Wall Street analyst has provided a rating update for the Financial sector company yesterday, while remaining neutral on the stock. Analyst Scott Chan CFA from Canaccord Genuity rated Sun Life Financial (TSX: SLF) a Hold, setting a C$58 price target.
Chan CFA said:
“We consider these a decent set of earnings overall, with a 14% underlying and solid YoY growth in BVPS. YoY deterioration in SLF Canada’s underlying earnings dampen what may have otherwise been a good set of results. This came mostly from lower new business gains in and unfavorable credit experience. SLF Asset management saw a 9% increase in underlying earnings, thanks mostly to a lower tax rate and higher AuM. However, ~$15B in net outflows during the quarter (up from ~$5B in Q1) gives us cause for concern that the current operating margin may come under pressure. Sun Life Assurance’s LICAT ratio was 134% (effectively up 2pp QoQ) reflecting organic capital generation and leaves the group very well capitalized with a low leverage ratio (21.8%).”
According to TipRanks.com, CFA is ranked #2846 out of 4850 analysts.
Currently, the analyst consensus on Sun Life Financial is a Moderate Buy with an average price target of C$60.75.
The company has a one-year high of C$56.09 and a one-year low of C$46.19. Currently, Sun Life Financial has an average volume of 1.03M.
Sun Life Financial, Inc. is a holding company, which engages in the provision of diversified financial services. It operates its business through its segments: Sun Life Financial Canada, Sun Life Financial United States, Sun Life Financial Asset Management, Sun Life Financial Asia, and Corporate.
The company’s shares closed on Wednesday at C$51.90.
