Latest Ratios: P/E Ratio 18.5x · EV/EBITDA 14.1x · ROE 14.5%. (1998–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $44.3B | $35.7B | $34.5B | $30.5B | $27.3B | $32.9B | $26.2B | $27.2B | $20.3B | $25.4B | $23.8B |
| Enterprise Value | $53.0B | $48.1B | $41.2B | $34.8B | $33.5B | $30.8B | $24.3B | $29.5B | $19.7B | $21.3B | $24.7B |
| P/E Ratio → | 18.46 | 10.15 | 11.26 | 9.90 | 9.49 | 8.34 | 10.90 | 10.38 | 6.96 | 11.82 | 9.53 |
| P/S Ratio | 1.49 | 0.85 | 1.00 | 0.84 | 7.97 | 0.92 | 0.60 | 0.69 | 0.75 | 0.87 | 0.83 |
| P/B Ratio | 2.55 | 1.40 | 1.32 | 1.26 | 1.19 | 1.17 | 1.01 | 1.11 | 0.83 | 1.11 | 1.06 |
| P/FCF | 4.62 | 2.63 | 14.43 | 3.97 | 3.42 | — | 2.71 | 11.53 | 5.41 | 14.10 | 6.72 |
| P/OCF | 4.58 | 2.60 | 13.62 | 3.91 | 6.34 | — | 2.68 | 11.00 | 5.29 | 12.81 | 6.48 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.14 | 1.20 | 0.96 | 9.77 | 0.86 | 0.56 | 0.74 | 0.73 | 0.72 | 0.86 |
| EV / EBITDA | 14.15 | 9.04 | 8.24 | 7.76 | 8.07 | 5.56 | 6.59 | 8.18 | 5.27 | 7.09 | 6.77 |
| EV / EBIT | 15.70 | 9.04 | 8.24 | 7.76 | 8.23 | 5.68 | 6.68 | 8.28 | 5.16 | 6.87 | 6.57 |
| EV / FCF | — | 3.54 | 17.25 | 4.52 | 4.19 | — | 2.52 | 12.51 | 5.25 | 11.79 | 6.99 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 100.0% | 100.0% | 14.0% | 11.9% | 118.7% | 41.2% | 28.5% | 28.2% | 40.3% | 35.1% | 36.5% |
| Operating Margin | 11.4% | 11.4% | 12.6% | 10.8% | 105.7% | 14.3% | 7.6% | 8.1% | 13.0% | 9.5% | 12.1% |
| Net Profit Margin | 8.9% | 8.9% | 9.2% | 9.2% | 88.2% | 12.2% | 6.4% | 7.4% | 10.8% | 8.5% | 9.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.5% | 14.5% | 12.6% | 14.2% | 11.9% | 16.2% | 11.0% | 12.0% | 12.3% | 11.0% | 12.9% |
| ROA | 1.0% | 1.0% | 0.9% | 1.0% | 0.9% | 1.3% | 0.9% | 1.0% | 1.1% | 0.9% | 1.1% |
| ROIC | 10.2% | 10.2% | 10.6% | 10.3% | 9.9% | 15.3% | 9.7% | 9.5% | 12.3% | 9.9% | 12.8% |
| ROCE | 1.2% | 1.2% | 1.2% | 1.2% | 1.1% | 1.5% | 1.1% | 1.1% | 1.3% | 1.1% | 1.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.87 | 0.87 | 0.65 | 0.64 | 0.68 | 0.36 | 0.34 | 0.37 | 0.27 | 0.21 | 0.34 |
| Debt / EBITDA | 4.14 | 4.14 | 3.37 | 3.44 | 3.74 | 1.84 | 2.38 | 2.50 | 1.79 | 1.58 | 2.09 |
| Net Debt / Equity | — | 0.49 | 0.26 | 0.17 | 0.27 | -0.07 | -0.07 | 0.10 | -0.02 | -0.18 | 0.04 |
| Net Debt / EBITDA | 2.32 | 2.32 | 1.35 | 0.94 | 1.49 | -0.37 | -0.50 | 0.65 | -0.16 | -1.39 | 0.26 |
| Debt / FCF | — | 0.91 | 2.82 | 0.55 | 0.77 | — | -0.19 | 0.99 | -0.16 | -2.31 | 0.26 |
| Interest Coverage | 10.12 | 10.12 | 7.53 | 8.12 | 12.40 | 16.59 | 10.26 | 10.71 | 12.51 | 10.20 | 11.90 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | — | — | — | — | — | 5.96 | — | — | 5.36 | 5.20 | 3.91 |
| Quick Ratio | — | — | — | — | — | 5.96 | — | — | 11.34 | 10.96 | 8.21 |
| Cash Ratio | — | — | — | — | — | 5.03 | — | — | 4.42 | 4.21 | 2.95 |
| Asset Turnover | — | 0.11 | 0.09 | 0.11 | 0.01 | 0.10 | 0.13 | 0.13 | 0.10 | 0.11 | 0.11 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.2% | 5.8% | 5.7% | 4.6% | 6.1% | 4.3% | 4.1% | 4.8% | 6.1% | 4.5% | 4.5% |
| Payout Ratio | 55.1% | 55.1% | 61.9% | 42.5% | 55.3% | 32.7% | 38.4% | 44.8% | 42.1% | 46.4% | 38.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.4% | 9.9% | 8.9% | 10.1% | 10.5% | 12.0% | 9.2% | 9.6% | 14.4% | 8.5% | 10.5% |
| FCF Yield | 21.6% | 38.1% | 6.9% | 25.2% | 29.3% | — | 36.9% | 8.7% | 18.5% | 7.1% | 14.9% |
| Buyback Yield | 2.7% | 4.8% | 2.5% | 0.5% | 0.0% | 0.0% | 0.6% | 2.2% | 3.2% | 0.7% | 4.0% |
| Total Shareholder Yield | 5.9% | 10.5% | 8.2% | 5.1% | 6.1% | 4.3% | 4.7% | 7.0% | 9.2% | 5.2% | 8.5% |
| Shares Outstanding | — | $573M | $581M | $589M | $589M | $590M | $589M | $597M | $611M | $616M | $619M |
Underwriting and Inflation Sensitivity
As reported in recent market data, Sun Life’s P/B ratio of 2.48 suggests a significant valuation premium compared to peers like Prudential at 1.06, indicating that investors assign higher value to its fee-heavy asset management model than to traditional spread-based insurance earnings.
The elevated P/B multiple appears to be a direct reflection of the market's confidence in the company's pivot toward capital-light fee income via MFS and SLC Management. This valuation premium warrants caution, however, as it implies high expectations for sustained growth in AUM that may be vulnerable to broader market volatility.
Based on quarterly filings, the combined ratio has demonstrated remarkable stability, oscillating within the 88% to 90% range, which indicates that Sun Life’s underwriting discipline remains intact despite the inflationary pressures currently impacting the broader North American group benefits and health insurance landscape.
The consistency in the combined ratio suggests that the company is successfully managing its loss ratios, which have largely remained in the 87% to 88% band. Investors should monitor whether this stability can be maintained if medical inflation continues to outpace the company's ability to re-price its group contracts.
According to recent financial disclosures, Sun Life’s ROE has fluctuated between 0.5% and 5.6% over the last ten quarters, a trend that appears heavily influenced by IFRS 17 accounting adjustments rather than a fundamental decline in the underlying profitability of its core insurance and asset management operations.
The low headline ROE figures may obscure the actual earnings power of the business, as the transition to IFRS 17 introduces significant noise into net income calculations. Analysts should focus on underlying earnings metrics to determine if the company is effectively leveraging its float to generate consistent returns on equity.
As noted in regulatory filings, the P/E ratio is frequently misapplied to Sun Life, as it fails to account for the significant volatility introduced by market-related items under IFRS 17, which can artificially depress or inflate earnings in any given quarter without reflecting operational reality.
Investors should prioritize the Contractual Service Margin (CSM) and underlying net income over traditional P/E multiples to assess the company's true performance. Relying on P/E risks misinterpreting accounting-driven earnings swings as fundamental shifts in the company's competitive position or underwriting profitability.
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying SLF stock.
Sun Life Financial Inc.'s current P/E ratio is 18.5x. The historical average is 13.0x. This places it at the 88th percentile of its historical range.
Sun Life Financial Inc.'s current EV/EBITDA is 14.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.4x.
Sun Life Financial Inc.'s return on equity (ROE) is 14.5%. The historical average is 9.8%.
Based on historical data, Sun Life Financial Inc. is trading at a P/E of 18.5x. This is at the 88th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Sun Life Financial Inc.'s current dividend yield is 3.17% with a payout ratio of 55.1%.
Sun Life Financial Inc. has 100.0% gross margin and 11.4% operating margin. Operating margin between 10-20% is typical for established companies.
Sun Life Financial Inc.'s Debt/EBITDA ratio is 4.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.