Executive Summary
iA Financial Corporation Inc., through its subsidiary, Industrial Alliance Insurance and Financial Services Inc., provides various life and health insurance products in Canada and the United States.
Snowflake
Fundamentals
Solid track record established dividend payer.
Similar Companies
Share Price & News
How has iA Financial's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
1.2%
IAG
1.1%
CA Insurance
-0.3%
CA Market
1 Year Return
25.0%
IAG
10.9%
CA Insurance
0.9%
CA Market
Return vs Industry: IAG exceeded the Canadian Insurance industry which returned 10.9% over the past year.
Return vs Market: IAG exceeded the Canadian Market which returned 0.9% over the past year.
Share holder returns
| IAG | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.2% | 1.1% | -0.3% |
| 30 Day | 1.4% | -0.5% | -2.1% |
| 90 Day | 11.8% | 1.4% | -1.5% |
| 1 Year | 29.2%25.0% | 15.7%10.9% | 4.4%0.9% |
| 3 Year | 34.0%22.9% | 24.6%11.1% | 15.7%5.4% |
| 5 Year | 63.0%41.3% | 44.5%20.1% | 26.1%7.9% |
Price Volatility Vs. Market
How volatile is iA Financial's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 months ago | Simply Wall St
The iA Financial (TSE:IAG) Share Price Is Up 31% And Shareholders Are Holding On9 months ago | Simply Wall St
Did Industrial Alliance Insurance and Financial Services Inc. (TSE:IAG) Insiders Buy Up More Shares?10 months ago | Simply Wall St
Does Industrial Alliance Insurance and Financial Services Inc's (TSE:IAG) Past Performance Indicate A Stronger Future?Valuation
Is iA Financial undervalued based on future cash flows and its price relative to the stock market?
43%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Undervalued: IAG (CA$60.1) is trading below our estimate of fair value (CA$104.53)
Significantly Undervalued: IAG is trading below fair value by more than 20%.
Price Based on Earnings
PE vs Industry: IAG is good value based on its PE Ratio (10x) compared to the Insurance industry average (12.8x).
PE vs Market: IAG is good value based on its PE Ratio (10x) compared to the Canadian market (13.7x).
Price Based on Expected Growth
Low PEG Ratio: IAG is poor value based on its PEG Ratio (2.2x)
Price Based on Value of Assets
PB vs Industry: IAG is overvalued based on its PB Ratio (1.2x) compared to the CA Insurance industry average (1.1x).
Next Steps
Future Growth
How is iA Financial expected to perform in the next 1 to 3 years based on estimates from 8 analysts?
4.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Earnings vs Savings Rate: IAG's forecast earnings growth (4.5% per year) is above the savings rate (1.9%).
Earnings vs Market: IAG's earnings (4.5% per year) are forecast to grow slower than the Canadian market (13.3% per year).
High Growth Earnings: IAG's earnings are forecast to grow, but not significantly.
Revenue vs Market: Insufficient data to determine if IAG's revenue is forecast to grow faster than the Canadian market.
High Growth Revenue: Insufficient data to determine if IAG's revenue is forecast to grow faster than 20% per year.
Earnings per Share Growth Estimates
Future Return on Equity
High Future ROE: IAG's Return on Equity is forecast to be low in 3 years time (11.7%).
Next Steps
Past Performance
How has iA Financial performed over the past 5 years?
11.1%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: IAG's earnings have grown by 11.1% per year over the past 5 years.
Accelerating Growth: IAG's earnings growth over the past year (12.5%) exceeds its 5-year average (11.1% per year).
Earnings vs Industry: IAG earnings growth over the past year (12.5%) exceeded the Insurance industry -0.8%.
Return on Equity
High ROE: IAG's Return on Equity (11.4%) is considered low.
Return on Assets
ROA vs Industry: IAG has a higher Return on Assets than the Insurance industry average last year.
Return on Capital Employed
ROCE Improving: IAG has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is iA Financial's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: IAG has a low level of unsold assets or inventory.
Debt Coverage by Assets: IAG's debt is covered by short term assets (assets are 1.614510x debt).
Financial Institutions Analysis
Asset Level: IAG's level of assets compared to its equity is moderate.
Allowance for Bad Loans: Insufficient data to determine if IAG has a sufficient allowance for bad loans.
Low Risk Liabilities: IAG reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if IAG has an acceptable proportion of non-loan assets held.
Low Risk Deposits: IAG has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if IAG has an appropriate level of bad loans.
Next Steps
Dividend
What is iA Financial's current dividend yield, its reliability and sustainability?
3.15%
Expected Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Dividend Yield and Payments Analysis
Notable Dividend: IAG's dividend (3%) is higher than the bottom 25% of dividend payers in the Canadian market (2.03%).
High Dividend: IAG's dividend (3%) is low compared to the top 25% of dividend payers in the Canadian market (5.98%).
Stable Dividend: IAG's dividends per share have been stable in the past 10 years.
Growing Dividend: IAG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (28.9%), IAG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IAG's dividends in 3 years are forecast to be well covered by earnings (30.7% payout ratio).
Next Steps
Management
What is the CEO of iA Financial's salary, the management and board of directors tenure and is there insider trading?
0.8yrs
Average management tenure
CEO
Denis Ricard (57yo)
1.1yrs
Tenure
CA$3,660,248
Compensation
Mr. Denis Yves Ricard, F.S.A., F.C.I.A. has been President and Chief Executive Officer of iA Financial Corporation Inc. (Also known as Industrial Alliance Insurance and Financial Services Inc) since Septem ...
CEO Compensation Analysis
Compensation vs. Market: Denis has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Canadian market.
Compensation vs Earnings: Denis's compensation has increased by more than 20% in the past year.
Management Age and Tenure
0.8yrs
Average Tenure
Experienced Management: IAG's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Board Age and Tenure
2.2yrs
Average Tenure
57yo
Average Age
Experienced Board: IAG's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Shares | 2,000 |
| Max Price | CA$50.83 |
| Entity | Individual |
| Shares | 5,000 |
| Max Price | CA$49.60 |
| Entity | Individual |
| Shares | 5,000 |
| Max Price | CA$49.20 |
| Entity | Individual |
| Shares | 5,000 |
| Max Price | CA$49.07 |
| Entity | Individual |
| Role | Chairman of the Board Independent Chairman |
| Shares | 1,000 |
| Max Price | CA$51.18 |
| Entity | Individual |
| Shares | 27,400 |
| Max Price | CA$54.63 |
Ownership Breakdown
Management Team
Paul Grimes
Senior Vice President of Sales
- Tenure: 0yrs
Denis Ricard (57yo)
CEO, President & Director
- Tenure: 1.1yrs
- Compensation: CA$3.66m
Alain Bergeron
Executive VP & Chief Investment Officer
- Tenure: 0.08yrs
Manon Gauthier
Senior Vice-President of Administration
- Tenure: 0yrs
Lilia Sham
Executive Vice-President of Corporate Development
- Tenure: 0.4yrs
Jacques Potvin
Executive VP
- Tenure: 1.7yrs
- Compensation: CA$1.49m
Carl Mustos
Executive Vice President of Wealth Management
- Tenure: 2.8yrs
- Compensation: CA$1.87m
Lyne Pelchat
Vice-President of Accounting & Taxation
- Tenure: 0yrs
Marie-Annick Bonneau
Head of Investor Relations
- Tenure: 0.5yrs
Pierre Picard
Manager of Public Relations
- Tenure: 0yrs
Board Members
Claude Lamoureux (76yo)
Independent Director
- Tenure: 9.4yrs
- Compensation: CA$121.50k
Louis Têtu (54yo)
Independent Director
- Tenure: 3.4yrs
- Compensation: CA$104.25k
Marc Poulin (57yo)
Independent Director
- Tenure: 1.4yrs
- Compensation: CA$76.08k
Denis Ricard (57yo)
CEO, President & Director
- Tenure: 1.1yrs
- Compensation: CA$3.66m
Danielle Morin (63yo)
Independent Director
- Tenure: 5.4yrs
- Compensation: CA$122.00k
Benoit Daignault (55yo)
Independent Director
- Tenure: 0.4yrs
Nick Darveau-Garneau (50yo)
Independent Director
- Tenure: 1.4yrs
Jacques Martin (63yo)
Independent Chairman
- Tenure: 1.1yrs
- Compensation: CA$191.27k
Emma Griffin (46yo)
Independent Director
- Tenure: 2.9yrs
- Compensation: CA$117.34k
Agathe Côté (60yo)
Independent Director
- Tenure: 3.4yrs
- Compensation: CA$114.90k
Company Information
iA Financial Corporation Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: iA Financial Corporation Inc.
- Ticker: IAG
- Exchange: TSX
- Founded: 1892
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: CA$6.390b
- Shares outstanding: 106.33m
- Website: https://www.ia.ca
Number of Employees
Location
- iA Financial Corporation Inc.
- 1080 Grande Allée West
- Station Terminus
- Québec
- Quebec
- G1K 7M3
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| IAG | TSX (The Toronto Stock Exchange) | Yes | New Common Shares | CA | CAD | Feb 2000 |
| 1OD | DB (Deutsche Boerse AG) | Yes | New Common Shares | DE | EUR | Feb 2000 |
| IAF.PRB | TSX (The Toronto Stock Exchange) | PFD SER B | CA | CAD | Feb 2006 | |
| IAF.PRG | TSX (The Toronto Stock Exchange) | 4.3 NCM 5Y PFD G | CA | CAD | Jun 2012 | |
| IAF.PRI | TSX (The Toronto Stock Exchange) | NON CUM PDF A I | CA | CAD | Mar 2018 |
Biography
iA Financial Corporation Inc., through its subsidiary, Industrial Alliance Insurance and Financial Services Inc., provides various life and health insurance products in Canada and the United States. The co ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/14 03:29 |
| End of Day Share Price | 2019/10/11 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.