E-L Financial Corporation Limited

TSX:ELF Stock Report

Market Cap: CA$3.7b

E-L Financial Valuation

Is ELF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ELF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ELF (CA$1073.9) is trading below our estimate of fair value (CA$5884.23)

Significantly Below Fair Value: ELF is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for ELF?

Other financial metrics that can be useful for relative valuation.

ELF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2x
Enterprise Value/EBITDA3.6x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does ELF's PE Ratio compare to its peers?

The above table shows the PE ratio for ELF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.8x
IAG iA Financial
10.6x14.2%CA$8.2b
SFC Sagicor Financial
1.3x-83.4%CA$969.0m
POW Power Corporation of Canada
10.3x8.1%CA$24.0b
GWO Great-West Lifeco
13.1x7.8%CA$37.5b
ELF E-L Financial
3.9xn/aCA$3.6b

Price-To-Earnings vs Peers: ELF is good value based on its Price-To-Earnings Ratio (3.9x) compared to the peer average (8.8x).


Price to Earnings Ratio vs Industry

How does ELF's PE Ratio compare vs other companies in the North American Insurance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.2%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.2%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: ELF is good value based on its Price-To-Earnings Ratio (3.9x) compared to the North American Insurance industry average (13.9x).


Price to Earnings Ratio vs Fair Ratio

What is ELF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ELF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ELF's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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