MANULIFE FINANCIAL CORP - MFCCN 4 1/2 PERP (MFC-PR-C.CA) Stock Fundamental Analysis
TSX:MFC-PR-C - Toronto Stock Exchange - CA56501R5024 - Currency: CAD
Overall MFC-PR-C gets a fundamental rating of 5 out of 10. We evaluated MFC-PR-C against 85 industry peers in the Insurance industry. Both the profitability and the financial health of MFC-PR-C get a neutral evaluation. Nothing too spectacular is happening here. MFC-PR-C has a correct valuation and a medium growth rate. MFC-PR-C also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
MFC-PR-C had positive earnings in the past year.
In the past year MFC-PR-C had a positive cash flow from operations.
MFC-PR-C had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MFC-PR-C had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MFC-PR-C (0.52%) is comparable to the rest of the industry.
MFC-PR-C has a Return On Equity of 9.84%. This is in the lower half of the industry: MFC-PR-C underperforms 74.42% of its industry peers.
MFC-PR-C has a Return On Invested Capital of 0.78%. This is in the better half of the industry: MFC-PR-C outperforms 65.12% 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
MFC-PR-C's Profit Margin of 13.55% is amongst the best of the industry. MFC-PR-C outperforms 91.86% of its industry peers.
MFC-PR-C's Profit Margin has improved in the last couple of years.
The Operating Margin of MFC-PR-C (23.43%) is better than 90.70% of its industry peers.
MFC-PR-C's Operating Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MFC-PR-C is destroying value.
MFC-PR-C has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MFC-PR-C has been reduced compared to 5 years ago.
The debt/assets ratio for MFC-PR-C has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of MFC-PR-C is 0.53, which is an excellent value as it means it would take MFC-PR-C, only 0.53 years of fcf income to pay off all of its debts.
MFC-PR-C has a better Debt to FCF ratio (0.53) than 96.51% of its industry peers.
MFC-PR-C 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-C is in the better half of the industry, outperforming 79.07% 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
WACC8.48%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MFC-PR-C shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.82%, which is quite good.
The Earnings Per Share has been growing slightly by 5.62% on average over the past years.
MFC-PR-C shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.76%.
Measured over the past years, MFC-PR-C shows a very negative growth in Revenue. The Revenue has been decreasing by -13.62% on average per year.
EPS 1Y (TTM)12.82%
EPS 3Y6.3%
EPS 5Y5.62%
EPS Q2Q%14.52%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%48.7%
3.2 Future
MFC-PR-C is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.04% yearly.
Based on estimates for the next years, MFC-PR-C will show a very strong growth in Revenue. The Revenue will grow by 23.38% on average per year.
EPS Next Y6.1%
EPS Next 2Y7.83%
EPS Next 3Y2.96%
EPS Next 5Y4.04%
Revenue Next Year14.67%
Revenue Next 2Y11.05%
Revenue Next 3Y9.02%
Revenue Next 5Y23.38%
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 decreasing.
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 5.23, the valuation of MFC-PR-C can be described as very cheap.
MFC-PR-C's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 29.35. MFC-PR-C is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 4.93, which indicates a rather cheap valuation of MFC-PR-C.
MFC-PR-C's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, MFC-PR-C is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.23 | ||
| Fwd PE | 4.93 |
4.2 Price Multiples
MFC-PR-C's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MFC-PR-C is cheaper than 88.37% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MFC-PR-C is valued a bit cheaper than the industry average as 73.26% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.33 | ||
| EV/EBITDA | 2.44 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.86
PEG (5Y)0.93
EPS Next 2Y7.83%
EPS Next 3Y2.96%
5. Dividend
5.1 Amount
MFC-PR-C has a Yearly Dividend Yield of 4.19%, which is a nice return.
MFC-PR-C's Dividend Yield is comparable with the industry average which is at 4.24.
Compared to an average S&P500 Dividend Yield of 2.33, MFC-PR-C pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
5.2 History
On average, the dividend of MFC-PR-C grows each year by 20.17%, which is quite nice.
MFC-PR-C has been paying a dividend for at least 10 years, so it has a reliable track record.
MFC-PR-C has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)20.17%
Div Incr Years0
Div Non Decr Years18
5.3 Sustainability
62.26% of the earnings are spent on dividend by MFC-PR-C. This is not a sustainable payout ratio.
The dividend of MFC-PR-C is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP62.26%
EPS Next 2Y7.83%
EPS Next 3Y2.96%
MANULIFE FINANCIAL CORP - MFCCN 4 1/2 PERP
TSX:MFC-PR-C (3/7/2025, 7:00:00 PM)
20.41
+0.07 (+0.34%)
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 Cap35.17B
Analysts76.67
Price Target24.79 (21.46%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP62.26%
Div Incr Years0
Div Non Decr Years18
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.03%
Min EPS beat(2)5.71%
Max EPS beat(2)10.34%
EPS beat(4)4
Avg EPS beat(4)5.2%
Min EPS beat(4)2.05%
Max EPS beat(4)10.34%
EPS beat(8)7
Avg EPS beat(8)5.14%
EPS beat(12)9
Avg EPS beat(12)3.34%
EPS beat(16)12
Avg EPS beat(16)2.96%
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)12.59%
PT rev (3m)20.63%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.52%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)0.47%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)4.82%
Revenue NY rev (3m)4.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.23 | ||
| Fwd PE | 4.93 | ||
| P/S | 0.94 | ||
| P/FCF | 1.33 | ||
| P/OCF | 1.33 | ||
| P/B | 0.68 | ||
| P/tB | 0.87 | ||
| EV/EBITDA | 2.44 |
EPS(TTM)3.9
EY19.11%
EPS(NY)4.14
Fwd EY20.29%
FCF(TTM)15.37
FCFY75.33%
OCF(TTM)15.37
OCFY75.33%
SpS21.72
BVpS29.91
TBVpS23.49
PEG (NY)0.86
PEG (5Y)0.93
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
WACC8.48%
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)12.82%
EPS 3Y6.3%
EPS 5Y5.62%
EPS Q2Q%14.52%
EPS Next Y6.1%
EPS Next 2Y7.83%
EPS Next 3Y2.96%
EPS Next 5Y4.04%
Revenue 1Y (TTM)11.76%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%48.7%
Revenue Next Year14.67%
Revenue Next 2Y11.05%
Revenue Next 3Y9.02%
Revenue Next 5Y23.38%
EBIT growth 1Y9.56%
EBIT growth 3Y-1.3%
EBIT growth 5Y3.07%
EBIT Next Year-70.25%
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%