Power Corporation of Canada

Power Corporation of Canada

PWCDF

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Market Cap$39B
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Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Power Corporation of CanadaPower Corporation of Canada19.92.89%10%1.20.9

Earnings Call Q3 2024

November 13, 2024 - AI Summary

Strong Earnings Growth: Both Great-West Lifeco and IGM Financial reported a 12% year-over-year growth in earnings per share (EPS), contributing significantly to Power Corporation's overall adjusted net earnings of $542 million for Q3 2024, down from $1 billion in the same quarter last year. This reduction is attributed to nonrecurring items last year, but the underlying growth indicates resilience in the core operating businesses.
Net Asset Value (NAV) Increase: Power Corporation's adjusted NAV increased by 15% quarter-over-quarter to $57.92 per share, driven by strong performance in its publicly traded operating companies like Great-West and IGM. The NAV showed continued growth into October and November, reflecting positive market trends.
Dividend Strategy and Buybacks: The Board declared a quarterly dividend of 56.25 cents per share, consistent with the previous quarter. In response to excess cash, Power Corporation remains committed to share buybacks, with over $120 million transacted under its Normal Course Issuer Bid (NCIB) program this quarter, which should enhance shareholder returns by reducing the share count.

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$-19.59

Current Fair Value

131.7% downside

Overvalued by 131.7% based on the discounted cash flow analysis.

Share Statistics

Market cap$39.00 Billion
Enterprise Value$45.23 Billion
Dividend Yield$1.82 (2.89%)
Earnings per Share$4.01
Beta0.94
Outstanding Shares634,100,000

Return

Return on Equity10.49%ROE
Return on Assets0.28%
Return on Invested Capital0.67%

Valuation & Multiples

P/E Ratio19.86P/E Ratio
PEG101.05PEG
Price to Sales1.19Price to Sales
Price to Book Ratio0.87Price to Book Ratio
Enterprise Value to Revenue1.35
Enterprise Value to EBIT7.56
Enterprise Value to Net Income17
Total Debt to Enterprise0.47
Debt to Equity0.87Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 20, 2026
EPS Estimate
$1.03
Average shareholder expectation
Revenue Estimate
$3.25 B
Average shareholder expectation

Next Earnings Call

Expected Date
July 30, 2026
EPS Estimate
$1.07
Average shareholder expectation
Revenue Estimate
$3.32 B
Average shareholder expectation

Institutional Sentiment (Put/Call)

No data available for the latest quarter.

Institutional Ownership

No data available for the latest quarter.

ESG Score

No data

About Power Corp. of Canada

CEO: Robert Jeffrey Orr

Power Corp. of Canada is a management and holding company, which engages in the provision of financial services; asset management; and sustainable and renewable energy. It operates through the following segments: Lifeco, IGM Financial, a...

Relevant Senate Committees

Joint Committee on Taxation

This committee provides the official revenue estimates for all tax bills, directly influencing corporate tax structures, capital investment credits, and the overall tax burden. This is critical for Power Corp.'s financial planning, investment strategies, and the profitability of its portfolio.

Finance

As the most powerful economic committee, its control over taxation (corporate valuations, investment returns), trade policy (impacting global operations and supply chains for Pargesa holdings), and entitlement spending (Medicare pricing for Lifeco) has a direct and primary impact on Power Corp.'s profitability and market conditions.

Appropriations

This committee allocates discretionary federal spending across defense, scientific research, and infrastructure. These precise cash flows directly determine order books and revenues for a wide array of industries where Power Corp. has investments or holds portfolio companies.

Agriculture, Nutrition, and Forestry

As a financial services and asset management firm, Power Corp. is directly impacted by this committee's oversight of the CFTC, which regulates the massive derivatives/futures market and is increasingly defining cryptocurrencies as digital commodities relevant to financial institutions.

Health, Education, Labor, and Pensions

This committee's regulation of the FDA, NIH, and labor laws directly impacts Power Corp.'s Lifeco segment (health insurance costs, drug approvals for investments) and influences labor costs across all its portfolio companies through minimum wage and union regulations.

Judiciary

This committee's oversight of antitrust laws and intellectual property directly influences M&A approvals, the competitive landscape for Power Corp.'s diverse portfolio companies (especially in its Pargesa segment), and the value of intellectual assets.

Banking, Housing, and Urban Affairs

This committee directly regulates the entire US financial system, including the Fed and SEC. As a major financial services, asset management, and multi-line insurance company, Power Corp. is directly impacted by regulations on bank capital, investment rules, and emerging areas like cryptocurrency.

Budget

This committee influences the overall macroeconomic environment, sovereign debt levels, and the passage of major spending packages. These factors are critical for a financial services and asset management firm like Power Corp. and its diverse investments.

Energy and Natural Resources

Power Corp.'s 'sustainable and renewable energy' segment and its Pargesa holdings in 'oil, gas, and chemical industries' and 'minerals-based specialty solutions' are directly impacted by this committee's oversight of national energy policy, leasing regulations, and critical mineral development.

Environment and Public Works

Power Corp. has sustainable/renewable energy interests, and its Pargesa segment includes holdings in 'minerals-based specialty solutions,' 'cement, aggregates, and concrete,' and 'oil, gas, and chemical industries,' all of which are directly affected by EPA regulations and infrastructure spending.

Foreign Relations

As a global financial and holding company, Power Corp. is highly exposed to international markets, the impact of sanctions legislation (e.g., on energy prices or international banking access), and sovereign risk, all directly influenced by this committee.