TSE:DFY

Definity Financial (DFY.TO)

80.00
+0.23 (0.29%)
as of Aug 7, 2026, 8:00:01 pm Market Open.
59 watching
0
Investor Insights
star iconAug 9, 2026, 12:00 am

This summary was created by AI, based on 4 opinions in the last 12 months.

Definity Financial (DFY-T) is receiving positive reviews from analysts, highlighting its promising integration with Travelers Insurance, yielding better-than-expected synergies without substantial catastrophic losses, resulting in an improved combined ratio and projected performance. Analysts see the company as undervalued compared to its potential, noting solid beats in underwriting and confident mid-teen return on equity (ROE) forecasts for the next three years. The stock is viewed as a good investment opportunity, especially given its sober pricing at a 14x PE for 2027 with anticipated 26% growth. Recommendations suggest that this is an opportune time to add to positions, with some analysts advocating for a gradual investment strategy depending on market conditions.

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Consensus
Positive
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Valuation
Undervalued
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Similar
GRA-T
TOP PICK

 Although not well known it is Canada's 7th biggest property/casualty insurance company. 70% is personal insurance and 30% is commercial. Its IPO was 18 months ago on the TSX and it is now trading at 1 1/2 times BV. It can grow organically and can now leverage its balance sheet to make acquisitions. After a nice run along with a recent pull-back, he is buying more. It is profitable and growing faster than Intact Insurance, the gold standard in Canada.
Buy 7   Hold 4   Sell 0 

TOP PICK

Up 30% in one year and the biggest IPO of 2021. Their combined ratio went from 110% to 90%, from losing to making money. Pays a 1.3% dividend. Also they have a pet insurance business, a lucrative space.

(Analysts’ price target is $42.95)
BUY ON WEAKNESS

Well managed company that will perform well.
Higher interest rates will benefit company.
Does not own shares, but thinks is a good business.
Hold for the long term and dividend yield. 

BUY
Small, junior version of IFC, which he does own. Prefers IFC with its scale, breadth, and geographic diversification. P&C has been in the sweet spot. Likes it. If he were going to own another, this would probably be the one.
WAIT
They added it to the portfolio earlier this year. It is in the property and casualty insurance business and is inexpensive compared to Intact Financial, its main peer. It has great pricing power and good growth. Wait for a pullback.
BUY
Stock's doing well. Trading at a discount to IFC. Reasonable valuation. P&C is a great business. Can see them growing and acquiring. Buy while it's not yet on people's radar.
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