SUN LIFE FINANCIAL INC (SLF)
CA8667961053 - Common Stock
We assign a fundamental rating of 4 out of 10 to SLF. SLF was compared to 141 industry peers in the Insurance industry. There are concerns on the financial health of SLF while its profitability can be described as average. SLF is not valued too expensively and it also shows a decent growth rate. SLF also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
SLF had positive earnings in the past year.
In the past year SLF had a positive cash flow from operations.
Each year in the past 5 years SLF has been profitable.
Of the past 5 years SLF 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SLF (0.99%) is worse than 61.43% of its industry peers.
With a decent Return On Equity value of 13.78%, SLF is doing good in the industry, outperforming 60.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 13.78% | ||
| ROIC | N/A |
ROA(3y)1%
ROA(5y)0.93%
ROE(3y)13.43%
ROE(5y)12.11%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SLF's Profit Margin of 10.78% is fine compared to the rest of the industry. SLF outperforms 63.57% of its industry peers.
SLF's Profit Margin has been stable in the last couple of years.
SLF's Operating Margin of 15.55% is fine compared to the rest of the industry. SLF outperforms 69.29% of its industry peers.
In the last couple of years the Operating Margin of SLF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.55% | ||
| PM (TTM) | 10.78% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y0.4%
PM growth 3Y14.63%
PM growth 5Y1.22%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
SLF does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for SLF has been reduced compared to 1 year ago.
SLF has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SLF has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of SLF is 1.23, which is an excellent value as it means it would take SLF, only 1.23 years of fcf income to pay off all of its debts.
SLF's Debt to FCF ratio of 1.23 is fine compared to the rest of the industry. SLF outperforms 62.86% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that SLF is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.25, SLF is doing good in the industry, outperforming 66.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.23 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC6.79%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
SLF shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.55%.
SLF shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.57% yearly.
Looking at the last year, SLF shows a decrease in Revenue. The Revenue has decreased by -6.21% in the last year.
The Revenue has been growing slightly by 2.86% on average over the past years.
EPS 1Y (TTM)4.55%
EPS 3Y5.09%
EPS 5Y5.57%
EPS Q2Q%10.69%
Revenue 1Y (TTM)-6.21%
Revenue growth 3Y-5.19%
Revenue growth 5Y2.86%
Sales Q2Q%9.43%
3.2 Future
Based on estimates for the next years, SLF will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.28% on average per year.
The Revenue is expected to grow by 33.69% on average over the next years. This is a very strong growth
EPS Next Y6.99%
EPS Next 2Y9.28%
EPS Next 3Y9.28%
EPS Next 5YN/A
Revenue Next Year6.29%
Revenue Next 2Y5.98%
Revenue Next 3Y4.79%
Revenue Next 5Y33.69%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
With a Price/Earnings ratio of 12.70, SLF is valued correctly.
SLF's Price/Earnings is on the same level as the industry average.
SLF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.73.
A Price/Forward Earnings ratio of 11.14 indicates a reasonable valuation of SLF.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SLF is on the same level as its industry peers.
SLF is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 11.14 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as SLF.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.36 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)1.82
PEG (5Y)2.28
EPS Next 2Y9.28%
EPS Next 3Y9.28%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.98%, SLF has a reasonable but not impressive dividend return.
SLF's Dividend Yield is rather good when compared to the industry average which is at 4.24. SLF pays more dividend than 80.71% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.24, SLF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
5.2 History
On average, the dividend of SLF grows each year by 9.66%, which is quite nice.
SLF has been paying a dividend for at least 10 years, so it has a reliable track record.
As SLF did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)9.66%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
55.41% of the earnings are spent on dividend by SLF. This is a bit on the high side, but may be sustainable.
The dividend of SLF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP55.41%
EPS Next 2Y9.28%
EPS Next 3Y9.28%
SUN LIFE FINANCIAL INC
NYSE:SLF (12/20/2024, 8:04:00 PM)
After market: 58.92 0 (0%)58.92
+0.21 (+0.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners56.49%
Inst Owner Change18.88%
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap33.93B
Analysts75.56
Price Target63.95 (8.54%)
Short Float %1.12%
Short Ratio10.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
Dividend Growth(5Y)9.66%
DP55.41%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.41%
Min EPS beat(2)2.73%
Max EPS beat(2)8.08%
EPS beat(4)3
Avg EPS beat(4)1.56%
Min EPS beat(4)-10.16%
Max EPS beat(4)8.08%
EPS beat(8)6
Avg EPS beat(8)1.9%
EPS beat(12)9
Avg EPS beat(12)2.72%
EPS beat(16)12
Avg EPS beat(16)2.35%
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)10.68%
PT rev (3m)11.45%
EPS NQ rev (1m)3.45%
EPS NQ rev (3m)3.45%
EPS NY rev (1m)1.52%
EPS NY rev (3m)1.59%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)4.77%
Revenue NY rev (3m)4.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 11.14 | ||
| P/S | 1.48 | ||
| P/FCF | 9.36 | ||
| P/OCF | 9.15 | ||
| P/B | 1.89 | ||
| P/tB | 4.18 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.64
EY7.88%
EPS(NY)5.29
Fwd EY8.98%
FCF(TTM)6.29
FCFY10.68%
OCF(TTM)6.44
OCFY10.92%
SpS39.93
BVpS31.25
TBVpS14.11
PEG (NY)1.82
PEG (5Y)2.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 13.78% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 15.55% | ||
| PM (TTM) | 10.78% | ||
| GM | N/A | ||
| FCFM | 15.76% |
ROA(3y)1%
ROA(5y)0.93%
ROE(3y)13.43%
ROE(5y)12.11%
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)3.57%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y0.4%
PM growth 3Y14.63%
PM growth 5Y1.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.23 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.36% | ||
| Interest Coverage | 13.3 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 146.14% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC6.79%
ROIC/WACCN/A
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)4.55%
EPS 3Y5.09%
EPS 5Y5.57%
EPS Q2Q%10.69%
EPS Next Y6.99%
EPS Next 2Y9.28%
EPS Next 3Y9.28%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.21%
Revenue growth 3Y-5.19%
Revenue growth 5Y2.86%
Sales Q2Q%9.43%
Revenue Next Year6.29%
Revenue Next 2Y5.98%
Revenue Next 3Y4.79%
Revenue Next 5Y33.69%
EBIT growth 1Y14.68%
EBIT growth 3YN/A
EBIT growth 5Y3.27%
EBIT Next Year7.55%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y278.47%
FCF growth 3Y-8.47%
FCF growth 5Y7.73%
OCF growth 1Y281.03%
OCF growth 3Y-8.19%
OCF growth 5Y7.92%