Sun Life Financial Inc

SLF-T

TSE:SLF

62.00
0.00 (0.00%)
Sun Life Financial, Inc. is a Canada-based financial services company known primarily as a life insurance company. It is one of the largest life insurance companies in the world, and also one of the oldest with a history spanning back to 1865.
More at Wikipedia

Analysis and Opinions about SLF-T

Signal
Opinion
Expert
COMMENT
COMMENT
February 5, 2020

RY vs TD vs SLF? He owns both of the banks and he prefers this space over the insurance sector. RY has a stronger approach on the wealth management side, whereas TD focuses on retail customers and has a larger presence in the US. Right now he would favour TD. Canadian banks of been held back as of late because of a unwarranted fear about the housing market in Canada. Dividends with the banks are great too.

Show full opinionHide full opinion

RY vs TD vs SLF? He owns both of the banks and he prefers this space over the insurance sector. RY has a stronger approach on the wealth management side, whereas TD focuses on retail customers and has a larger presence in the US. Right now he would favour TD. Canadian banks of been held back as of late because of a unwarranted fear about the housing market in Canada. Dividends with the banks are great too.

COMMENT
COMMENT
January 31, 2020
He stills likes Sun Life better. He's concerned about the emphasis that Manulife has put on Far Eastern growth they anticipate. Manulife has a checkered history of surprising on the down-side, whereas Sun Life is more predictable. Sun Life has good presence in North America.
Show full opinionHide full opinion
He stills likes Sun Life better. He's concerned about the emphasis that Manulife has put on Far Eastern growth they anticipate. Manulife has a checkered history of surprising on the down-side, whereas Sun Life is more predictable. Sun Life has good presence in North America.
BUY
BUY
January 30, 2020
Likes it. Trading at 1.8x price to book, so more expensive. One of the faster growing EPS insurer names. Only 10% of revenues come from Asia. 40% of profits come from wealth and asset management. Yield is 3.5%.
Show full opinionHide full opinion
Likes it. Trading at 1.8x price to book, so more expensive. One of the faster growing EPS insurer names. Only 10% of revenues come from Asia. 40% of profits come from wealth and asset management. Yield is 3.5%.
DON'T BUY
DON'T BUY
January 9, 2020

SLF vs MFC When he values lifecos, it's on price to book, dividend yield, or price to earnings, rather than price to cash flows. Sun Life trades at a premium. His preferred lifeco is Manulife, because of a discounted valuation plus a better business overall because of its Asian business. Wealth management is also better, and getting a handle on legacy businesses.

Show full opinionHide full opinion

SLF vs MFC When he values lifecos, it's on price to book, dividend yield, or price to earnings, rather than price to cash flows. Sun Life trades at a premium. His preferred lifeco is Manulife, because of a discounted valuation plus a better business overall because of its Asian business. Wealth management is also better, and getting a handle on legacy businesses.

HOLD
HOLD
December 31, 2019
It's moving up, though resistance lies at $55. It broke that earlier this year, which is good. No reason to be bearish, unless it breaks that level. Stay with the trend.
Show full opinionHide full opinion
It's moving up, though resistance lies at $55. It broke that earlier this year, which is good. No reason to be bearish, unless it breaks that level. Stay with the trend.
TOP PICK
TOP PICK
December 23, 2019
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)
Show full opinionHide full opinion
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
COMMENT
December 18, 2019

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.

Show full opinionHide full opinion

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
BUY
December 9, 2019

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.

Show full opinionHide full opinion

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
BUY
November 28, 2019
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.
Show full opinionHide full opinion
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
SELL
November 18, 2019
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
Show full opinionHide full opinion
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
HOLD
November 8, 2019
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.
Show full opinionHide full opinion
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
COMMENT
November 8, 2019
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.
Show full opinionHide full opinion
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
HOLD
November 1, 2019
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.
Show full opinionHide full opinion
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
DON'T BUY
October 18, 2019
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.
Show full opinionHide full opinion
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
PAST TOP PICK
October 17, 2019
(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.
Show full opinionHide full opinion
(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
BUY
October 7, 2019

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.

Show full opinionHide full opinion

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
COMMENT
September 20, 2019
It trades at a premium to the group, but they have more capital deployment opportunities.
Show full opinionHide full opinion
It trades at a premium to the group, but they have more capital deployment opportunities.
COMMENT
COMMENT
September 13, 2019
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.
Show full opinionHide full opinion
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
COMMENT
September 11, 2019
Bit of rotation from banks to insurers. High dividend, exposure to Asia-Pacific. Long-term demographics make sense. Low interest rates are a headwind.
Show full opinionHide full opinion
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
WEAK BUY
August 15, 2019
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.
Show full opinionHide full opinion
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.
HOLD
HOLD
August 14, 2019
Insuranace companies make money investing the proceeds of premiums into bonds. If bond yields are low it hurts their profitability. SLF-T has done a good job to diversify their business geographically. He also likes how they have moved into money management. He likes it and will continue holding it. Yield 4%
Show full opinionHide full opinion
Insuranace companies make money investing the proceeds of premiums into bonds. If bond yields are low it hurts their profitability. SLF-T has done a good job to diversify their business geographically. He also likes how they have moved into money management. He likes it and will continue holding it. Yield 4%
HOLD
HOLD
August 12, 2019
All financials are not the same. Insurance companies have been the place to be recently. It's at support. Stick with the insurance companies but perhaps broaden out which ones you are in to avoid execution risk.
Show full opinionHide full opinion
All financials are not the same. Insurance companies have been the place to be recently. It's at support. Stick with the insurance companies but perhaps broaden out which ones you are in to avoid execution risk.
HOLD
HOLD
July 12, 2019
Not a bad stock, it's the best of the life insurers. But he's concerned about the financials in general. In for a more difficult time, as spreads are not conducive to profits. Late in the game to buy. Dividend's not bad. Tariffs could cause interest rates to decline even further.
Show full opinionHide full opinion
Not a bad stock, it's the best of the life insurers. But he's concerned about the financials in general. In for a more difficult time, as spreads are not conducive to profits. Late in the game to buy. Dividend's not bad. Tariffs could cause interest rates to decline even further.
COMMENT
COMMENT
July 3, 2019

MFC-T is the country's biggest life insurance company. He owns Sunlife instead as he feels it is better managed.

Show full opinionHide full opinion

MFC-T is the country's biggest life insurance company. He owns Sunlife instead as he feels it is better managed.

PAST TOP PICK
PAST TOP PICK
June 17, 2019
(A Top Pick May 30/18, Up 3%) He liked it then and likes it even more now. Lifecos are a good defensive play at this time, especially when they are all so well capitalized.
Show full opinionHide full opinion
(A Top Pick May 30/18, Up 3%) He liked it then and likes it even more now. Lifecos are a good defensive play at this time, especially when they are all so well capitalized.
TOP PICK
TOP PICK
June 17, 2019
The insurance companies are a fairly defensive position to be in. They have significant excess capital. In the most recent quarter there was new business strain, which leads to profitability later on. This is a reasonable investment to make. (Analysts’ price target is $56.45)
Show full opinionHide full opinion
The insurance companies are a fairly defensive position to be in. They have significant excess capital. In the most recent quarter there was new business strain, which leads to profitability later on. This is a reasonable investment to make. (Analysts’ price target is $56.45)
WAIT
WAIT
May 31, 2019
This is a solid stock. He did own it and took profits. He would buy back if it got to $50. A good defensive play. Good yield.
Show full opinionHide full opinion
This is a solid stock. He did own it and took profits. He would buy back if it got to $50. A good defensive play. Good yield.
BUY
BUY
April 18, 2019
He sold it 8 months ago, but still likes it. It's come back well. Definitely the best Canadian insurer to buy, but he's backing away from Canadian financials as a whole. It's a long-term hold that pays a good dividend. They're on top of the investment markets.
Show full opinionHide full opinion
He sold it 8 months ago, but still likes it. It's come back well. Definitely the best Canadian insurer to buy, but he's backing away from Canadian financials as a whole. It's a long-term hold that pays a good dividend. They're on top of the investment markets.
COMMENT
COMMENT
April 17, 2019
Insurance in a portfolio? He sold their Power Financial holding last year. Following the banking crisis it just has not recovered. It owns GreatWest Life and IGM -- neither has done well. Insurance is a better bet than banks, he thinks. He would prefer SLF-T in Canada and AFG-N in the US.
Show full opinionHide full opinion
Insurance in a portfolio? He sold their Power Financial holding last year. Following the banking crisis it just has not recovered. It owns GreatWest Life and IGM -- neither has done well. Insurance is a better bet than banks, he thinks. He would prefer SLF-T in Canada and AFG-N in the US.
BUY
BUY
April 9, 2019

Pays a 4% dividend and trades at 1.46 book. They have been diversifyign into welath management and buying a real estate business. Asia has done very well for them, growing at double digits. Well-run.

Show full opinionHide full opinion

Pays a 4% dividend and trades at 1.46 book. They have been diversifyign into welath management and buying a real estate business. Asia has done very well for them, growing at double digits. Well-run.

BUY
BUY
April 4, 2019
Some of the insurers have been performing decently lately. In part because you have a dividend supporting it. 3.8% dividend yield now and sustainable. He likes the space now.
Show full opinionHide full opinion
Some of the insurers have been performing decently lately. In part because you have a dividend supporting it. 3.8% dividend yield now and sustainable. He likes the space now.
BUY
BUY
March 19, 2019
SLF vs. MFC MFC is the trading stock vs. SLF is the holding stock (more than a year). Long-term, SLF has a smooth chart, and MFC has been jumpy--but you can make money on those big swings.
Show full opinionHide full opinion
SLF vs. MFC MFC is the trading stock vs. SLF is the holding stock (more than a year). Long-term, SLF has a smooth chart, and MFC has been jumpy--but you can make money on those big swings.
WATCH
WATCH
February 28, 2019
Trading at 10 x earnings with 10-1% growth. Dividend yield is 3.9%. 10% of the revenues come from Asia. Very leveraged to what happens in the equity markets. Watch where it stands to the 200-day moving average.
Show full opinionHide full opinion
Trading at 10 x earnings with 10-1% growth. Dividend yield is 3.9%. 10% of the revenues come from Asia. Very leveraged to what happens in the equity markets. Watch where it stands to the 200-day moving average.
BUY
BUY
February 21, 2019
It should be going higher. We are seeing a period of rising interest rates which the lifecos should benefit from. There is a reverse head and shoulder pattern. It is very bullish. It should test at $51/52. Buyers are stepping in to accumulate the stock. It is poised for further upside in 20/21.
Show full opinionHide full opinion
It should be going higher. We are seeing a period of rising interest rates which the lifecos should benefit from. There is a reverse head and shoulder pattern. It is very bullish. It should test at $51/52. Buyers are stepping in to accumulate the stock. It is poised for further upside in 20/21.
COMMENT
COMMENT
January 30, 2019
They've done well in recent years by being conservative and taking little risk in some of their businesses. That's resulted in good dividends and earnings that aren't as volatile as their peers. However, their growth isn't as strong. Asian has been a bright spot for them. Overall, it's a decent company and it's safe in a volatile market, but this isn't the highest growth stock around.
Show full opinionHide full opinion
They've done well in recent years by being conservative and taking little risk in some of their businesses. That's resulted in good dividends and earnings that aren't as volatile as their peers. However, their growth isn't as strong. Asian has been a bright spot for them. Overall, it's a decent company and it's safe in a volatile market, but this isn't the highest growth stock around.
Jim Huang

Unlock Ratings

Price
$47.620
Owned
Unknown
COMMENT
COMMENT
January 18, 2019
Is China hurting MFC-T? He owned MFC-T going into the 2008 crisis. But when the management announced they had taken on undue risk, he exited. They have never really reemerged from this. They were too exposed to equity markets back then, and decided to exit equities just as the market rallied to all time highs. He thinks there are better opportunities out there -- like SLF-T.
Show full opinionHide full opinion
Is China hurting MFC-T? He owned MFC-T going into the 2008 crisis. But when the management announced they had taken on undue risk, he exited. They have never really reemerged from this. They were too exposed to equity markets back then, and decided to exit equities just as the market rallied to all time highs. He thinks there are better opportunities out there -- like SLF-T.
PAST TOP PICK
PAST TOP PICK
January 17, 2019
(A Top Pick Dec 15/18, Down 5%) They are expanding insurance operations in Asia. They have excess capital of $2.3 billion. They could do an acquisition or buy back shares. Extremely well run so he continues to like it and hold it.
Show full opinionHide full opinion
(A Top Pick Dec 15/18, Down 5%) They are expanding insurance operations in Asia. They have excess capital of $2.3 billion. They could do an acquisition or buy back shares. Extremely well run so he continues to like it and hold it.
COMMENT
COMMENT
December 21, 2018
Had been best performing Canadian lifeco. But it's fallen out of bed, nothing is sacred in this market. Support around $40, and it's close now. Will probably bounce back, but needs to firmly break past trend line before he can call it an uptrend again.
Show full opinionHide full opinion
Had been best performing Canadian lifeco. But it's fallen out of bed, nothing is sacred in this market. Support around $40, and it's close now. Will probably bounce back, but needs to firmly break past trend line before he can call it an uptrend again.
BUY
BUY
December 18, 2018
A trend around $56 earlier this year. The other level is the current $45 range. The market is stepping in now for all lifecos. SLF just had a sudden move bouncing up from $43 as buyers come in. The $45 level is solid.
Show full opinionHide full opinion
A trend around $56 earlier this year. The other level is the current $45 range. The market is stepping in now for all lifecos. SLF just had a sudden move bouncing up from $43 as buyers come in. The $45 level is solid.
PAST TOP PICK
PAST TOP PICK
December 18, 2018
(A Top Pick Dec 06/17, Down 11%) It's declined with the market. Interest rates went up then down which hurt them.
Show full opinionHide full opinion
(A Top Pick Dec 06/17, Down 11%) It's declined with the market. Interest rates went up then down which hurt them.
COMMENT
COMMENT
December 11, 2018
The lifecos are attractive after this correction. Solid businesses. SLF has a big U.S. asset management operation. But she prefers (and owns) MFC which has a better valuation. In the past. SLF's earnings have outgrown MFC's, but MFC's should outpace SLF's going forward. MFC trades at a discount to SLF.
Show full opinionHide full opinion