MANULIFE FINANCIAL CORP - MFCCN 5.775 PERP (MFC-PR-L.CA) Stock Fundamental Analysis
TSX:MFC-PR-L - Toronto Stock Exchange - CA56501R7269 - Currency: CAD
We assign a fundamental rating of 5 out of 10 to MFC-PR-L. MFC-PR-L was compared to 79 industry peers in the Insurance industry. MFC-PR-L has an average financial health and profitability rating. MFC-PR-L has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MFC-PR-L had positive earnings in the past year.
In the past year MFC-PR-L had a positive cash flow from operations.
Of the past 5 years MFC-PR-L 4 years were profitable.
Each year in the past 5 years MFC-PR-L had a positive operating cash flow.
1.2 Ratios
MFC-PR-L has a Return On Assets (0.48%) which is in line with its industry peers.
The Return On Equity of MFC-PR-L (9.06%) is worse than 83.54% of its industry peers.
MFC-PR-L has a better Return On Invested Capital (0.72%) than 63.29% 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-L belongs to the top of the industry, outperforming 89.87% of the companies in the same industry.
MFC-PR-L's Profit Margin has improved in the last couple of years.
MFC-PR-L has a Operating Margin of 21.86%. This is amongst the best in the industry. MFC-PR-L outperforms 86.08% of its industry peers.
MFC-PR-L'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
MFC-PR-L has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for MFC-PR-L has been reduced compared to 1 year ago.
MFC-PR-L has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MFC-PR-L has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of MFC-PR-L is 0.50, which is an excellent value as it means it would take MFC-PR-L, only 0.50 years of fcf income to pay off all of its debts.
MFC-PR-L's Debt to FCF ratio of 0.50 is amongst the best of the industry. MFC-PR-L outperforms 91.14% of its industry peers.
A Debt/Equity ratio of 0.27 indicates that MFC-PR-L is not too dependend on debt financing.
MFC-PR-L has a Debt to Equity ratio of 0.27. This is in the better half of the industry: MFC-PR-L outperforms 74.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.44%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MFC-PR-L shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.54%.
MFC-PR-L shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.49% yearly.
The Revenue has grown by 11.76% in the past year. This is quite good.
The Revenue for MFC-PR-L have been decreasing by -13.62% on average. This is quite bad
EPS 1Y (TTM)7.54%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%4.21%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%19.94%
3.2 Future
The Earnings Per Share is expected to grow by 5.15% on average over the next years.
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 Year7.19%
Revenue Next 2Y7.58%
Revenue Next 3Y6.59%
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.
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
The Price/Earnings ratio is 6.05, which indicates a rather cheap valuation of MFC-PR-L.
The rest of the industry has a similar Price/Earnings ratio as MFC-PR-L.
When comparing the Price/Earnings ratio of MFC-PR-L to the average of the S&P500 Index (27.11), we can say MFC-PR-L is valued rather cheaply.
The Price/Forward Earnings ratio is 5.25, which indicates a rather cheap valuation of MFC-PR-L.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MFC-PR-L is on the same level as its industry peers.
MFC-PR-L is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.05 | ||
| Fwd PE | 5.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MFC-PR-L is valued a bit cheaper than 75.95% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as MFC-PR-L.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.43 | ||
| EV/EBITDA | 3.29 |
4.3 Compensation for Growth
MFC-PR-L's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.79
PEG (5Y)1.1
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.40%, MFC-PR-L is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.01, MFC-PR-L is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.39, MFC-PR-L pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.4% |
5.2 History
On average, the dividend of MFC-PR-L grows each year by 20.17%, which is quite nice.
MFC-PR-L has been paying a dividend for at least 10 years, so it has a reliable track record.
MFC-PR-L has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.17%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
MFC-PR-L pays out 67.87% of its income as dividend. This is not a sustainable payout ratio.
The dividend of MFC-PR-L 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 5.775 PERP
TSX:MFC-PR-L (8/13/2025, 7:00:00 PM)
24.03
-0.08 (-0.35%)
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 Cap40.93B
Analysts76.67
Price Target28.28 (17.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.4% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP67.87%
Div Incr Years1
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)1.75%
PT rev (3m)14.29%
EPS NQ rev (1m)-1.25%
EPS NQ rev (3m)-4.39%
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)-1.94%
Revenue NY rev (3m)-1.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.05 | ||
| Fwd PE | 5.25 | ||
| P/S | 1.09 | ||
| P/FCF | 1.43 | ||
| P/OCF | 1.43 | ||
| P/B | 0.79 | ||
| P/tB | 1.01 | ||
| EV/EBITDA | 3.29 |
EPS(TTM)3.97
EY16.52%
EPS(NY)4.57
Fwd EY19.03%
FCF(TTM)16.79
FCFY69.88%
OCF(TTM)16.79
OCFY69.88%
SpS21.95
BVpS30.39
TBVpS23.89
PEG (NY)0.79
PEG (5Y)1.1
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
WACC8.44%
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)7.54%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%4.21%
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.15%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%19.94%
Revenue Next Year7.19%
Revenue Next 2Y7.58%
Revenue Next 3Y6.59%
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%