MANULIFE FINANCIAL CORP - MFCCN 6.159 PERP (MFC-PR-J.CA) Stock Fundamental Analysis
TSX:MFC-PR-J - Toronto Stock Exchange - CA56501R7673 - Currency: CAD
MFC-PR-J gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 85 industry peers in the Insurance industry. MFC-PR-J has only an average score on both its financial health and profitability. MFC-PR-J is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MFC-PR-J was profitable.
In the past year MFC-PR-J had a positive cash flow from operations.
Of the past 5 years MFC-PR-J 4 years were profitable.
In the past 5 years MFC-PR-J always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.52%, MFC-PR-J is in line with its industry, outperforming 47.67% of the companies in the same industry.
MFC-PR-J's Return On Equity of 9.84% is on the low side compared to the rest of the industry. MFC-PR-J is outperformed by 82.56% of its industry peers.
MFC-PR-J has a Return On Invested Capital (0.78%) which is comparable to the rest of the industry.
| 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
Looking at the Profit Margin, with a value of 13.55%, MFC-PR-J belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
In the last couple of years the Profit Margin of MFC-PR-J has grown nicely.
With an excellent Operating Margin value of 23.43%, MFC-PR-J belongs to the best of the industry, outperforming 82.56% of the companies in the same industry.
In the last couple of years the Operating Margin of MFC-PR-J 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-J 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-J has been reduced compared to 1 year ago.
MFC-PR-J has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MFC-PR-J has an improved debt to assets ratio.
2.2 Solvency
MFC-PR-J 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.
Looking at the Debt to FCF ratio, with a value of 0.53, MFC-PR-J belongs to the top of the industry, outperforming 88.37% of the companies in the same industry.
A Debt/Equity ratio of 0.27 indicates that MFC-PR-J is not too dependend on debt financing.
MFC-PR-J's Debt to Equity ratio of 0.27 is fine compared to the rest of the industry. MFC-PR-J outperforms 70.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.53 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.42%
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 12.82% over the past year.
Measured over the past 5 years, MFC-PR-J shows a small growth in Earnings Per Share. The EPS has been growing by 5.62% on average per year.
MFC-PR-J shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.76%.
MFC-PR-J shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -13.62% yearly.
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
The Earnings Per Share is expected to grow by 4.04% on average over the next years.
Based on estimates for the next years, MFC-PR-J 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
The Price/Earnings ratio is 6.24, which indicates a rather cheap valuation of MFC-PR-J.
MFC-PR-J's Price/Earnings ratio is a bit more expensive when compared to the industry. MFC-PR-J is more expensive than 67.44% of the companies in the same industry.
MFC-PR-J is valuated cheaply when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 5.87, the valuation of MFC-PR-J can be described as very cheap.
MFC-PR-J's Price/Forward Earnings is on the same level as the industry average.
MFC-PR-J is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.24 | ||
| Fwd PE | 5.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MFC-PR-J indicates a somewhat cheap valuation: MFC-PR-J is cheaper than 79.07% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MFC-PR-J is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.58 | ||
| EV/EBITDA | 3.14 |
4.3 Compensation for Growth
MFC-PR-J's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.02
PEG (5Y)1.11
EPS Next 2Y7.83%
EPS Next 3Y2.96%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.19%, MFC-PR-J is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.24, MFC-PR-J is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.33, MFC-PR-J pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
5.2 History
The dividend of MFC-PR-J is nicely growing with an annual growth rate of 20.17%!
MFC-PR-J has paid a dividend for at least 10 years, which is a reliable track record.
MFC-PR-J has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.17%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
MFC-PR-J pays out 62.26% of its income as dividend. This is not a sustainable payout ratio.
The dividend of MFC-PR-J 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 6.159 PERP
TSX:MFC-PR-J (3/7/2025, 7:00:00 PM)
24.32
-0.07 (-0.29%)
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 Cap41.91B
Analysts76.67
Price Target27.99 (15.09%)
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 Years2
Div Non Decr Years4
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)1.85%
PT rev (3m)11.26%
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 | 6.24 | ||
| Fwd PE | 5.87 | ||
| P/S | 1.12 | ||
| P/FCF | 1.58 | ||
| P/OCF | 1.58 | ||
| P/B | 0.81 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 3.14 |
EPS(TTM)3.9
EY16.04%
EPS(NY)4.14
Fwd EY17.03%
FCF(TTM)15.37
FCFY63.22%
OCF(TTM)15.37
OCFY63.22%
SpS21.72
BVpS29.91
TBVpS23.49
PEG (NY)1.02
PEG (5Y)1.11
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
WACC8.42%
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%