MANULIFE FINANCIAL CORP (MFC.CA) Fundamental Analysis & Valuation
TSX:MFC • CA56501R1064
Current stock price
45.9 CAD
+0.21 (+0.46%)
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.
- MFC had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years MFC had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.51%, MFC is in line with its industry, outperforming 48.75% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 10.30%, MFC is doing worse than 78.75% of the companies in the same industry.
- MFC has a Return On Invested Capital of 0.73%. This is comparable to the rest of the industry: MFC outperforms 60.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MFC is below the industry average of 3.17%.
| 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
- MFC's Profit Margin of 13.57% is amongst the best of the industry. MFC outperforms 81.25% of its industry peers.
- 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 78.75% 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
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MFC is destroying value.
- MFC has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, MFC has less shares outstanding
- Compared to 1 year ago, MFC has an improved debt to assets ratio.
2.2 Solvency
- MFC has a debt to FCF ratio of 0.46. This is a very positive value and a sign of high solvency as it would only need 0.46 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 0.46, MFC belongs to the best of the industry, outperforming 82.50% of the companies in the same industry.
- A Debt/Equity ratio of 0.29 indicates that MFC is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.29, MFC is in line with its industry, outperforming 46.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 0.46 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.17%
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.
- Measured over the past years, MFC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.86% on average per year.
- Looking at the last year, MFC shows a small growth in Revenue. The Revenue has grown by 3.39% in the last year.
- MFC shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -11.65% yearly.
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
- MFC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.26% yearly.
- The Revenue is expected to grow by 13.32% on average over the next years. This is quite good.
EPS Next Y9.32%
EPS Next 2Y9.22%
EPS Next 3Y9.66%
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
- With a Price/Earnings ratio of 10.88, the valuation of MFC can be described as very reasonable.
- 67.50% of the companies in the same industry are cheaper than MFC, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of MFC to the average of the S&P500 Index (25.70), we can say MFC is valued rather cheaply.
- MFC is valuated reasonably with a Price/Forward Earnings ratio of 9.95.
- Based on the Price/Forward Earnings ratio, MFC is valued a bit more expensive than 61.25% of the companies in the same industry.
- MFC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.88 | ||
| Fwd PE | 9.95 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MFC is valued a bit cheaper than the industry average as 72.50% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of MFC indicates a somewhat cheap valuation: MFC is cheaper than 73.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.4 | ||
| EV/EBITDA | 6.8 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.17
PEG (5Y)1.23
EPS Next 2Y9.22%
EPS Next 3Y9.66%
5. MFC.CA Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 5.25%, MFC is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 4.41, MFC is paying slightly less dividend.
- MFC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
5.2 History
- The dividend of MFC is nicely growing with an annual growth rate of 10.03%!
- MFC has been paying a dividend for at least 10 years, so it has 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 Years11
Div Non Decr Years14
5.3 Sustainability
- MFC pays out 62.94% of its income as dividend. This is not a sustainable payout ratio.
- MFC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP62.94%
EPS Next 2Y9.22%
EPS Next 3Y9.66%
MFC.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:MFC (3/13/2026, 7:00:00 PM)
45.9
+0.21 (+0.46%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)02-11 2026-02-11/amc
Earnings (Next)05-05 2026-05-05/amc
Inst Owners55.76%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap76.96B
Revenue(TTM)38.71B
Net Income(TTM)5.25B
Analysts75.79
Price Target56.76 (23.66%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
Yearly Dividend1.94
Dividend Growth(5Y)10.03%
DP62.94%
Div Incr Years11
Div Non Decr Years14
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)1.43%
PT rev (3m)5.7%
EPS NQ rev (1m)1.62%
EPS NQ rev (3m)1.44%
EPS NY rev (1m)1.1%
EPS NY rev (3m)1.27%
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 | 10.88 | ||
| Fwd PE | 9.95 | ||
| P/S | 1.99 | ||
| P/FCF | 2.4 | ||
| P/OCF | 2.4 | ||
| P/B | 1.51 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 6.8 |
EPS(TTM)4.22
EY9.19%
EPS(NY)4.61
Fwd EY10.05%
FCF(TTM)19.15
FCFY41.72%
OCF(TTM)19.15
OCFY41.72%
SpS23.08
BVpS30.39
TBVpS23.04
PEG (NY)1.17
PEG (5Y)1.23
Graham Number53.72
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
WACC8.17%
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 Y9.32%
EPS Next 2Y9.22%
EPS Next 3Y9.66%
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.
How profitable is MANULIFE FINANCIAL CORP (MFC.CA) stock?
MANULIFE FINANCIAL CORP (MFC.CA) has a profitability rating of 5 / 10.
How financially healthy is MANULIFE FINANCIAL CORP?
The financial health rating of MANULIFE FINANCIAL CORP (MFC.CA) is 4 / 10.
What is the earnings growth outlook for MANULIFE FINANCIAL CORP?
The Earnings per Share (EPS) of MANULIFE FINANCIAL CORP (MFC.CA) is expected to grow by 9.32% in the next year.