Here’s our Pick of the Month

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INTACT FINANCIAL $91.99 (Toronto symbol IFC; TSINetwork Rating: Speculative) (416-341-1464; www.intactfc.com; Shares outstanding: 131.2 million; Market cap: $12.1 billion; Dividend yield: 2.5%) is Canada’s largest provider of property and casualty insurance. Its brands include Intact Insurance, Canada BrokerLink and belairdirect. In the three months ended June 30, 2016, Intact’s revenue rose 2.8%, to $1.96 billion from $1.88 billion a year earlier. Earnings per share fell 46.8%, to $0.83 from $1.56. However, the latest quarter includes a $0.97-a-share loss from claims associated with the wildfires at Fort McMurray, Alberta. Without that loss, per-share earnings rose 15.4%, to $1.80 from $1.56. Again excluding the wildfires, the company reported a combined ratio, the claims paid out divided by the premiums taken in (the lower, the better), of 90.4%. That’s below the 91.6% of a year earlier. Premium growth across Canada offset a slowdown in Alberta. As a result, revenue improved for all of the company’s main insurance lines. Intact also continues to cut…