SUN LIFE FINANCIAL INC (SLF) Stock Fundamental Analysis
USA - NYSE:SLF - CA8667961053 - Common Stock
62.17 USD
-0.21 (-0.34%)
62.17 USD
0 (0%)
Overall SLF gets a fundamental rating of 4 out of 10. We evaluated SLF against 145 industry peers in the Insurance industry. SLF has a medium profitability rating, but doesn't score so well on its financial health evaluation. SLF has a correct valuation and a medium growth rate. Finally SLF also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year SLF was profitable.
SLF had a positive operating cash flow in the past year.
In the past 5 years SLF has always been profitable.
Of the past 5 years SLF 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SLF (0.86%) is worse than 62.76% of its industry peers.
With a decent Return On Equity value of 12.85%, SLF is doing good in the industry, outperforming 62.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 12.85% | ||
| ROIC | N/A |
ROA(3y)0.9%
ROA(5y)0.92%
ROE(3y)12.65%
ROE(5y)12.26%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 9.34%, SLF is doing good in the industry, outperforming 66.21% of the companies in the same industry.
In the last couple of years the Profit Margin of SLF has grown nicely.
The Operating Margin of SLF (14.71%) is better than 67.59% of its industry peers.
SLF's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.71% | ||
| PM (TTM) | 9.34% | ||
| GM | N/A |
OM growth 3Y-8.21%
OM growth 5YN/A
PM growth 3Y-4.77%
PM growth 5Y1.93%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
SLF does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for SLF has been reduced compared to 1 year ago.
The number of shares outstanding for SLF has been reduced compared to 5 years ago.
SLF has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of SLF is 1.54, which is an excellent value as it means it would take SLF, only 1.54 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 1.54, SLF perfoms like the industry average, outperforming 57.93% of the companies in the same industry.
SLF has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
SLF has a better Debt to Equity ratio (0.25) than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.54 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC5.83%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
SLF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.63%, which is quite good.
Measured over the past 5 years, SLF shows a small growth in Earnings Per Share. The EPS has been growing by 5.28% on average per year.
Looking at the last year, SLF shows a small growth in Revenue. The Revenue has grown by 7.10% in the last year.
Measured over the past years, SLF shows a small growth in Revenue. The Revenue has been growing by 0.65% on average per year.
EPS 1Y (TTM)8.63%
EPS 3Y3.43%
EPS 5Y5.28%
EPS Q2Q%4.07%
Revenue 1Y (TTM)7.1%
Revenue growth 3Y-3.54%
Revenue growth 5Y0.65%
Sales Q2Q%1.96%
3.2 Future
Based on estimates for the next years, SLF will show a small growth in Earnings Per Share. The EPS will grow by 6.03% on average per year.
SLF is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 31.77% yearly.
EPS Next Y10.83%
EPS Next 2Y9.27%
EPS Next 3Y8.83%
EPS Next 5Y6.03%
Revenue Next Year-7.14%
Revenue Next 2Y-2.16%
Revenue Next 3Y0%
Revenue Next 5Y31.77%
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
Based on the Price/Earnings ratio of 12.38, the valuation of SLF can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of SLF is on the same level as its industry peers.
SLF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.53.
A Price/Forward Earnings ratio of 10.98 indicates a reasonable valuation of SLF.
The rest of the industry has a similar Price/Forward Earnings ratio as SLF.
When comparing the Price/Forward Earnings ratio of SLF to the average of the S&P500 Index (23.04), we can say SLF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.38 | ||
| Fwd PE | 10.98 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SLF is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.9 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SLF's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.14
PEG (5Y)2.35
EPS Next 2Y9.27%
EPS Next 3Y8.83%
5. Dividend
5.1 Amount
SLF has a Yearly Dividend Yield of 6.68%, which is a nice return.
Compared to an average industry Dividend Yield of 3.54, SLF pays a better dividend. On top of this SLF pays more dividend than 93.10% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, SLF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.68% |
5.2 History
On average, the dividend of SLF grows each year by 8.81%, which is quite nice.
SLF has paid a dividend for at least 10 years, which is a reliable track record.
SLF has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)8.81%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
62.09% of the earnings are spent on dividend by SLF. This is not a sustainable payout ratio.
The dividend of SLF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP62.09%
EPS Next 2Y9.27%
EPS Next 3Y8.83%
62.17
-0.21 (-0.34%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners55.83%
Inst Owner Change0.01%
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap35.04B
Analysts75.56
Price Target65.29 (5.02%)
Short Float %0.64%
Short Ratio4.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.68% |
Yearly Dividend2.42
Dividend Growth(5Y)8.81%
DP62.09%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.67%
Min EPS beat(2)-0.3%
Max EPS beat(2)5.64%
EPS beat(4)2
Avg EPS beat(4)0.35%
Min EPS beat(4)-6.68%
Max EPS beat(4)5.64%
EPS beat(8)5
Avg EPS beat(8)0.65%
EPS beat(12)8
Avg EPS beat(12)1.91%
EPS beat(16)11
Avg EPS beat(16)2%
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)0.51%
PT rev (3m)-3.01%
EPS NQ rev (1m)0.18%
EPS NQ rev (3m)-1.24%
EPS NY rev (1m)0.04%
EPS NY rev (3m)0.99%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.38 | ||
| Fwd PE | 10.98 | ||
| P/S | 1.42 | ||
| P/FCF | 11.9 | ||
| P/OCF | 11.53 | ||
| P/B | 1.96 | ||
| P/tB | 4.55 | ||
| EV/EBITDA | N/A |
EPS(TTM)5.02
EY8.07%
EPS(NY)5.66
Fwd EY9.11%
FCF(TTM)5.22
FCFY8.4%
OCF(TTM)5.39
OCFY8.68%
SpS43.69
BVpS31.74
TBVpS13.68
PEG (NY)1.14
PEG (5Y)2.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 12.85% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 14.71% | ||
| PM (TTM) | 9.34% | ||
| GM | N/A | ||
| FCFM | 11.95% |
ROA(3y)0.9%
ROA(5y)0.92%
ROE(3y)12.65%
ROE(5y)12.26%
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)3.32%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-8.21%
OM growth 5YN/A
PM growth 3Y-4.77%
PM growth 5Y1.93%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.54 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.39% | ||
| Interest Coverage | 13.42 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 128.03% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC5.83%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)131.84%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.63%
EPS 3Y3.43%
EPS 5Y5.28%
EPS Q2Q%4.07%
EPS Next Y10.83%
EPS Next 2Y9.27%
EPS Next 3Y8.83%
EPS Next 5Y6.03%
Revenue 1Y (TTM)7.1%
Revenue growth 3Y-3.54%
Revenue growth 5Y0.65%
Sales Q2Q%1.96%
Revenue Next Year-7.14%
Revenue Next 2Y-2.16%
Revenue Next 3Y0%
Revenue Next 5Y31.77%
EBIT growth 1Y9.45%
EBIT growth 3Y-11.46%
EBIT growth 5YN/A
EBIT Next Year-2%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y37.89%
FCF growth 3YN/A
FCF growth 5Y0.24%
OCF growth 1Y37.39%
OCF growth 3YN/A
OCF growth 5Y0.46%