MANULIFE FINANCIAL CORP - MFCCN 6.159 PERP (MFC-PR-J.CA) Stock Fundamental Analysis
TSX:MFC-PR-J - Toronto Stock Exchange - CA56501R7673 - Currency: CAD
Overall MFC-PR-J gets a fundamental rating of 5 out of 10. We evaluated MFC-PR-J against 82 industry peers in the Insurance industry. MFC-PR-J has only an average score on both its financial health and profitability. MFC-PR-J is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MFC-PR-J was profitable.
In the past year MFC-PR-J had a positive cash flow from operations.
MFC-PR-J had positive earnings in 4 of the past 5 years.
MFC-PR-J had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MFC-PR-J has a Return On Assets (0.48%) which is in line with its industry peers.
MFC-PR-J has a worse Return On Equity (9.06%) than 90.24% of its industry peers.
The Return On Invested Capital of MFC-PR-J (0.72%) is comparable to the rest of the 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-J has a better Profit Margin (12.55%) than 82.93% of its industry peers.
In the last couple of years the Profit Margin of MFC-PR-J has grown nicely.
MFC-PR-J's Operating Margin of 21.86% is fine compared to the rest of the industry. MFC-PR-J outperforms 79.27% of its industry peers.
In the last couple of years the Operating Margin of MFC-PR-J 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-J is destroying value.
The number of shares outstanding for MFC-PR-J has been reduced compared to 1 year ago.
Compared to 5 years ago, MFC-PR-J has less shares outstanding
MFC-PR-J has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of MFC-PR-J is 0.50, which is an excellent value as it means it would take MFC-PR-J, only 0.50 years of fcf income to pay off all of its debts.
MFC-PR-J's Debt to FCF ratio of 0.50 is amongst the best of the industry. MFC-PR-J outperforms 85.37% of its industry peers.
MFC-PR-J has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MFC-PR-J (0.27) is better than 67.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.27%
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 nice 8.86% over the past year.
The Earnings Per Share has been growing slightly by 5.49% on average over the past years.
Looking at the last year, MFC-PR-J shows a quite strong growth in Revenue. The Revenue has grown by 11.13% in the last year.
The Revenue for MFC-PR-J have been decreasing by -13.62% on average. This is quite bad
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 5.14% on average over the next years.
Based on estimates for the next years, MFC-PR-J will show a quite strong growth in Revenue. The Revenue will grow by 18.62% on average per year.
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.14%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.62%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.31 indicates a rather cheap valuation of MFC-PR-J.
Based on the Price/Earnings ratio, MFC-PR-J is valued a bit more expensive than the industry average as 68.29% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of MFC-PR-J to the average of the S&P500 Index (26.46), we can say MFC-PR-J is valued rather cheaply.
The Price/Forward Earnings ratio is 5.42, which indicates a rather cheap valuation of MFC-PR-J.
MFC-PR-J's Price/Forward Earnings is on the same level as the industry average.
MFC-PR-J is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.30, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.31 | ||
| Fwd PE | 5.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MFC-PR-J is valued a bit cheaper than the industry average as 69.51% of the companies are valued more expensively.
MFC-PR-J's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.49 | ||
| EV/EBITDA | 3.44 |
4.3 Compensation for Growth
MFC-PR-J's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.82
PEG (5Y)1.15
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
MFC-PR-J has a Yearly Dividend Yield of 4.02%, which is a nice return.
Compared to an average industry Dividend Yield of 4.24, MFC-PR-J has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, MFC-PR-J pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
5.2 History
On average, the dividend of MFC-PR-J grows each year by 20.17%, which is quite nice.
MFC-PR-J has paid a dividend for at least 10 years, which is a reliable track record.
MFC-PR-J has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.17%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
MFC-PR-J pays out 67.87% of its income as dividend. This is not a sustainable payout ratio.
The dividend of MFC-PR-J 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 6.159 PERP
TSX:MFC-PR-J (6/2/2025, 7:00:00 PM)
24.81
-0.19 (-0.76%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners56.7%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap42.49B
Analysts76.67
Price Target27.75 (11.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP67.87%
Div Incr Years2
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)-5.55%
PT rev (3m)-5.94%
EPS NQ rev (1m)-3.18%
EPS NQ rev (3m)-1.43%
EPS NY rev (1m)0%
EPS NY rev (3m)0.85%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.31 | ||
| Fwd PE | 5.42 | ||
| P/S | 1.14 | ||
| P/FCF | 1.49 | ||
| P/OCF | 1.49 | ||
| P/B | 0.82 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 3.44 |
EPS(TTM)3.93
EY15.84%
EPS(NY)4.57
Fwd EY18.43%
FCF(TTM)16.7
FCFY67.32%
OCF(TTM)16.7
OCFY67.32%
SpS21.83
BVpS30.23
TBVpS23.76
PEG (NY)0.82
PEG (5Y)1.15
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
WACC8.27%
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 5Y5.14%
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 5Y18.62%
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%