Focus on the Big Picture: Manulife Financial Corporation (MFC), FirstEnergy Corp. (FE)

14 analysts out of 16 Wall Street brokerage firms rate Manulife Financial Corporation (NYSE:MFC) as a Buy, while 0 see it as a Sell. The rest 2 describe it as a Hold. MFC stock traded higher to an intra-day high of $17.06. At one point in session, its potential discontinued and the price was down to lows at $16.81. Analysts have set MFC’s consensus price at $23.61, effectively giving it a 40.12% projection on returns. Should the projected estimates be met, then the stock will likely hit its highest price at $26.43 (up 56.85% from current price levels). MFC has a 11.4% ROE, higher than the 6.89% average for the industry. The average ROE for the sector is 16.13%.

Manulife Financial Corporation (MFC) currently trades at $16.85, which is lower by -1.29% its previous price. It has a total of 1.96 billion outstanding shares, with an ATR of around 0.33. The company’s stock volume dropped to 2.05 million, worse than 2.12 million that represents its 50-day average. A 5-day increase of about 1.94% in its price means MFC is now 18.75% higher on year-to-date. The shares have surrendered $43443.15 since its $19.63 52-week high price recorded on 22nd of May 2018. Overall, it has seen a growth rate of -9.46 over the last 12 months. The current price per share is $3.52 above the 52 week low of $13.33 set on 26th of December 2018.

Manulife Financial Corporation (NYSE:MFC)’s EPS was $0.65 as reported for the December quarter. In comparison, the same quarter a year ago had an EPS of $0.61. That means that its growth in general now stands at 7%. Therefore, a prediction of $0.66 given by the analysts brought a negative surprise of -2%. MFC Dec 19 quarter revenue was $16.25 billion, compared to $3.47 billion recorded in same quarter last year, giving it a 368% growth rate. The company’s $12.78 billion revenue decline that quarter surprised Wall Street and investors will need to consider this as they assess the stock.

FirstEnergy Corp. (NYSE:FE) shares depreciated -0.99% over the last trading period, taking overall 5-day performance up to 1.05%. FE’s price now at $41.21 is greater than the 50-day average of $39.37. Getting the trading period increased to 200 days, the stock price was seen at $37.43 on average. The general public currently hold control of a total of 491.46 million shares, which is the number publicly available for trading. The total of shares that it has issued to investors is 510.07 million. The company’s management holds a total of 0.3%, while institutional investors hold about 95.9% of the remaining shares. FE share price finished last trade 1.73% above its 20 day simple moving average and its upbeat gap from 200 day simple moving average is 10.2%, while closing the session with 4.87% distance from 50 day simple moving average.

FirstEnergy Corp. (FE) shares were last observed trading -1.36% down since March 13, 2019 when the peak of $41.78 was hit. Last month’s price growth of 4.28% puts FE performance for the year now at 9.75%. Consequently, the shares price is trending higher by 25.16%, a 52-week worst price since Jun. 11, 2018. However, it is regaining value with 8.5% in the last 6 months. From a technical perspective, it appears more likely that the stock will experience a Bull Run market as a result of the strong support seen recently between $40.82 and $41.02. The immediate resistance area is now $41.58 Williams’s %R (14) for FE moved to 37.25 while the stochastic %K points at 82.65.

FE’s beta is 0.28; meaning investors could reap lower returns, although it also poses lower risks. The company allocated $1.35 per share from its yearly profit to its outstanding shares. Its last reported revenue is $2.71 billion, which was -21% versus $3.44 billion in the corresponding quarter last year. The EPS for Dec 19 quarter came in at $0.5 compared to $0.71 in the year-ago quarter and had represented -30% year-over-year earnings per share growth. FE’s ROA is 2.5%, lower than the 8.25% industry average. Although a more robust percentage would be better, consideration is given to how well peers within the industry performed. Companies within the sector had an ROA of 5.9%.

Estimated quarterly earnings for FirstEnergy Corp. (NYSE:FE) are around $0.68 per share in three months through March with $0.6 also the estimate for June quarter of the fiscal year. It means the growth is estimated at 1.49% and -3.23%, respectively. Analysts estimate full-year growth to be -1.16%, the target being $2.56 a share. The upcoming year will see an increase in growth by percentage to -4.3%, more likely to see it hit the $2.45 per share. The firm’s current profit margin over the past 12 months is 8.7%. FE ranks lower in comparison to an average of 25.62% for industry peers; while the average for the sector is -9.5%.