13:17:50 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Industrial Alliance Insurance and Financial Services Inc
Symbol IAG
Shares Issued 101,455,284
Close 2015-08-13 C$ 43.07
Market Cap C$ 4,369,679,082
Recent Sedar Documents

Globe says NexGen hikes position in Industrial Alliance

2015-08-14 08:16 ET - In the News

Also In the News (C-MFC) Manulife Financial Corp
Also In the News (C-SLF) Sun Life Financial Inc

The Globe and Mail reports in its Friday, Aug. 14, edition that NexGen Financial's Jeff Young likes Industrial Alliance Insurance and Financial Services ($43.07). The Globe's Tim Shufelt writes that Mr. Young says he is a bit off theme with his call on Industrial. Mr. Young says, "Its revenue comes from Canada, and investors are looking more for presence outside of Canada." While being domestically concentrated is a knock against Industrial, the discount investors have applied to its stock is excessive, says Mr. Young. The persistence of low interest rates have weighed on the sector as a whole, which is one of the few positively exposed to rising rates, as insurers derive profits from reinvesting insurance premiums. Sun Life Financial and Manulife Financial have revenues denominated in non-Canadian currencies helping them out. Betting on those stocks, however, is a "pretty crowded trade," says Mr. Young. Both trade at about 12.5 times forward earnings. Industrial, by contrast, trades at 10.3 times. Mr. Young says, "It's a stock we've followed and not bought on valuation, but now it's heading back to the lower end of its range." He added to his position on July 23 at $40.67.

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