MANULIFE FINANCIAL CORP (MFC.CA) Fundamental Analysis & Valuation
TSX:MFC • CA56501R1064
Current stock price
51.39 CAD
+0.83 (+1.64%)
Last:
This MFC.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. MFC.CA Profitability Analysis
1.1 Basic Checks
- MFC had positive earnings in the past year.
- In the past year MFC had a positive cash flow from operations.
- Of the past 5 years MFC 4 years were profitable.
- In the past 5 years MFC always reported a positive cash flow from operatings.
1.2 Ratios
- MFC has a Return On Assets (0.51%) which is in line with its industry peers.
- MFC has a worse Return On Equity (10.30%) than 78.48% of its industry peers.
- MFC has a Return On Invested Capital of 0.73%. This is comparable to the rest of the industry: MFC outperforms 58.23% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MFC is below the industry average of 3.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.51% | ||
| ROE | 10.3% | ||
| ROIC | 0.73% |
ROA(3y)0.53%
ROA(5y)0.41%
ROE(3y)10.1%
ROE(5y)7.53%
ROIC(3y)0.76%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 13.57%, MFC belongs to the top of the industry, outperforming 81.01% of the companies in the same industry.
- MFC's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 22.28%, MFC is in the better half of the industry, outperforming 78.48% of the companies in the same industry.
- In the last couple of years the Operating Margin of MFC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.28% | ||
| PM (TTM) | 13.57% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y20.81%
PM growth 3YN/A
PM growth 5Y11.35%
GM growth 3YN/A
GM growth 5YN/A
2. MFC.CA Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MFC is destroying value.
- MFC has less shares outstanding than it did 1 year ago.
- MFC has less shares outstanding than it did 5 years ago.
- MFC has a better debt/assets ratio than last year.
2.2 Solvency
- The Debt to FCF ratio of MFC is 0.46, which is an excellent value as it means it would take MFC, only 0.46 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MFC (0.46) is better than 82.28% of its industry peers.
- A Debt/Equity ratio of 0.29 indicates that MFC is not too dependend on debt financing.
- MFC's Debt to Equity ratio of 0.29 is in line compared to the rest of the industry. MFC outperforms 45.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 0.46 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.06%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. MFC.CA Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 8.76% over the past year.
- The Earnings Per Share has been growing by 8.86% on average over the past years. This is quite good.
- MFC shows a small growth in Revenue. In the last year, the Revenue has grown by 3.39%.
- Measured over the past years, MFC shows a very negative growth in Revenue. The Revenue has been decreasing by -11.65% on average per year.
EPS 1Y (TTM)8.76%
EPS 3Y10.83%
EPS 5Y8.86%
EPS Q2Q%8.74%
Revenue 1Y (TTM)3.39%
Revenue growth 3Y19.45%
Revenue growth 5Y-11.65%
Sales Q2Q%-24.06%
3.2 Future
- The Earnings Per Share is expected to grow by 4.26% on average over the next years.
- Based on estimates for the next years, MFC will show a quite strong growth in Revenue. The Revenue will grow by 13.32% on average per year.
EPS Next Y9.1%
EPS Next 2Y9.21%
EPS Next 3Y9.86%
EPS Next 5Y4.26%
Revenue Next Year8.5%
Revenue Next 2Y6.04%
Revenue Next 3Y16.24%
Revenue Next 5Y13.32%
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. MFC.CA Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.18, which indicates a correct valuation of MFC.
- Compared to the rest of the industry, the Price/Earnings ratio of MFC indicates a slightly more expensive valuation: MFC is more expensive than 68.35% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.18, MFC is valued rather cheaply.
- MFC is valuated reasonably with a Price/Forward Earnings ratio of 11.16.
- MFC's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. MFC is more expensive than 63.29% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 37.96. MFC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.18 | ||
| Fwd PE | 11.16 |
4.2 Price Multiples
- MFC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MFC is cheaper than 67.09% of the companies in the same industry.
- MFC's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MFC is cheaper than 72.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.68 | ||
| EV/EBITDA | 7.8 |
4.3 Compensation for Growth
- MFC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.34
PEG (5Y)1.37
EPS Next 2Y9.21%
EPS Next 3Y9.86%
5. MFC.CA Dividend Analysis
5.1 Amount
- MFC has a Yearly Dividend Yield of 3.84%.
- MFC's Dividend Yield is slightly below the industry average, which is at 3.69.
- Compared to an average S&P500 Dividend Yield of 1.82, MFC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
5.2 History
- The dividend of MFC is nicely growing with an annual growth rate of 10.03%!
- MFC has paid a dividend for at least 10 years, which is a reliable track record.
- MFC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.03%
Div Incr Years12
Div Non Decr Years15
5.3 Sustainability
- 62.94% of the earnings are spent on dividend by MFC. This is not a sustainable payout ratio.
- The dividend of MFC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP62.94%
EPS Next 2Y9.21%
EPS Next 3Y9.86%
MFC.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:MFC (4/13/2026, 7:00:00 PM)
51.39
+0.83 (+1.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)02-11 2026-02-11/amc
Earnings (Next)05-13 2026-05-13/amc
Inst Owners55.61%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap86.14B
Revenue(TTM)38.71B
Net Income(TTM)5.25B
Analysts75.79
Price Target56.83 (10.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
Yearly Dividend1.94
Dividend Growth(5Y)10.03%
DP62.94%
Div Incr Years12
Div Non Decr Years15
Ex-Date02-25 2026-02-25 (0.485)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.84%
Min EPS beat(2)4.6%
Max EPS beat(2)11.07%
EPS beat(4)2
Avg EPS beat(4)3.07%
Min EPS beat(4)-2.89%
Max EPS beat(4)11.07%
EPS beat(8)6
Avg EPS beat(8)3.82%
EPS beat(12)9
Avg EPS beat(12)4.24%
EPS beat(16)11
Avg EPS beat(16)3.12%
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)0.13%
PT rev (3m)5.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.44%
EPS NY rev (1m)-0.2%
EPS NY rev (3m)1.06%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.18 | ||
| Fwd PE | 11.16 | ||
| P/S | 2.23 | ||
| P/FCF | 2.68 | ||
| P/OCF | 2.68 | ||
| P/B | 1.69 | ||
| P/tB | 2.23 | ||
| EV/EBITDA | 7.8 |
EPS(TTM)4.22
EY8.21%
EPS(NY)4.6
Fwd EY8.96%
FCF(TTM)19.15
FCFY37.27%
OCF(TTM)19.15
OCFY37.27%
SpS23.09
BVpS30.4
TBVpS23.05
PEG (NY)1.34
PEG (5Y)1.37
Graham Number53.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.51% | ||
| ROE | 10.3% | ||
| ROCE | 0.86% | ||
| ROIC | 0.73% | ||
| ROICexc | 0.75% | ||
| ROICexgc | 1.75% | ||
| OM | 22.28% | ||
| PM (TTM) | 13.57% | ||
| GM | N/A | ||
| FCFM | 82.95% |
ROA(3y)0.53%
ROA(5y)0.41%
ROE(3y)10.1%
ROE(5y)7.53%
ROIC(3y)0.76%
ROIC(5y)N/A
ROICexc(3y)0.78%
ROICexc(5y)N/A
ROICexgc(3y)1.78%
ROICexgc(5y)N/A
ROCE(3y)0.9%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y4.35%
ROICexc growth 3YN/A
ROICexc growth 5Y3.45%
OM growth 3YN/A
OM growth 5Y20.81%
PM growth 3YN/A
PM growth 5Y11.35%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 0.46 | ||
| Debt/EBITDA | 1.54 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 5.69 | ||
| Cash Conversion | 337.91% | ||
| Profit Quality | 611.41% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC8.06%
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)519.68%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.76%
EPS 3Y10.83%
EPS 5Y8.86%
EPS Q2Q%8.74%
EPS Next Y9.1%
EPS Next 2Y9.21%
EPS Next 3Y9.86%
EPS Next 5Y4.26%
Revenue 1Y (TTM)3.39%
Revenue growth 3Y19.45%
Revenue growth 5Y-11.65%
Sales Q2Q%-24.06%
Revenue Next Year8.5%
Revenue Next 2Y6.04%
Revenue Next 3Y16.24%
Revenue Next 5Y13.32%
EBIT growth 1Y-1.68%
EBIT growth 3YN/A
EBIT growth 5Y6.73%
EBIT Next Year-67.9%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y21.18%
FCF growth 3Y24.52%
FCF growth 5Y9.88%
OCF growth 1Y21.18%
OCF growth 3Y24.52%
OCF growth 5Y9.88%
MANULIFE FINANCIAL CORP / MFC.CA Fundamental Analysis FAQ
What is the fundamental rating for MFC stock?
ChartMill assigns a fundamental rating of 5 / 10 to MFC.CA.
Can you provide the valuation status for MANULIFE FINANCIAL CORP?
ChartMill assigns a valuation rating of 5 / 10 to MANULIFE FINANCIAL CORP (MFC.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for MANULIFE FINANCIAL CORP?
MANULIFE FINANCIAL CORP (MFC.CA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of MANULIFE FINANCIAL CORP (MFC.CA) stock?
The Price/Earnings (PE) ratio for MANULIFE FINANCIAL CORP (MFC.CA) is 12.18 and the Price/Book (PB) ratio is 1.69.
How financially healthy is MANULIFE FINANCIAL CORP?
The financial health rating of MANULIFE FINANCIAL CORP (MFC.CA) is 4 / 10.