TSE:MFC

Manulife Financial (MFC.TO)

61.50
-0.03 (0.05%)
as of Sep 24, 2026, 8:00:00 pm Market Open.
1632 watching
0
BUY
Dividend safe? He likes and owns MFC. The yield is juicy as the stock price has fallen -- about 6.6%. He thinks it is secure and the payout ratio is expected to be about 45%. It has a strong credit rating. It will face issues with the outlook for their investment business in bonds and mortgages. The re-investment yields are much lower today. Their wealth asset management business will likely be negatively impacted as well. He still seems them as a leader in the space. Earnings have grown at 9% annually and he thinks that will return. It trades at only 6 times earnings. He would buy today.
COMMENT

MFC vs SLF He sees a lot of value in the insurance sector. He owns MFC, but there is no flaw in holding SLF either. MFC has growth focused on Asia. Both are undervalued at about 7 times earnings.

BUY
The revised earnings are a little down tick but not terrifying. The dividend appears to be safe and the PE ratio looks like a bargain. He really likes this stock. It has a lot of upside if there are no nasty surprises in their numbers.
WATCH
You have the insurance side and the investment side. The latter is going to be very challenging for insurance companies because of where interest rates are. Watch the investment side closely. The insurance side is doing quite well.
PARTIAL BUY
Dividend safe? He did sell some earlier this year, but it's still a core position. The low interest rates kill their balance sheet. But the good news is that they have potential for growth in Asia as Asia returns to speed. The dividend is safe. It's a tricky balancing act. Generally, don't over-lever anything now. We have to get through this period before the sun shines--and the sun will shine again. You can buy this, but don't overweight any stock.
WATCH
These insurers get hit on all sides. It has gone below his EBV -3, which is 'in the blue'. Their balance sheet is impaired according to the markets. He would not buy until it breaks above $21.82.
PAST TOP PICK
(A Top Pick Mar 20/19, Down 36%) He's sticking with it. MFC, back to 2008, was much more sensitive to the markets than today. They de-risked their balance sheet. They're getting hit now because of exposure to Asia. He believes MFC will come out of this and do quite well.
WATCH
Buy lifecos or banks? This sell-off has been peculiar, because the most-damaged are value stocks including financials in Canada and the U.S. Massacred. MFC is close to a low. It has huge upside potential based on its earnings. But they're in medical insurance. He suspects these stocks are getting close to attractive prices.
DON'T BUY

He would wait for now and would prefer SLF-T. Insurance companies can't benefit from lowering interest rates.

WAIT
Nov-Apr is seasonality. Even before today's sell-off there was trouble brewing in this. This looks like it's heading to its Dec. 2018 chart. In each rebound up MFC will see shareholders sell into strength. That's a warning. Wait on this one.
HOLD
Exposure to China? He owns a position on behalf of clients. He thinks the share drop is manageable. With a life insurance company, there is always a need to have it. Demand may be delayed and deferred, but not lost. You can hold it here. Longer term there is more upside than downside. Lower interest rates do hurt their longer term exposures, but he expects 10 year interest rates to return to normal going forward. Yield 5%
BUY
How can MFC maintain its upward trajectory after the central banks cut interest rates? Insurers have been hit hard by the low rates, including MFC, but it will eventually reach $30, because it's very profitable, has strong Asian growth from its growing middle class, and is performing well in North America. Buy/own this, put it away and forget it for five years. By then, it'll reach $30.
DON'T BUY
It is only trading 6 times earnings. However, the interest rate environment makes it difficult for life insurance companies going forward. They have done a good job growing their business in Asia. He just sees better opportunities.
COMMENT

Chart shows a double-top of $27. Insurance looks good. Nice upward move since start-2019 in MFC. He doesn't know the fundamentals of MFC, though it got hit hard today in the global sell-off. He owns other insurers including Sun-Life.

DON'T BUY
They're definitely in China, but he doesn't know their exposure now. The really challenge is an aging population and a system that doesn't manage chronic diseases well. Be careful with Manulife, but also all insurers.
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