TSX:IFC - Post Discussion
Post by
retiredcf on Mar 06, 2021 6:33am
Top Pick
Last stock in the clip. He also owns it personally as well as in his fund. GLTA
https://www.bnnbloomberg.ca/brian-madden-s-top-picks-march-5-2021-1.1572990
Intact Financial (IFC TSX) latest purchase Mar, 2021 @ $147.30
With a 17 per cent market share, Intact Financial is the largest property and casualty insurer in Canada. Intact underwrites auto, home, commercial and specialty insurance policies and is best known for the efficiency of its operations and its consistent underwriting profitability which enables them to target a return on equity five per cent higher than its rivals and which currently stands at 18 per cent.
As a consolidator of the fragmented insurance market, Intact has grown earnings at a 13 per cent compound rate over the last five years and their pending $12B transformational acquisition of RSA Insurance will add a further five per cent to their domestic market share while putting them immediately on the map in the U.K. Long term macroeconomic forces like climate change and rising property values advantage Intact through higher policy premiums on higher insured property values and over the medium term a “hardening” (i.e. premiums are rising steadily) property and casualty insurance market is providing a significant tailwind to their financial results.
TOP PICK
Intact Financial
(IFC-T)
March 5, 2021
Dominant property and casualty insurer with 17% market share in home, auto, commercial and specialty lines. They are going through a $12B acquisition that will give them a presence in the UK. Longer-term forces like climate change and rising property values give them higher premiums and higher insured values. There is a hardening market in their insurance space. (Analysts’ price target is $181.78)
Brian Madden
Price
$149.600
Owned
Yes
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