Manulife Financial Price To Earning vs. Current Valuation

MFC-PL Preferred Stock  CAD 22.75  0.07  0.31%   
Taking into consideration Manulife Financial's profitability measurements, Manulife Financial Corp may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Manulife Financial's ability to earn profits and add value for shareholders.
For Manulife Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Manulife Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Manulife Financial Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Manulife Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Manulife Financial Corp over time as well as its relative position and ranking within its peers.
  
Check out Correlation Analysis.
Please note, there is a significant difference between Manulife Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Manulife Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Manulife Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Manulife Financial Corp Current Valuation vs. Price To Earning Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Manulife Financial's current stock value. Our valuation model uses many indicators to compare Manulife Financial value to that of its competitors to determine the firm's financial worth.
Manulife Financial Corp is rated below average in price to earning category among its peers. It is rated below average in current valuation category among its peers reporting about  6,305,230,495  of Current Valuation per Price To Earning. Comparative valuation analysis is a catch-all model that can be used if you cannot value Manulife Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Manulife Financial's Preferred Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Manulife Current Valuation vs. Price To Earning

Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

Manulife Financial

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
6.04 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Manulife Financial

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
38.08 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.

Manulife Current Valuation vs Competition

Manulife Financial Corp is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Insurance - Life industry is now estimated at about (172.34 Billion). Manulife Financial adds roughly 38.08 Billion in current valuation claiming only tiny portion of equities under Insurance - Life industry.

Manulife Financial Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Manulife Financial, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Manulife Financial will eventually generate negative long term returns. The profitability progress is the general direction of Manulife Financial's change in net profit over the period of time. It can combine multiple indicators of Manulife Financial, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Manulife Financial Corporation, together with its subsidiaries, provides financial advice, insurance, and wealth and asset management solutions for individuals, groups, and institutions in Asia, Canada, and the United States. Manulife Financial Corporation was founded in 1887 and is headquartered in Toronto, Canada. MANULIFE FINANCIAL operates under Insurance - Life classification in Canada and is traded on Toronto Stock Exchange. It employs 34000 people.

Manulife Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Manulife Financial. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Manulife Financial position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Manulife Financial's important profitability drivers and their relationship over time.

Use Manulife Financial in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Manulife Financial position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Manulife Financial will appreciate offsetting losses from the drop in the long position's value.

Manulife Financial Pair Trading

Manulife Financial Corp Pair Trading Analysis

The ability to find closely correlated positions to Manulife Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Manulife Financial when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Manulife Financial - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Manulife Financial Corp to buy it.
The correlation of Manulife Financial is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Manulife Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Manulife Financial Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Manulife Financial can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Manulife Financial position

In addition to having Manulife Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Business Services Thematic Idea Now

Business Services
Business Services Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Business Services theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Business Services Theme or any other thematic opportunities.
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Other Information on Investing in Manulife Preferred Stock

To fully project Manulife Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Manulife Financial Corp at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Manulife Financial's income statement, its balance sheet, and the statement of cash flows.
Potential Manulife Financial investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Manulife Financial investors may work on each financial statement separately, they are all related. The changes in Manulife Financial's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Manulife Financial's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.