MANULIFE FINANCIAL CORP (MFC.CA) Stock Fundamental Analysis
TSX:MFC • CA56501R1064
50.16 CAD
+0.59 (+1.19%)
Last: Feb 20, 2026, 07:00 PM
We assign a fundamental rating of 4 out of 10 to MFC. MFC was compared to 76 industry peers in the Insurance industry. MFC has a medium profitability rating, but doesn't score so well on its financial health evaluation. MFC is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- MFC had positive earnings in the past year.
- In the past year MFC had a positive cash flow from operations.
- In multiple years MFC reported negative net income over the last 5 years.
- Of the past 5 years MFC 4 years had a positive operating cash flow.
1.2 Ratios
- MFC has a Return On Assets (0.53%) which is comparable to the rest of the industry.
- MFC's Return On Equity of 10.48% is on the low side compared to the rest of the industry. MFC is outperformed by 78.95% of its industry peers.
- MFC has a Return On Invested Capital (0.75%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 10.48% | ||
| ROIC | 0.75% |
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
- With an excellent Profit Margin value of 13.87%, MFC belongs to the best of the industry, outperforming 80.26% of the companies in the same industry.
- MFC's Profit Margin has improved in the last couple of years.
- With a decent Operating Margin value of 22.75%, MFC is doing good in the industry, outperforming 77.63% of the companies in the same industry.
- MFC's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.75% | ||
| PM (TTM) | 13.87% | ||
| 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 is destroying value.
- MFC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- MFC has a debt to FCF ratio of 0.44. This is a very positive value and a sign of high solvency as it would only need 0.44 years to pay back of all of its debts.
- The Debt to FCF ratio of MFC (0.44) is better than 81.58% of its industry peers.
- A Debt/Equity ratio of 0.26 indicates that MFC is not too dependend on debt financing.
- MFC's Debt to Equity ratio of 0.26 is fine compared to the rest of the industry. MFC outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.29%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- MFC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.88%.
- MFC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.69% yearly.
EPS 1Y (TTM)7.88%
EPS 3Y10.53%
EPS 5Y8.69%
EPS Q2Q%5.43%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%14.32%
3.2 Future
- MFC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.47% yearly.
- Based on estimates for the next years, MFC will show a quite strong growth in Revenue. The Revenue will grow by 12.25% on average per year.
EPS Next Y9.02%
EPS Next 2Y9.27%
EPS Next 3Y5.23%
EPS Next 5Y4.47%
Revenue Next Year8.5%
Revenue Next 2Y6.04%
Revenue Next 3Y16.24%
Revenue Next 5Y12.25%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 11.97, which indicates a very decent valuation of MFC.
- Based on the Price/Earnings ratio, MFC is valued a bit more expensive than the industry average as 71.05% of the companies are valued more cheaply.
- When comparing the Price/Earnings ratio of MFC to the average of the S&P500 Index (26.99), we can say MFC is valued rather cheaply.
- MFC is valuated reasonably with a Price/Forward Earnings ratio of 10.99.
- Based on the Price/Forward Earnings ratio, MFC is valued a bit more expensive than 63.16% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, MFC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 10.99 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MFC indicates a somewhat cheap valuation: MFC is cheaper than 67.11% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, MFC is valued a bit cheaper than the industry average as 65.79% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.75 | ||
| EV/EBITDA | 7.13 |
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)1.33
PEG (5Y)1.38
EPS Next 2Y9.27%
EPS Next 3Y5.23%
5. Dividend
5.1 Amount
- MFC has a Yearly Dividend Yield of 3.98%.
- MFC's Dividend Yield is slightly below the industry average, which is at 3.93.
- MFC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
5.2 History
- On average, the dividend of MFC grows each year by 20.17%, which is quite nice.
- 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)20.17%
Div Incr Years11
Div Non Decr Years14
5.3 Sustainability
- MFC pays out 60.48% 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.
DP60.48%
EPS Next 2Y9.27%
EPS Next 3Y5.23%
TSX:MFC (2/20/2026, 7:00:00 PM)
50.16
+0.59 (+1.19%)
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 Owners56.4%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap84.13B
Revenue(TTM)N/A
Net Income(TTM)5.39B
Analysts75.79
Price Target55.95 (11.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
Yearly Dividend1.79
Dividend Growth(5Y)20.17%
DP60.48%
Div Incr Years11
Div Non Decr Years14
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.09%
Min EPS beat(2)-2.89%
Max EPS beat(2)11.07%
EPS beat(4)2
Avg EPS beat(4)3.88%
Min EPS beat(4)-2.89%
Max EPS beat(4)11.07%
EPS beat(8)6
Avg EPS beat(8)4.13%
EPS beat(12)9
Avg EPS beat(12)4.52%
EPS beat(16)11
Avg EPS beat(16)2.93%
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)4.06%
PT rev (3m)10.82%
EPS NQ rev (1m)0.3%
EPS NQ rev (3m)3.96%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)3.75%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 10.99 | ||
| P/S | 2.16 | ||
| P/FCF | 2.75 | ||
| P/OCF | 2.75 | ||
| P/B | 1.64 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 7.13 |
EPS(TTM)4.19
EY8.35%
EPS(NY)4.56
Fwd EY9.1%
FCF(TTM)18.26
FCFY36.41%
OCF(TTM)18.26
OCFY36.41%
SpS23.18
BVpS30.67
TBVpS24.13
PEG (NY)1.33
PEG (5Y)1.38
Graham Number53.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 10.48% | ||
| ROCE | 0.88% | ||
| ROIC | 0.75% | ||
| ROICexc | 0.77% | ||
| ROICexgc | 1.81% | ||
| OM | 22.75% | ||
| PM (TTM) | 13.87% | ||
| GM | N/A | ||
| FCFM | 78.76% |
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
ROICexgc growth 3Y-2.15%
ROICexgc 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 | 0.26 | ||
| Debt/FCF | 0.44 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 5.76 | ||
| Cash Conversion | 308.74% | ||
| Profit Quality | 568.01% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC8.29%
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)7.88%
EPS 3Y10.53%
EPS 5Y8.69%
EPS Q2Q%5.43%
EPS Next Y9.02%
EPS Next 2Y9.27%
EPS Next 3Y5.23%
EPS Next 5Y4.47%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%14.32%
Revenue Next Year8.5%
Revenue Next 2Y6.04%
Revenue Next 3Y16.24%
Revenue Next 5Y12.25%
EBIT growth 1Y1.1%
EBIT growth 3Y-1.3%
EBIT growth 5Y3.07%
EBIT Next Year-72.75%
EBIT Next 3Y-28.58%
EBIT Next 5YN/A
FCF growth 1Y60.02%
FCF growth 3Y4.59%
FCF growth 5Y5.22%
OCF growth 1Y60.02%
OCF growth 3Y4.59%
OCF growth 5Y5.22%
MANULIFE FINANCIAL CORP / MFC.CA FAQ
What is the fundamental rating for MFC stock?
ChartMill assigns a fundamental rating of 4 / 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 4 / 10.
How financially healthy is MANULIFE FINANCIAL CORP?
The financial health rating of MANULIFE FINANCIAL CORP (MFC.CA) is 3 / 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 9.02% in the next year.