MetLife (MET) & Manulife Financial Corp (MFC) Head to Head Analysis
MetLife (NYSE: MET) and Manulife Financial Corp (NYSE:MFC) are both large-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, dividends, earnings, institutional ownership, risk and profitabiliy.
Valuation and Earnings
This table compares MetLife and Manulife Financial Corp’s revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||EBITDA||Earnings Per Share||Price/Earnings Ratio|
|MetLife||$63.21 billion||0.82||$496.50 million||$0.09||541.95|
|Manulife Financial Corp||$34.71 billion||1.17||$4.24 billion||$1.18||17.36|
Manulife Financial Corp has higher revenue, but lower earnings than MetLife. Manulife Financial Corp is trading at a lower price-to-earnings ratio than MetLife, indicating that it is currently the more affordable of the two stocks.
This table compares MetLife and Manulife Financial Corp’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Manulife Financial Corp||N/A||10.56%||0.58%|
Volatility and Risk
MetLife has a beta of 1.46, suggesting that its stock price is 46% more volatile than the S&P 500. Comparatively, Manulife Financial Corp has a beta of 1.3, suggesting that its stock price is 30% more volatile than the S&P 500.
Insider and Institutional Ownership
74.8% of MetLife shares are held by institutional investors. Comparatively, 48.3% of Manulife Financial Corp shares are held by institutional investors. 0.3% of MetLife shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
MetLife pays an annual dividend of $1.60 per share and has a dividend yield of 3.3%. Manulife Financial Corp pays an annual dividend of $0.60 per share and has a dividend yield of 2.9%. MetLife pays out 1,778.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Manulife Financial Corp pays out 50.8% of its earnings in the form of a dividend. MetLife has increased its dividend for 4 consecutive years and Manulife Financial Corp has increased its dividend for 3 consecutive years. MetLife is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
This is a breakdown of current ratings for MetLife and Manulife Financial Corp, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Manulife Financial Corp||0||1||6||0||2.86|
MetLife currently has a consensus price target of $59.58, suggesting a potential upside of 22.17%. Manulife Financial Corp has a consensus price target of $22.33, suggesting a potential upside of 9.05%. Given MetLife’s higher possible upside, equities research analysts clearly believe MetLife is more favorable than Manulife Financial Corp.
MetLife beats Manulife Financial Corp on 10 of the 16 factors compared between the two stocks.
MetLife Company Profile
MetLife, Inc. is a provider of life insurance, annuities, employee benefits and asset management. The Company’s segments include U.S.; Asia; Latin America; Europe, the Middle East and Africa (EMEA); MetLife Holdings; Brighthouse Financial, and Corporate & Other. Its U.S. segment is organized into Group Benefits, Retirement and Income Solutions and Property & Casualty businesses. Its Asia segment offers products, including life insurance; accident and health insurance, and retirement and savings products. Latin America offers products, including life insurance, and retirement and savings products. Life insurance includes universal, variable and term life products. EMEA offers products, including life insurance, accident and health insurance, retirement and savings products, and credit insurance. The Brighthouse Financial segment offers products and services, including variable, fixed, index-linked and income annuities, as well as variable, universal, term and whole life products.
Manulife Financial Corp Company Profile
Manulife Financial Corporation (MFC) is a holding company of The Manufacturers Life Insurance Company (MLI), which is a life insurance company, and John Hancock Reassurance Company Ltd. (JHRECO), which is a reinsurance company. The Company operates as a financial services company with principal operations in Asia, Canada and the United States. The Company’s segments include Asia Division, Canadian Division, U.S. Division, and the Corporate and Other. The Company operates as Manulife in Canada and Asia and primarily as John Hancock in the United States. The product and service offerings under its Asia, Canadian and U.S. Divisions include Protection, Wealth and Asset Management, and Other Wealth. The Corporate and Other segment includes external asset management business, Property and Casualty (P&C) Reinsurance Business, and run-off reinsurance operations, including variable annuities, and accident and health.
Receive News & Ratings for MetLife Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for MetLife Inc. and related companies with MarketBeat.com's FREE daily email newsletter.