TSE:DFY
Definity Financial (DFY.TO)
Financials 
Technical Analysis 
Jun 3, 2026, 12:00 amThis summary was created by AI, based on 4 opinions in the last 12 months.
Definity Financial (DFY-T) has garnered positive reviews, emphasizing its position in the P&C insurance sector and the benefits of synergies from recent acquisitions, particularly Travelers Canada. Analysts note a solid performance in underwriting and an optimistic outlook for mid-teen return on equities (ROEs) over the next three years, with the potential for growth driven by artificial intelligence efficiencies. With a current price-to-earnings (PE) ratio of 14x and projected growth of 26%, the stock appears to be an attractive buy despite being considered slightly overvalued at 19.4x PE by some experts. The company is also praised for its decent dividend yield of 1.32%. Investment strategies suggest starting a position now and potentially increasing it if the stock price drops by 15-20%. Overall, the consensus indicates a good opportunity for new investments in a company focused on efficiency and growth.
P&C insurance, rather than the life insurance of MFC or SLF. Great performer over last 3 years, with its strategy to acquire smaller insurance companies. Good 5-year outlook. Bit expensive at 19.4x PE. Has sometimes been in the 14-16x PE range, and that's a better long-term entry point.
Start a position now, and then look to double it if it drops 15-20%.
EPS was 65c, missing estimates of 71c; revenue of $1.00B missed estimates of $1.02B. Written premiums rose 9.6%. Combined ratio was 94.5% (more accidents and catastrophe losses). EPS was flat year over year, ROE was 10.3%. Book value rose 16%. The stock is still up 10% on the year, and despite the decline this is not a disaster. But a miss is a miss, and investors may also be selling to move into more exciting areas now that the market is rallying a bit. The outlook still calls for very decent earnings growth over the next two years.
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Strong balance sheet, buying smaller businesses. Has an opportunity in front of them that the likes of MFC do not.
Richard FoglerHas done exceptionally well. Best technology platform in the space. Great management. In November, it's allowed to be taken out if a suitor comes calling. Lofty premium will remain until then. Would make sense for IFC to buy it.
Andrew Pink
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Premium contentOur PAST TOP PICK with DFY has triggered its stop at $56. To remain disciplined, we recommend covering the position at this time. Combined with our previous guidance, this will result in a net investment gain of 37%.
Premium contentDepends on what percentage it makes of your portfolio, plus what your cost base is. #1 competitor to DFY is IFC. The industry is consolidating more. DFY might have a leg up on IFC, as DFY is smaller and can buy a few more things in Canada.
Cost inflation and extreme weather give him pause in this area. Both well-run businesses, but inclined to stay away. The sector poses some risks.
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Definity Financial (DFY.TO) Frequently Asked Questions
What is Definity Financial stock symbol?
Definity Financial is a Canadian stock, trading under the symbol DFY.TO (previously DFY-T on Stockchase) on the Toronto Stock Exchange (DFY-CT). It is usually referred to as TSX:DFY or DFY.TO
Is Definity Financial a buy or a sell?
In the last year, 3 stock analysts published opinions about DFY.TO (previously DFY-T on Stockchase). 2 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is HOLD. Read the latest stock experts' ratings for Definity Financial.
Is Definity Financial a good investment or a top pick?
Definity Financial was recommended as a Top Pick by Barry Schwartz on 2024-07-18. Read the latest stock experts ratings for Definity Financial.
Why is Definity Financial stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts' recommendations for help on deciding if you should buy, sell or hold the stock.
Is Definity Financial worth watching?
3 stock analysts on Stockchase covered Definity Financial in the last year. It is a trending stock that is worth watching.
What is Definity Financial stock price?
On 2026-06-05, Definity Financial (DFY.TO) stock closed at a price of $68.28.
Cheaper than it ought to be, not at a multi-year high. Solid beat in underwriting. Synergies from Travelers Canada. Integration is increasing financial flexibility. Company is confident of mid-teen ROEs over next 3 years. Beneficiary of AI efficiencies.
(Analysts’ price target is $80.09)You should add to the "have-nots" when they're not popular and there's a bit of doubt. Soberly priced at 14x PE for 2027, 26% growth. Growth, value, decent dividend, increasing ROEs. Yield is 1.32%.