MANULIFE FINANCIAL CORP - MFCCN 5.942 PERP (MFC-PR-Q.CA) Stock Fundamental Analysis
TSX:MFC-PR-Q - Toronto Stock Exchange - CA56501R6196 - Currency: CAD
We assign a fundamental rating of 5 out of 10 to MFC-PR-Q. MFC-PR-Q was compared to 81 industry peers in the Insurance industry. Both the profitability and the financial health of MFC-PR-Q get a neutral evaluation. Nothing too spectacular is happening here. MFC-PR-Q has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year MFC-PR-Q was profitable.
MFC-PR-Q had a positive operating cash flow in the past year.
MFC-PR-Q had positive earnings in 4 of the past 5 years.
In the past 5 years MFC-PR-Q always reported a positive cash flow from operatings.
1.2 Ratios
MFC-PR-Q has a Return On Assets (0.48%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 9.06%, MFC-PR-Q is doing worse than 87.65% of the companies in the same industry.
With a Return On Invested Capital value of 0.72%, MFC-PR-Q perfoms like the industry average, outperforming 59.26% of the companies in the same industry.
| Industry Rank | Sector 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
1.3 Margins
MFC-PR-Q has a better Profit Margin (12.55%) than 85.19% of its industry peers.
MFC-PR-Q's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 21.86%, MFC-PR-Q belongs to the best of the industry, outperforming 81.48% of the companies in the same industry.
MFC-PR-Q's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector 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
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MFC-PR-Q is destroying value.
MFC-PR-Q has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MFC-PR-Q has less shares outstanding
The debt/assets ratio for MFC-PR-Q has been reduced compared to a year ago.
2.2 Solvency
MFC-PR-Q 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-Q's Debt to FCF ratio of 0.50 is amongst the best of the industry. MFC-PR-Q outperforms 86.42% of its industry peers.
MFC-PR-Q has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
MFC-PR-Q's Debt to Equity ratio of 0.27 is fine compared to the rest of the industry. MFC-PR-Q outperforms 69.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.5 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.35%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MFC-PR-Q shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.86%, which is quite good.
The Earnings Per Share has been growing slightly by 5.49% on average over the past years.
The Revenue has grown by 11.13% in the past year. This is quite good.
The Revenue for MFC-PR-Q 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
The Earnings Per Share is expected to grow by 5.15% on average over the next years.
Based on estimates for the next years, MFC-PR-Q will show a quite strong growth in Revenue. The Revenue will grow by 18.63% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.46, which indicates a rather cheap valuation of MFC-PR-Q.
Based on the Price/Earnings ratio, MFC-PR-Q is valued a bit more expensive than 62.96% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. MFC-PR-Q is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 5.55 indicates a rather cheap valuation of MFC-PR-Q.
The rest of the industry has a similar Price/Forward Earnings ratio as MFC-PR-Q.
When comparing the Price/Forward Earnings ratio of MFC-PR-Q to the average of the S&P500 Index (21.76), we can say MFC-PR-Q is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.46 | ||
| Fwd PE | 5.55 |
4.2 Price Multiples
MFC-PR-Q's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MFC-PR-Q is cheaper than 71.60% of the companies in the same industry.
MFC-PR-Q's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.52 | ||
| EV/EBITDA | 3.54 |
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)0.84
PEG (5Y)1.18
EPS Next 2Y8.57%
EPS Next 3Y6.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.52%, MFC-PR-Q is a good candidate for dividend investing.
MFC-PR-Q'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-Q pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.52% |
5.2 History
The dividend of MFC-PR-Q is nicely growing with an annual growth rate of 20.17%!
MFC-PR-Q has been paying a dividend for over 5 years, so it has already some track record.
MFC-PR-Q has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)20.17%
Div Incr Years2
Div Non Decr Years6
5.3 Sustainability
MFC-PR-Q pays out 67.87% of its income as dividend. This is not a sustainable payout ratio.
MFC-PR-Q's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP67.87%
EPS Next 2Y8.57%
EPS Next 3Y6.76%
MANULIFE FINANCIAL CORP - MFCCN 5.942 PERP
TSX:MFC-PR-Q (7/11/2025, 7:00:00 PM)
25.4
+0.06 (+0.24%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners55.65%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap43.38B
Analysts76.47
Price Target29.3 (15.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.52% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP67.87%
Div Incr Years2
Div Non Decr Years6
Ex-Date
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)5.43%
PT rev (3m)4.28%
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.46 | ||
| Fwd PE | 5.55 | ||
| P/S | 1.16 | ||
| P/FCF | 1.52 | ||
| P/OCF | 1.52 | ||
| P/B | 0.84 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 3.54 |
EPS(TTM)3.93
EY15.47%
EPS(NY)4.57
Fwd EY18.01%
FCF(TTM)16.75
FCFY65.94%
OCF(TTM)16.75
OCFY65.94%
SpS21.89
BVpS30.31
TBVpS23.83
PEG (NY)0.84
PEG (5Y)1.18
Profitability
| Industry Rank | Sector 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 Rank | Sector 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%