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
PAST TOP PICK
(A Top Pick Oct 24/18, Up 22%) There's a lot more gas in the tank. Preferred horse in the life insurance sector. 13% ROE. Trades at 7.5x earnings. Should have a "3" handle on it. Yield is 4.2%.
BUY
Likes the chart and lifecos a lot. There's been a downtrend for 2018 and part of 2019, but we're now in an uptrend, at least rangebound. He expects yields to move higher in the future and that will lift all lifeco stocks. Meanwhile, collect the dividend.
COMMENT
They've diversified out of the interest-rate tail risk by getting more into wealth management. Good. They're growing their India and China presence. But they remain an insurance company, which means they're tied to interest rates. When rates are low, their returns are lower. You can't change a leopard's spots. However, they have raised a lot of capital.
COMMENT
He finds it is a bit of a black box. He finds it hard to understand their business because there are so many moving parts. The banks are more protected from foreign competition or ownership.
HOLD
They raised the dividend late last year and he expects another boost again. They are growing their business in Asia. Margins have been squeezed a bit with lower interest rates, but based on their recent earnings report, they are weathering it well. He thinks there is value up to $28-$30. Yield 4%
HOLD
The stock is cheap and he holds it in the portfolio. Trades at a low price to book value. Yield 4.5%
COMMENT

This and SLF have been diversifying. MFC is pushing their wealth management business and increasingly from the Asian market. He's gun-shy on MFC. He used to own it.

BUY
Likes the financial sector. It’s been in a tight range. Found support around $22.50. There is good support at $20. Would be a buyer here.
BUY
Average down? Yes, enter it now. MFC trades at 7x earnings and yields over 4% and trades below book value, so it's now at a discount. Their wealth/asset management and Asian business are doing well.
BUY

Long term? He likes MFC, a mainstay for him. MFC has been through a trial over the past 12 months with a legal issue. He likes the 4.6% dividend, which matches the banks, something he was a doubtful about just recently. MFC isn't a bad way to collect yield. It has strong fundamentals. Good long term and he would add to it now. They are growing their dividend.

HOLD

It has been a bit of a disappointment in that it has Asian exposure and has been there for decades, but the yield curve is a real headwind. They have to keep taking charges. He prefers SLF-T. They are good, solid companies, but they need a break on the yield curve.

DON'T BUY
He recently sold it, because MFC broke a trend as interest rates fell and he saw better returns in REITs. MFC's equity division fluctuates with the economy. That said, very long term you can hold this for a long time. But there are better opportunities like the Brookfield REITs.
BUY
Stay in this one. A company you want to hold in a volatile market. Lower interest rates would make this company suffer and this is the fundamental problem for them right now. They need higher rates to fund their actuarial exposure. Buy it here and hold long term. Yield 4.9%
PAST TOP PICK
(A Top Pick Aug 09/18, Down 3%) One of the more diverse names in the insurance space. Exposure to US and Asia. Their results have been fine, and their last quarter was good. You can collect dividends while waiting for the company to get a footing.
DON'T BUY
During low interest rates Low rates are deadly for lifecos which are invested in fixed income and real estate. Don't invest in rate-sensitive stocks.
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