TSE:SLF

Sun Life Financial Inc (SLF.TO)

116.00
+1.24 (1.08%)
as of Jul 24, 2026, 8:00:00 pm Market Open.
717 watching
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Investor Insights
star iconJul 24, 2026, 12:00 am

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

Sun Life Financial Inc (SLF) has experienced a recent rally, supported by strong performances in the money management sector, which benefits from favorable market conditions. However, the company faces challenges in its dental business in the U.S., raising concerns about its ability to meet future profit targets. There is mixed performance across its various segments, with asset management showing slower growth, and a notable decrease in net income from individual protection. Despite a recent quarter that fell slightly short in expectations, experts maintain a generally positive outlook on SLF due to its historical track record, strong dividend growth, and significant international presence, particularly in Asia. While some analysts suggest a cautious approach, many see value in holding SLF as it adjusts to market changes and leverages opportunities for growth.

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Consensus
Hold
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Valuation
Fair Value
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Similar
MFC, MFC
TOP PICK
The trend is up. Insurance companies are a much better place to be than the banks. It's a lower yield than the banks because people have been bidding it up. They have a great balance sheet. (Analysts’ price target is $62.70)
COMMENT

Canada has four major life insurance companies. Since the financial crisis, Sun Life aas done the best. He does not see much change at Manulife so would prefer Sun Life.

BUY

MFC vs. SLF They're both good and relatively safe. They both have asset management businesses. Earnings growth will be 7-11% in 2020, which is far higher than the 1-3% for the banks. Also, they trade at single-digit multiples, cheap. According to book value, SLF is far more expensive, so he prefers MFC. MFC has more upside than SLF, but you're splitting hairs with these two.

BUY
His largest personal holding. Thinks we are going to see depressed interest rates for some time. In the meantime Sun Life is heading to new high. Very good and well managed company. Stock should do well once they complete their acquisition in Asia. Has a lot of confidence in the management.
SELL
He just sold because it was at the highest valuation of the insurers. He wanted to raise some cash for clients. It is a good company but he has moved to MFC-T
HOLD
Low interest rates? He bought the preferred shares and common stock during the last financial crisis and it has been a great stock for them. Money is flowing back into their investment business. Even in low interest rates they are prospering.
COMMENT
He used to own Manulife going into the financial crisis and have not looked at it since. It is pale in comparison to Sun Life.
HOLD
He owns SLF. Even with interest rates falling, insurance has done well. They keep delivering on earnings, trade at 15 times earnings and a reasonable payout ratio.
DON'T BUY
Jaded on this. Likes what they have done in the U.S.. However, interest rates are low and going lower. How do you fund long term liabilities with continually falling rates? A negative spread that causes a problem for insurance and banks. It doesn't look like it's getting better. He thinks there might see another cut in December.
PAST TOP PICK
(A Top Pick Oct 02/18, Up 20%) And it still looks cheap. It is so well positioned globally. Earnings are rising double digits. The dividend is growing and he thinks this will continue. They have been able to handle the low interest rate environment so well and continue to generate earnings growth.
BUY

It's big growth area is in Asia. It has been a terrific performer lately. They have to invest unearned insurance premiums. With interest rates so low people are afraid. But SLF-T is a growing money management firm and that area is doing better. They raise their dividend regularly.

COMMENT
It trades at a premium to the group, but they have more capital deployment opportunities.
COMMENT
Zero interest rates are horrendous for insurance companies. SLF-T is trying to become a wealth partner for people into retirement. This would turn them into a fee based business and there has been some success here. He finds other assets, like Canadian banks, easier to understand so he has not entered into this space.
COMMENT
Bit of rotation from banks to insurers. High dividend, exposure to Asia-Pacific. Long-term demographics make sense. Low interest rates are a headwind.
WEAK BUY
Issue is that interest rates remain low. Has grown asset management franchise. Better global franchise. Bought into alternative asset classes. Insurance business is plodding along. Good dividend yield, not a high multiple. Prefers the banks, but not a bad idea at these levels.
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