iA Financial Corporation Inc.

TSX:IAG Stock Report

Market Cap: CA$12.1b

iA Financial Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 IAG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IAG (CA$129.89) is trading below our estimate of fair value (CA$321)

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

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

IAG 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/Revenue1.5x
Enterprise Value/EBITDA8.9x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for IAG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average10.7x
ELF E-L Financial
4.2xn/aCA$5.1b
SLF Sun Life Financial
13.6x6.6%CA$48.0b
POW Power Corporation of Canada
12.5x8.8%CA$30.0b
GWO Great-West Lifeco
12.4x5.2%CA$45.6b
IAG iA Financial
12.6x7.5%CA$12.1b

Price-To-Earnings vs Peers: IAG is expensive based on its Price-To-Earnings Ratio (12.6x) compared to the peer average (10.7x).

Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.3%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.3%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: IAG is good value based on its Price-To-Earnings Ratio (12.6x) compared to the North American Insurance industry average (12.8x).

Price to Earnings Ratio vs Fair Ratio

What is IAG'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.

IAG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.6x
Fair PE Ratio12.1x

Price-To-Earnings vs Fair Ratio: IAG is expensive based on its Price-To-Earnings Ratio (12.6x) compared to the estimated Fair Price-To-Earnings Ratio (12.1x).

Analyst Price Targets

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

The above table shows the analyst IAG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$129.89
CA$134.25
+3.4%
4.7%CA$143.00CA$121.00n/a8
Nov ’25CA$114.19
CA$119.13
+4.3%
7.1%CA$132.00CA$105.00n/a8
Oct ’25CA$112.70
CA$107.25
-4.8%
4.8%CA$114.00CA$98.00n/a8
Sep ’25CA$103.58
CA$107.25
+3.5%
4.8%CA$114.00CA$98.00n/a8
Aug ’25CA$90.82
CA$102.48
+12.8%
5.3%CA$111.00CA$93.00n/a8
Jul ’25CA$85.91
CA$101.25
+17.9%
4.2%CA$108.00CA$93.00n/a8
Jun ’25CA$88.74
CA$101.25
+14.1%
4.2%CA$108.00CA$93.00n/a8
May ’25CA$84.45
CA$98.88
+17.1%
4.6%CA$103.00CA$89.00n/a8
Apr ’25CA$84.54
CA$99.25
+17.4%
5.1%CA$106.00CA$89.00n/a8
Mar ’25CA$84.33
CA$99.50
+18.0%
5.3%CA$106.00CA$89.00n/a8
Feb ’25CA$90.36
CA$101.50
+12.3%
3.8%CA$106.00CA$94.00n/a8
Jan ’25CA$90.33
CA$99.63
+10.3%
3.4%CA$104.00CA$94.00n/a8
Dec ’24CA$91.24
CA$99.63
+9.2%
3.4%CA$104.00CA$94.00n/a8
Nov ’24CA$81.49
CA$99.88
+22.6%
4.5%CA$109.00CA$94.00CA$114.198
Oct ’24CA$85.20
CA$100.25
+17.7%
4.3%CA$109.00CA$95.00CA$112.708
Sep ’24CA$85.30
CA$100.25
+17.5%
4.3%CA$109.00CA$95.00CA$103.588
Aug ’24CA$91.04
CA$100.00
+9.8%
4.9%CA$110.00CA$95.00CA$90.829
Jul ’24CA$90.25
CA$98.11
+8.7%
2.7%CA$104.00CA$95.00CA$85.919
Jun ’24CA$87.07
CA$98.11
+12.7%
2.7%CA$104.00CA$95.00CA$88.749
May ’24CA$90.04
CA$97.50
+8.3%
4.1%CA$104.00CA$92.00CA$84.459
Apr ’24CA$85.66
CA$96.94
+13.2%
3.7%CA$104.00CA$92.00CA$84.549
Mar ’24CA$91.51
CA$96.94
+5.9%
3.7%CA$104.00CA$92.00CA$84.339
Feb ’24CA$82.40
CA$89.83
+9.0%
6.1%CA$102.00CA$84.00CA$90.369
Jan ’24CA$79.27
CA$82.11
+3.6%
5.4%CA$89.00CA$74.00CA$90.339
Dec ’23CA$76.96
CA$82.11
+6.7%
5.4%CA$89.00CA$74.00CA$91.249
Nov ’23CA$76.31
CA$83.22
+9.1%
5.5%CA$89.00CA$74.00CA$81.499

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y