Definity Financial (TSE:DFY) Sets New 1-Year High on Strong Earnings

Definity Financial Co. (TSE:DFY)’s stock price reached a new 52-week high on Friday following a better than expected earnings announcement. The stock traded as high as C$56.73 and last traded at C$56.66, with a volume of 7639 shares. The stock had previously closed at C$55.47.

The company reported C$0.13 EPS for the quarter, beating analysts’ consensus estimates of C($0.04) by C$0.17. The business had revenue of C$1.10 billion for the quarter, compared to the consensus estimate of C$1.10 billion. Definity Financial had a return on equity of 13.00% and a net margin of 9.60%.

Definity Financial Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, December 27th. Shareholders of record on Friday, December 13th will be paid a $0.16 dividend. The ex-dividend date is Friday, December 13th. This represents a $0.64 annualized dividend and a yield of 1.17%. Definity Financial’s dividend payout ratio is presently 19.34%.

Analysts Set New Price Targets

Several research firms have recently weighed in on DFY. CIBC downgraded Definity Financial from an “outperform” rating to a “neutral” rating and increased their price objective for the company from C$47.00 to C$51.00 in a report on Tuesday, August 6th. Royal Bank of Canada increased their price target on shares of Definity Financial from C$58.00 to C$61.00 in a research note on Friday, August 2nd. Scotiabank lifted their price objective on shares of Definity Financial from C$51.00 to C$53.00 in a research note on Friday, September 20th. TD Securities upped their target price on shares of Definity Financial from C$58.00 to C$59.00 and gave the company a “hold” rating in a report on Friday. Finally, Cibc World Mkts lowered Definity Financial from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 6th. Eight research analysts have rated the stock with a hold rating and three have given a buy rating to the company’s stock. According to MarketBeat.com, Definity Financial currently has a consensus rating of “Hold” and an average target price of C$54.10.

Definity Financial Trading Down 1.2 %

The stock has a market cap of C$6.30 billion, a price-to-earnings ratio of 16.56, a PEG ratio of 2.63 and a beta of 0.04. The business has a fifty day simple moving average of C$53.04 and a 200 day simple moving average of C$48.33. The company has a debt-to-equity ratio of 6.38, a quick ratio of 0.31 and a current ratio of 7.68.

About Definity Financial

Definity Financial Corporation, together with its subsidiaries, offers property and casualty insurance products in Canada. It provides personal insurance products, including auto, property, general and umbrella liability, and pet insurance products to individuals under the Economical, Sonnet, Family, Petsecure, and Peppermint brands; and commercial insurance products, which include fleet, commercial auto, property, liability, and specialty insurance products to businesses under the Definity Insurance and Economical brand name.