Comparing Intact Financial (IFCZF) and Its Rivals

Intact Financial (OTCMKTS:IFCZF) is one of 316 publicly-traded companies in the “Insurance” industry, but how does it contrast to its competitors? We will compare Intact Financial to similar businesses based on the strength of its valuation, earnings, analyst recommendations, institutional ownership, dividends, risk and profitability.

Dividends

Intact Financial pays an annual dividend of $4.19 per share and has a dividend yield of 2.2%. Intact Financial pays out 32.2% of its earnings in the form of a dividend. As a group, “Insurance” companies pay a dividend yield of 3.0% and pay out 29.8% of their earnings in the form of a dividend. Intact Financial lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Earnings and Valuation

This table compares Intact Financial and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Intact Financial	$20.46 billion	$2.41 billion	14.83
Intact Financial Competitors	$15.71 billion	$1.69 billion	33.96

Intact Financial has higher revenue and earnings than its competitors. Intact Financial is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of recent ratings and price targets for Intact Financial and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intact Financial	0	2	5	0	2.71
Intact Financial Competitors	3234	15322	16128	685	2.40

As a group, “Insurance” companies have a potential upside of 7.40%. Given Intact Financial’s competitors higher possible upside, analysts clearly believe Intact Financial has less favorable growth aspects than its competitors.

Profitability

This table compares Intact Financial and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intact Financial	11.45%	16.95%	5.09%
Intact Financial Competitors	10.29%	11.05%	4.11%

Institutional & Insider Ownership

55.7% of shares of all “Insurance” companies are held by institutional investors. 13.9% of shares of all “Insurance” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Intact Financial Company Profile

Intact Financial Corporation, through its subsidiaries, provides property and casualty insurance products to individuals and businesses in Canada, the United States, the United Kingdom, and internationally. The company offers insurance, such as personal auto which provides coverage from accidents, third party liability, and physical damage; personal property which provides protection for homes and contents from risks, including fire, theft, vandalism, water damages, other damages, and personal liability; and commercial line and specialty line insurance which provides commercial auto, property, and liability coverages. It also provides pet and business insurance, as well as provides risk management solutions. The company serves its products to accident and health, technology, ocean and inland marine, builder's risk, and entertainment, as well as financial services and institutions; and various products to specialty property, surety, tuition reimbursement, management liability, and cyber and environmental institutions. It offers specialty insurance products including travel insurance, brokers, direct to consumer, agencies, wholesalers, affinity group, Intact Prestige, and managing general agent platform. 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.