MANULIFE FINANCIAL CORP (MFC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MFC - CA56501R1064 - Common Stock
36.58 USD
-0.79 (-2.11%)
36.51 USD
-0.07 (-0.19%)
We assign a fundamental rating of 4 out of 10 to MFC. MFC was compared to 149 industry peers in the Insurance industry. MFC has an average financial health and profitability rating. MFC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- MFC had positive earnings in the past year.
- MFC had a positive operating cash flow in the past year.
- 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
- Looking at the Return On Assets, with a value of 0.53%, MFC is doing worse than 70.47% of the companies in the same industry.
- MFC has a Return On Equity (10.48%) which is in line with its industry peers.
- The Return On Invested Capital of MFC (0.75%) is worse than 63.76% of its industry peers.
| 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
- MFC's Profit Margin of 13.87% is fine compared to the rest of the industry. MFC outperforms 76.51% of its industry peers.
- MFC's Profit Margin has improved in the last couple of years.
- MFC has a better Operating Margin (22.75%) than 79.87% of its industry peers.
- 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 less shares outstanding than it did 1 year ago.
- MFC has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for MFC has been reduced compared to a year ago.
2.2 Solvency
- The Debt to FCF ratio of MFC is 0.44, which is an excellent value as it means it would take MFC, only 0.44 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MFC (0.44) is better than 83.22% of its industry peers.
- A Debt/Equity ratio of 0.26 indicates that MFC is not too dependend on debt financing.
- MFC has a better Debt to Equity ratio (0.26) than 60.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.09
WACC8.37%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 9.55% over the past year.
- The Earnings Per Share has been growing slightly by 5.49% on average over the past years.
- The Revenue has been growing slightly by 7.70% in the past year.
- Measured over the past years, MFC shows a very negative growth in Revenue. The Revenue has been decreasing by -13.62% on average per year.
EPS 1Y (TTM)9.55%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%16%
Revenue 1Y (TTM)7.7%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%21.19%
3.2 Future
- Based on estimates for the next years, MFC will show a small growth in Earnings Per Share. The EPS will grow by 5.15% on average per year.
- The Revenue is expected to grow by 11.90% on average over the next years. This is quite good.
EPS Next Y8.22%
EPS Next 2Y8.36%
EPS Next 3Y8.8%
EPS Next 5Y5.15%
Revenue Next Year8.86%
Revenue Next 2Y8.68%
Revenue Next 3Y6.97%
Revenue Next 5Y11.9%
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.
- 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. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.23, which indicates a correct valuation of MFC.
- Compared to the rest of the industry, the Price/Earnings ratio of MFC is on the same level as its industry peers.
- The average S&P500 Price/Earnings ratio is at 26.94. MFC is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 11.10, which indicates a very decent valuation of MFC.
- MFC's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 23.94, MFC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.23 | ||
| Fwd PE | 11.1 |
4.2 Price Multiples
- MFC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MFC is cheaper than 63.76% of the companies in the same industry.
- 84.56% of the companies in the same industry are more expensive than MFC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.78 | ||
| EV/EBITDA | 7.34 |
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)1.49
PEG (5Y)2.23
EPS Next 2Y8.36%
EPS Next 3Y8.8%
5. Dividend
5.1 Amount
- MFC has a Yearly Dividend Yield of 3.37%.
- MFC's Dividend Yield is a higher than the industry average which is at 2.53.
- MFC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
- On average, the dividend of MFC grows each year by 20.17%, which is quite nice.
- MFC has been paying a dividend for at least 10 years, so it has a reliable track record.
- MFC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.17%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 60.48% of the earnings are spent on dividend by MFC. 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 2Y8.36%
EPS Next 3Y8.8%
36.58
-0.79 (-2.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)11-12 2025-11-12/amc
Earnings (Next)02-11 2026-02-11/amc
Inst Owners56.4%
Inst Owner Change0%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap61.64B
Revenue(TTM)38.88B
Net Income(TTM)5.39B
Analysts74.74
Price Target39.47 (7.9%)
Short Float %0.33%
Short Ratio2.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Yearly Dividend1.29
Dividend Growth(5Y)20.17%
DP60.48%
Div Incr Years3
Div Non Decr Years3
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)2.65%
PT rev (3m)12.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.14%
EPS NY rev (1m)0%
EPS NY rev (3m)3.83%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.23 | ||
| Fwd PE | 11.1 | ||
| P/S | 2.19 | ||
| P/FCF | 2.78 | ||
| P/OCF | 2.78 | ||
| P/B | 1.66 | ||
| P/tB | 2.11 | ||
| EV/EBITDA | 7.34 |
EPS(TTM)2.99
EY8.17%
EPS(NY)3.3
Fwd EY9.01%
FCF(TTM)13.15
FCFY35.94%
OCF(TTM)13.15
OCFY35.94%
SpS16.69
BVpS22.08
TBVpS17.37
PEG (NY)1.49
PEG (5Y)2.23
Graham Number38.54
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
WACC8.37%
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)9.55%
EPS 3Y6.08%
EPS 5Y5.49%
EPS Q2Q%16%
EPS Next Y8.22%
EPS Next 2Y8.36%
EPS Next 3Y8.8%
EPS Next 5Y5.15%
Revenue 1Y (TTM)7.7%
Revenue growth 3Y-12.52%
Revenue growth 5Y-13.62%
Sales Q2Q%21.19%
Revenue Next Year8.86%
Revenue Next 2Y8.68%
Revenue Next 3Y6.97%
Revenue Next 5Y11.9%
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 FAQ
What is the fundamental rating for MFC stock?
ChartMill assigns a fundamental rating of 4 / 10 to MFC.
Can you provide the valuation status for MANULIFE FINANCIAL CORP?
ChartMill assigns a valuation rating of 5 / 10 to MANULIFE FINANCIAL CORP (MFC). This can be considered as Fairly Valued.
How profitable is MANULIFE FINANCIAL CORP (MFC) stock?
MANULIFE FINANCIAL CORP (MFC) has a profitability rating of 4 / 10.
How financially healthy is MANULIFE FINANCIAL CORP?
The financial health rating of MANULIFE FINANCIAL CORP (MFC) is 4 / 10.
What is the earnings growth outlook for MANULIFE FINANCIAL CORP?
The Earnings per Share (EPS) of MANULIFE FINANCIAL CORP (MFC) is expected to grow by 8.22% in the next year.