Manulife Financial Corp's Preferred Shares Yield Over 6.5%

Manulife Financial Corp's preferred shares yield exceeds 6.5%, a notable indicator for investors. The shares are trading at a discount, hinting at potential investment interest despite being down 0.5% today.

Date: 02-01-2025

AI Rating: 6

**Earnings Per Share (EPS)**: Not mentioned in the report. **Revenue Growth**: Not mentioned in the report. **Net Income**: Not mentioned in the report. **Profit Margins (Gross, Operating, Net)**: Not mentioned in the report. **Free Cash Flow (FCF)**: Not mentioned in the report. **Return on Equity (ROE)**: Not mentioned in the report. The report focuses on the performance of Manulife Financial Corp's Non-cumulative Rate Reset Class 1 Shares Series 13. With a current yield above 6.5%, this indicates a potentially attractive investment opportunity, particularly for those seeking income from dividends. The quarterly dividend is annualized at $1.5875, and the shares are presently trading at a 2.12% discount to their liquidation preference amount. However, a critical note regarding the shares is that they are non-cumulative. This means that if a payment is missed, the company does not have the obligation to pay the missed dividends to preferred shareholders before resuming payments to common shareholders. This feature may concern potential investors, as it adds an element of risk to the preferred shares. Currently, the shares are down about 0.5% on the day, mirroring the movement in the common shares, which are down about 0.7%. This slight decline might reflect broader market sentiments or specific challenges faced by the company. Nevertheless, the yield and convertible nature of the shares could still attract investors looking for opportunities in the stock market. Therefore, while the shares might currently be down, the high yield and discount could counterbalance some of that negativity for income-focused investors, making them worthy of consideration.

Stocks: MFC