EV/EBITDA | 3.58 |
4.3 Compensation for Growth
MFC-PR-I's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.85
PEG (5Y)1.19
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
MFC-PR-I has a Yearly Dividend Yield of 5.52%, which is a nice return.
Compared to an average industry Dividend Yield of 5.18, MFC-PR-I is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.35, MFC-PR-I pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.52% |
5.2 History
The dividend of MFC-PR-I is nicely growing with an annual growth rate of 20.17%!
MFC-PR-I has been paying a dividend for at least 10 years, so it has a reliable track record.
MFC-PR-I 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-I. This is not a sustainable payout ratio.
The dividend of MFC-PR-I is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP67.87%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
MANULIFE FINANCIAL CORP - MFCCN 5.978 PERP
TSX:MFC-PR-I (7/11/2025, 7:00:00 PM)
25.6
+0.12 (+0.47%)
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 Cap43.73B
Analysts76.47
Price Target29.42 (14.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.52% |
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)5.64%
PT rev (3m)2.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.18%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.98%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.51 | ||
| Fwd PE | 5.6 | ||
| P/S | 1.17 | ||
| P/FCF | 1.53 | ||
| P/OCF | 1.53 | ||
| P/B | 0.84 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 3.58 |
EPS(TTM)3.93
EY15.35%
EPS(NY)4.57
Fwd EY17.87%
FCF(TTM)16.75
FCFY65.42%
OCF(TTM)16.75
OCFY65.42%
SpS21.89
BVpS30.31
TBVpS23.83
PEG (NY)0.85
PEG (5Y)1.19
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
WACC8.35%
ROIC/WACC0.09
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%