Sun Life Financial Inc
SLF: XTSE (CAN)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| CAD 78.00 | Kcmhs | Dxqfnhvv |
Sun Life’s Asset Management Drives Profit Growth; Insurance Results Soft
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Sun Life reported a decent third quarter with underlying EPS of CAD 1.54 roughly in line with the FactSet consensus estimate of CAD 1.53. Underlying net income was up 7%. Asset management was the star of the quarter with 23% underlying earnings growth, which is not surprising given equity market appreciation. Underwriting generally weighed on the firm’s insurance operations. Overall, there was little that would alter our long-term view of the firm, and we will maintain our fair value estimate of CAD 68.