Manulife Financial (NYSE:MFC) Posts Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Manulife Financial (NYSE:MFC) (TSE:MFC) posted its earnings results on Wednesday. The financial services provider reported $0.89 earnings per share for the quarter, beating analysts’ consensus estimates of $0.83 by $0.06, Zacks reports. The business had revenue of $8.78 billion for the quarter, compared to analysts’ expectations of $7.67 billion. Manulife Financial had a net margin of 9.99% and a return on equity of 16.68%. During the same quarter in the previous year, the firm posted $1.16 earnings per share.

Manulife Financial Stock Down 4.5%

NYSE MFC traded down $2.06 during trading hours on Thursday, hitting $43.93. The company’s stock had a trading volume of 2,254,519 shares, compared to its average volume of 2,131,708. Manulife Financial has a twelve month low of $32.58 and a twelve month high of $46.19. The firm has a market capitalization of $72.68 billion, a P/E ratio of 16.39 and a beta of 0.86. The stock has a fifty day moving average of $43.74 and a 200 day moving average of $40.09.

Manulife Financial Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, December 21st. Investors of record on Friday, November 20th will be issued a C$0.48 dividend. This represents a $1.94 annualized dividend and a yield of 4.4%. The ex-dividend date is Friday, November 20th. Manulife Financial’s dividend payout ratio is currently 51.49%.

Trending Headlines about Manulife Financial

Here are the key news stories impacting Manulife Financial this week:

• Positive Sentiment: Manulife reported quarterly EPS of $0.89, ahead of the $0.83 consensus, and revenue of $8.78 billion versus the $7.67 billion estimate. Core earnings rose 4% year over year to a record, according to one report. Article: Manulife Financial Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: The company announced a quarterly dividend of C$0.48 per share, equivalent to an indicated annualized yield of about 4.2%. The dividend provides ongoing income support for shareholders.
• Positive Sentiment: Manulife reported another tranche under its existing equity buyback plan. Repurchases can support demand for shares, although the update provided here does not specify the tranche size. Article: Tranche Update on Manulife’s Equity Buyback Plan
• Neutral Sentiment: Coverage was inconsistent about net income: one report said Q3 net earnings increased 6% year over year, while another reported profit fell 22%. The distinction between measures makes the underlying comparison less clear. Article: Manulife Financial Q3 Net Earnings Climbs 6% YoY, Beats Forecast Article: Manulife Q3 Profit Falls 22%; Core Earnings Rise 4%
• Negative Sentiment: Despite beating estimates, EPS was below the $1.16 reported in the prior-year quarter in the supplied earnings data, which may concern investors focused on reported year-over-year results.

Analyst Upgrades and Downgrades

A number of research analysts have commented on MFC shares. BMO Capital Markets restated an “outperform” rating on shares of Manulife Financial in a research note on Friday, August 7th. Scotiabank lowered Manulife Financial from a “sector outperform” rating to a “sector perform” rating in a research note on Tuesday, October 27th. Zacks Research upgraded Manulife Financial from a “strong sell” rating to a “hold” rating in a research note on Wednesday, September 2nd. Weiss Ratings raised Manulife Financial from a “buy (a)” rating to a “buy (a+)” rating in a report on Thursday, October 8th. Finally, Royal Bank Of Canada raised their target price on Manulife Financial from $55.00 to $67.00 and gave the stock an “outperform” rating in a research report on Friday, August 7th. Two research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Buy” and a consensus price target of $58.75.

About Manulife Financial

Manulife Financial Corporation is a Canadian financial services company headquartered in Toronto, Ontario. Founded in 1887 as The Manufacturers Life Insurance Company, Manulife has grown into a diversified provider of insurance, wealth and asset management, and retirement solutions. Its common shares trade on the New York Stock Exchange under the symbol MFC.

Manulife offers life, health, and property and casualty insurance, along with retirement products, investment solutions, financial advice, and institutional asset management services.