Manulife Financial Corp (MFC) is overvalued and Prudential Financial Inc (PRU) is slightly undervalued.
Against our estimates of intrinsic value, PRU trades at the wider discount: a margin of safety of +19%, against -30% for MFC.
Values as of the 22 Sept 2026 close.
Book value at 1.57x, the multiple a 13.0% return on equity justifies, blended with earnings, values the shares at $33.92; the price of $44.17 is 30% above that value.
Leak Score 43/100 on 3 of 12 signals
Book value at 1.49x, the multiple a 12.6% return on equity justifies, blended with earnings, values the shares at $145.56; the price of $117.66 is 19% below that value.
Leak Score 43/100 on 8 of 12 signals
| Metric | MFC | PRU |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $44.17 | $117.66 |
| Intrinsic value | $33.92 | $145.56 |
| Margin of safety | -30% | +19% |
| Leak Score | 43/100 (3/12) | 43/100 (8/12) |
| Market cap | $73.3B | $40.6B |
| Revenue growth, 5 years | -5.5% | 1.3% |
| Operating margin | 15.2% | 7.6% |
| Net margin | 9.5% | 6.0% |
| Return on equity | 13.0% | 12.6% |
| Debt to equity | 0.27 | 1.10 |
| P/E | 16.5x | 10.7x |
| Forward P/E | 12.2x | 7.9x |
| P/B | 2.3x | 1.3x |
| Dividend yield | 3.1% | 4.8% |