INTACT FINANCIAL CORP (IFC.CA) Stock Fundamental Analysis
TSX:IFC - Toronto Stock Exchange - CA45823T1066 - Common Stock - Currency: CAD
Taking everything into account, IFC scores 4 out of 10 in our fundamental rating. IFC was compared to 79 industry peers in the Insurance industry. There are concerns on the financial health of IFC while its profitability can be described as average. IFC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year IFC was profitable.
In the past year IFC had a positive cash flow from operations.
Each year in the past 5 years IFC has been profitable.
In the past 5 years IFC always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.65%, IFC is in the better half of the industry, outperforming 77.22% of the companies in the same industry.
IFC has a better Return On Equity (11.78%) than 65.82% of its industry peers.
IFC's Return On Invested Capital of 5.49% is amongst the best of the industry. IFC outperforms 87.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 11.78% | ||
| ROIC | 5.49% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 8.24%, IFC is doing worse than 64.56% of the companies in the same industry.
In the last couple of years the Profit Margin of IFC has grown nicely.
IFC has a Operating Margin (15.65%) which is in line with its industry peers.
In the last couple of years the Operating Margin of IFC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.65% | ||
| PM (TTM) | 8.24% | ||
| GM | N/A |
OM growth 3Y-0.02%
OM growth 5Y12.07%
PM growth 3Y-9.83%
PM growth 5Y5.98%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
IFC 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 IFC has been increased compared to 5 years ago.
2.2 Solvency
The Debt to FCF ratio of IFC is 1.67, which is an excellent value as it means it would take IFC, only 1.67 years of fcf income to pay off all of its debts.
IFC has a Debt to FCF ratio (1.67) which is in line with its industry peers.
IFC has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.29, IFC is doing worse than 60.76% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for IFC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | N/A |
ROIC/WACC0.65
WACC8.5%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
IFC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.90%, which is quite impressive.
The Earnings Per Share has been growing by 18.56% on average over the past years. This is quite good.
IFC shows a small growth in Revenue. In the last year, the Revenue has grown by 4.57%.
Measured over the past years, IFC shows a quite strong growth in Revenue. The Revenue has been growing by 18.42% on average per year.
EPS 1Y (TTM)20.9%
EPS 3Y5.44%
EPS 5Y18.56%
EPS Q2Q%10.47%
Revenue 1Y (TTM)4.57%
Revenue growth 3Y14.34%
Revenue growth 5Y18.42%
Sales Q2Q%6.95%
3.2 Future
IFC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.40% yearly.
The Revenue is expected to grow by 9.74% on average over the next years. This is quite good.
EPS Next Y14.8%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
EPS Next 5YN/A
Revenue Next Year6.86%
Revenue Next 2Y6.49%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.38 indicates a rather expensive valuation of IFC.
Based on the Price/Earnings ratio, IFC is valued expensively inside the industry as 94.94% of the companies are valued cheaper.
The average S&P500 Price/Earnings ratio is at 27.15. IFC is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 17.94, which indicates a rather expensive current valuation of IFC.
Based on the Price/Forward Earnings ratio, IFC is valued a bit more expensive than 68.35% of the companies in the same industry.
IFC is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.60, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.38 | ||
| Fwd PE | 17.94 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IFC indicates a somewhat cheap valuation: IFC is cheaper than 60.76% of the companies listed in the same industry.
IFC's Price/Free Cash Flow ratio is rather expensive when compared to the industry. IFC is more expensive than 94.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.24 | ||
| EV/EBITDA | 12.12 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.45
PEG (5Y)1.15
EPS Next 2Y10.6%
EPS Next 3Y9.4%
5. Dividend
5.1 Amount
IFC has a Yearly Dividend Yield of 5.70%, which is a nice return.
Compared to an average industry Dividend Yield of 4.99, IFC has a dividend in line with its industry peers.
IFC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.7% |
5.2 History
IFC has been paying a dividend for at least 10 years, so it has a reliable track record.
IFC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)N/A
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
44.07% of the earnings are spent on dividend by IFC. This is a bit on the high side, but may be sustainable.
DP44.07%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
TSX:IFC (6/30/2025, 7:00:00 PM)
316.65
+4.31 (+1.38%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners55.57%
Inst Owner ChangeN/A
Ins Owners0.32%
Ins Owner ChangeN/A
Market Cap56.47B
Analysts74.12
Price Target330.06 (4.23%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.7% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP44.07%
Div Incr Years19
Div Non Decr Years19
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.77%
Min EPS beat(2)12.33%
Max EPS beat(2)13.21%
EPS beat(4)4
Avg EPS beat(4)47.53%
Min EPS beat(4)12.33%
Max EPS beat(4)128.05%
EPS beat(8)7
Avg EPS beat(8)31.73%
EPS beat(12)10
Avg EPS beat(12)22.78%
EPS beat(16)14
Avg EPS beat(16)26.26%
Revenue beat(2)0
Avg Revenue beat(2)-1.23%
Min Revenue beat(2)-1.86%
Max Revenue beat(2)-0.6%
Revenue beat(4)0
Avg Revenue beat(4)-2.24%
Min Revenue beat(4)-4.33%
Max Revenue beat(4)-0.6%
Revenue beat(8)2
Avg Revenue beat(8)-1.31%
Revenue beat(12)5
Avg Revenue beat(12)5.52%
Revenue beat(16)9
Avg Revenue beat(16)8.04%
PT rev (1m)7.2%
PT rev (3m)8.19%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.84%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.38 | ||
| Fwd PE | 17.94 | ||
| P/S | 2.11 | ||
| P/FCF | 17.24 | ||
| P/OCF | 15.28 | ||
| P/B | 3.01 | ||
| P/tB | 6.3 | ||
| EV/EBITDA | 12.12 |
EPS(TTM)14.81
EY4.68%
EPS(NY)17.65
Fwd EY5.57%
FCF(TTM)18.37
FCFY5.8%
OCF(TTM)20.72
OCFY6.54%
SpS150.36
BVpS105.24
TBVpS50.26
PEG (NY)1.45
PEG (5Y)1.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 11.78% | ||
| ROCE | 7.14% | ||
| ROIC | 5.49% | ||
| ROICexc | 5.62% | ||
| ROICexgc | 7.67% | ||
| OM | 15.65% | ||
| PM (TTM) | 8.24% | ||
| GM | N/A | ||
| FCFM | 12.22% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3Y18.12%
ROICexcg growth 5Y18.02%
ROICexc growth 3Y16.62%
ROICexc growth 5Y16.95%
OM growth 3Y-0.02%
OM growth 5Y12.07%
PM growth 3Y-9.83%
PM growth 5Y5.98%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.67 | ||
| Debt/EBITDA | 1.11 | ||
| Cap/Depr | 57.01% | ||
| Cap/Sales | 1.56% | ||
| Interest Coverage | 19.08 | ||
| Cash Conversion | 74.92% | ||
| Profit Quality | 148.24% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC8.5%
ROIC/WACC0.65
Cap/Depr(3y)69.6%
Cap/Depr(5y)66.33%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.69%
Profit Quality(3y)128.11%
Profit Quality(5y)147.37%
High Growth Momentum
Growth
EPS 1Y (TTM)20.9%
EPS 3Y5.44%
EPS 5Y18.56%
EPS Q2Q%10.47%
EPS Next Y14.8%
EPS Next 2Y10.6%
EPS Next 3Y9.4%
EPS Next 5YN/A
Revenue 1Y (TTM)4.57%
Revenue growth 3Y14.34%
Revenue growth 5Y18.42%
Sales Q2Q%6.95%
Revenue Next Year6.86%
Revenue Next 2Y6.49%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
EBIT growth 1Y26.57%
EBIT growth 3Y14.32%
EBIT growth 5Y32.71%
EBIT Next Year14.29%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y47.37%
FCF growth 3Y1.62%
FCF growth 5Y20.32%
OCF growth 1Y38.96%
OCF growth 3Y2.49%
OCF growth 5Y21.3%