| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 2/6 |
| Past Performance | 5/6 |
| Financial Health | 5/6 |
| Dividends | 6/6 |
SLF Stock Overview
Sun Life Financial Inc., a financial services company, provides insurance, wealth, and asset management solutions to individuals and corporate clients worldwide.
Rewards
Risk Analysis
SLF passed our risk checks.
Sun Life Financial Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | CA$56.88 |
| 52 Week High | CA$58.16 |
| 52 Week Low | CA$45.84 |
| Beta | 0.99 |
| 1 Month Change | 6.02% |
| 3 Month Change | -0.28% |
| 1 Year Change | 17.40% |
| 3 Year Change | 59.69% |
| 5 Year Change | 42.99% |
| Change since IPO | 506.72% |
Recent News & Updates
Sun Life Financial: Expanding The U.S. Platform With Dentaquest Acquisition
Sun Life Financial is acquiring DentaQuest, the second-largest US-based provider of dental benefits for c. $2.5 billion. The deal represents a compelling growth opportunity for the company, allowing it to gain a solid foothold in the dental insurance business. While the implied transaction multiple is pricey, the earnings accretion potential remains intact and should further enhance the book value premium.
Shareholder Returns
| SLF | US Insurance | US Market | |
|---|---|---|---|
| 7D | -1.2% | -3.1% | -4.6% |
| 1Y | 17.4% | 18.8% | 7.7% |
Return vs Industry: SLF underperformed the US Insurance industry which returned 18.8% over the past year.
Return vs Market: SLF exceeded the US Market which returned 7.7% over the past year.
Price Volatility
| SLF volatility | |
|---|---|
| SLF Average Weekly Movement | 1.9% |
| Insurance Industry Average Movement | 4.2% |
| Market Average Movement | 6.6% |
| 10% most volatile stocks in US Market | 15.7% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: SLF is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: SLF's weekly volatility (2%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1871 | 23,816 | Kevin Strain | https://www.sunlife.com |
Sun Life Financial Inc., a financial services company, provides insurance, wealth, and asset management solutions to individuals and corporate clients worldwide. It offers term and permanent life, as well as health, dental, critical illness, long-term care, and disability insurance products. The company also provides reinsurance products; investment counselling and portfolio management services; mutual funds and segregated funds; trust and banking services; real estate property brokerage and appraisal services; and merchant banking services.
Sun Life Financial Fundamentals Summary
| SLF fundamental statistics | |
|---|---|
| Market Cap | CA$41.73b |
| Earnings (TTM) | CA$3.60b |
| Revenue (TTM) | CA$34.34b |
11.6x
P/E Ratio1.2x
P/S RatioIs SLF overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| SLF income statement (TTM) | |
|---|---|
| Revenue | CA$34.34b |
| Cost of Revenue | CA$23.39b |
| Gross Profit | CA$10.95b |
| Expenses | CA$7.35b |
| Earnings | CA$3.60b |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Feb 09, 2022
| Earnings per share (EPS) | 6.14 |
| Gross Margin | 31.90% |
| Net Profit Margin | 10.48% |
| Debt/Equity Ratio | 20.0% |
How did SLF perform over the long term?
See historical performance and comparisonDividends
3.7%
Current Dividend Yield36%
Payout RatioValuation
Is Sun Life Financial undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SLF ($56.88) is trading below our estimate of fair value ($115.77)
Significantly Below Fair Value: SLF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SLF is poor value based on its PE Ratio (11.6x) compared to the US Insurance industry average (11.1x).
PE vs Market: SLF is good value based on its PE Ratio (11.6x) compared to the US market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: SLF is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: SLF is overvalued based on its PB Ratio (1.7x) compared to the US Insurance industry average (1.1x).
Future Growth
How is Sun Life Financial forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
6.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SLF's forecast earnings growth (6% per year) is above the savings rate (2%).
Earnings vs Market: SLF's earnings (6% per year) are forecast to grow slower than the US market (13.1% per year).
High Growth Earnings: SLF's earnings are forecast to grow, but not significantly.
Revenue vs Market: SLF's revenue (9.3% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: SLF's revenue (9.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SLF's Return on Equity is forecast to be low in 3 years time (15.4%).
Past Performance
How has Sun Life Financial performed over the past 5 years?
4.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SLF has high quality earnings.
Growing Profit Margin: SLF's current net profit margins (10.5%) are higher than last year (5.9%).
Past Earnings Growth Analysis
Earnings Trend: SLF's earnings have grown by 4.9% per year over the past 5 years.
Accelerating Growth: SLF's earnings growth over the past year (51.3%) exceeds its 5-year average (4.9% per year).
Earnings vs Industry: SLF earnings growth over the past year (51.3%) exceeded the Insurance industry 39.8%.
Return on Equity
High ROE: SLF's Return on Equity (13.4%) is considered low.
Financial Health
How is Sun Life Financial's financial position?
Financial Position Analysis
Short Term Liabilities: SLF's short term assets (CA$102.0B) exceed its short term liabilities (CA$92.0M).
Long Term Liabilities: SLF's short term assets (CA$102.0B) do not cover its long term liabilities (CA$303.6B).
Debt to Equity History and Analysis
Debt Level: SLF has more cash than its total debt.
Reducing Debt: SLF's debt to equity ratio has reduced from 29% to 20% over the past 5 years.
Debt Coverage: SLF's debt is well covered by operating cash flow (23.6%).
Interest Coverage: SLF's interest payments on its debt are well covered by EBIT (14.3x coverage).
Balance Sheet
Dividend
What is Sun Life Financial current dividend yield, its reliability and sustainability?
3.71%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SLF's dividend (3.71%) is higher than the bottom 25% of dividend payers in the US market (1.34%).
High Dividend: SLF's dividend (3.71%) is in the top 25% of dividend payers in the US market (3.49%)
Stability and Growth of Payments
Stable Dividend: SLF's dividends per share have been stable in the past 10 years.
Growing Dividend: SLF's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (35.8%), SLF's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SLF's dividends in 3 years are forecast to be covered by earnings (51.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.6yrs
Average management tenure
CEO
Kevin Strain (55 yo)
0.92
Tenure
CA$4,535,752
Compensation
Mr. Kevin David Strain, CPA, CA, has been President and Director at Sun Life Financial Inc. since February 15, 2021 and serves as Chief Executive Officer since August 6, 2021. Mr. Strain serves as a Direct...
CEO Compensation Analysis
Compensation vs Market: Kevin's total compensation ($USD3.64M) is below average for companies of similar size in the US market ($USD11.31M).
Compensation vs Earnings: Kevin's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: SLF's management team is considered experienced (3.6 years average tenure).
Board Members
Experienced Board: SLF's board of directors are considered experienced (5.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SLF insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Sun Life Financial Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Sun Life Financial Inc.
- Ticker: SLF
- Exchange: NYSE
- Founded: 1871
- Industry: Life and Health Insurance
- Sector: Insurance
- Implied Market Cap: CA$41.731b
- Listing Market Cap: CA$33.476b
- Shares outstanding: 586.03m
- Website: https://www.sunlife.com
Number of Employees
Location
- Sun Life Financial Inc.
- 1 York Street
- Toronto
- Ontario
- M5J 0B6
- Canada
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/20 23:57 |
| End of Day Share Price | 2022/01/20 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2020/12/31 |
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.