Intact is the leading Canadian provider of car, home and business insurance. Intact operates three brands:
- Intact Insurance, focused on broker-sold insurance
- Belairedirect, focused on direct insurance sales by phone or online
- Grey Power, focused on drivers over 50 years of age
In 2011 Intact bought AXA Canada, which it rolled into its Intact Insurance line.
- The P/E Ratio is 11.89, which is lower than the historical average of 13.00, and the Graham Number is $63.80
- The Dividend Yield is 3.00%, and the coverage is 280%
- Forecast Growth Rate is 11.88%
- The Gordon Return (Dividend + Growth) is 14.88%
- The Margin of Safety at current prices is -4%, which is low due to the low book value of $36.70. The P/B RATIO IS 1.6. However, I think that the relatively rich P/B Ratio is justified by the strong growth forecasts.
I would have preferred the price to be a little nearer to book value, but I think the stock is well priced here.
- Buy IFC.TO @ $58.60