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Intact Financial

TSX:IFC
Snowflake Description

Established dividend payer with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
IFC
TSX
CA$15B
Market Cap
  1. Home
  2. CA
  3. Insurance
Company description

Intact Financial Corporation, through its subsidiaries, provides property and casualty insurance products to individuals and businesses in Canada and the United States. The last earnings update was 42 days ago. More info.


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IFC Share Price and Events
7 Day Returns
-0.9%
TSX:IFC
1.5%
CA Insurance
0.9%
CA Market
1 Year Returns
12.1%
TSX:IFC
-4.3%
CA Insurance
1.2%
CA Market
IFC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Intact Financial (IFC) -0.9% 0.3% 10.9% 12.1% 23% 63.3%
CA Insurance 1.5% 5.3% 14.9% -4.3% 6.4% 12.3%
CA Market 0.9% 2.3% 12.4% 1.2% 16.1% 5.9%
1 Year Return vs Industry and Market
  • IFC outperformed the Insurance industry which returned -4.3% over the past year.
  • IFC outperformed the Market in Canada which returned 1.2% over the past year.
Price Volatility
IFC
Industry
5yr Volatility vs Market

Value

 Is Intact Financial undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Intact Financial to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our intrinsic value calculation method has changed recently, learn more here.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Intact Financial.

TSX:IFC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 12 analysts.
= Stable Book Value * Return on Equity
= CA$56.44 * 14.2%
CA$8.01
Book Value of Equity per Share Weighted future Book Value estimates from 13 analysts. CA$56.44
Discount Rate (Cost of Equity) See below 6.8%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:IFC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.64
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.642 (1 + (1- 26.5%) (14.49%))
0.806
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.81
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (0.806 * 5.96%)
6.75%

Discounted Cash Flow Calculation for TSX:IFC using Excess Returns Model Model

The calculations below outline how an intrinsic value for Intact Financial is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

TSX:IFC Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (14.2% – 6.75%) * CA$56.44)
CA$4.20
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= CA$4.20 / (6.75% - 1.95%)
CA$87.40
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= CA$56.44 + CA$87.40
CA$143.85
TSX:IFC Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$143.85
Current discount Discount to share price of CA$109.51
= -1 x (CA$109.51 - CA$143.85) / CA$143.85
23.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Intact Financial is available for.
Intrinsic value
24%
Share price is CA$109.51 vs Future cash flow value of CA$143.85
Current Discount Checks
For Intact Financial to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Intact Financial's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Intact Financial's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Intact Financial's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Intact Financial's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:IFC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CAD CA$4.79
TSX:IFC Share Price ** TSX (2019-03-19) in CAD CA$109.51
Canada Insurance Industry PE Ratio Median Figure of 11 Publicly-Listed Insurance Companies 11.01x
Canada Market PE Ratio Median Figure of 542 Publicly-Listed Companies 14.83x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Intact Financial.

TSX:IFC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:IFC Share Price ÷ EPS (both in CAD)

= 109.51 ÷ 4.79

22.85x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Intact Financial is overvalued based on earnings compared to the CA Insurance industry average.
  • Intact Financial is overvalued based on earnings compared to the Canada market.
Price based on expected Growth
Does Intact Financial's expected growth come at a high price?
Raw Data
TSX:IFC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.85x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
16.3%per year
Canada Insurance Industry PEG Ratio Median Figure of 9 Publicly-Listed Insurance Companies 1.33x
Canada Market PEG Ratio Median Figure of 252 Publicly-Listed Companies 1.21x

*Line of best fit is calculated by linear regression .

TSX:IFC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.85x ÷ 16.3%

1.4x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Intact Financial is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Intact Financial's assets?
Raw Data
TSX:IFC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CAD CA$48.73
TSX:IFC Share Price * TSX (2019-03-19) in CAD CA$109.51
Canada Insurance Industry PB Ratio Median Figure of 14 Publicly-Listed Insurance Companies 1.1x
Canada Market PB Ratio Median Figure of 2,347 Publicly-Listed Companies 1.56x
TSX:IFC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:IFC Share Price ÷ Book Value per Share (both in CAD)

= 109.51 ÷ 48.73

2.25x

* Primary Listing of Intact Financial.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Intact Financial is overvalued based on assets compared to the CA Insurance industry average.
X
Value checks
We assess Intact Financial's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Intact Financial has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Intact Financial expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Intact Financial expected to grow at an attractive rate?
  • Intact Financial's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • Intact Financial's earnings growth is positive but not above the Canada market average.
  • Intact Financial's revenues are expected to decrease over the next 1-3 years, this is below the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:IFC Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:IFC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 16.3%
TSX:IFC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts -0.4%
Canada Insurance Industry Earnings Growth Rate Market Cap Weighted Average 11.9%
Canada Insurance Industry Revenue Growth Rate Market Cap Weighted Average 7.5%
Canada Market Earnings Growth Rate Market Cap Weighted Average 17.9%
Canada Market Revenue Growth Rate Market Cap Weighted Average 6.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:IFC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:IFC Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,081
2020-12-31 10,458 1,017 9
2019-12-31 10,015 949 9
TSX:IFC Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2018-12-31 10,590 833 667
2018-09-30 10,416 645 656
2018-06-30 9,937 515 633
2018-03-31 9,558 551 719
2017-12-31 9,245 781 765
2017-09-30 8,733 911 710
2017-06-30 8,777 996 666
2017-03-31 8,683 928 515
2016-12-31 8,507 925 521
2016-09-30 8,436 1,012 547
2016-06-30 8,245 924 553
2016-03-31 8,111 920 659

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Intact Financial's earnings are expected to grow by 16.3% yearly, however this is not considered high growth (20% yearly).
  • Intact Financial's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:IFC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Intact Financial Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:IFC Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 7.76 7.76 7.76 1.00
2020-12-31 7.53 8.71 6.65 9.00
2019-12-31 7.00 8.02 6.18 9.00
TSX:IFC Past Financials Data
Date (Data in CAD Millions) EPS *
2018-12-31 4.79
2018-09-30 4.71
2018-06-30 4.61
2018-03-31 5.32
2017-12-31 5.75
2017-09-30 5.42
2017-06-30 5.08
2017-03-31 3.93
2016-12-31 3.97
2016-09-30 4.16
2016-06-30 4.21
2016-03-31 5.01

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Intact Financial is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Intact Financial's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Intact Financial has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Intact Financial performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Intact Financial's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Intact Financial's year on year earnings growth rate has been positive over the past 5 years.
  • Intact Financial's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Intact Financial's 1-year earnings growth is negative, it can't be compared to the CA Insurance industry average.
Earnings and Revenue History
Intact Financial's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Intact Financial Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:IFC Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 10,590.00 667.00
2018-09-30 10,416.00 656.00
2018-06-30 9,937.00 633.00
2018-03-31 9,558.00 719.00
2017-12-31 9,245.00 765.00
2017-09-30 8,733.00 710.00
2017-06-30 8,777.00 666.00
2017-03-31 8,683.00 515.00
2016-12-31 8,507.00 521.00
2016-09-30 8,436.00 547.00
2016-06-30 8,245.00 553.00
2016-03-31 8,111.00 659.00
2015-12-31 8,099.00 685.00
2015-09-30 8,055.00 692.00
2015-06-30 8,034.00 763.00
2015-03-31 8,028.00 779.00
2014-12-31 7,980.00 761.00
2014-09-30 7,961.00 663.00 0.00
2014-06-30 7,856.00 508.00 3.00
2014-03-31 7,617.00 396.00 13.00
2013-12-31 7,476.00 410.00 18.00
2013-09-30 7,376.00 480.00 21.00
2013-06-30 7,261.00 525.00 36.00
2013-03-31 7,217.00 551.00 22.00
2012-12-31 7,096.00 550.00 24.00
2012-09-30 6,947.00 449.00 22.00
2012-06-30 6,486.00 461.00 19.00
2012-03-31 6,014.00 460.00 27.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Intact Financial has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Intact Financial used its assets more efficiently than the CA Insurance industry average last year based on Return on Assets.
  • Intact Financial has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Intact Financial's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Intact Financial has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Intact Financial's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Intact Financial's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Intact Financial's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Intact Financial's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Intact Financial's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Intact Financial Company Filings, last reported 2 months ago.

TSX:IFC Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 7,810.00 2,209.00 461.00
2018-09-30 7,886.00 2,189.00 491.00
2018-06-30 7,798.00 2,266.00 351.00
2018-03-31 7,370.00 2,248.00 240.00
2017-12-31 7,463.00 2,241.00 380.00
2017-09-30 7,264.00 2,389.00 518.00
2017-06-30 6,158.00 1,815.00 155.00
2017-03-31 6,141.00 1,393.00 88.00
2016-12-31 6,088.00 1,393.00 168.00
2016-09-30 5,926.00 1,392.00 137.00
2016-06-30 5,811.00 1,393.00 174.00
2016-03-31 5,750.00 1,392.00 221.00
2015-12-31 5,724.00 1,143.00 141.00
2015-09-30 5,467.00 1,143.00 185.00
2015-06-30 5,650.00 1,143.00 376.00
2015-03-31 5,613.00 1,143.00 187.00
2014-12-31 5,455.00 1,143.00 89.00
2014-09-30 5,283.00 1,143.00 85.00
2014-06-30 5,263.00 1,143.00 270.00
2014-03-31 5,067.00 1,143.00 179.00
2013-12-31 4,954.00 1,143.00 99.00
2013-09-30 4,863.00 1,143.00 481.00
2013-06-30 4,864.00 1,143.00 196.00
2013-03-31 5,043.00 1,143.00 78.00
2012-12-31 4,893.00 1,143.00 388.00
2012-09-30 4,730.00 1,143.00 621.00
2012-06-30 4,414.00 1,092.00 579.00
2012-03-31 4,428.00 1,044.00 391.00
  • Intact Financial's level of debt (28.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (23.1% vs 28.3% today).
  • Debt is well covered by operating cash flow (37.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 9.8x coverage).
X
Financial health checks
We assess Intact Financial's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Intact Financial has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Intact Financial's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.78%
Current annual income from Intact Financial dividends. Estimated to be 2.92% next year.
If you bought CA$2,000 of Intact Financial shares you are expected to receive CA$56 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Intact Financial's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.09%).
  • Intact Financial's dividend is below the markets top 25% of dividend payers in Canada (5.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:IFC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
Canada Insurance Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 4.1%
Canada Market Average Dividend Yield Market Cap Weighted Average of 330 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.1%
Canada Bottom 25% Dividend Yield 25th Percentile 2.1%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:IFC Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 3.44 1.00
2020-12-31 3.31 9.00
2019-12-31 3.06 9.00
TSX:IFC Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2019-02-05 3.040 2.769
2018-07-31 2.800 2.718
2018-02-06 2.800 2.899
2017-11-07 2.560 2.448
2017-05-02 2.560 2.605
2017-02-08 2.560 2.702
2016-11-02 2.320 2.467
2016-07-27 2.320 2.483
2016-05-04 2.320 2.572
2016-02-10 2.320 2.605
2015-11-09 2.120 2.443
2015-11-04 2.120 2.371
2015-05-06 2.120 2.332
2014-11-05 1.920 2.213
2014-07-30 1.920 2.619
2014-05-07 1.920 2.653
2014-02-05 1.920 2.818
2013-07-31 1.760 2.708
2013-02-06 1.760 2.861
2012-11-07 1.600 2.490
2012-08-01 1.600 2.658
2012-05-01 1.600 2.546
2012-02-08 1.600 2.649
2011-11-02 1.480 2.551
2011-08-04 1.480 2.687
2011-05-04 1.480 2.757
2011-02-09 1.480 2.995
2010-11-03 1.360 2.743
2010-08-05 1.360 3.024
2010-05-05 1.360 2.993
2010-02-17 1.360 3.133
2009-11-11 1.280 3.461
2009-08-12 1.280 3.813
2009-05-13 1.280 3.719
2009-03-20 1.280 3.645

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Intact Financial's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
X
Income/ dividend checks
We assess Intact Financial's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Intact Financial afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Intact Financial has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Intact Financial's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Charles Brindamour
COMPENSATION CA$7,786,010
AGE 48
TENURE AS CEO 11.2 years
CEO Bio

Mr. Charles Brindamour, B.Sc., has been the Chief Executive Officer at Intact Financial Corporation (also known as, ING Canada Inc) since January 1, 2008. Mr. Brindamour is a Co-founder of Gibraltar Ventures. He served as the President of Intact Financial Corporation from January 1, 2008 to September 2011. He served as the Chief Executive Officer and President of Tangerine Bank (also known as, ING Bank of Canada) since January 2008. Mr. Brindamour served as the Chief Operating Officer of Intact Financial from January 16, 2007 to January 2008. Mr. Brindamour served as the Chief Operating Officer of Tangerine Bank since January 2007 until January 2008 and was In Charge of Intact Financial's personal lines, commercial lines and claims divisions in addition to planning and corporate development since May 2004. He served as an Executive Vice President of Intact Financial since May 2004. He served as the Senior Vice President of Personal Lines for Intact from October 2001 to May 2004 and as its Vice President of Finance from September 1999 to October 2001. For over 12 years, he has occupied several senior and executive positions within ING group of companies where he led the company’s acquisition, strategic planning and capital management functions. Mr. Brindamour began his career with Intact in 1992 as an actuary and held over the years a number of progressive management positions. He also served in management and executive roles in Europe with ING Groep, Intact’s former majority shareholder. He has been a Director at Intact Financial Corporation since January 1, 2008. He was an Independent Director of Hydro One Limited since August 31, 2015 until July 2018 and Hydro One Inc. since July 17, 2015 until July 2018. He serves as Interim Chairman of The Geneva Association. He serves as Member of Advisory Board at Gibraltar Growth Corporation and Gibraltar Ventures. He has been an Associate of the Casualty Actuarial Society since 1995. Mr. Brindamour is a Director of The Geneva Association, the Business Council of Canada, the C.D. Howe Institute, Insurance Bureau of Canada and Branksome Hall. He is also a member of the Advisory Committee of the University of Waterloo’s Climate Change Adaptation Project. Mr. Brindamour is a Member of the Campaign Cabinet of the CHU Sainte-Justine, Co-Chair of the Grande Campagne de financement de l’Universite Laval and was a member of the Campaign Cabinet of the United Way of Greater Toronto, where he chaired a number of insurance industry campaigns. Mr. Brindamour holds a Bachelor of Actuarial Science from Laval University (Quebec) in 1992. His Areas of Expertise include Business Transformation, Capital Markets, Consumer, Large Company Senior Executive, Risk Management.

CEO Compensation
  • Charles's compensation has been consistent with company performance over the past year.
  • Charles's remuneration is about average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Intact Financial management team in years:

4
Average Tenure
  • The tenure for the Intact Financial management team is about average.
Management Team

Charles Brindamour

TITLE
CEO & Director
COMPENSATION
CA$8M
AGE
48
TENURE
11.2 yrs

Louis Marcotte

TITLE
Senior VP & CFO
COMPENSATION
CA$1M
TENURE
5.3 yrs

Louis Gagnon

TITLE
President of Canadian Operations
COMPENSATION
CA$2M
TENURE
5.3 yrs

Mike Miller

TITLE
President of U.S. & Specialty Solutions
COMPENSATION
CA$26M
AGE
59
TENURE
1.5 yrs

Mathieu Lamy

TITLE
Executive VP & COO
TENURE
1.2 yrs

David Tremblay

TITLE
Deputy Senior VP & Chief Investment Officer
TENURE
5.2 yrs

Ken Anderson

TITLE
VP of Investor Relations & Treasurer
TENURE
2.2 yrs

Frédéric Cotnoir

TITLE
Senior VP of Corporate & Legal Services and Secretary
TENURE
2.8 yrs

Anne Fortin

TITLE
Senior VP of Direct Distribution & Chief Marketing Officer
TENURE
6.2 yrs

Carla Smith

TITLE
Senior Vice President of Corporate Development
TENURE
1.8 yrs
Board of Directors Tenure

Average tenure and age of the Intact Financial board of directors in years:

10.5
Average Tenure
63
Average Age
  • The average tenure for the Intact Financial board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Claude Dussault

TITLE
Chairman of the Board
COMPENSATION
CA$365K
AGE
64
TENURE
11.2 yrs

Charles Brindamour

TITLE
CEO & Director
COMPENSATION
CA$8M
AGE
48
TENURE
11.2 yrs

Carol Stephenson

TITLE
Independent Director
COMPENSATION
CA$202K
AGE
67
TENURE
14.3 yrs

Eileen Mercier

TITLE
Independent Director
COMPENSATION
CA$212K
AGE
71
TENURE
14.3 yrs

Bob Crispin

TITLE
Independent Director
COMPENSATION
CA$240K
AGE
72
TENURE
14.4 yrs

Tim Penner

TITLE
Independent Director
COMPENSATION
CA$208K
AGE
62
TENURE
8.8 yrs

Steve Snyder

TITLE
Independent Director
COMPENSATION
CA$199K
AGE
69
TENURE
9.8 yrs

Fred Singer

TITLE
Independent Director
COMPENSATION
CA$200K
AGE
55
TENURE
5.8 yrs

Janet De Silva

TITLE
Independent Director
COMPENSATION
CA$196K
AGE
58
TENURE
5.8 yrs

Rob Leary

TITLE
Independent Director
COMPENSATION
CA$200K
AGE
57
TENURE
3.8 yrs
Who owns this company?
Recent Insider Trading
  • Intact Financial insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
11. Feb 19 Sell Mark Tullis Individual 08. Feb 19 08. Feb 19 -5,000 CA$113.15 CA$-564,910
20. Dec 18 Buy William Young Individual 19. Dec 18 19. Dec 18 500 CA$99.63 CA$49,811
13. Dec 18 Sell Mark Tullis Individual 07. Dec 18 07. Dec 18 -3,400 CA$102.02 CA$-345,059
07. Dec 18 Sell Mark Tullis Individual 05. Dec 18 06. Dec 18 -6,600 CA$103.49 CA$-671,998
03. Dec 18 Buy William Young Individual 30. Nov 18 30. Nov 18 7,700 CA$105.72 CA$809,177
06. Sep 18 Sell Mark Tullis Individual 04. Sep 18 04. Sep 18 -3,400 CA$102.85 CA$-348,831
04. Sep 18 Sell Mark Tullis Individual 31. Aug 18 31. Aug 18 -3,300 CA$103.39 CA$-340,221
31. Aug 18 Sell Mark Tullis Individual 30. Aug 18 30. Aug 18 -3,300 CA$103.74 CA$-341,578
17. Aug 18 Sell Lucie Martel Individual 15. Aug 18 15. Aug 18 -1,430 CA$105.14 CA$-150,347
15. Jun 18 Sell Mark Tullis Individual 08. Mar 18 11. Jun 18 -3,500 CA$99.25 CA$-333,440
12. Jun 18 Sell Mark Tullis Individual 08. Jun 18 08. Jun 18 -3,300 CA$95.14 CA$-313,343
17. May 18 Sell Mark Tullis Individual 14. May 18 14. May 18 -5,000 CA$95.54 CA$-477,551
11. May 18 Buy Robert Leary Individual 11. May 18 11. May 18 2,645 CA$96.23 CA$254,528
X
Management checks
We assess Intact Financial's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Intact Financial has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

How Many Insiders Sold Intact Financial Corporation (TSE:IFC) Shares?

So before you buy or sell Intact Financial Corporation (TSE:IFC), you may well want to know whether insiders have been buying or selling. … In any event it's generally a positive if insiders are buying shares at around the current price. … Over the last year we saw more insider selling of Intact Financial shares, than buying.

Simply Wall St -

What Did Intact Financial Corporation's (TSE:IFC) CEO Take Home Last Year?

This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … According to our data, Intact Financial Corporation has a market capitalization of CA$15b, and pays its CEO total annual compensation worth CA$7.8m. … While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CA$1.2m.

Simply Wall St -

Intact Financial Corporation (TSE:IFC): Are Analysts Bullish?

Want to participate in a short research study? … Help shape the future of investing tools and receive a $20 prize! … Intact Financial Corporation's (TSE:IFC) announced its latest earnings update in December 2018, which

Simply Wall St -

Should Intact Financial Corporation (TSE:IFC) Be Part Of Your Dividend Portfolio?

There is a lot to be liked about Intact Financial Corporation (TSE:IFC) as an income stock. … Does Intact Financial tick all the boxes of a great dividend stock? … See our latest analysis for Intact Financial

Simply Wall St -

What Value Should You Place On Intact Financial Corporation (TSE:IFC)?

Valuing IFC, an insurance stock, can be daunting since these financial firms generally have cash flows that are impacted by regulations that are not imposed upon other industries. … For example, insurance companies are required to hold more capital to reduce the risk to shareholders.

Simply Wall St -

Is Intact Financial Corporation's (TSE:IFC) 8.8% ROE Strong Compared To Its Industry?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of Intact Financial Corporation (TSE:IFC). … One way to conceptualize this, is that for each CA$1 of shareholders' equity it has, the company made CA$0.088 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

A Spotlight On Intact Financial Corporation's (TSE:IFC) Fundamentals

By this I mean, I look at stocks holistically, from their financial health to their future outlook. … In the case of Intact Financial Corporation (TSE:IFC), it. … that has been able to sustain great financial health over the past

Simply Wall St -

Don't Sell Intact Financial Corporation (TSE:IFC) Before You Read This

Intact Financial has a price to earnings ratio of 20.95, based on the last twelve months. … How Do I Calculate Intact Financial's Price To Earnings Ratio … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Should You Be Worried About Insider Transactions At Intact Financial Corporation (TSE:IFC)?

So we'll take a look at whether insiders have been buying or selling shares in Intact Financial Corporation (TSE:IFC). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … That means that an insider was selling shares at around the current price of CA$103

Simply Wall St -

What Did Intact Financial Corporation's (TSE:IFC) CEO Take Home Last Year?

How Does Charles Brindamour's Compensation Compare With Similar Sized Companies. … According to our data, Intact Financial Corporation has a market capitalization of CA$15b, and pays its CEO total annual compensation worth CA$7.8m. … We took a group of companies with market capitalizations over CA$11b, and calculated the median CEO compensation to be CA$9.3m.

Simply Wall St -

Company Info

Description

Intact Financial Corporation, through its subsidiaries, provides property and casualty insurance products to individuals and businesses in Canada and the United States. It offers personal auto insurance; and insurance for motor homes, recreational vehicles, motorcycles, snowmobiles, and all-terrain vehicles. The company also offers personal property insurance, such as protection for homes and contents from risks, such as fire, theft, vandalism, water damage, and other damages, as well as personal liability coverage; and property coverage for tenants, condominium owners, non-owner occupied residences, and seasonal residences. In addition, it provides insurance products for commercial lines for a group of small and medium sized businesses; and commercial property insurance for the protection of physical assets of the business; and liability coverages, including commercial general, product, and professional liability, as well as cyber endorsement. Further, the company offers commercial vehicle insurance coverages for the protection for commercial auto, fleets, garage operations, light trucks, public vehicles, and the transportation needs of the sharing economy. Additionally, it provides specialty products for various customers or industry groups, including accident and health, technology, ocean and inland marine, public entities, and entertainment; and various products and coverages to healthcare, tuition reimbursement, surety, management liability, financial services, specialty property, environmental, and financial institutions. The company offers its products and services under the Intact Insurance, belairdirect, Brokerlink, and OneBeacon brands through a network of brokers, independent agencies, wholesalers, and managing general agencies, as well as directly to consumers. The company was formerly known as ING Canada Inc. and changed its name to Intact Financial Corporation in 2009. Intact Financial Corporation was founded in 1809 and is based in Toronto, Canada.

Details
Name: Intact Financial Corporation
IFC
Exchange: TSX
Founded: 1809
CA$15,242,547,309
139,188,634
Website: http://www.intactfc.com
Address: Intact Financial Corporation
700 University Avenue,
Suite 1500-A,
Toronto,
Ontario, M5G 0A1,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX IFC Common Shares The Toronto Stock Exchange CA CAD 10. Dec 2004
OTCPK IFCZ.F Common Shares Pink Sheets LLC US USD 10. Dec 2004
DB I5U Common Shares Deutsche Boerse AG DE EUR 10. Dec 2004
TSX IFC.PRE PFD CL A SER 5 The Toronto Stock Exchange CA CAD 24. May 2017
TSX IFC.PRG NON CUM PFD A 7 The Toronto Stock Exchange CA CAD 29. May 2018
Number of employees
Current staff
Staff numbers
13,000
Intact Financial employees.
Industry
Property and Casualty Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/19 23:53
End of day share price update: 2019/03/19 00:00
Last estimates confirmation: 2019/02/12
Last earnings filing: 2019/02/05
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.