Manulife Financial Corp
Manulife Financial Corp Fundamental Analysis
Manulife Financial Corp (MNQFF) shows moderate financial fundamentals with a PE ratio of 4.69, profit margin of 10.91%, and ROE of 11.34%. The company generates $72.5B in annual revenue with moderate year-over-year growth of 7.74%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 69.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze MNQFF's fundamental strength across five key dimensions:
Efficiency Score
WeakMNQFF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentMNQFF trades at attractive valuation levels.
Growth Score
ModerateMNQFF shows steady but slowing expansion.
Financial Health Score
ExcellentMNQFF maintains a strong and stable balance sheet.
Profitability Score
WeakMNQFF struggles to sustain strong margins.
Key Financial Metrics
Is MNQFF Expensive or Cheap?
P/E Ratio
MNQFF trades at 4.69 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, MNQFF's PEG of -2.17 indicates potential undervaluation.
Price to Book
The market values Manulife Financial Corp at 0.53 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.65 times EBITDA. This is generally considered low.
How Well Does MNQFF Make Money?
Net Profit Margin
For every $100 in sales, Manulife Financial Corp keeps $10.91 as profit after all expenses.
Operating Margin
Core operations generate 13.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.34 in profit for every $100 of shareholder equity.
ROA
Manulife Financial Corp generates $0.56 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Manulife Financial Corp generates strong operating cash flow of $43.90B, reflecting robust business health.
Free Cash Flow
Manulife Financial Corp generates strong free cash flow of $43.90B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $26.18 in free cash annually.
FCF Yield
MNQFF converts 86.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
4.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.17
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.53
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.70
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.29
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.12
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.006
vs 25 benchmark
ROCE
Return on capital employed
0.007
vs 25 benchmark
How MNQFF Stacks Against Its Sector Peers
| Metric | MNQFF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 4.69 | 19.11 | Better (Cheaper) |
| ROE | 11.34% | 821.00% | Weak |
| Net Margin | 10.91% | 1655.00% | Weak |
| Debt/Equity | 0.29 | 1.00 | Strong (Low Leverage) |
| Current Ratio | 2.12 | 659.22 | Strong Liquidity |
| ROA | 0.56% | 1976.00% | Weak |
MNQFF outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Manulife Financial Corp's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-35.53%
Industry Style: Value, Dividend, Cyclical
DecliningEPS CAGR
17.62%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
41.95%
Industry Style: Value, Dividend, Cyclical
High Growth