MANULIFE FINANCIAL CORP - MFCCN 5.775 PERP (MFC-PR-L.CA) Stock Fundamental Analysis
TSX:MFC-PR-L - Toronto Stock Exchange - CA56501R7269 - Currency: CAD
MFC-PR-L gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 80 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
In the past year MFC-PR-L was profitable.
In the past year MFC-PR-L had a positive cash flow from operations.
MFC-PR-L had positive earnings in 4 of the past 5 years.
MFC-PR-L had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MFC-PR-L has a Return On Assets of 0.52%. This is comparable to the rest of the industry: MFC-PR-L outperforms 55.00% of its industry peers.
MFC-PR-L has a Return On Equity of 9.84%. This is amonst the worse of the industry: MFC-PR-L underperforms 86.25% of its industry peers.
The Return On Invested Capital of MFC-PR-L (0.78%) is better than 63.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 9.84% | ||
| ROIC | 0.78% |
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
The Profit Margin of MFC-PR-L (13.55%) is better than 88.75% of its industry peers.
In the last couple of years the Profit Margin of MFC-PR-L has grown nicely.
With an excellent Operating Margin value of 23.43%, MFC-PR-L belongs to the best of the industry, outperforming 86.25% of the companies in the same industry.
In the last couple of years the Operating Margin of MFC-PR-L has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.43% | ||
| PM (TTM) | 13.55% | ||
| 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.
MFC-PR-L has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MFC-PR-L has less shares outstanding
MFC-PR-L has a better debt/assets ratio than last year.
2.2 Solvency
MFC-PR-L has a debt to FCF ratio of 0.53. This is a very positive value and a sign of high solvency as it would only need 0.53 years to pay back of all of its debts.
MFC-PR-L's Debt to FCF ratio of 0.53 is amongst the best of the industry. MFC-PR-L outperforms 93.75% of its industry peers.
MFC-PR-L has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.27, MFC-PR-L is in the better half of the industry, outperforming 73.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.53 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.26%
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 12.14% 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-L shows a quite strong growth in Revenue. The Revenue has grown by 11.76% in the last year.
The Revenue for MFC-PR-L have been decreasing by -13.62% on average. This is quite bad
EPS 1Y (TTM)12.14%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%11.96%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%48.7%
3.2 Future
The Earnings Per Share is expected to grow by 5.14% on average over the next years.
The Revenue is expected to grow by 18.62% on average over the next years. This is quite good.
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.14%
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.
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 5.59, the valuation of MFC-PR-L can be described as very cheap.
Based on the Price/Earnings ratio, MFC-PR-L is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of MFC-PR-L to the average of the S&P500 Index (28.22), we can say MFC-PR-L is valued rather cheaply.
A Price/Forward Earnings ratio of 5.19 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 20.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.59 | ||
| Fwd PE | 5.19 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MFC-PR-L indicates a somewhat cheap valuation: MFC-PR-L is cheaper than 77.50% of the companies listed 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 | 1.41 | ||
| EV/EBITDA | 2.66 |
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)0.73
PEG (5Y)1.02
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.12%, MFC-PR-L is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.51, MFC-PR-L has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, MFC-PR-L pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.12% |
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
62.26% of the earnings are spent on dividend by MFC-PR-L. 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.
DP62.26%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
MANULIFE FINANCIAL CORP - MFCCN 5.775 PERP
TSX:MFC-PR-L (5/2/2025, 7:00:00 PM)
21.69
0 (0%)
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 Cap37.27B
Analysts76.67
Price Target26.29 (21.21%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.12% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP62.26%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.79%
Min EPS beat(2)5.71%
Max EPS beat(2)7.87%
EPS beat(4)4
Avg EPS beat(4)4.58%
Min EPS beat(4)2.05%
Max EPS beat(4)7.87%
EPS beat(8)7
Avg EPS beat(8)4.83%
EPS beat(12)9
Avg EPS beat(12)3.14%
EPS beat(16)12
Avg EPS beat(16)2.81%
Revenue beat(2)2
Avg Revenue beat(2)571.15%
Min Revenue beat(2)527.89%
Max Revenue beat(2)614.4%
Revenue beat(4)4
Avg Revenue beat(4)552.78%
Min Revenue beat(4)527.89%
Max Revenue beat(4)614.4%
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)-0.92%
PT rev (3m)6.08%
EPS NQ rev (1m)-0.98%
EPS NQ rev (3m)1.36%
EPS NY rev (1m)-0.98%
EPS NY rev (3m)1.32%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-4.68%
Revenue NY rev (3m)-0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.59 | ||
| Fwd PE | 5.19 | ||
| P/S | 1 | ||
| P/FCF | 1.41 | ||
| P/OCF | 1.41 | ||
| P/B | 0.72 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | 2.66 |
EPS(TTM)3.88
EY17.89%
EPS(NY)4.18
Fwd EY19.26%
FCF(TTM)15.42
FCFY71.09%
OCF(TTM)15.42
OCFY71.09%
SpS21.79
BVpS29.99
TBVpS23.56
PEG (NY)0.73
PEG (5Y)1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 9.84% | ||
| ROCE | 0.92% | ||
| ROIC | 0.78% | ||
| ROICexc | 0.8% | ||
| ROICexgc | 1.86% | ||
| OM | 23.43% | ||
| PM (TTM) | 13.55% | ||
| GM | N/A | ||
| FCFM | 70.77% |
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-Score5
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.53 | ||
| Debt/EBITDA | 1.47 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 5.57 | ||
| Cash Conversion | 274.83% | ||
| Profit Quality | 522.15% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC8.26%
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)12.14%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%11.96%
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.14%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%48.7%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.62%
EBIT growth 1Y9.56%
EBIT growth 3Y-1.3%
EBIT growth 5Y3.07%
EBIT Next Year-69.45%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y29.73%
FCF growth 3Y4.59%
FCF growth 5Y5.22%
OCF growth 1Y29.73%
OCF growth 3Y4.59%
OCF growth 5Y5.22%