Financial Analysis: First National Financial (FNLIF) & Its Rivals

Insider & Institutional Ownership

4.1% of First National Financial shares are held by institutional investors. Comparatively, 43.0% of shares of all “Financial Services” companies are held by institutional investors. 21.8% of shares of all “Financial Services” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

First National Financial pays an annual dividend of $1.46 per share and has a dividend yield of 4.3%. First National Financial pays out 69.6% of its earnings in the form of a dividend. As a group, “Financial Services” companies pay a dividend yield of 3.9% and pay out -103.1% of their earnings in the form of a dividend.

Profitability

This table compares First National Financial and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First National Financial	N/A	N/A	N/A
First National Financial Competitors	-405.72%	-21.94%	-5.67%

Earnings and Valuation

This table compares First National Financial and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
First National Financial	N/A	N/A	16.34
First National Financial Competitors	$6.68 billion	$1.08 billion	11.07

First National Financial’s peers have higher revenue and earnings than First National Financial. First National Financial is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Summary

First National Financial beats its peers on 5 of the 9 factors compared.

First National Financial Company Profile

First National Financial Corporation, together with its subsidiaries, originates, underwrites, and services commercial and residential mortgages in Canada. It operates in two segments, Residential and Commercial segments. The company offers single-family and multi-unit residential, and commercial mortgages. It provides its services through mortgage broker distribution channel, as well as online. The company was founded in 1988 and is headquartered in Toronto, Canada.