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MANULIFE FINANCIAL CORP - MFCCN 6.159 PERP (MFC-PR-J.CA) Stock Fundamental Analysis

TSX:MFC-PR-J - Toronto Stock Exchange - CA56501R7673 - Currency: CAD

25.6  +0.08 (+0.31%)

Fundamental Rating

5

MFC-PR-J gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 81 industry peers in the Insurance industry. Both the profitability and the financial health of MFC-PR-J get a neutral evaluation. Nothing too spectacular is happening here. MFC-PR-J is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

MFC-PR-J had positive earnings in the past year.
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.
MFC-PR-J.CA Yearly Net Income VS EBIT VS OCF VS FCFMFC-PR-J.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B 20B 25B

1.2 Ratios

MFC-PR-J has a Return On Assets (0.48%) which is comparable to the rest of the industry.
MFC-PR-J has a worse Return On Equity (9.06%) than 90.12% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.72%, MFC-PR-J is in line with its industry, outperforming 56.79% of the companies in the same industry.
Industry RankSector Rank
ROA 0.48%
ROE 9.06%
ROIC 0.72%
ROA(3y)0.27%
ROA(5y)0.44%
ROE(3y)5.1%
ROE(5y)7.68%
ROIC(3y)N/A
ROIC(5y)N/A
MFC-PR-J.CA Yearly ROA, ROE, ROICMFC-PR-J.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10

1.3 Margins

The Profit Margin of MFC-PR-J (12.55%) is better than 82.72% of its industry peers.
MFC-PR-J's Profit Margin has improved in the last couple of years.
MFC-PR-J has a better Operating Margin (21.86%) than 79.01% of its industry peers.
In the last couple of years the Operating Margin of MFC-PR-J has grown nicely.
Industry RankSector Rank
OM 21.86%
PM (TTM) 12.55%
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
MFC-PR-J.CA Yearly Profit, Operating, Gross MarginsMFC-PR-J.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20

4

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.
The debt/assets ratio for MFC-PR-J has been reduced compared to a year ago.
MFC-PR-J.CA Yearly Shares OutstandingMFC-PR-J.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
MFC-PR-J.CA Yearly Total Debt VS Total AssetsMFC-PR-J.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200B 400B 600B 800B

2.2 Solvency

MFC-PR-J has a debt to FCF ratio of 0.50. This is a very positive value and a sign of high solvency as it would only need 0.50 years to pay back of all of its debts.
MFC-PR-J has a better Debt to FCF ratio (0.50) than 83.95% of its industry peers.
MFC-PR-J has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
MFC-PR-J has a Debt to Equity ratio of 0.27. This is in the better half of the industry: MFC-PR-J outperforms 66.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 0.5
Altman-Z N/A
ROIC/WACC0.09
WACC8.35%
MFC-PR-J.CA Yearly LT Debt VS Equity VS FCFMFC-PR-J.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
MFC-PR-J.CA Yearly Current Assets VS Current LiabilitesMFC-PR-J.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

5

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 8.86% 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 5.49% on average per year.
Looking at the last year, MFC-PR-J shows a quite strong growth in Revenue. The Revenue has grown by 11.13% in the last year.
The Revenue for MFC-PR-J have been decreasing by -13.62% on average. This is quite bad
EPS 1Y (TTM)8.86%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%5.32%
Revenue 1Y (TTM)11.13%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%-11.27%

3.2 Future

MFC-PR-J is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.15% yearly.
The Revenue is expected to grow by 18.63% on average over the next years. This is quite good.
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.15%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.63%

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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
MFC-PR-J.CA Yearly Revenue VS EstimatesMFC-PR-J.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 20B 40B 60B 80B
MFC-PR-J.CA Yearly EPS VS EstimatesMFC-PR-J.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1 2 3 4

5

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 6.51, 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 66.67% of the companies in the same industry.
MFC-PR-J is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 5.60, the valuation of MFC-PR-J can be described as very cheap.
MFC-PR-J's Price/Forward Earnings ratio is in line with the industry average.
MFC-PR-J's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.76.
Industry RankSector Rank
PE 6.51
Fwd PE 5.6
MFC-PR-J.CA Price Earnings VS Forward Price EarningsMFC-PR-J.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, MFC-PR-J is valued a bit cheaper than the industry average as 69.14% of the companies are valued more expensively.
MFC-PR-J's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 1.53
EV/EBITDA 3.58
MFC-PR-J.CA Per share dataMFC-PR-J.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

MFC-PR-J's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.85
PEG (5Y)1.19
EPS Next 2Y8.57%
EPS Next 3Y6.76%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 5.52%, MFC-PR-J is a good candidate for dividend investing.
MFC-PR-J's Dividend Yield is slightly below the industry average, which is at 5.21.
Compared to an average S&P500 Dividend Yield of 2.35, MFC-PR-J pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.52%

5.2 History

On average, the dividend of MFC-PR-J grows each year by 20.17%, which is quite nice.
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
MFC-PR-J.CA Yearly Dividends per shareMFC-PR-J.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

67.87% of the earnings are spent on dividend by MFC-PR-J. 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.
DP67.87%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
MFC-PR-J.CA Yearly Income VS Free CF VS DividendMFC-PR-J.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B 20B 25B
MFC-PR-J.CA Dividend Payout.MFC-PR-J.CA Dividend Payout, showing the Payout Ratio.MFC-PR-J.CA Dividend Payout.PayoutRetained Earnings

MANULIFE FINANCIAL CORP - MFCCN 6.159 PERP

TSX:MFC-PR-J (7/11/2025, 7:00:00 PM)

25.6

+0.08 (+0.31%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)05-07 2025-05-07/amc
Earnings (Next)08-06 2025-08-06/amc
Inst Owners55.65%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap43.73B
Analysts76.47
Price Target29.67 (15.9%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 5.52%
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP67.87%
Div Incr Years2
Div Non Decr Years4
Ex-Date05-21 2025-05-21 (0.384938)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.67%
Min EPS beat(2)-0.52%
Max EPS beat(2)7.87%
EPS beat(4)3
Avg EPS beat(4)3.94%
Min EPS beat(4)-0.52%
Max EPS beat(4)7.87%
EPS beat(8)7
Avg EPS beat(8)5.06%
EPS beat(12)9
Avg EPS beat(12)3.72%
EPS beat(16)11
Avg EPS beat(16)2.45%
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)4.82%
PT rev (3m)5.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.18%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.98%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.68%
Valuation
Industry RankSector Rank
PE 6.51
Fwd PE 5.6
P/S 1.17
P/FCF 1.53
P/OCF 1.53
P/B 0.84
P/tB 1.07
EV/EBITDA 3.58
EPS(TTM)3.93
EY15.35%
EPS(NY)4.57
Fwd EY17.87%
FCF(TTM)16.75
FCFY65.42%
OCF(TTM)16.75
OCFY65.42%
SpS21.89
BVpS30.31
TBVpS23.83
PEG (NY)0.85
PEG (5Y)1.19
Profitability
Industry RankSector Rank
ROA 0.48%
ROE 9.06%
ROCE 0.85%
ROIC 0.72%
ROICexc 0.74%
ROICexgc 1.72%
OM 21.86%
PM (TTM) 12.55%
GM N/A
FCFM 76.52%
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-Score7
Asset Turnover0.04
Health
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 0.5
Debt/EBITDA 1.56
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage 5.23
Cash Conversion 314.66%
Profit Quality 609.81%
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score7
WACC8.35%
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)8.86%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%5.32%
EPS Next Y7.65%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
EPS Next 5Y5.15%
Revenue 1Y (TTM)11.13%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%-11.27%
Revenue Next Year9.3%
Revenue Next 2Y7.46%
Revenue Next 3Y6.55%
Revenue Next 5Y18.63%
EBIT growth 1Y7.6%
EBIT growth 3Y-1.3%
EBIT growth 5Y3.07%
EBIT Next Year-70.64%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y67.64%
FCF growth 3Y4.59%
FCF growth 5Y5.22%
OCF growth 1Y67.64%
OCF growth 3Y4.59%
OCF growth 5Y5.22%